Izmir City Marketing Strategic Plan
Transcription
Izmir City Marketing Strategic Plan
iZMiR ‹ZM‹R 2011 2012 2013 2014 2015 2016 2017 MARKE TING CIT Y P L A N I 2010 S T R A T E J ‹ K iZMiR K E N T S E L P A Z A R L A M A S T R A T E J ‹ K P L A N I STRATEGIC P A Z A R L A M A PLAN K E N T S E L 2010 ‹ Z M ‹ R C I T Y M A R K E T I N G S T R A T E G I C P L A N iZMiR 2010 2011 2012 2013 2014 2015 2016 2017 2017 1 1. INTRODUCTION İzmir city marketing project is the first city marketing project in Turkey. Therefore, when Izmir Development Agency (İZKA) announced the tender on a city marketing project to attract more tourists to Izmir, to increase the amount of incoming investment and to enhance the living standards of the residents, we as Art Grup , one of the most leading creative communication agencies in Turkey, created a consortium by bringing together the bests in the world to be able to prepare this work in the best way possible. Consequently, we initiated our work incorporating Wolff Olins; a worldwide known city branding agency with intensive experience in New York and London city marketing, American World Services Corporation; an expert in investment consultancy, Kita Design and Consultancy, and TNS Global Research, into the consortium led by Art Grup. Throughout this intensive process that lasted for 5 months, we benefited a lot from the researches we carried out in Turkey and abroad, from detailed report and researches prepared meticulously by İZKA and other institutions in Izmir, from our visits to Izmir and its districts, meetings that we held with the opinion leaders in Izmir and detailed abroad city marketing analysis. Building on the information gathered we prepared this valuable document on strategy and the marketing plan. Needless to say, Izmir City Marketing Strategic Plan is a dynamic and continuously improving document and we are sure it will progress much further with the contributions of the people of İzmir. Furthermore, we wish to extend our deep appreciation to those who have supported us, shared their valuable and contributed to the preparation of this city marketing document, the first of its kind: Thanks to the Governor Mr. M. Cahit Kıraç and the Metropolitan Mayor Mr. Aziz Kocaoğlu in particular, Mr. Serdar Değirmenci, Mr. Ender Yorgancılar, Mr. Ekrem Demirtaş, Mr. Cemal Elmasoğlu, Mr. Zekeriya Mutlu, Mr. Yılmaz Temizocak, Ms. Nimet Egeli Woodham, Ms. Güzide Cilasin, Mr. M. Tunç Soyer, Mr. Özer Mumcu, Mr. Ali Nail Kubali, Mr. Gökhan Mutlu, Mr. Hasan Kararkılıç, Ms. Fügen Selvitopu, Ms. Filiz Eczacıbaşı Sarper, Mr. Mustafa Türkmenoğlu, Ms. Nimet Egeli Woodham, Ms. Güzide Cilasin, Mr. M. Tunç Soyer, Mr. Uğur Yüce, Ms. Şehnaz Yılmaz, Mr. Ünal Ersözlü, Mr Deniz Sipahi, Ms. Özlem Değirmencioğlu, Mr Hüseyin Porsuk, Mr Mehmet Gülaylar, Mr Murat Türkay, Mr Levent Yücesoy, Ms. Nuray Atilla, Mr Bilgi Gökmen Şenel, Ms. Oya Demir, Ms. Hanife Çetiner, Ms. Arzu Amirak, Ms. Nilgün Gürkaynak, Ms. Nuran Şahin, Mr Sıtkı Şükürer, Mr. Bülent Zarif, Ms. Dilek Gappi, Mr Ertan Koyuncu, Ms. Leyla Cingöz, Mr. Metin Ersan, Mr. Özgür Ardil, Mr. Kıvanç Meriç, Mr Akgün Çavuş, Mr. Rüştü Çelikgil, Mr. İzzet Daşdı, Mr. Nihat Kolay, Mr. Şerif Naz, Mr. Kazım Kızılcaoğlu, Ms. Zerrin Toprak, Ms. Elif Türkmen, Mr. Gören Bulut, Ms. Neşecan Hürtürk, Mr. Güman Kızıltan, Mr. Şükrü Tül. We also would like to thank especially to İzmir Development Agency Secretary General Mr. Ergüder Can, Ms. Sibel Ersin, Mrs. Begüm Tatari, Ms. Zeynep Tansuğ, Ms. Nazlı Kayı, Besim Özçam, Çağkan Aydoğdu and the whole İZKA team for their efforts and support in every stage of this process. Fehmi ÖZKAN Art Grup Co-president and Consortium Leader 3 CONTENTS ‹Ç‹NDEK‹LER 2 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 1. Introduction 2. Contents 3. Strategic Planning Process 3.1 The Guidefish Model 4. The Research 4.1 Research Objectives 4.2 Research Methodology 5. Key Research Findings 5.1 Perception of İzmir in Other Cities in Turkey and İzmir 5.2 Perception of İzmir Among Foreigners 5.3 Perception of İzmir Among Investors 6. Situation Analysis 6.1 Current assessment 6.2 Infrastructural Issues 7. İzmir Value Map 8. Benchmarking Analysis 8.1 City Branding Positioning 8.2 City Communication 8.3 Country Benchmarking for Investment 8.4 Priority Sectors Benchmarking 9. Target Group Analysis 9.1 Tourists 9.2 Residents 9.3 Investors 10. Vision 10.1 Definition of Vision 10.2 İzmir Vision 10.3 Relevancy of Vision for the Target Group 11. Brand Essence Core 11.1 Brand Essence Core Definition 11.2 Current Brand Essence 11.3 Future Brand Essence Core 12. Marketing Strategy 12.1 Brand Promise of İzmir 12.2 Main Objectives and Strategic Priorities 12.3 Strategy Summary Triangle 1. CONTENTS 3 7 8 10 13 14 14 19 20 21 22 27 28 33 34 38 40 41 42 43 46 48 50 51 54 56 56 56 58 60 60 60 62 64 65 67 7 METHODOLOGY 3.1. Guidefish Strategic Planning Model ‹Ç‹NDEK‹LER 3 ‹ZM‹R CITY MARKETING STRATEGIC PLAN • Within the framework of Izmir City Marketing Strategic Plan, as a first step, 3687 people in total were interviewed through the methods of face-to-face meetings, phone surveys, video interviews and online surveys, in Izmir and its districts, 17 cities in Turkey and 10 countries in the world. • Face-to-face meetings with the officials and opinion leaders of almost all districts of Izmir were held. • Meetings with the members of IZKA Development Agency Board, IZKA Subcommittees and with the opinion leaders from both public and private sectors (İZTO, EBSO, DTO, İESOB, EGİAD, EİB, İZİKAD, ESBAŞ) were held. • In addition to the 2010-2013 Izmir Region Plan prepared by IZKA which was the main reference document of this city marketing strategy, city marketing strategy documents of other cities in the world, that initiated this process previously were also analyzed in detail. 3,1,Guidefish Strategic Planning Model In light of above mentioned information, Izmir City Marketing Plan was prepared in line with the 5 sections of Guidefish, the unique strategic planning model of Art Grup. GUIDEFISH STRATEGIC PLANING PROCESS Situation Analysis Performance Tracking Strategy Brand Positioning Marketing Plan 3.1.1. Situation Analysis: ”Situation Analysis”, first section of the Guidefish, is the part that the current situation of the city for all the target groups is analyzed benchmarking with both domestic and foreign cities. Within this process, we tried to find the answers to the following questions: • What are the values and characteristics of Izmir? • To what extent Izmir benefits from these values? • How is the benchmarking of these characteristics of Izmir with competitive cities? • What are the streigth, weakneses, opportunities, and threats of Izmir (SWOT)? 10 3. METHODOLOGY 3.1.2 Brand Positioning: “Brand Positioning”, the second part of Guidefish, is the section that the differentiated core brand message is identified building upon in depth target group understanding and insights. In light of the current situation analysis findings and researches, we tried to find the answers to the following questions in this section: • What are the target groups of Izmir? • How are the general insights and behaviors of this target group? • What is the current perception of the target group towards Izmir? • How should the future perception of the target group about Izmir be? • What should Izmir communicate in order to realize the future perception? 3.1.3 Strategy: “Strategy”, the third part of the Guidefish is the section that the strategic priorities are defined to bring the main message of the brand to live. Within this process, we tried to find the answers to the following questions: • What are the vision and objectives of Izmir? • What are the difficulties and obstacles lying ahead of these vision and objectives? • What should Izmir focus on in order to reach the vision? • What are the strategic steps Izmir needs to take in short and long term? • What are the risks for the strategy and what should be the measures to take against these risks? 3.1.4 Marketing Plan: “Marketing Plan”, the fourth part of Guidefish, is about defining the road map of activities against objectives to bring the brand promise and communication strategy into live within a certain time frame. Within this process, we tried to find the answers to the following questions: • Which marketing disciplines should Izmir use in order to pursue the strategy? • What should be the creative ideas and activities in these marketing disciplines? • What kind of a time schedule should be used for the marketing ideas and activities? 3.1.5 Performance Tracking: “Performance Tracking”, the final part of Guidefish is about defining the specific performance indicators and measurement methods to enable us to regularly monitor the performance of the brand and marketing activities. Within this process, we tried to find the answers to the following questions: • According to which criteria should the overall performance of Izmir be evaluated? • How could the success of marketing activities in Izmir be measured? • Which research techniques should be used to conduct the performance measurement? 