HomeMy WebLinkAbout051722-03.1 BUSINESS PROMO FUNDS
STUDY STUDY SESSION MEMORANDUM 3.1
TO: Mayor and Town Council May 17, 2022
SUBJECT: FY 2022/23 Business Promotion Funds – Funding Allocation Plan
BACKGROUND / DISCUSSION
As part of the annual Operating Budget process, the Town Council considers
appropriating up to $50,000 in Business Promotion Funds. These funds are utilized to
make grant funding opportunities available to the small businesses and organizations
that make Danville a premier retail, dining and service destination.
The goal of Business Promotion Funds Program (Program) has always been to develop
programs and events that:
1) Are deemed advantageous to a broad range of the Danville business
community;
2) Are anticipated to yield the greatest level of direct and immediate results; and
3) Build collaboration among Danville businesses.
Over the life of the Program, individual components and criteria have evolved to improve
the overall effectiveness of achieving the above goal. More recently, organizations or
businesses have been able to apply for either Cohesive Marketing Funds or individual
General Business Marketing Promotion Grants based on the type of program/event
being developed.
For FY 2021/22, the Town’s ability to administer the program was adversely impacted
by numerous pandemic restrictions that affected how businesses and events could
operate. For this reason, it was determined that it was not feasible to administer the grant
program the same way as in past years, and not until business and event activities could
safely resume.
These considerations prompted a different approach in how funds were ultimately
administered. For Cohesive Marketing Funds, $35,000 was applied towards a Holiday
Marketing Campaign, identified as “Keep Danville Merry and Bright” and a Community
Radio Campaign focused on recovery for our business community. The remaining
$15,000 was set aside for Individual Marketing Grants for events. These grants were
approved on a first-come, first-served basis (e.g., Wine Stroll, Shops and Hops, Where’s
Waldo Scavenger Hunt).
FY 2022/23 Business Promotion Funds 2 May 17, 2022
As the transition continues from a pandemic to an endemic and towards a “new normal”
for the business community, it is appropriate to re-visit the purpose of the Business
Promotion Funds Program and to ensure that the goals and criteria established meet the
needs of the business community. As the transition described above continues to be
ongoing, recommendations for utilization of FY 2022/23 Business Promotion Funds have
been adjusted accordingly and are outlined below.
Cohesive Marketing and Promotion Focus
This past year’s Holiday Recovery Campaign – Keep Danville Merry and Bright – was a
demonstrated success for participating businesses. The large-scale marketing campaign
included multiple components (i.e., print/digital gift guide, radio, television, social
media and print campaigns). In a survey conducted, participating business indicated
that they appreciated the Town taking the lead to support the business community and
providing a package that was affordable with great exposure.
Based upon the success of this campaign, a recommendation is made to allocate $25,000
in funding be used to repeat a Holiday Recovery Campaign in FY 2022-23.
a) Danville Holiday Recovery Campaign – Fourth quarter sales are extremely
critical for brick-and-mortar businesses to sustain operations. Therefore, it is
imperative to develop an impactful “Gift Locally” multi-media marketing
campaign, similar to last year’s campaign, that encourages residents to focus on
spending locally this holiday season. Campaign components will supplement
the “Danville Picks” Holiday Shopping Guide for which businesses can purchase
a product specific ad at a reduced cost of up to 75% off, with an expanded
promotion of the holiday campaign through multiple media platforms (e.g., gift
guide, print, social media, radio, website, print delivery of gift guide to 55k
residents), developed and administered by our regional partner Visit Tri-
Valley. This program would be managed by the Town of Danville and
supported by the Danville Area Chamber of Commerce ($25,000).
General Marketing Grant Focus:
The balance of $25,000 in Business Promotion Funds would be awarded based on
established criteria, in amounts up to a maximum of $5,000. For applicants
demonstrating that their event or activity encourages collaboration among multiple
businesses or that it is coordinated and marketed in conjunction with other events
simultaneously (e.g., the Art & Wine Stroll, Shops and Hops), grant funding could be
increased. Below is a menu of funding options that would be available under this grant
category. Grants would be issued administratively on a first-come, first-served basis.
FY 2022/23 Business Promotion Funds 3 May 17, 2022
Available Grant Categories and Options Max Funding
Amounts
1. Marketing - Includes: print, digital, multi-media, signs, etc.
a. 2-5 Participating Businesses
b. 5-10 Participating Businesses
c. 10+ Participating Businesses
d. Co-op Shopping Center Marketing
e. Technology (app for center, collaborative program, etc.)
$1,500
$2,500
$3,500
$2,500
$2,500
2. Other – Eligible if included as part of proposed event
a. Event Trolly (co-op events in different shopping centers)
b. Facility Rental (eligible for government rate)
c. Event Catering (from a Danville-based restaurant)
$1,000
$500
$250
General Marketing & Promotion efforts should:
1. Provide opportunity for collaboration among multiple businesses.
2. Engage consumers with experiential events and widespread promotion
opportunities.
3. Promote events or cooperative marketing programs through print and/or
digital mediums.
4. Incorporate “Live Locally” branding into all marketing efforts.
5. Ensure patron safety by following all current safety guidelines provided at the
federal, state or local level.
As we move forward in subsequent years, it is expected that program components will
continue to evolve based on transitioning business needs. We will continue to evaluate
trends and receive feedback from our businesses on resources that will help support
economic growth in Danville.
Prepared by:
Jill Bergman
Business & Economic Development Director