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CONTRACT 5272C Amendment CLOSED Agreement No. 5272C AMENDMENT TO AGREEMENT NO. 5272 BETWEEN THE CITY OF EL SEGUNDO AND THE PHELPS GROUP THIS AMENDMENT ("Amendment") is made and entered into this 14th day of August, 2017, by and between CITY OF EL SEGUNDO, a general law city and municipal corporation existing under the laws of California("City"), and THE PHELPS GROUP, a California Corporation ("Consultant"). 1, Pursuant to Section 34 of the Agreement, Section 1(C) is amended to increase the amount of the Agreement by Five Hundred and Sixty Five Thousand Dollars ($565,000), so that the City agrees to pay Consultant a total sum not to exceed Six Hundred and Fifty Thousand Dollars ($650,000) for Consultant's services through September 30, 2018, as described in the attached Exhibit"C." 2. This Amendment may be executed in any number of counterparts, each of which will be an original, but all of which together constitutes one instrument executed on the same date. 3. Except as modified by this Amendment, all other terms and conditions of Agreement No. 5272 will remain the same. [SIGNATURES ON FOLLOWING PAGE] 1 Agreement No. 5272C IN WITNESS WHEREOF, the parties hereto have executed this Amendment the day and year first hereinabove written. CITY OF EL SEGUNDO, THE PHELPS GROUP a genet•" W Ci a California Corporation Wci ........................ ............. ......... 4Greg (-" -pent Wes Watling, it 'I, Chief Financial Officer 'c City anager ATTEST: �6 ('.�ty Clerk APPROVED AS TO FORM: Mark D. Henlek-) City Attorney 2 Agreement No. 5272C Phel All Communications. One Voice. City y o i Seglundo Integrated Marketing Communications Scope of Work FY17 (August — September 2017) FY18 (October 2017 — September 2018) Prepared for Barbara Voss July 27, 2017 ®2017 Phelps 48 Agreement No. 5272C Phelps All Communications. One Voice. The following Scope of Work (SOW)details services and deliverables based on our current understanding of your marketing needs and goals. This document is intended to align our planned services on your behalf and to provide a budget estimate for required efforts, in order to achieve defined objectives and deliverables. I.Situation Analysis The City of EI Segundo is currently engaged in marketing and branding efforts aimed to drive awareness and interest in support of two initiatives: new business attraction ("NBA")and hospitality and tourism ("HT").The ultimate goal being to stimulate related business-and visitor-serving businesses and increase tax revenue. Marketing support Is needed to increase the momentum of the NBA efforts to date and develop a strong foundation and plan for HT. II. Marketing Goals NBA: • Highlight the competitive advantages of doing business in EI Segundo to potential targets • Grow awareness of the city's offerings among brokers, developers and targeted business industries • Build positive word-of-mouth and endorsements from influencers HT: • Establish EI Segundo as a"go-to"destination for LAX-bound travelers and Angeleno day-trippers, complete with the latest in hotels, restaurants, retailers and attractions • Increase interest in the amenities of the greater community by business travelers • Build positive word-of-mouth and endorsements from influencers Ill. Target Audiences Primary Target: Commercial and industrial real estate brokers, current and potential business owners,foreign direct investment Secondary Target: business travelers, LAX-bound tourists,Angelenos 12121 Bluff Creek Dr.Playa Vista,CA 90094 1 P 310.752.4400 1 phelpagency.com ®2017 Phelps 49 Agreement No. 5272C Phelps All Communications. One Voice. IV. Integrated Marketing Services Phelps has outlined the following impactful and budget conscious integrated marketing tactics for August 1, 2017 through September 30,2018. Public and Media Relations A strategic approach is needed to bring EI Segundo top-of-mind to key reporters and influencers In Los Angeles and beyond for NBA and HT.With so many great stories to be told; outlets and angles can be tailored to capture the attention of the journalists and influencers,while keeping EI Segundo considered for future stories. Media relations can be utilized to tell multiple stories across a variety of outlets. Press Materials: Refresh and update key press materials, as needed. o Industry-specific one sheets and media fact sheets o Gather assets such as photos,videos,graphs, logos o Create press releases, media alerts and new business announcements Media Lists: Phelps will refine targeted media lists for use in strategic and proactive outreach to the consumer and trade media in Los Angeles and other key markets.The agency's tools include Cision, a media database and editorial calendar subscription service; ProfNet,which provides daily leads from working journalists looking for resources; and Buzzstream, an influencer search database. Media Pitches: Develop timely, compelling and newsworthy pitches, both angle and outlet focused. Optimize immediate story prospects and cultivate longer lead media opportunities. Events,Local Media FAMs and Relationship Building: Develop and execute 3-5 local media and influencer events/FAMs Pursue possible partnership opportunities for international and national media FAMs Deliverables: Monthly reporting of media outreach efforts and status, recap of coverage results with channel metrics Includes purchase of 5-10 broadcast clips(up to a maximum of$750), Budget: $10,000 per month (14 months) 12121 Bluff Creek Dr.Plays Vista,CA 90094 1 P 310.752.4400 1 