11 PERCEPTION RESEARCH 4.1 Objectives 4.2 Methodologies: ‹Ç‹NDEK‹LER 4 ‹ZM‹R CITY MARKETING STRATEGIC PLAN In the process of the preparation of City Marketing Strategy, brand image and awareness researches were conducted by using various research techniques in Turkey and abroad under the leadership of TNS Global, the consortium partner and one of the leading research companies in the world. 4.1 Objectives : The objectives of this very comprehensive image and awareness studies for every target group can be summarized up as follows: • To understand the level of popularity of Izmir for tourists and investors • To measure the perception of Izmir in the world and in the other cities of Turkey • To determine the differentiated characteristics of Izmir, leading to brand positioning • To understand the levels of satisfaction for Izmir for the target groups • To thoroughly understand the insights and behaviors of the target groups of Izmir. 4.2 Methodologies: Within the scope of this project, in order to understand the perception of tourists, residents of Izmir, businessmen and investors, researches were carried out by interviewing 3687 people in total using various techniques: face to face meetings, phone surveys, online surveys and video interviews. Furthermore, investor-oriented researches carried out by IZKA and YASED in this period were used. RESEARCH OBJECTIVE TARGET GROUP METHODOLOGY PEOPLE To get the opinions of Izmir residents about Izmir To comprehend the perception of Izmir in other cities of Turkey To understad the popularity and perception of Izmir among the business world, the opinion leaders, tourists To measure the popularity and perception of Izmir among the foreigners living abroad Izmir residents TNS ‘CATI’ phone survey 300 Those living in 17 cities in Turkey Omnibus face to face quantitative research 2008 Businessmen in Istanbul, Ankara, Izmir, opinion leaders and tourists who have been to Turkey TNS face to face quantitative popularity and perception research 400 Those living in the 10 cities in Europe, USA and Middle east One to one video interviews 291 To get ideas recommendations about Izmir Active Internet users Online surveys 105 To understand strong and weaknesses of Izmir, to determine the opportunities Group Meetings Institutions and opinion leaders in Izmir and its districts Face to face meetings in depth 217 To understand the investment environment in Turkey Foreigner investors in Turkey YASED Barometer online research 200 To understand the investment environment in Izmir Businessmen who made investment in Izmir TurkStat face to face quantitative research 166 TOTAL 14 3687 4. PERCEPTION RESEARCH 4.2.1 Quantitative Perception and Popularity Researches TNS Global, research partner of the consortium, conducted the following researches within this process: TNS CATI: Phone survey with 300 people in total from Izmir and its districts was conducted to understand the residents’ perception of Izmir, their level of satisfaction and the problems of the city TNS Omnibus: a quantitative face to face interviews were conducted among 2008 participants aged 18 and above from 17 cities, representing the urban sample in Turkey. In this research image of Izmir was asked in comparison to other cities in Turkey. TNS Popularity and Perception Research: A quantitative face to face interview was conducted among 400 people to understand the opinions and behaviors of the business world (company representatives listed in the top 500 in Turkey and never invested in Izmir), opinion leaders ( statesmen, journalists, tourism agencies) and foreign tourists (who have been to Turkey). 4.2.2 Video Interviews: In this process, one to one video interviews with 291 tourists in 10 cities in the USA, Europe and Middle East were held in order get insights on awareness and perception of Izmir and to deeply understand their decision-making process and their insights about their holiday destinations. STREET INTERVIEWS - COUNTRIES NUMBER OF PEOPLE 70 59 60 50 50 40 30 30 32 26 27 22 20 15 15 15 10 0 New York Koln Dubai Paris Amsterdam London Cities Milan Geneva Moscow Athens 4.2.3 Online Survey Research Online survey research was conducted for the purposes of gathering information about travelling habits, answering the question as to what is needed for Izmir to become a world city. 105 people in total took part in the survey. ONLINE SURVEY - COUNTRIES 80 68 Number of People 70 60 50 40 30 20 10 3 1 0 an ist an gh Af ia str Au 1 um lgi Be 1 an ut Bh 1 ry lga Bu 1 k ar m n De 1 1 d lan Fin y an rm Ge 3 ce ee Gr 4 2 ar ng y Hu ly Ita 1 nd la Po 1 ia an m Ro 4 2 sia s Ru en ed Sw 7 2 1 iss Sw y rke Tu UK A US Cities 15 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 4.2.4 Face to Face Meetings Face to face meetings with 217 people, 117 of whom were from the district visits, were held in order hear about Izmir from its natives and the leading figures of Izmir. FACE TO FACE MEETING 117 Number of People 120 100 80 60 40 20 20 2 0 5 15 8 10 20 20 y p g cil on on alit rou rkin un ati iati icip Co gG oci soc Wo n s s n i g s u n k A n r o i en oti rs A nM ork Wo ise om ssm lita W rism po ert ine l Pr i u s v o c u o r d un et il T gB ir A Co unc ir M oun İzm Co ent zm nY t İ m a n p e e g lo pm Ae eve velo AD K De Z İ F F2 Ş BA ES ts tric Dis Meeting Categories 4.2.5 Researches for Investors IZKA Investment Environment Assessment Research: This research was carried out by Turkish Statistical Institute (TUIK) and IZKA in April 2010 among representatives from 166 private companies operating across Izmir. This has been very helpful in the works of the consortium while developing the investment strategies. In this research, the aim was to determine the needs of Izmir and its districts to ensure inward investment while identifying the improvement and opportunity areas of doing business in Izmir. YASED Barometer Research: The research made by the International Investors Association every 6 months among its 200 members to measure the pulse of the investment environment in Turkey. This has also been very helpful for the consortium. 16 KEY RESEARCH FINDINGS 5.1 Izmir Perception Among Other Cities in Turkey and Izmir 5.2 Izmir Perception Among Foreigners 5.3 Izmir Perception among Investors 5 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 5.1 Izmir Perception Among Other Cities in Turkey and Izmir • Izmir is mostly seen as one of the top tourism cities in Turkey among residents in Izmir, rest of Turkey and the business community. However, for the opinion leaders Izmir is not one of the first three tourism cities coming to mind. (TNS Perception Research) Adult population Turkey-wise Those living /residing in İzmir Opinion Leaders Business World Antalya İzmir Muğla n=2008 Antalya İzmir Muğla n=300 Antalya Muğla İstanbul n=40 Antalya Muğla İzmir n=50 • Even though Izmir is perceived as one of the top 3 developed industry and trade cities in general, it is not perceived so by the business world (TNS Perception Research) : Adult population Turkey-wise İstanbul Bursa İzmir n=2008 Those living /residing in İzmir Opinion Leaders Business World İstanbul İzmir Bursa n=300 İstanbul Kocaeli İzmir n=40 İstanbul Kocaeli Bursa n=50 • Even though Izmir is perceived to be a good place to live, safe and touristic city by all the target groups, it has a relatively low perception regarding the job opportunities and investment environment. (TNS Perception Research) PERCEPTIONS OF ‹ZM‹R (Absolutely + I agree to a some extent extent) % İzmir is a city that I feel myself/my family safe İzmir is a livable city thanks to the high quality living standards it provides. İzmir is a city with opportunities İzmir is a financially attractive city for the investors with an economically high value İzmir is a university city İzmir is a city that comes to the fore with its historic wealth İn the nearby areas I like İzmir’s people İzmir is a city that is home to attractive touristic regions with its green, sun, sea and weather İzmir is one of the leading cities in Turkey as an industry and trade city İzmir is not only one of Turkey’s but also the world’s leading cities 20 Adult population Turkey-wise Those living /residing in İzmir Opinion Leaders Business World 67 92 85 78 69 91 88 84 61 66 50 46 62 81 68 42 73 93 80 86 77 91 88 90 66 93 85 82 77 97 90 96 71 80 70 52 62 77 60 40 5. KEY RESEARCH FINDINGS • Among all the target groups, Izmir is recognized for its natural beauties and historical wealth. Then, its port and fair are the other aspects that are remembered (TNS Perception Research) . • Among all the groups, Izmir does not have any significant differentiated aspect even though sea, Clock Tower and Kordon are the most associated attributes to the city (TNS Perception Research) . • Izmir is generally personified as a young or middle aged, single woman with good education. (TNS Perception