Minutes:
The Chief Executive submitted for the Committee’s consideration the undernoted report:
“1 Relevant Background Information
1.1 At its meeting on 11 January, the SP&R Committee considered information about the impact of flag demonstrations on local businesses, including feedback which had been received from a number of local traders and representative organisations. In response, Committee agreed that the Lord Mayor and Chair of SP&R would convene a number of meetings with key stakeholders within the retail and hospitality industries to explore how the Council could provide support to the retail and hospitality industries and mitigate any negative impacts on the image and reputation of Belfast.
1.2 An initial meeting was convened with representatives from the retail and hospitality sectors on Jan 15th which was also attended by party leaders or their representatives. Attendees outlined the impact that they had felt since the protests began, with the hospitality industry stating that they had lost 25-30% of business since the beginning of December. It was agreed at the meeting that a recovery programme was required for Belfast to drive footfall back into Belfast and to counteract the negative media of recent weeks across the world. In addition to a longer term recovery programme, immediate short term actions were considered vital.
1.3 Immediate issues raised by stakeholders in attendance at the engagement session included:
· The need for additional promotional and animation activity to drive footfall back into the city – businesses highlighted that decline in cash-flow was linked to the decline in footfall;
· The need for representation to be made to the VAT and rates authorities in terms of payment plans and the exploration of potential for a workable hardship scheme;
· The need for a series of counterbalancing activities and messages aimed at getting local people back into the city;
· The need to quantify impact in order to assess the efficacy of interventions;
· The need to for urgency in taking forward the actions identified.
1.4 In this context, and as directed by the Committee, Council officers have been engaging with stakeholders to create a proposed programme of interventions to address these issues. This has included work with Belfast Visitor and Convention Bureau, Chamber, Pubs of Ulster, NI Hotels Federation and other agencies to create a bespoke marketing campaign and city animation programme to drive footfall into businesses. Discussions have also been held with the Department Of Finance and Personnel and Land and Property Services. This report sets out proposed interventions including:
1. Cash Flow Assistance
2. Promotion – Marketing Support Plan (Backin’ Belfast)
3. City Animation Programme
4. Local Area Support
5. Medium Term Actions
1.5 The report will also address the resource implications of the plans, media and communications and monitoring of outcomes. The report is also being brought before the SP&R Committee because the Committee is being asked to approve funding for the interventions from the Council’s reserves.
2 Key Issues – proposed interventions
Cash Flow Assistance
2.1 As Members will be aware a number of the proposals coming forward from traders for support included exploring the potential for a “rates holiday” or reduction in rates bills for affected businesses. The Finance Minister, on 14 January, stated that the proposal coming forward in relation to rates would require changes to rating policy which would require consultation and primary legislation.
2.2 Stakeholders also asked for information and advice on payment plans and the potential to re-profile rates and VAT payments. Council officers have been liaising with officials in the relevant agencies about how this information can be disseminated and support provided. A communication plan is being developed to ensure that all those affected are aware of the sources of advice and support on these issues and are made aware of the options available to them.
Promotion – Marketing Support Plan (Backin’ Belfast)
2.3 At the Committee’s meeting on 11th January, Members had been concerned that any response to the economic impacts being felt by local traders should be developed in liaison with those affected. BVCB along with their contracted agencies produced a draft marketing campaign which was considered at a stakeholder meeting on 18th January. Belfast Chamber of Trade and Commerce, Pubs of Ulster, NI Hotels Federation and N Ireland Independent Retailers Association were invited to review the proposals. The meeting agreed that in the short term the focus had to be on support for the evening economy especially the pubs, restaurants and hotels. Objectives were agreed as follows:
· To drive footfall back into the city
· To restore confidence amongst the citizens and businesses
· To harness and build civic pride
· To create positive experiences and messages
2.4 The resulting campaign, entitled ‘Backin’ Belfast’ is aimed at the people of Belfast primarily, including residents and commuters. It is intended that implementation begin immediately and run to 31 March 2013. The potential for extension beyond this initial phase will be considered as the campaign unfolds.
2.5 John Keane, Managing Director of Ardmore Advertising will be available to present a short overview of the programme at the Committee meeting. As Members will see, the approach involves a multi-stakeholder approach to ensure an integrated, co-ordinated and consistent promotional campaign across all available marketing platforms including, social media, radio, television, digital, press, outdoor promotions (e.g. building wrap, posters etc...) as well as fully integrated and supporting PR and promotional activity around events, promotions animation and endorsements. Owing to the need to make immediate impact, there will be an initial a focus on social media. The campaign has included input not only from stakeholders in the hospitality and retail sectors but also communications and marketing experts.