phelpaapancy.com ®2017 Phelps 50 Agreement No. 5272C Phelps All Communications. One Voice. Paid Search • Develop a campaign focused on LA and key markets throughout California and other states, with agreed upon search terms for NBA(directing to elsegundobusiness.com)and HT audience when HT website is live • Includes discovery of competitive spend, strategy and creative,goal setting, copywriting, performance monitoring and ongoing optimization • KPIs for NBA are inquiry form completions, SOAR email newsletter sign-ups, Smart Business Move guide pdf downloads • KPIs for HT are TBD Deliverables: Monthly performance reporting Service Budget: $2,000 per month(NBA: 14 months); $2,000 per month(HT: estimated 9 months) Paid Media Budget: $4,000 per month(NBA: 14 months);$4,000 per month (HT: estimated 9 months) * Paid Social • HT-focused paid Facebook campaign,to commence when HT site is live • Includes discovery of competitive spend, strategy and creative,goal setting, copywriting, development and management of image library(existing photo assets and purchase of up to $250 royalty-free stock images), targeted performance monitoring and ongoing optimization Deliverables: Monthly performance reporting Service Budget:$2,000 per month(estimated 9 months) Paid Media Budget: $1,000 per month(estimated 9 months) * Owned Social NBA-and HT-focused Facebook and Llnkedln campaign Includes topic recommendations, copywriting, photo/video asset management, monthly calendaring, daily/semi-daily posting, ongoing engagement monitoring Deliverables: Monthly content calendar and performance reporting Budget: $2,000 per month(14 months) 12121 Bluff Creek Dr.Playa Vista,CA 90094 I P 310.752,4400 I pholpsapency.com ®2017 Phelps 51 Agreement No. 5272C Ph�elps All Communications, One Voice. • SOAR Email Newsletter • Content strategy, copywriting, photo asset management, updating of existing layout for each issue with new content, list management, link tagging for tracking,email blasting, monitoring and reporting for each issue • Includes email distribution hard costs($5 per send +$.015 per email) Budget: $2,500 each(12 issues) • Website Management • Update key facts and Information as needed on El SegundoBusinese.org and new HT site • Ongoing website functionality monitoring and troubleshooting on both sites • NBA site hosting(elsegundobuslness.com)at$150 per month, according to current hosting agreement • Consulting on development of new HT site • Transfer of HT site hosting to Phelps,as needed o Separate HT site hosting agreement to be developed at time of launch with fee to be determined based on site size and traffic. Up to$150/month included in budget below. Budget: $2,000 per month(NBA: 14 months); $2,000 per month (HT: estimated 10 months) • HT Research, Brand Positioning, Communications Plan • Stakeholder and target discovery: 0 6 stakeholder Interviews(EDAC HT task force,city officials, hotels, restaurants/retell/attractions, arts, residents) ■ Note: Client to provide potential participant list and venue, and facilitate invites o Competitive research o Third party research on audience and hospitality/tourism trends o Online survey/Intercept-3 target audiences: business and leisure travelers,Angelenos • Includes online survey hard costs • Brand positioning and key messaging: o Final report of research findings to be developed including key messaging points for each target audience, communicating the brand proposition and arranged In hierarchy o Includes up to two client presentations of same • Communications plan: o Express customer Journey with key touchpoints along the way that will inform, engage and inspire our targets o To include recommended communication tactics that will best deliver our new creative message and determine gaps In terms of consumer perceptions and behaviors to assess how our campaign can motivate consumers to consider El Segundo Deliverables:Written research report and up to two client presentations of same,written communications plan.To be completed by 9/30/17. Budget: $25,000(Stakeholder and Target Discovery); $5,000(Brand Positioning and Key Messaging); $3,000(Communications Plan) 12121 Bluff Creek Dr.Playa Vista,CA 90094 1 P 310.752.4400 1 pholpsegency.com ®2017 Phelps 52 Agreement No. 5272C Phelps All Communications. One Voice. • HT Creative Concepting and Collateral • Creative concepting for HT look and feel, based on brand positioning and leveraging existing EI Segundo logo and assets • Develop one EI Segundo HT-focused map/brochure o Final execution TBD.WIII be a combination of map including all tourism destinations and areas of interest(hotels, restaurants, retail,attractions, points of interest, parking, etc.)and listings of events and visitor amenities o To be coordinated with stakeholders and city officials o Includes 1-2 concepts, based on client input, and 3 rounds of review Note: Client to provide complete business list and contact Information. Does not Include printing or distribution. Deliverables: One print-ready layout and one pdf version for posting to HT site and electronic use. To be completed by 9/30/17. Budget: $12,000 • Account Leadership, Strategy and Management • Account management of all activities pertaining to the above referenced services including team management, client meetings, recommendations, communications, correspondence, budget management, estimating and scope development for planned Initiatives • Ongoing strategic counsel for all marketing efforts • Stewardship of the brand to ensure consistent and appropriate messaging, content and