Research) • In general, Izmir evokes positive attributes such as friendly, warm, cultivated and modern. According to this, Izmir evokes the words fun, funny, pleasant, warm, lovely, cultivated, sophisticated, cultured, elite, elegant, active and dynamic (TNS Perception Research) . • Izmir is not perceived as traditional, quiet or distant and not seen as serious, boring, introvert, quiet and calm (TNS Perception Research). • The color of Izmir is perceived as “blue” for all the target groups. • The Izmir people are very satisfied to be living in Izmir (83%) and they are proud of their city (TNS Perception Research – CATI): The Level of Satisfaction of İzmir people to be living in İzmir The first two boxes (very satisfied +satisfied) I am very satisfied I am satisfied I am neither satisfie nor unsatisfied I am not satisfied I am not satisfied at all BASE % 82.6 37.3 45.3 15/3 1/3 0.7 300 • The positive aspects of Izmir in general are: being by the sea, being a tourism city, its fair, its modernity, its climate, being a beautiful city, easy going living standards, having well-educated and cultivated people, natural beauties, historical and cultural wealth (TNS Perception Research and meetings held face to face) . • The negative aspects of Izmir identified (although very few) are: local administration services, its infrastructure, its laid-back and different people, lack of solidarity among themselves, its little interest in the traditions (this perception only prevails in the other cities), its insufficient job opportunities, its poor promotion and high number of immigrants (TNS Perception Research and face to face meetings). 5.2 Izmir Perception Among Foreigners: • Although they know Turkey, the awareness of Izmir is very low. They mostly have seen or heard about Istanbul, Antalya, Cappadocia, Bodrum and Ankara (Video interviews). • Perceptions of Turkey vary. In general, a different and nice “sea-sand-sun” destination with historical and cultural wealth where friendly people live. In certain segments, there is a biased approach towards Turkey (3rd world country, not safe, not from my culture etc.)(Video interviews). 21 ‹ZM‹R CITY MARKETING STRATEGIC PLAN • Even among the tourists who have been to Turkey, awareness of Izmir is very low. When these people were asked of the reasons why they haven’t visited Izmir, 94% of them told that they didn’t have any idea about Izmir (TNS Tourists Perception Research). • On the other hand, 84% of those who came to Izmir have already visited Izmir once before and the rate of those who said I left Izmir satisfied is 81% - a good example to show the opportunity ahead of Izmir (TNS Tourists Perception Research). • 74 % of the tourists who have been to Izmir say that they would recommend Izmir to their friends (TNS Tourists Perception Research). • The first image they remember about Izmir is Ephesus (57%), Clock Tower (25%) and Çeşme (8%) (TNS Tourists Perception Research). • 54% of the tourists state that they have been to Izmir through the direction of tourism agencies, 37% through research on internet, 37% through acquaintances, 21% through the recommendation of the family members, 19% through TV and %15 through the advertisements about Turkey or Izmir they see outdoors (TNS Tourists Perception Research). 5.3 Izmir Perception among Investors: 5.3.1 Investor Insights and Behaviors • 47% of the international investors who made an investment in Turkey think that Turkish economy will grow even faster (YASED Barometer Research). • 39% of the international investors who made an investment in Turkey predict that the investors coming to Turkey will increase in the next period and 42% predict that their own companies will increase their investments in Turkey in the next period (YASED Barometer Research). • International investors who made an investment in Turkey regard political instability, a new fluctuation to be experienced in the international market, domestic economic fluctuation, increase in the regional tension and deadlock in the EU negotiations, as risks for the upcoming period (YASED Barometer Research). • International investors who made an investment in Turkey list the biggest obstacles lying ahead of the international direct investment in Turkey as follows: (YASED Barometer Research): 1. Implementation of legal framework and laws (% 57) 2. Unregistered economy (% 46) 3. Tax and incentives (% 45) 4. Political instability (% 44) 5. Economic instability (% 35) 6. Bureaucratic obstacles (% 34) 7. Intellectual property rights (%18) 8. Corruption (% 14) 9. Not being able to find qualified workforce (%1) • Since Izmir is considered more of a tourism city by the business community in Turkey and it has a low popularity among the foreigners, its investment potential cannot be fulfilled sufficiently (TNS Perception Research and video interview). 22 5. KEY RESEARCH FINDINGS 5.3.2 Izmir Business and Investment Environment The findings of researches conducted by TUIK for IZKA on the investment environment in Izmir and the meetings held by the Consortium in Izmir could be summarized as follows: • Businessmen investing in Izmir make investments firstly because of its logistics advantage, its proximity to the raw material, tax and incentives, talented labor (TUIK Izmir Investment Environment Assessment Research) REASONS TO INVEST IN İZMİR %28,40 30 %24,34 %21,48 20 %16,95 %8,83 10 0 Logistic Being Close To Raw Materials Talented Free Trade Zone Tax and Incentive Advantages Other • Companies in Izmir mostly trade with EU and European countries after Izmir. 1ST MARKET 2ND MARKET African Country 7 12 Other 1 5 9 19 2 Aegean Region Trade Firm Outside İzmir 8 12 2 American Country 5 2 3 Other Asian Countries 9 8 4 Near And Middle East Asian Country 7 12 7 13 9 Other Local Aegean Region Production Firm Outside İzmir 4 10 13 Other European Country 14 13 17 National Trade Firm Outside Aegean Region 7 23 18 National Production Firm Outside Aegean Region 13 23 Trade Firm In İzmir 36 EU Member European Country 38 Production Firm In İzmir 7 10 12 14 9 TOP 3 MARKETS BOTH LOCAL AND FOREIGN 3RD MARKET • 69% of the companies operating in Izmir don’t have any R&D Department. • 57% of the firms operating in Izmir don’t think that they need a capacity increase. 42% who think they need a capacity increase foresee it in 5 years time. • 77% of the firms operating in Izmir don’t think of making an investment in another city. • 23% of the firms operating in Izmir stated that they had some difficulty during the establishment phase. License and permission process (24%), company establishment processes (19%) and obtaining loan (7%) stand out as the top 3 difficulties faced most. 23 ‹ZM‹R CITY MARKETING STRATEGIC PLAN • 73% of the companies operating in Izmir think that they don’t have any active communication with the public authorities and representatives. The percentage of those who state that they don’t know which relevant government agencies or authorities to apply for the business needs is % 78. INVESTMENT ENVIRONMENT ASSESSMENT BY TURKEY AND İZM‹R I Certainly Don’t Agree I Don’t Agree I’m Undecided I Agree I Absolutely Agree I Have No Idea Environmental Protection Laws Are Adequate 69 27 Standarts, Decision And Timing That Concern Our Sector Are Parallel With International Standards And Procedures 68 28 I Get Applicable And Quick Answers For My Demands And Questions From Public Officials And Agents 61 36 14 36 49 I Believe That Market Potential In İzmir Is Sufficiently Large 6 26 9 20 3 4 13 7 8 10 7 65 11 9 21 6 31 51 23 36 44 70 51 Society In İzmir (Ngo, Trade Associations, Leagues, Etc.) Helps Me Developing My Business 17 6 6 14 24 8 6 4 23 112 I Believe That Business Investment Occasion In İzmir Is At The Level That It Should Be Compared To Similar EmErging Market 18 41 96 I Know Convenient Governmental Offices And Officials For My Business Meets 9 39 39 Generally The Communication With Public Officials And Agents Is Efficient I Believe That Market Potential In Turkey Is Sufficiently Large 31 80 21 8 • A large portion of the firms operating in Izmir think that they have infrastructural problems regarding telecommunications, electric power, airports, highways, ports etc.; that the customs services are inadequate in an administrative sense and human resources potential is likewise in terms of business needs. INVESTMENT ENVIRONMENT ASSESSMENT BY TURKEY AND İZM‹R I Certainly Don’t Agree I Don’t Agree I’m Undecided I Agree I Absolutely Agree I Have No Idea The Electricity Strength Substructure Of Izmir Is At Sufficient Level For My Business 95 The Public Highways And Highways Substructure Of Izmir Is At Sufficient Level For My Business The Port Substructure Of Izmir Is At Sufficient Level For My Professional Needs 87 Human Resources Potential At Izmir Is Efficient For My Business Necessities 24 6 33 100 24 19 14 41 89 6 9 19 18 95 73 11 34 26 The Airport Substructure Of Izmir Is At Sufficient Level For My Needs 32 14 64 The Telecommunication