Thinking Outside the (Lunch) Box: Sales and Marketing Strategies. Florida School Finance Officers Association
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1 Thinking Outside the (Lunch) Box: Sales and Marketing Strategies Florida School Finance Officers Association November 10, 2011
2 2
3 Early Findings Money is being made from school assets, and not always by school districts. There is inventory to identify and sell. There is a market. Companies want to reach your employees, parents and with care students. 3
4 New revenue Advertising in Districts Why? Flexibility and less dependency on state funding and local property taxes Saves threatened programs Enhances brand image by applying value to district assets and your audiences 4
5 Need help? Help yourself. Six Ways to Generate New Revenue eeueo for Your District 5
6 1. Licensing Agreements Remind distributors and retailers that school logos are covered under common law trademark rights. Revenue from gross sales should be between 7 10%. Two year revenues: $6,787 6
7 2. School Properties Garages, buildings, g, or ground leases (cell towers) Two year revenues: $13,000 7
8 3. District i Communications i Direct mail E Newsletters Parent Guides Code of Conduct Two year revenue: $41,000 8
9 4. No Cost taffinity it Cards Partner with a financial institution to earn revenue on transactions by cardholders 7,292 cards $82,925 earned (two years) 9
10 5. Online Advertising Add or edit school board policy Secure buy in from school principals i Install ad placement & tracking software Identify inventory Set rates Sell well Report and thank 26 months: $212,440 10
11 Online Advertising Specialty Pages Your Ad Here Menus Graduation Schedule 11
12 6. Ahl Athletics Sponsorships An accepted blend: Athletics and Advertising 12
13 Be Creative Ahl Athletics Sponsorships Customize Deliver on Promises 2009 $114K $257K $101K. TOTAL $501K. 13
14 Event Vendors Gymnasiums Football stadiums Baseball fields Soccer fields Cross Country courses 14
15 Rule # 1 Don t overdo it. 15
16 Know your limits. Rule # 2 16
17 Oh Other Money Mk Maker Ideas Media broadcast partnerships Brand providers in concession stands o Pepsi vs. Coke, Subway, Panera, Hot dog purveyor, etc. Employee discounts & deals programs Fees to reach or share with employees Stadium, gym or building naming rights Flower bouquet sales at graduations Art website for student and instructor art 17
18 $50,000 $45,000 $40,000 $35,000 $30,000 $25,000 $20,000 $15,000 $0 $5,000 $10,000 Revenues Revenues Sep 09 Oct 09 Nov 09 Jul 111 Dec 09 Jan 10 Feb 10 Mar 10 Apr 10 May 10 Jun 10 Jul 10 Aug 10 Sep 10 Oct 10 Nov 10 Dec 10 Jan 111 Feb 111 Mar 111 Apr 111 May 111 Jun 111 Aug 111 Sep 111 Oct 111 Nov 111 Dec $114K $257K $101K. TOTAL $501K. 18
19 Revenue Sales Sl Athletics 37% Online 42% Property 3% Print 8% Licensing 10% 19
20 Military 10% Revenue Sources Restaurants 11% Colleges 21% Health & Fitness 3% Sports 1% Communication 9% Beverages 2% Healthcare 11% Financial 19% Entertainment 13% 20
21 Revenue Allocations Ensure success by sharing revenue with schools and programs that own or manage the assets. Dedicate revenues to specific causes; i.e., district Athletics Preservation Fund, scholarships, Arts Preservation, etc. Publicize your allocations 21
22 Summary Districts have assets with marketvalue. An advertising program shows your public you are innovative and proactive for the benefit of education. Options: In house unit vs. 3 rd party agents In house investment pays for itself multiple times without splitting revenues. 3 rd party agents can reach more prospects. What value you put on your assets translates into brand value to the public. 22
23 23
24 The Operational lside Good and frequent communication is important. Talk about your success and your menu of opportunities. Recruit commercial media sales teams they can bundle your assets with theirs and extend your marketing reach. 24
25 Sponsorship Execution Plan Work with principals and athletic directors in a formal way. Treat them like your clients too. Communicate every obligation so everyone knows what they must do. 25
26 Online Pricing Formulas Annual agreements: Home page: $1.99/cpm Employee page: $2.99/cpm Student t page: $2.99/cpm Parent page: $2.99/cpm Weekly agreements: Home page: $3/cpm Employee page: 7/cpm Student page: $7/cpm Parent page: $7/cpm 26
27 Pii Pricing Formulas Athletic ti Sponsorships Public Address announcements: cents/pp Football goal post pads: cents/pp Sideline signage: cents/pp Basketball k b court signage: 26.0 cents/pp 27
28 Online Targeted Pii Pricing Formulas Graduation Schedule: Flat fee $500/month Menu Advertising: 2 cents per student Out of Home (OOH) Garage advertising, monthly: 0.45 cents/pp Print Annual Parent Guide: 1.27 cents/pp Monthly E newsletter:.74 cents/pp 28
29 Make it Work Get them to say yes early. They ll say yes often. Sometimes you have to price low to get the first one on board. It s better to have inventory sold because, when people see it working, it sells itself. Reach out to high profile industry leaders first. Be consistent in pricing. Let demand drive it..29
30 Questions? Contact Information Brian Siatkowski, Senior Manager, Sales & Marketing Dylan Thomas, Director, Public Relations Office: s : brian.siatkowski@ocps.net; or dylan.thomas@ocps.net 30
31 September 8,
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