2.6 The campaign has already received considerable support from the sector with widespread buy-in from individual businesses as well as the representative bodies. Indeed the proposed programme is the culmination of the industry’s proactive response to the process initiated by Council at the meeting on 15 January. An information session hosted by BVCB on the evening of 23 January was well attended by the industry and there was strong support for the proposals and for them to be put forward to the Council and central government for consideration and funding.
2.7 Budget required for Marketing Campaign: The promotional campaign “Backin’ Belfast” has been costed at £750,000 for delivery until 31 March. The key costs are taken up with the costs of design, production and broadcast/communication of key elements of the campaign.
2.8 The Finance Minister and Economy Minister have now met with representatives from the trade associations and stated that £600k will be made available through DETI to support the campaign. It is recommended that the Council provide the balancing finance of £150k.
City Animation Programme
2.9 In order to support the promotional campaign it is essential that a city animation programme is put in place to create a welcoming atmosphere and act as additional drawing points to attract people back into the city. This is a similar approach to the intervention which Members agreed before the Christmas period to boost trade figures. Intensive work has been underway to develop a further animation programme which will be integrated with and complementary to the marketing campaign. Presently the Council is ready to commence a major programme of activity which will embody and reflect the messages of the “Backin’ Belfast” campaign. The animation programme will centre around the weekends over the campaign period between now and 31 March.
2.10 A wide range of ideas have already been collated, sifted and assessed for suitability to date and a report containing more detail with respect to the animation programme will be brought to the Development Committee for consideration at its meeting on 29 January. Programming will take place in both indoor and outdoor spaces within the city centre such as the Castlecourt, Victoria Square, St Georges Market, Council facilities as well as within restaurants and bars that have entertainment licences; Proposed outdoor spaces to be used include City Hall grounds (non grass areas) , squares such as Bank square, St Anne’s. Square, Cotton Court and Cornmarket.
2.11 The Council is also offering support to pubs, restaurants and hotels in programming additional activity and in matching potential animation activity with new spaces and places across the evening economy sector.
2.12 Budget required for Animation Programme: A budget of up to £250,000 is required to deliver the level of animation programme required to have a signficiant impact over the coming weeks. It is proposed that the cost of the animation programme is covered by the Council since this programme is key to attracting the footfall needed to improve the situation for local traders.
Impact on traders outside the city centre
2.13 Members have also emphasised the importance of addressing the impact of the demonstrations in other parts of the city. Therefore, additional meetings have taken place between BCC officers and representatives of East Belfast traders. The Traders are supportive of the” Backin’ Belfast” campaign but are seeking Council support for a Shop Local/Spend Local campaign centred on the East as an immediate way of dealing with the downturn in trade. This campaign would complement and augment the Backin’ Belfast campaign in an area significantly impacted by the protests, cost is unlikely to exceed £20,000.
2.14 Members have also made officers aware of requests for support from traders in other parts of the city. It is therefore recommended that a report on local support for traders is brought to the Development Committee and that interventions are supported, as far as possible, through the Development Department’s budgets. The SP&R Committee will be updated on progress and any resource issues which arise.
Impact and Monitoring
2.15 Information on the impact of the demonstrations continues to be collected so that this can inform the targeting of campaigns and help monitor the impact of interventions. Feedback from traders and representative organisations continues to point to significant detrimental impact on footfall in the city centre at specific times, notably on Saturday afternoons and on evenings when social media reports suggest there will be blockages in the city.
2.16 In order to assess the on-going impact and the extent to which interventions such as “Backin’ Belfast” are working, action is being taken to provide robust monitoring information that can be used for on-going planning purposes, action includes:
· Collation of information from across the hospitality sector to provide a qualitative and quantitative indication of business performance during Christmas period and early January (this is being collated by the industry).
· At present, BVCB is conducting a phone survey of their 500 members and will undertake a similar follow up survey after the first phase of activity to gauge impact.
· BVCB have also engaged STR Global who will provide monthly reports on hotel performance in the city by the 20th February (for January), 20th March (for February) and so on.