Infrastructure Of Izmir Is At Sufficient Level For My Business Duty Services At Izmir Are Efficient In Point Of Managerial Processs 10 31 12 11 9 3 6 29 19 8 9 13 1 12 12 1 6 43 16 SITUATION ANALYSIS 6.1 Current assessment 6.2 Issues infrastructural 6 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 6.1 Current assessment In the light of visits to Izmir and its districts, one-to-one meetings, workshops, researches up to 3687 people, reference sources and analyses of other cities abroad, the following evaluations were made: 6.1.1 İzmir is a blessed city with historical, cultural and natural diversity which very few cities in the world have. Historical and Archeological Richness: Thanks to its natural setting, climate and location advantages, Izmir and its surroundings, which have been a settlement area since the Paleolithic Age, has a rich history dating back at least 8000 years Therefore, there are many historical and archeological values in Izmir and its near areas. Ephesus, the Artemis Temple, Celcius Library, the House of Virgin Mary, Pergamum, Erythrai, Pitane, Klaros, Kolophon Phokeia, Teos, Birgi, Kadifekale, Agora, Diana (Artemis) Turkish Bath, Hisar Mosque, Aliağa Mosque, Ulu Mosque, Karaosmanoğlu Inn, Izmir Clock Tower, Kızlarağası Bazaar, Mirkelamoğlu Inn are just a few of them. Agora Virgin Mary Ephessus Bergama Natural Beauties: Izmir is a city with 300 sunny days in a year, warm Mediterranean climate, fertile soil and so many natural beauties such as blue flag beaches, thermal springs, trekking trails, perfect wind for wind-surfing. 28 Çeme Beaches Thermal Springs ‹zmir Bay Trekking Cources 6. SITUATION ANALYSIS Attraction Centers: Izmir is a city with lots of attractions such as famous Kordon restaurants, historical Kemeraltı market, lovely fishing town of Foça, the Ottoman houses in Birgi, its Fair, stone houses and international surf facilities in Alaçatı, nightlife in Çeşme. Alaçat› Birgi Kordon Kemeralt› Aegean Cuisine: With one side facing the Aegean blues, the other side facing the West Anatolian Mountains smelling thyme, it has been an important cultural and trade center throughout history. This rich cultural structure of Izmir has also been an element that prospers the regional cuisine. When one thinks of the Izmir cuisine, herbs, vegetables, olive oil and olive oil dishes are the first ones that come to mind. Izmir cuisine bears the most important traces of the Aegean cuisines such as squash blossoms and stuffed artichoke. Izmir cuisine also has typical features with its meat dishes and desserts besides herbs and vegetables. Tire and Izmir meatballs, a dish of mutton, fig desert, sweet pastries and milk pudding with gum mastic are among the top desserts in the cuisine culture. Olive oil flavored with some thyme and chili pepper accompanying almost every dish is a must for the Izmir cuisine. With its fish types, unique side dishes and herbs, famous grilled meat on wooden skewers, Izmir meatball, Tire meatball, glasswort, and the special type of bagel called kumru, Izmir dishes are the most delicious taste of the Mediterranean and Aegean cuisine. Fish and Side Dishes Spicy-Skewer ‹zmir Meatball Authentic, Organic Grasses and Oliveoiled Meals Delicious products: There are many products such as olive, olive oil, fig, dry fig, cherry, potato, corn, and chestnut being grown in Izmir and which are now identified with Izmir and the fact they grow in Izmir become a quality criterion. Fig / Dry Fig Cherry Chestnut Vineyards Olive and Oliveoil 29 ‹ZM‹R CITY MARKETING STRATEGIC PLAN Handcrafts: As Izmir has hosted lots of civilizations and cultures for thousands of years, especially in the districts of Tire, Bayındır, Ödemiş, we see many hereditary crafts and craftsman such as packsaddle sellers, heelers, carpet makers, whitesmiths and the Nazar (evil eye) designers. Packsadding Tinner Tire-Manuel Works and Tuesday Bazaar Nazarköy-Blue Bead (Evil Eye) Clogging Its economy and industry: Izmir continues being an important trade center in the region and in Turkey as it was in the past, with its unique geopolitical position, its position as Turkey’s gateway to Europe, its fertile lands and its proximity to the important consumption areas in Turkey, its ports, its refineries, free zones, organized industrial zones, educated workforce. Atatürk Organised Industry Zone ESBA Free Trade Zone Çeşme Marina Logistic Services Aliağa Rafinery Ödemiş-Tire-Bayındır Agrigulture Fields Hidden Gems of Izmir: Some of the unknown facts about Izmir are the best indicators to show how important Izmir was and still is as a settlement area: • Homer, the author of Iliad and Odysseus was from Izmir • Three of the “Seven Churches” mentioned in the Bible are in Izmir, 30 6. SITUATION ANALYSIS • The Artemis Temple, one of the seven wonders in the world, is in Selçuk • Parchment paper was discovered in Pergamum • The 3rd biggest statue in the world, Buca – Mevlana Statue is in Izmir, • The first temple built for the Goddess Athena was built in Izmir • Philosopher and poet Xenophanes lived in 6th century B.C in Kolofon • The famous philosopher Heraclitus ( 540-480 B.C) who stated that everything changes by saying “You cannot step twice into the same river” lived in Ephesus • The philosopher Anaxagoras (500-428 B.C) lived in Clazomenae (today’s Urla) • Famous physician of the old age (131-210.A.C.) Galen lived in Pergamum • The first church built for the Virgin Mary is in Ephesus • One of the four writers of the Bible, St. John lived in Izmir • Famous singer Dario Moreno lived in Izmir • Bademler Village is the one and only village in Turkey with a theatre 6.1.2 Izmir despite having many richness and diversity is not where it deserves to be If we think that each year Barcelona hosts 20 million tourists, Athens 4 million, Antalya 8 million, İstanbul 6 million and Muğla 3 million, the number of tourists coming to Izmir being less than 1 million shows how little of this potential is being fulfilled. The fact that most of the tourists coming to Izmir are transit and average stay duration of a tourist is half of that of İstanbul and Antalya, results an income from tourism that is quite below its real potential. Similarly Izmir shows a performance quite below its real potential again in attracting investors. another striking example is that Izmir attracts only 7% of the investment coming to Turkey. 6.1.3 The main reasons why the potential of Izmir cannot be fulfilled sufficiently: We can list the main reasons why Izmir, despite its many richnesses and diversity, cannot fulfill this potential sufficiently as follows: 1. Izmir is not known enough: • Izmir has low awareness among tourists and travel agencies that could influence tourists’ decision. Izmir is not in their top of mind destinations to go or to recommend. • There is not a regular communication strategy and marketing activities for Izmir. On the contrary, other cities in Turkey which are tagged to Turkey tourism and other cities in the region that are supported with a clear communication strategy are further limiting Izmir to get into consideration set. • The low awareness of Izmir and its priority sectors among potential investors, businessmen, institutions and consultants could be one of the reasons of getting less investment in Izmir. 2. Izmir is not distinct enough from the other cities in the region • Izmir is not differentiated enough from the other cities in the region such as Athens, Thessaloniki, Rome, Barcelona, Florence, Dubrovnik, Antalya and Istanbul. At first glance, these cities stand out with their historical richness, cultural values, natural beauties such as sea-sand-sun, climate, life style and geopolitical position. However, if only searched in detail, differences among these cities can be noticed and mostly tourists don’t make such kind of an effort. 31 ‹ZM‹R CITY MARKETING STRATEGIC PLAN Historical Richness Unique People √ Athens Barcelona Florance Antalya √ √ √ √ √ √ İstanbul √ √ √ Qualified Labor ? Lifestyle Great Climate √ √ √ √ Geopolitic Position ? √ √ √ ? √ √ ? √ √ √ √ √ √ √ *Consortium assessment • Other countries in the region try to attract the investors as well and offer attractive proposals. However, since what these countries offer and what Izmir offers seem to be very similar at first glance, differentiated proposals to attract the investors cannot be made. For instance, tourism, renewable energy, high tech, food and drinks and environmental administration are the prioritized investment sectors of Greece so as Izmir. 3. Izmir does not have a common and consistent communication platform • With all good will, most institutions and organizations of Izmir try to promote Izmir within a very low budget. However, in this process, since there is not any common corporate identity and communication message which is one of the number one rules of the branding process, awareness in the perception cannot be created and thus the desired results cannot be achieved. Below you can find promotion visuals for Izmir in different identities and message: 4. There is a lack of solidarity and coordination in Izmir • All the organizations and institutions in Izmir carry out works on promoting or developing Izmir in good faith. Since these efforts are usually only in the institutional level and adequate consensus between the other institution/organizations cannot be achieved, desired results cannot be reached. It would be necessary to add that with the presence of IZKA, considerable advances have recently been made in coordination at least in the projects which IZKA is involved in. 32 6. SITUATION ANALYSIS • • Works undertaken by people or an institution aren’t owned by the others or aren’t implemented. The approach of “If I didn’t do it, it’s not mine” should be replaced by more constructive and integrating approach in Izmir. People and institutions don’t give each other sufficient constructive support and since so much time gets lost in the criticism period, there might be delays in going into action. 6.2. There are also some infrastructural problems needs to be addressed in Izmir According to information we acquired through our visits and researches, first of all, Izmir should overcome below infrastructural issues: • • • • • • • • • • Limited job opportunities Urban sprawl and squatting (gecekondulasma) Integration of the immigrants Green area shortages Transportation problems Social services Minimum number of activities in the city center Few number of attraction centers Changes in legislations and procedures Telecommunications infrastructure İZMİR VALUE MAP 7 ‹ZM‹R CITY MARKETING STRATEGIC PLAN Past “Accumulation” Historical sites • • • • • • • • • • • • • • • • • Medusa’s Head-Pergamon Fortune telling-Klaros Ephesus House of Virgin Mary Antique Churches The Khans-Bıçakçı Han, Kızlarağası Hanı, Mirkelam Han, Çakaloğlu Han Archeological resources Pers Monument Agora Klazomenai Asklepeion Graveyard of Tantalos Hittite Monument Yamanlar Mountains, Kız Lake Belkahve Kalesi Republic Museums Historical Figures • • • • • • • Homeros Galenos Tantalos Latife Hanım Yorgo Seferis Hasan Tahsin Kubilay-Menemen İzmir Culture • • • • • • Existence of different cultures Gevrek Sunflower Harmonious structure Friendliness Open-mindedness İzmir’s Firsts • • The first economy congress in Turkey Urla-first olive oil processing facility 36 Future “Potential” Crafts that needs to be kept alive • • • • Tire-pattenmakers Kemalpaşa-Evil eye Heelers Tinners Natural Resources Modern Living • • • • • • • • Hot springs, thermal waters Sea- Beaches- Çeşme, Alaçatı Olive groves 300 sunny days Diversity Geographic Position • • • • • • • Existence of different religions Levantines Those coming through immigration Products Unique To Izmir • • • • • • • • Fig Chestnut Grape Boyoz Kumru Cherry Olive oil Zeytin Cuisine Culture • Aegean herbs • İzmir meatball • Raki-fish Attraction Centers • • • • • • • • • Clock Tower Kordon Gulf İzmir Fair Çeşme Şirince Nazarköy Foça Seferihisar Proximity to the West Proximity to Russia and the Middle East Proximity to the busy consumption regions within the country Convenient position for renewable energy (wind) Tourism • • • • • • • Local festivals/ Events • • • • • • • Economic potential • • • • • Suitability for investment Domestic demand created by the young population Qualified work force Industrial zones and free zones Port ESBAŞ Free Zone Organized Industrial Zone City Planning University • Rich academic foundation with 7 universities Social and sports facilities (Surf, Trekking, Hiking...) Walking trails Congresses Town festivals Successful organizations Sea, sand, sun Çeşme surf facilities Historical richness Health Cruise Çeşme- Surf Congress • • • • • • • • Different people living together in harmony Educated/Cultivated people İzmir’s critical approach toward itself Modern women Fairs (Marble fair, IF Bridal Fair) İzmir European Jazz Festival İzmir Festival Investment Opportunities High-end Tourism Renewable energy (Especially wind) Agriculture Logistics Information Technoligies İzmir Brand Ambassadors • • • • • • Yılmaz Özdil Sezen Aksu Siret Evliyazade Selma Şeşbeş Mesut Önen Simin Karaosmanoğlu BENCHMARKING ANALYSIS 8.1 Benchmarking Analysis to Become a World Brand 8.2 Assessment of City Communication 8.3 Country Benchmarking In Terms of Investment Criteria 8.4 City Benchmarking of Prioritized Sectors of Izmir 8 ‹ZM‹R CITY MARKETING STRATEGIC PLAN Benchmarking analyses are evaluated under two headings; Tourism and Investors. Through the current researches, documents and internet analysis, within the framework of global strategic knowledge accumulation, benchmarking analysis were made about the following topics: • Benchmarking analysis to become a world brand • Assessment of communication and marketing activities of selected cities • Investment criteria country benchmarking • City benchmarking analysis for priority sectors 8.1 Benchmarking Analysis to Become a World Brand As a result of the evaluations and analyses of the consortium, it has been decided that size, character, interaction, global impact, strong infrastructure, soul, global trade center, symbols are the most important 8 criteria to become a world city. The cities are categorized into 3 as developed, developing and new World cities. 8.1.1 Branding Situation of Developed and Well Known Cities These cities are the ones that are ahead of other cities in terms of being a world brand. They have succeeded in differentiating themselves and at the same that have met most of the criteria to become a World brand: Criteria For Becoming A World Brand Size Genuineness And Character Interaction Global Impact Strong Infrastructure Soul Global Trade Center Symbol Associated With The City New York Los Angeles London Paris Amsterdam √ √ √ √ √ √ √ √ √ √ √ √ √ √ √ √ √ √ √ √ ? √ √ √ √ √ √ √ √ √ √ √ ? √ √ √ √ √ ? ? 8.1.2 Branding Situation of Developing Cities Even though these cities have met some of the criteria, they haven’t completed their branding process yet. Although Izmir falls behind the cities in this group in many criteria in the process of branding, we believe it will be in this group in the future. Criteria For Becoming A World Brand Size İzmir İstanbul √ Genuineness And Character √ ? Interaction ? Global Impact Strong Infrastructure X X Soul ? Global Trade Center Symbol Associated With The City X ? 40 √ √ ? ? √ X √ Praque ? Athens ? Barcelona ? √ ? ? √ ? ? ? ? √ X ? √ X √ X √ √ ? √ ? √ 8. BENCHMARKING ANALYSIS 8.1.3 Branding Situation of the New World Cities Even though cities falling into this group have relatively less of a history, they make considerable amount of investment to differentiate themselves in their geography. They have made progress in becoming a city brand despite it cisbeing a little costly in the process of branding: Criteria For Becoming A World Brand Size Genuineness And Character Dubai Shangai √ X √ Global Impact √ ? Strong Infrastructure X Soul ? Global Trade Center X Symbol Associated With The City ? Interaction √ Las vegas ? Hong Kong ? √ √ √ ? √ √ √ √ √ X √ X √ √ Sydney ? ? √ √ ? √ √ √ √ √ X √ X √ 8.2 Assessment of City Communication While evaluating a city’s work on communication, the impact of this communication has been measured within the framework of 6 main criteria. During this evaluation process, we analyzed thoroughly all communication samples of 30 cities such as internet, advertising brochures or fair stands. 8.2.1 Assessment of Communication Targeting Tourists 41 ‹ZM‹R CITY MARKETING STRATEGIC PLAN Below you can find communication assessment of some cities. According to the assessment of the consortium, communications of Madrid, Copenhagen and London have been found more successful. Criteria For Communication Assessment Continuity Athens X Barcelona Madrid Copenhagen London Lisbon √ X √ X √ X √ √ √ √ Harmony With Country Promotion X √ X Memorability X ? Difference X X Persuasiveness X X Suitability For The Target Group ? ? Effective Slogan ? X √ √ √ √ √ √ √ √ √ √ √ √ √ X X X ? ? 8,2.2 Assessment of Communication Targeting Tourists Below you can find communication assessment of some cities. According to the assessment of the consortium, communications of Madrid, Copenhagen and London have been found more successful. Criteria For Communication Assessment Continuity Athens X Barcelona Madrid Copenhagen London Lisbon √ X √ X √ X √ X √ √ X √ √ X √ ? √ X Memorability √ X Difference X Persuasiveness X Suitability For The Target Group X √ X Effective Slogan X ? Harmony With Country Promotion √ √ √ √ √ √ √ √ √ √ √ X ? √ 8.3 Country Benchmarking In Terms of Investment Criteria Investors evaluate the country in accordance with certain criteria before making an investment. Therefore they use the Global Investment Competitiveness Report as one of the main references for themselves. According to 2010 Global Competitiveness Report, although Turkey has some advantages over the region countries, it has disadvantages especially over Romania regarding tax, incentive, and loans. 