Franklin Retail Market StudyPreliminary RecommendationsAugust 4, 2010

Today’s Presentation• Input Review• Recap of the market study findings• Strategic Themes• Recommendations

Process• Background Review• Interviews and Focus Groups – Roughly

60 Participants• Zip Code Survey • Market Findings• Recommendations

Input -- Strengths• Setting and proximity.• Fiber loop.• Phil Drake’s investments in Franklin.• Appalachian Trail.• Young people are proud to be from here.• Several museums in town.• Gem mines.

Input -- Strengths• Certified Entrepreneurial Community.• “Economic Center West of the Balsams.”

Input -- Challenges• 56% of the tax bills go out of the county.• Dependency on construction has been a

hard hit during the recession.• Specialty retail is spread out in a number

of districts.• Multiple messages – Shop Franklin First,

Affordable Franklin, Discover Us, Mountain Treasures, etc.

Input -- Challenges• Older population demographic• Nothing to keep young people here

Input -- Opportunities• Capitalize on affinity groups:

– Hikers on the AT– Bikers– Families

• Tap into Blue Ridge National Heritage Area.

• Market to “lone wolf” consultants.• Realign businesses along the river.• Food related businesses.

Input – Desired Uses• More variety of accommodations.• Restaurants downtown.• Belk’s or Kohl’s.• Mast General Store.• Drug Store.• Small meeting facility.• Microbrewery.• Lone Star, Outback.

Market Analysis - Zip Code Survey

• Survey Held June 23-July 3• 17 Retail Participants Tallied • 1988 Recorded Visits • 524 Unique American Zip Codes (574)• 31 States (36)

Where are they from?

The Trade Area Definition

Retail Market Potential

Retail Market Potential

Retail Market Potential

Refining the Message: Marketing Recommendations

Building Critical Mass: Retail Recruitment Recommendations

Retail Development Strategies for Franklin

Preparing for Investment: Organizational Strategy

• Franklin has created and has launched a “brand” identity – (new Hiker logo)

• Yet there are still multiple branded statements for the community and the region.

• There is little focus on Franklin as a shopping and dining destination.

• There are also multiple markets to target.

Marketing Issues

• The local Franklin resident• The seasonal customer• The regional customer• The visiting customer

Marketing Targets

• Implement wayfinding ASAP.• Work on a “shopping and dining” page for the

Town’s webpage:– include a link for shopping and dining on Facebook.– Coordinate and link with Shop Franklin First

• Consider reinventing print material for the community:– Launch a shopping and dining guide, AND/OR– Work collaboratively on a high quality magazine guide

• Develop a marketing matching grant for businesses.

Marketing Recommendations

• First year: $10,000.• Matching “allocation” for ads that use the

Franklin brand.• Merchants may choose preferred media.• Web tracking (not discounts) to check

progress (particularly important to reconnect to markets that are targets).

• Consider guerilla marketing tactics.

The Marketing Grant Explained

• Consider and coordinate all events:– Consider after hours event to promote shopping and dining

downtown: art/gallery/shop crawl.– Consider a special event or promotion to recognize

seasonal visitors.

Marketing Recommendations, Cont’d

• Franklin is demonstrating significant retail leakage in several retail categories and significant retail gain in others.

• Franklin has numerous retail districts within downtown and along the by-pass.

• There is no single district that has “critical mass” as a gathering spot, a browsing district. Downtown comes closest.

Recruitment Issues

• Clothing• Restaurants• Sporting Goods• Food related retail• Gifts, Jewelry: some of this is already a strength.

Retail Targets for Franklin

• Consider targeted recruitment of store types:– Anchor/catalyst store for downtown– Outdoor outfitters, sporting goods– Full service restaurant downtown – consider slow food, locally

grown, etc. – Retail catalyst: single point of sale craft cooperative or similar

• Consider signing and marketing of “districts”– Downtown.– River District (Depot Street and Highlands Road).– Heritage Hollow, lower Palmer Street area.

• Consider “Lone Wolf” office catalyst in upper floors.• Consider community meeting space, reception space.

Recruitment Recommendations

• Franklin has a number of partners working to market and improve the community:– Main Street– Town TDA, County TDC– Chamber of Commerce– Smoky Mountain Host– Blue Ridge National Heritage Area– Shop Franklin First – The Whistle Stop– Center for the Performing Arts

• There is an opportunity for stronger collaborations and a more consistent message.

• Franklin should continue to engage young professionals.

Organizational Issues

• Appoint a volunteer “recruitment team” to solicit interested businesses in locating in Franklin using information from this study.

• Work on a “young professionals” group to encourage involvement from new people, initiate projects, etc.

• Consider an annual Franklin Marketing Summit to share ideas and deploy strategies.

• Host a familiarization tour of Franklin for shopkeepers/stakeholders.

Organizational Recommendations

www.arnettmuldrow.com/draftrecommendations.pdf