Title
Authorization to Enter Into Agreement for Phoenix Convention Center Advertising and Marketing Services (Ordinance S-43954)
Description
Request to authorize the City Manager, or his designee, to enter into a contract with Owens Harkey & Associates (DBA OH Partners) for advertising and marketing services for the Phoenix Convention Center Department (PCCD). Further request authorization for the City Controller to disburse all funds related to this item. The estimated cost of the contract is $400,000 per year; not to exceed $2,035,938 over the life of the contract.
Report
Summary
PCCD operates the largest meeting and exhibition venue in the state of Arizona. The department contracts with a private agency to market and promote the Convention Center venues for local meetings, public shows, banquets and receptions, theatrical performances and social functions. The advertising and marketing firm provides consultation and creative services for print and digital advertising campaigns and programs targeting meeting, convention and tradeshow planners; promoters; and attendees. The previous contract expired on June 30, 2017.
Procurement Information
On March 10, 2017, PCCD issued Request for Proposals (RFP) 17-009 for Advertising and Marketing Services. The procurement was conducted in accordance with Administrative Regulation 3.10. An optional pre-proposal conference was held, with nine firms attending. PCCD received proposals from the following six firms: On Advertising, Davidson/Belluso, Off Madison Ave, Prime Time Marketing, Lane Terralever, and Owens Harkey & Associates. All proposers were deemed responsive. The evaluation panel consisted of PCCD staff along with panel members from the Equal Opportunity and Community and Economic Development departments.
The technical evaluation was based on criteria in the RFP. Points assigned to each criteria totaled 1,000 and included: Method of Approach (300 points), Company and Staff Qualifications (300 points), Financial Strength (200 points), Cost of Services (150 points), and Overall Responsiveness to RFP (50 points).
The interview portion of the evaluation was worth 350 points, making a grand total of 1,350 possible points.
The panel awarded the following scores:
1. Owens Harkey & Associates - 1,159.50 points
2. Off Madison Ave. - 1,079.50 points
3. Lane Terralever - 1,007.40 points
4. Davidson/Belluso - 700 points
5. On Advertising - 689.80 points
6. Prime Time Marketing - 317.60 points
Contract Term
The initial contract term is for a three-year period from Nov. 1, 2017 through Oct. 31, 2020, with the option to extend the term up to two years, which may be exercised by the City at its sole discretion.
Financial Impact
The contract's estimated cost is $400,000 per year, not to exceed $2,035,938 over the total length of the contract. The majority of expenditures for this contract, about 60 percent, are funded with Convention and Visitors Bureau Marketing Funds, with approximately 40 percent funded through the PCCD operating budget.
Concurrence/Previous Council Action
The Downtown, Aviation, Economy and Innovation Subcommittee recommended City Council approval by a 3-0 vote at its Sept. 6, 2017 meeting.
Location
The services will be provided to the Phoenix Convention Center and theatre venues at 100 N. 3rd St.
Council District: 7
Department
Responsible Department
This item is submitted by Assistant City Manager Milton Dohoney, Jr. and the Phoenix Convention Center Department.