42 8. BENCHMARKING ANALYSIS Factors Doing Business Tax Regulation Acess To Finance Tax Rates Govt. Bureaucracy Policy Instability Fx Regulations Inadequate Supply Of Infrastructure Inadequate Education Workforce Restrictive Labor Regulations Corruption Inflation GOvt. Instability Poor Work Ethic Crime & Theft Turkey 15.2 14.9 11.6 11.3 10.4 6.3 6.3 5.4 4.6 3.9 3.7 2.8 2.4 0.2 Greece 12.0 6.5 5.0 25.3 8.7 0.2 4.8 2.3 14.2 14.0 0.8 2.2 2.3 0.8 Bulgary 15.7 14.2 12.5 9.3 15.1 1.2 6.7 4.7 2.8 7.3 4.7 0.8 3.9 0.0 Romania 6.4 15.8 4.8 11.2 5.2 0.4 8.5 7.0 2.3 15.0 5.4 4.3 6.8 4.3 Russia 11.6 16.9 8.2 8.2 1.7 2.9 3.6 4.1 1.4 19.0 8.7 1.4 2.4 9.0 8.4 City Benchmarking of Prioritized Sectors of Izmir We made an evaluation under the leadership of American World Services, the member responsible from the investment pillar of the Consortium on the prioritized sectors (Tourism, Agriculture and Agro-Industry, Renewable Energy, Logistics, High Tech) set out in the 2009-2010 Region Plan prepared by IZKA. While making this evaluation, we benefited from sector reports of these countries, assessments of the independent institutions and Global sector knowledge of AWS. 8.4.1 Tourism As a result of the meetings and analyses we carried out as the Consortium, we decided that Izmir needs to become the city that brings out the premium and boutique tourism which targets high income tourists and thus we made our evaluations accordingly. Tourism And Real Estate Attractive Sites Attractive Property Prices Low Ownership Restrictions Links To Mena Safety Reputation Economic Situation Euro Flights/Access score İzmir High High High Medium Med-High Medium Low-Med 17.0 Antalya Medium High High Medium Med-High Medium Low-Med 17.0 Dubrovnik Medium High Medium Low Med-High Medium Medium 15/5 Bercelona High Low Low Low High High High 15.0 Cairo Low High Medium High Med-High Low Med-High 16.0 Athens Medium Medium Medium Medium High Low High 16.0 S. Cyprus Low Medium High High Med-High Medium High 16.1 43 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 8.4.2 Agriculture and Agro-Industry As a result of the meetings, visits and analyses we carried out as the Consortium, we think that especially food processing among the agriculture and agro-industry is a differentiating subsector for Izmir, we made the evaluations accordingly. In the food processing agriculture sector Izmir has considerable advantages over other countries. Agro Food And Food Processing Geographic Position Competitive Labor Costs Distribution/Links To Europe Organic Production Subcontracting Potential Legislative FDI Procedures Raw Material Access/Price Score İzmir High High Medium High Med-High Medium High 17.5 Greece Medium High High Medium Medium Medium Medium 16.0 Germany Medium Low High Medium Low-Med High Medium 14.5 China Low High Low Low High Low Medium 13.0 Egypt Medium High Low-Med Low Medium Low Med-High 14.0 8.4.3 Renewable Energy We think competitiveness of Izmir will be increasing even more if focused on the renewable energy sector, in particular wind energy subsector. Hence, we made our evaluations accordingly. However, as it can be seen on the table above, Northern European countries have some serious advantages in the sector. Renewable Energy-Wind Wind Capacity Potential Sectorial Know How Competitive Labor Costs Ease Distribution To Europe Domestic Demand Opportunities Legislative Fdi Procedures Investment Incentives Score 44 İzmir High Medium High Medium Med-High Medium Med-High 15.0 Greece Med-High Med-High Medium High Medium Medium Low-Med 15.5 Poland Med-High Medium Med-High High Medium Medium Medium 15.0 Denmark High High Low High Medium High Low 16.0 Germany High High Low High High High Low 17.0 France High High Low High High High Low 17.0 8. BENCHMARKING ANALYSIS 8.4.4 Logistics In order to evaluate the competitive position of Izmir in the logistics sector better, we compared Izmir with the other port cities of the Mediterranean by taking into account their logistics capacities. İzmir has a competitive edge in terms of its geographic position. Logistics Geographic Position Efficient Port Distribution/Links To Europe Distribution/Links To Mena Large Capacity Legislative Procedures For Fdi Final Production Capabilities Score İzmir High Medium Medium High Low Medium Medium 15.0 Athens High Low-Med Medium Medium High Medium Medium 15.5 Haifa Medium High Low-Med Low Medium Medium High 14.5 Marseilles Medium Med-High High Low Medium High Medium 15.5 Constanta Low Medium Low-Med Low Medium Medium Low 10.5 Barcelona Medium Med-High High Medium Medium High Medium 16.5 8.4.5 High-End Products We think the competitiveness of Izmir will increase even more if focused on the high tech sector, medical devices subsector in particular. Hence, we made our evaluations accordingly. However, as it can be seen on the table below, France has more advantages over other countries in the sector. Medical Devices Competitive Labor Costs Precision Engineered Ability Ease Of Distribution To Europe Ease Of Distribution To Mena Domestic Demand Opportunities Legislative Fdi Procedures Investment Incentives Score İzmir High Med-High Medium High Low-Med Medium Low-Med 15.5 Greece Medium Med-High Med-High Medium Medium Medium Medium 15.0 Hungary High Med-High High Low Low-Medium Medium Med-High 15.5 France Low High High High High High Medium 17.0 China High Medium Low Low High Medium Low 13.0 Lebanon High Low Low High Low Low Low 11.0 Germany Medium High High Low High High Low-Med 15.5 45 TARGET GROUP ANALYSIS 9.1 Tourists 9.2 Residents 9.3 Investors 9 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 9 TARGET GROUP ANALYSIS 3 main target groups within the scope of city marketing project are identified . These target groups are: • Tourists • Residents • Investors 9.1 Tourists 9.1.1 Demographic Profile of Tourists and Breakdown By Country • Domestic and foreign tourists aged 25-55 and member of middle/ high income group form the main target group. While foreign tourists are usually European couples or families, domestic tourists include people or families from İstanbul or Ankara with high income. • Based on the 2009 data by the Ministry of Culture and Tourism, when we look at the breakdown of tourists who have visited Turkey and Izmir by the countries, the rate of tourists visiting Izmir is only 5% of the number of tourists coming to Turkey. • It is seen that mostly European tourists come to Izmir and 80 % of those who come are generally from 5 countries (Germany, UK, France, England and the Netherlands) • Izmir attracts tourists from Italy, Belgium, France and the Netherlands in a higher ration than Turkey’s average for those countries. • However, Izmir cannot attract sufficient number of tourists from Germany, Russia, and the Middle East countries where Turkey benefits a lot. Considering its historical and cultural proximity, we can add Greece to this list. Countries Germany Italy France UK Netherlands Belgium USA Greece Switzerland Russia Middle East Sum of First Ten Countries 48 Number of Tourists Coming to Turkey and Izmir - 2009 Number of tourists Number of tourists coming to Turkey coming to Turkey 4.488.350 268.814 634.886 142.457 932.809 94.389 2.426.749 79.509 1.127.150 71.001 592.078 65.516 667.159 38.654 616.489 29.969 283.06 13.462 2.694.733 10.19 1.609.965 1.188 16.073.428 815.149 Ratio of Izmir against Turkey 5,99% 22,44% 10,12% 3,28% 6,30% 11,07% 5,79% 4,86% 4,76% 0,38% 0,07% 5,07% 9. TARGET GROUP ANALYSIS 9.1.2 Insights and Behaviors of Tourists: • They like discovering new places, new tastes, making a relaxed and peaceful holiday in a warm environment, having memorable experiences and sharing them. As they work hard during the year, they want to reward themselves with holidays. • They travel to countries such as Greece, Italy, and Spain with warm climate. Rather than standard touristic activities, they prefer premium services such as delicious food, historical sites, cultural activities, events, sports activities, spa, and boutique hotels. They make plans in advance and travel with reliable travel agencies. As they travel with their families, they don’t like bad surprises. • According to the research conducted by TNS, 58 % of the tourists pick their destinations through recommendations from family and friends, 54 % through travel agencies, 37 % through internet, 19 % through television and 15 % through outdoor communication. 9.1.3 Tourists Perception about Izmir: As it is seen on the researches, (see chapter 5), foreign tourists usually know very little or none about Izmir. Those who have been to Izmir, on the other hand, think very positively about the city and come here again. It can be assumed that there is more positive approach towards Izmir in the countries such as Italy, France, Belgium and the Netherlands who visit Izmir above country average. 9.1.4 SWOT Analysis for Tourists You can see the strengths, weaknesses, opportunities and threats on the SWOT analysis below. STRENGHTS WEAKNESSES Historical, cultural and natural beauties • Local features (people, food etc.) • Its proximity to Europe • High satisfaction among visitors • Perception of Çeşme for premium domestic tourists • Infrastructure (hotel, direct flight, airport) • Lack of foreign language knowledge • Inadequate facilities • Inadequate information of tourists and operators • Poor internet sites about Izmir TOURISTS •Professional communication of İzmir •Increase in duration of stay •High income German, Russian, Greek and the Middle Eastern tourists •Benefiting from Turkey promotion campaign OPPORTUNITIES Eastern European countries • Delay in implementation of City Marketing Strategy document THREATS 49 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 9.2 Residents of Izmir: We explored the general opinions, insights, and behaviors of residents of Izmir in chapter 5 in detail. While making the Target Group analysis, it would be beneficial to go a little further and analyze the behaviors of those who are from Izmir and those who come to Izmir through immigration. 9.2.1 Demographic Structures of Residents • We can generally define the people of Izmir as having a higher level of education than the Turkish average, belonging to a little bit older age group, higher women population, modern, and open to novelties. • With the increasing immigration in recent years, Izmir receives immigrants from the other cities, in particular Eastern and Southeastern Anatolian Region. The immigrants tend to live in neighborhoods such as Kadifekale where their fellow countrymen generally live and maintain their traditions and remain loyal to their origins. However, with the tolerant approach of the Izmirian people, sense of belonging to Izmir is on the rise especially for the second generation. 9.2.2 Insights and Behaviors of Residents • Work-life balance is important. They like to spend time with their families. They look for entertainment activities for themselves and for their kids. They expect their life standards to be improved (transportation, effect of those coming through immigration, ugly housing etc.) Furthermore, they need more job opportunities to stay in Izmir. • People of Izmir like having fun, going out once or a couple of times, going to their summer houses in Çeşme or Urla. As much as they want the development of the city, they feel uncomfortable inside about prices going up and overcrowding. • Those who immigrate to the city need more job opportunities to be able to stay in Izmir. They need better living standards, education, and job opportunities. They want to have their economic freedom and get accepted by the people of Izmir. • Residents like their cities, they feel comfortable and safe in the city. They consider their city as the best place to live. They are proud of being an Izmirian. According to the observations we made during our meetings, it takes time for immigrants to feel the sense of belonging. 9.2.3 SWOT Analysis by Residents about Izmir STRENGHTS • People live in harmony • Modern place • Cuisine • Quality of life WEAKNESSES • Lack of education and skilled workforce • Lack of jobs • Migration • Quality of infrastructure • Need for city planning and zoning RESIDENTS • Turn pride into advocacy • Give citizens a voice • Integrate immigrants • Attract goverment support OPPORTUNITIES 50 • Cynicism • Erode quality life THREATS 9. TARGET GROUP ANALYSIS 9.3 Investors: 9.3.1 Demographic Structures of the Investors and Breakdown by Countries • Companies from 12 EU countries which want to increase their investment in other countries and that could make direct investment. Due to the economic decline in Europe, the Middle East and Asian countries less affected by the global economic crisis could be short term targets. • 8 countries that have most capital inflow in Izmir are Japan and later EU countries led by UK, France, the Netherlands and Germany. • Even though the breakdown of countries making an investment in Izmir mostly overlaps with the countries making an investment in Turkey, the Gulf, Middle East and Asian countries making investment in Turkey (sum of 12 % of the 2009 investment) could be an opportunity for Izmir after the EU countries. Country Japan UK France Holland Germany Israel Switzerland Saudi Arabia Spain Italy Luxembourg USA Other Foreign Direct Investment in Izmir Capital Tl Number Of Companies 799.424.054 8 378.398.908 107 376.390.674 87 309.346.070 125 308.984.018 381 147.497.166 26 118.017.840 31 98.309.361 2 96.408.274 21 66.644.611 112 54.807.861 9 45.092.079 74 222.484.642 68 Fdi Breakdown % 26% 13% 12% 10% 10% 5% 4% 3% 3% 2% 2% 1% 7% 9.3.2 Investor Insights and Behaviors: • The most important expectation of the investors is to receive the return of the investment they make in a country at least in the planned period of time without encountering surprises. Later, they seek to find skilled work force in the places they make investments, to receive the support of the local units, to see consistency between the legislation and implementation and to have a high living quality in the city, close to the international standards. • Decision making process realises from different levels ranging from the local organization of the firm to the regional directors or head quarters according to type of the investment to be made. The important thing is to be able to influence everyone who plays a key role in this process. 51 ‹ZM‹R CITY MARKETING STRATEGIC PLAN • Before making an investment in a region about which they don’t have an idea on, investors collect information from consultants, accounting firms, trade attaches, companies which already have made investments in the region, internet sites and blogs. 9.3.3 Perception of Investors about Izmir: Izmir can only get 7 % of the foreign direct investment coming to Turkey. One of the most important reasons why it remains low is that Izmir doesn’t have much awareness and perception for the foreigners as explored in Chapter 5. We can see through researches that those making investments in İzmir are usually satisfied. 9.3.4 SWOT Analysis of the Investors: STRENGHTS WEAKNESSES •Well-prepared development plan of •Coordination and solidarity İzmir •İzmir isn’t perceived as a business •Strong Turkish economy center neither in Turkey nor in the •Proximity of İzmir to busy world consumption centers in Turkey • İzmir has very few sectors •Proximity of İzmir to European, differentiated from the competition Russian and the Middle Eastern •Investment and talented labor markets •Low cost high skilled workforce •Climate and convenient living standards INVESTORS •Being part of the investment strategy of Turkey •Prioritized sectors expertizing in the sub sector detail •Considering the investors in the South as well as the in the West •Partnerships and cooperation with foreign companies •Differentiated communication strategy OPPORTUNITIES 52 •Intense investment strategies of the other countries in the region as well •Economic stagnation decreasing the export and investment •Its desire to do lots of things at the same time THREATS VISION 10.1 Definition 10.2 Izmir Vision 10.3 Relevancy to the Target Group 10 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 10.1 Definition One of the most important phases in the process of branding is to determine the vision of the brand. Besides addressing all the stakeholders and the target group, a good vision should meet the following criteria: • Persuasive: The Vision phrase and what Izmir offers should support each other • Passionate: Vision should share a certain passion • Inspiring: Vision should excite those who hear it and set them in motion • Distinctive: Vision should form a reason why they choose Izmir among all the other cities 10.2 İzmir Vision As the Consortium, in the visits we made and interviews we conducted, we all had the same feeling: Izmir is a passionate Mediterranean city indeed. All the people we talked, all the places we went, all the food we ate evoked this feeling. We started looking forward to visiting Izmir again. We started to miss the warm people, easy going life style, warm climate and delicious cuisine of Izmir and then we realized we feel like we reward ourselves in İzmir: far from stress, in calm and an easy going environment, we became part of these lucky people. We created the vision with this experience and passion. Izmir really has a passionate aspect that evokes the feeling of rewarding oneself. Feeling the passion, the vision of İzmir came through our own experience, of course building on the knowledge gathered: “TO BE THE MOST REWARDING MEDITERRANEAN CITY” 10.3 Relevancy to the Target Group • For tourists, it means that while they discover the historical, cultural and natural beauties of Izmir on one hand, on the other they reward themselves by experiencing the real Mediterranean warmth and passion. • For the residents, it means that they feel like they are rewarding themselves as they live this real Mediterranean passion in the highest living standards. • For the investors, it means they reward themselves by getting the return of the investment they make in this passionate Mediterranean city. 56 CORE BRAND ESSENCE 11.1 Definition 11.2 Current Core Brand Essence 11.3 The Future Core Brand Essence 11 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 11.1 Definition “Core Brand Essence” is the most briefly expressed version of the brand as a result of the combination of the positive and negative perceptions accepted generally by all the target groups. It is simply what the brand stands for. 11.2 Current Core Brand Essence Current positive and negative perception of Izmir among tourists, residents and investors summed up in the below “brand essence wheel”. According to this, today Izmir is a ‘relax’, ‘warm’ and ‘modern’ city: Current Brand Essence Wheel What are the benefits of living in/visiting izmir? History Functional Benefit How would I describe izmir objectively? Modern face of Turkey Harmonious Beatiful Climate Pearl of Aegean Symbols Healty foods Clock tower Tourism Geniune Beatiful girls Relax Warm Modern Ephesus Frendly Lazy There’s not much to do in city Port İzmir International Fair Limited job opportunities Emotional Benefits Easy to live Not know well Kordon Bad structurig Open minded Pleased Relax Trustable Funny Relaxed Opponent Frendly Brand indentity Modern Modern Open minded How are you seen being from /visiting izmir? 60 Safe How does being from /visiting izmir makes you feel? 11. CORE BRAND ESSENCE 11.3. The Future Core Brand Essence Following the communication activities to be held, we aim to release the negative perceptions in the brand essence wheel and have a new core brand essence dominated by the positive perceptions. In this direction, the core brand essence will be ‘harmonious’, ‘friendly’ and ‘Mediterranean’. What are the benefits of living in/visiting izmir? Good life quality How would I describe izmir objectively? Modern face of Turkey History Harmonious Symbols Good Climate Functional Benefit Lively Port Memorable experiences Good job opportunites Geniune Beatiful girls Clock tower Ephesus Frendly Harmonious Warmth Mediterranean Well known Kordon Open minded Green Happy Relaxed Trustable Mediterranean Funny Emotional Benefits Frendly Brand indentity Open minded How are you seen being from /visiting izmir? Relaxed Safe How does being from /visiting izmir makes you feel? The word ‘Harmonious’ expresses the cultural diversity, differences and team spirit and replaces the word easy-going, evoking a little laziness mentioned in the current brand essence wheel. ‘Friendly’ is our core that we want to maintain in both current and future version. As the word “Mediterranean” covers both modernity and Mediterranean life style, it is a stronger word than just modernity in the current brand essence wheel. 61 STRATEGY 12.1 Brand Promise of Izmir (Promise) 12.2 Key Objectives and Strategic Priorities 12.3 Strategy Summary Triangle 12 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 12.1 Brand Promise of Izmir (Promise): 12.1.1 Target Group Insights Creating the Brand Promise A good brand promise should be based on strong insights that will be relevant to each target group: “People like discovering” “People are affected more from the real experiences” “People like sharing their experiences” 12.1.2 Key Brand Benefit: “İZMİR, MAKES YOU ENJOY MEMORABLE EXPERIENCES WİTH ITS HIDDEN GEMS” 12.1.3 What does the brand promise mean for the target group? Tourists: Tourists (in the future) should be able to say “Izmir has lots of hidden gems I haven’t been aware of so far, I enjoy having memorable experiences here”. The following examples can be given for some of the hidden gems in Izmir: • Cuisine • Congresses • Blue Flag beaches • Religion Tourism • Shopping • History • Walking trails • Luxury products • Surf in Alaçatı • Health • Culture • Eco-tourism Investors: Investors (in the future) should be able to say “there are so many hidden gems that Izmir offers. I wish I came here before and had this profitable experience earlier” Some of the values in Izmir for the investors: • 5 prioritized sectors • West coast of the Silk Road • Organized industrial zone • Sensitive device engineering • Free zone • Business partnerships Residents:: Residents (in the future) should be able to say “I can always find things to enjoy and share, creating memorable experiences”. Some of the values in Izmir for the residents: 64 • Authenticity • Modernity • Laid-back life style • Walking trails • Cuisine • Fresh production • Music • Real stories • Secure • Living standard • Thermal Springs • Organic vegetables • Festivals • Art 12. STRATEGY 12.1.4 We Should Convey The Key Brand Benefit in Two Phases: “To create awareness by carrying the hidden gems to the communication” (1st phase – Hidden Gems Concept) “To attract the target group by carrying real experiences to the communication” (2nd phase – Memorable Experiences Concept) 12.2 Key Objectives and Strategic Priorities 12.2.1 Key Objective 1: To Increase the Number of Tourists The following strategic steps should be taken in order to increase the number of tourists: To Build Awareness of Izmir: • To fully exploit the ‘Hidden Gems” positioning • To continue with the ‘Memorable Experiences” positioning • To be the choice of influencers when tourists deciding the destination to visit • To create brand ambassadors of Izmir • To maximize synergies with international companies To Make People Enjoy Memorable Experiences in Izmir • To make them enjoy ‘our historical and archaeological richness’ • To enliven the city center To Make Them Contribute to the City Economy • To extend the duration of stay of tourists visiting Izmir • To extend tourism activities to 12 months • To create Izmir-branded products • To create synergy with national and international companies To Make Them Share Their Positive Experiences: • To create a setting where they can share their experiences instantaneously • To create “brand ambassadors” composed of tourists 65 ‹ZM‹R CITY MARKETING STRATEGIC PLAN 12.2.2 Main Objective 2: To Increase the living Standard of Izmir In order to increase the living standard of Izmir, the following strategic steps should be taken: To Ensure the People of Izmir Knows The City Better • To exploit ‘Hidden Gems” positioning • To continue with the ‘Memorable Experiences” positioning • To keep them updated about the city activities regularly To Improve the Infrastructure and Social Services in Izmir • To avert the urban sprawl • To accelerate the integration of those coming through immigration • To improve the education, health and transport services • To increase the green fields in the city To Make Izmir an Attraction Center • To revitalize the current attraction centers in the city • To create new attraction centers To Turn The People of Izmir into the Brand Ambassadors: • To receive the support of celebrities from Izmir • To increase involvement of Izmir people 12.2.3 Main Objective 3: To Increase the Investment Amount in Izmir In order to increase the investment coming to Izmir, the following strategic steps should be taken: To Notify the Investors about the Opportunities in Izmir • To exploit the ‘Hidden Gems” positioning • To continue with the ‘Memorable Experiences” positioning • To be the choice of those who affect the investment decision • To participate in the sector fairs and to host them • To reply instantly to the questions and demands of the potential investors To Strengthen Our Competitive Position in the Region • To focus on the prioritized sectors, subsectors in investment • To be competitive in tax and investment legislations To Increase the Satisfaction Level of Investors: • To show consistency in the implementation of laws and legislation intended for investment • To constantly increase the qualified workforce • To be able to provide investors and their families with education, health, transportation services in international standards 66 12. STRATEGY To Turn the Investors in Izmir into Brand Ambassadors • To use the managers of the companies invested in Izmir in communication campaigns • To organize social activities intended for the investors in Izmir 12.3 Strategy Summary Triangle VISION “Most Rewarding Mediterranean City” MAIN MESSAGE GOAL “İzmir makes you enjoy memorable experiences with its hidden gems” Increase the number of the tourists coming to izmir Increase the quality of life in izmir Increase the amount of investment in izmir When we start our journey with the vision of “To become the most rewarding Mediterranean City”, the main message we will be conveying is “Izmir makes you enjoy memorable experiences with its hidden gems” and marketing activities will be planned and put into practice in line with 3 strategic priorities targeting Tourists, Residents, and Investors . 67 www.izka.org.tr Şehit Fethi Bey Caddesi No:49/1 Birlik Plaza K:3 35210 Gümrük/İZMİR T:+90 232 489 81 81 F: +90 232 489 85 05 E: info@izka.org.tr