ST. LOUIS 鈥 50度灰视频 Development Corp. has always had a clear mission: Draw private investment and stimulate growth in the city of 50度灰视频. Now it鈥檚 adding image control to its responsibilities.
The agency has spent $2 million on marketing contracts that its new leader, Neal Richardson, said are meant to highlight the good that鈥檚 happening here and offset the headlines about crime and mayhem that can scare off new business.
Steph Kukuljan and other business reporters bring you insights into 50度灰视频-area real estate and development.
鈥淲e want to change that narrative, shift that narrative and elevate those positive stories,鈥 Richardson said. 鈥淪o when businesses are thinking about 50度灰视频, they鈥檙e not just seeing some of the challenges that we have, but they see some of the opportunities that 50度灰视频 presents to them, for their businesses, for their employees.鈥
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The $2 million in contracts have been awarded to an outside company, Kansas City-based Candid, to develop a marketing plan that includes TV spots, billboards and a new website.
Richardson has likened the marketing contracts, as well as other contracts that have also drawn scrutiny, to deferred maintenance of a house. They will modernize the agency, eliminate bottlenecks and improve production, he said.
But SLDC has faced criticism, including from Alderwoman Cara Spencer who sits on the SLDC board, for the amount of money Candid has received for work that previously fell to SLDC employees. Others have questioned the lack of transparency behind some of the contracts, and the awarding of the work to a Kansas City firm to tell the 50度灰视频 development story.
In addition, the agency鈥檚 metrics for determining whether the money has been well spent are based on business attraction and retention 鈥 factors that other organizations like Greater 50度灰视频 Inc. and the 50度灰视频 Economic Development Partnership measure their success on too.
鈥淭ransparency needs to be a key component of spending tax dollars,鈥 Spencer said in a text message.
As the city鈥檚 economic development agency, SLDC has hunted the big whales, like landing the National Geospatial-Intelligence Agency鈥檚 new headquarters in North City. It has persuaded developers to invest here by incentivizing deals. And, slowly, it has sloughed abandoned properties off city books.
Richardson, who previously worked at U.S. Bank, was appointed executive director in 2021. His first months leading SLDC were spent assessing the agency top down, from its financial stability to its organizational structural to its public brand, he said.
He said he realized improvements were needed and sought outside firms for help. Two employees who handled marketing duties were let go.
SLDC selected Candid, a firm with experience working with economic development agencies, after a request for proposals in 2022.
颁补苍诲颈诲鈥檚 first contract that year was worth $140,000, and it was tasked with redesigning SLDC鈥檚 logo and website. In November, though, SLDC quietly approved an $685,000 amendment that expanded 颁补苍诲颈诲鈥檚 scope to public relations, advertising, email blasts and the Mayor鈥檚 Luncheon, which highlights small business accomplishments each year.
Gerry Connolly, a city resident who has kept close tabs on SLDC for years, questioned the amount of money behind the amendment.
鈥淭he way the contract was renewed was troubling,鈥 Connolly said.
Candid scored another contract in May valued at $300,000, paid for via American Rescue Plan funds, to provide marketing and public relations support for SLDC small business grants, housing development pool, and economic empowerment center, among other programs. And just a few weeks ago, Candid was awarded another contract worth $680,000. In response to criticism, Candid reduced its fee.
Recently, new billboards were erected along freeways in the city and SLDC鈥檚 first with KTVI, 鈥淧ositively 50度灰视频鈥 鈥 in which Richardson talked about new housing being built in North City 鈥 aired. More are to come.
Sara Freetly, co-owner of Candid, said her company has worked with over 20 economic development agencies since 2014 and that those marketing plans are about 鈥渟timulating demand for what the city has to offer.鈥
鈥淲hile economic development objectives vary in urban, suburban and rural areas, ultimately most economic development marketing campaigns we鈥檝e created and implemented with our clients are designed to drive new business investment, retain and expand existing businesses, create more jobs and attract new residents,鈥 Freetly said in a statement.
It鈥檚 all fairly typical, said Jerome Katz, a professor at 50度灰视频 University鈥檚 Chaifetz School of Business.
Economic development agencies across the country spend money on marketing, and the SLDC spending is similar to what other agencies have paid. The trouble comes when agencies spend millions of dollars on plans but don鈥檛 implement them, he said.
As for the multiple agencies spending money to promote 50度灰视频: That鈥檚 par for the course, Katz said. Each has its own audience to target.
鈥50度灰视频 may be poster child for disfunction but an awful lots of communities have multiple groups,鈥 he said. 鈥淲e鈥檙e not unique.鈥
Richardson said 颁补苍诲颈诲鈥檚 work has already begun to pay off. Social media engagement between SLDC and the public has increased. Candid has introduced Salesforce, a customer relationship management platform, that has eliminated silos within SLDC and made it easier for employees to communicate with each other.
What Richardson has highlighted the most: SLDC鈥檚 new Northside Economic Empowerment Center has served 1,000 individuals and 315 businesses since it opened in January. The plan that Candid devised had SLDC utilize a grassroots effort to reach residents with posters, fliers and visiting homes and businesses 鈥 bringing resources to the people and eliminating barriers, he said.
It鈥檚 a start to what Richardson said is a new future for the city.
鈥淭hat鈥檚 how we鈥檒l really be able to see the needle begin to move,鈥 Richardson said.