environment • Attendance with client at stakeholder and committee meetings, as needed • Regular status meetings and reporting Budget: $8,000 per month (14 months) • Event Management • Includes management of press conferences, partner events and Champions of Business(2017 &2018) • Champions of Business: o Creative updating and execution of 5 smalls(Save the Date, Invitation, Sold Out, Sponsor Thank You, Event Thank You); event digital&physical signage design; program design and event program collaboration with committee • Does not include hard costs,printing or new creative design/graphics for Champions of Business 2018 Budget: $25,000 12121 Bluff Creek Dr.Playa Vista,CA 90094 1 P 310,752,4400 1 phelpsagency.com ®2017 Phelps 53 Agreement No. 5272C Phelps All Communications. One Voice. V. Measurement and Assessment Program elements have built-in measurements in order to assess those components that are most successful, Measurement and reporting will include the following: • Earned media placements and readership: Recap of coverage and reach in key online sites and blogs, national and regional magazines, newspapers and any broadcast segments • Social media and paid search metrics and reporting; impressions, clicks CTR, CPC, engagement rate, most viewed/searched terms, recommendations for optimization VI.Client Participation A key benefit of Phelps is the personal approach, responsiveness and commitment to excellence that we provide our clients. Our strong,talented team of marketing experts service our clients' needs across all disciplines of an integrated marketing communications plan.To meet the project goals, we anticipate the following client participation: • Access: express with your team the importance of working with us, encourage your associates to proactively provide resources, time, knowledge, ideas and vision • Availability: marketing is deadline oriented, please set aside time to be available, provide approvals and decisions, as needed • Alerts: keep us apprised of anything that may materially affect the success of the project • Brainstorming: bring all your ideas to the table,they could translate into marketing concepts • Feedback: always let us know immediately if there is something we can improve upon and we request your response to our client satisfaction surveys to allow us to continuously improve our processes and relationships on your behalf • Over communication: provide us with plenty of information on your organization at all times, it will help us create a more attractive and stronger picture of your brand • Respect: mutual consideration of confidential and other proprietary materials and approaches 12121 Bluff Creak Dr.Playa Meta,CA 90094 1 P 310.752.4400 1 phelpeayency,com ®2017 Phelps 54 Agreement No. 5272C Plhe'l�ps, All Communications, One Voice. VII. Budget Based on the scope outlined, the following budget is recommended: FYI(August—September 2017): Public&Media Relations: $20,000 Paid Search: $12,000 Owned Social: $4,000 SOAR Newsletter: $5,000 Website Management: $4,000 Stakeholder and Target Discovery: $25,000 Brand Positioning and Key Messaging: $5,000 Communications Plan: $3,000 Creative Concepting and Collateral: $12,000 Account Leadership, Strategy and Management: $12,000 Event Management: $15,000 TOTAL:$117,000 FY18(October 2017—September 2018): Public&Media Relations: $120,000 Paid Search: $126,000 Paid Social: $27,000 Owned Social: $24,000 SOAR Newsletter: $25,000 Website Management: $44,000 Account Leadership, Strategy and Management: $72,000 Event Management: $10,000 TOTAL: $448,000 12121 Bluff Creek Dr,Playa Vista,CA 90094 1 P 310.752.4400 1 phelpsagency.com ®2017 Phelps 55 Agreement No. 5272C Phelps All Communications One Voice. Terms: Services to be billed monthly,with Net 30 terms, per the terms of the Professional Services Agreement. All services related to M 9(October 1,2018-September 30,2019) not specifically listed in this document will be billed separately under another scope to be determined. This is a budget allocation recommendation. The amount of additional research, strategy sessions, revisions and timing, will impact the budget, Budget assumes rounds of revisions as defined herein. It is flexible based on client requirements, timeline and deliverables,Any changes to scope may Incur additional budget and impact schedule. Incidentals and hard costs are not included, unless as specified. Incidentals may include materials, research, market data, stock photography, fonts,photo shoots,production crews, talent voiceover, edit bay fees,language translation, webtools, e- communicatlon distribution, shipping, delivery, travel, printing, tax, third-party costs, and other related expenses.Any incidental exceeding$500 will be estimated separately for approval. VIII. Acceptance and Signature This Scope of Work may be signed in counterparts, each of which shall be deemed an original. This Scope of Work is governed under by the terms and conditions of the Professional Services Agreement entered into by and between the parties. The contents of this document are considered confidential in nature and protected under The Phelps Group as proprietary information. Any use of this material without consent or engagement is strictly prohibited. The parties have caused this Scope of Work to be executed by their duly authorized representatives as identified below. CITY OF EL SEGUNDO THE PHELPS GROUP(DBA PHELPS) Authorizing Authorizing Name Name Title Title Date Date 12121 Bluff Creek Dr,Playa Mata,CA 80094 1 P 310.752.A400 1 phelpeagancy.com m 2017 Phelps 56