· The Hotel Federation and Pubs of Ulster are collating information from their members and these will be forwarded to Council on a weekly basis. This will include occupancy figures, room rates and revenue.
· Through the Council’s Tourism Monitor contract with Millward Brown Ulster, we have incorporated a number of questions onto the NI omnibus survey to ascertain impact on decisions to visit the city. These surveys are conducted monthly.
· Information from Translink on passenger numbers.
Communication and media - announcement
2.17 If it is decided today to provide financial support for the Backin’ Belfast campaign, it is proposed that a press announcement would take place immediately after the committee meeting.
2.18 It is suggested that the media be invited to the reception area of City Hall at 1pm for the announcement. It is important that the Lord Mayor, Party Group Leaders, and the Chair of the Strategic Policy and Resources Committee are represented at the announcement.
2.19 The media will be offered individual interviews and photo-opportunities immediately afterwards. We will also have representatives of the business community present to welcome the announcement. The Head of Corporate Communications will be in attendance at the Committee meeting on 25th January to discuss the logistics in detail
Longer-term promotional activity and addressing the impact on the wider tourist and visitor market
2.20 Whilst it is necessary to react with urgency to the immediate impact being felt by businesses and to focus on getting the people who live in and work in Belfast back into the city, it is important that a coherent, integrated, strategic approach is taken to managing the impact on the image of Belfast in the longer term and in the wider tourism market. Consequently, officers are working with government departments and other key agencies, such as the BVCB, NITB and Tourism Ireland Limited to develop an overall approach to overcoming any negative impact on the broader tourism market. This will include consideration of the role which each organisation will play in image and reputation management moving forward. This work will be brought, as it emerges, to the Development Committee so that Members can be fully involved in its development.
3 Resource Implications
3.1 Financial
It is proposed that the Council’s contribution to the promotional and animation activities totalling £400k is provided from Council reserves. This is one-off non-recurring expenditure to meet an unplanned and critical need at a time of deep economic distress for businesses in Belfast. Action is being taken in order to meet this need and also mitigate the risk of a significant future impact on the Council’s rates base with attendant risks to the Council’s ability to deliver services and invest in the city. It is also to mitigate against job loss and business closure which would ultimately undermine the city’s visitor offer.
Human Resources
None at present.
4 Equality and Good Relations Considerations
4.1 Interventions have the potential to improve good relations.
5 Recommendations
5.1 Members are requested to approve that a total sum of £400k, financed from reserves, be made available, of which £150k will support the promotional campaign “Backin’ Belfast” in order to:
· drive footfall back into the city
· restore confidence amongst the citizens and businesses
· harness and build civic pride
· create positive experiences and messages
This will match a sum of £600k being provided by DETI.
5.2 The remaining £250k will provide animation activity, as outlined, to augment and complement this campaign, building on the animation activity funded by Council in the run-up to Christmas.
5.3 Detailed reports on the animation programme and potential local interventions and will be brought to the Development Committee.”
It was reported that Mr. J. Keane, Managing Director, Ardmore Advertising, and Mr. G. Lennon, Chief Executive of the Belfast Visitor and Convention Bureau, were in attendance to make a presentation regarding this matter and they were admitted to the meeting and welcomed by the Chairman.
With the assistance of visual aids, Mr. Keane reviewed the Marketing and Support Plan for the “Backin’ Belfast” campaign. He outlined the current position and the objectives which were:
(i) to drive footfall back into the City now;
(ii) to restore confidence amongst the citizens and businesses;
(iii) to harness and build civic pride; and
(iv) to create positive experiences and messages.
He then highlighted some of the offers which had been received to assist with the campaign, the channels through which it would be communicated and the delivery plan, the social media activity, the public relations and events to promote the campaign.
Mr. Keane and Mr. Lennon then answered a number of questions from the Members, following which the Chairman, on behalf of the Committee, thanked them for attending and they retired from the meeting.
After discussion, the Committee approved a total sum of £400,000, to be financed from reserves, to be made available for the campaign and agreed that £150,000 would be used to support the promotional campaign “Backin’ Belfast”, with the remaining £250,000 to be utilised to provide animation activity, as outlined, to augment and complement the campaign, building on the animation activity which had been funded by the Council in the run-up to Christmas.
The Committee noted also that detailed reports on the animation programme and potential local interventions would be submitted to the Development Committee in due course.
Supporting documents: