What does the ‘destination marketing’ of Fremantle mean?

Destination marketing is the marketing of Fremantle to visitors or customers for the benefit of local businesses.  It aims to attract more people to Fremantle to enjoy what we have to offer by way of retail, hospitality, tourism attractions, festivals and other services.

What is ‘Fremantle. Be part of the story’?

Fremantle’s destination marketing plan was launched in January 2014 using the new brand of ‘Fremantle. Be part of the story’. The plan was developed following a period of consultation with customers and Fremantle stakeholders. The goals of the plan are to build awareness of the Fremantle offering, improve perception of that offering and increase the number of people who come to Fremantle for an experience. 

The main activities include the www.fremantlestory.com.au website, an extensive social media presence, a quarterly printed magazine distributed throughout the metropolitan area, banners and entry signage, and paid advertisements (e.g. on Perth trains and at the airport). A comprehensive evaluation of the plan can be found by clicking here.

What is the differential rate?

At the beginning of the 2008/09 financial year, the City of Fremantle introduced a City Centre Commercial Rate to ‘fund the management, administration and delivery of activities aimed at enhancing economic and social viability, and general amenity, of the Fremantle Central Business District (CBD)’. Since that time, the City has levied the City Centre Commercial Rate on all commercial land parcels within the coloured area of the CBD on the below map. 

The total amount collected is approximately $400 000 this financial year.

What is the Fremantle Business Improvement District (BID) and what does it do?

The Fremantle BID is an independent not-for-profit company that supports the Fremantle CBD businesses to improve the business environment. For the past six years the City has provided funding to the Fremantle BID to deliver its business plan. The amount of funding matches the amount raised by the differential rate and totals approximately $2.2 million over this six year period. For more information on the Fremantle BID visit: http://www.fremantlebid.com 

What are the main points of the proposal council will soon consider?

The City’s Economic Development and Marketing Manager is proposing the following model for the future delivery of destination marketing in Fremantle. 

 1.  Combining the differential rate funding and City of Fremantle destination marketing efforts. This means no further funding for Fremantle BID after this financial year and a wind-down of most of the in-house destination marketing undertaken by City of Fremantle. 

 2.  Establish an arm’s length advisory group comprised of small number of paid marketing consultants and key representatives from the business community to set the strategy for: 
    •  Overall destination marketing approach (including different stages over next few years, ramping up to Kings Square launch) 
    •  How to achieve ongoing business community engagement 
    •  Appointment of marketing agency to deliver marketing services under specific terms, KPIs etc. 
    •  Sponsorship of local business led events (e.g. develop sponsorship criteria / policy) 

 The group will receive administrative support from City officers.

How would the marketing group be appointed?

Under the proposal, the group will operate for a four year period (2018/19 – 2021/22). Nominations for the group will be considered by the council. The group is expected to include an experienced and independent marketing expert as a chairperson, and 4-6 representatives from Fremantle’s main industry sectors (retail, hospitality, arts and culture, tourism, service industry), the Fremantle Chamber of Commerce and an Indigenous business representative. 

What are the expected benefits of the proposal?

The benefits of the proposal are expected to be:

1.  No additional funding required from any source - using City of Fremantle and differential rate money only.

2.  Simple and centralised accountability that removes possibility for duplication or role uncertainty.

3.  Creates genuine and sustained acceptance and shared ownership from the business community.

4.  Arms-length separation from other council services (but the City does not relinquish ultimate accountability for use of funds).

5.  Greater ability to leverage funding from other sources (e.g. Minister Tourism, Rottnest Island Authority, Town of East Freo). 

Does this mean that only businesses in the differential rate area will be marketed under the proposal?

No. Funds from the differential rate and the City’s normal operating budget will be combined and used for destination marketing for Fremantle as a whole. 

What changes and what doesn’t change if council accept the officer’s recommended proposal?

Changes

  • The Fremantle BID will no longer receive funding from council
  • The City will effectively ‘outsource’ the majority of destination marketing to the new group
Does not change

  • Services currently provided by the BID will continue to be provided under the new structure. They will be delivered by the new group or the City.
  • The City will continue to deliver a service to attract new businesses and investment to Fremantle. Separate to destination marketing, the City markets Fremantle to new businesses and to investors. There has been significant achievements in this area and there has been close to $1 billion worth of development attracted approved by the City over the past five years. The City’s delivery of this function remains unchanged.

Who should local businesses talk to if they have an issue related to their business?

Businesses can contact the City of Fremantle directly or the Fremantle Chamber of Commerce. 

What happens to my feedback?

Council will be provided with a summary of the feedback from this survey and will consider it when making their decision.

What are the next steps?

It is expected that the topic will be on the agenda for the April 2018 ordinary meeting of council.