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Leveling the Playing Field for Small Businesses

• CAMEO Annual Member Meeting 2012
• Michael Gurton,
• MarketLink Program Director, OMEN

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Todays Topics

• In-depth look at a non-profit market research
  program that provides customized market research
  to Oregon businesses
• Real world example client testimonial
• Overview of Grow Oregon from idea to funded
  program

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Overview

• What we do (and how were different!)
• Adapted framework and techniques used by
  Fortune 500 companies to deliver no-cost market
  research and analysis to Oregon small businesses

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MarketLink for Micro Businesses

• Clients approx. 120 per year
• Demographics Low-income, rural, women or
  minority owned
• Referral sources MDOs, SBDCs
• Biz types Alpaca farmers to Zipline
  manufacturers
• Client contact by phone

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MarketLink for Micro Businesses continued

• Engagement length 6 to 8 hours over 2 to 3
  weeks
• Needs/Issues information, access
• Rate no cost to clients
• Funding stream SBA, private foundations, local
  governments

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Overview continued

• Philosophies
• Level the playing field
• 3 Cs (customer, competition, community)
• Join your community
• Coopetition - Learn from your competition
• Infused with Michael Porters competitive
  intelligence framework

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Overview continued

• Expertise
• Interviewing thought leaders/experts
• Competitive intelligence
• Industry and trend analysis
• GIS
• Sales lead generation

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Overview continued

• Work/Strategies
• Centered around expanding client base
• Target customers differently
• Expand geographically
• Use different sales channels

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Example Horse stables in Southern Oregon

• Client needs
• Clientele was only competitive equestrians (teen
  girls and women 40 y.o.)
• Wanted a steady and diversified stream of clients

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Example continued

• Research
• Assessment of her competitors
• Assessment of larger equestrian demographic
• Sensitivity to community
• Developed analysis to help her pinpoint marketing
  strategies

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Example continued

• Impact of Research
• Client performed marketing outreach that we
  outlined
• Client honed social media marketing
• Client started getting 10 12 year old demo,
  both boys and girls
• Anecdotal looking to hire additional staff

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Program Measures

• Client Demographics
• 57 female
• 21 minority
• 76 either HUD very low or low income
• 67 first time business owners

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Program Measures continued

• Micro Outcome Measures
• Change in income
• Business stage progression
• Change in markets (new, geo. expansion)
• Hiring

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Client Feedback

• Survey Results (n57)
• 100 satisfaction, 97 would use again
• 60 exhibited forward business stage progression
• 88 saw increase in sales
• 60 increased geographic reach

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Client Feedback continued

• Criticisms
• We take too long
• I already knew this.
• Its still in my inbox.
• Survey process (what is MarketLink?)
• Does research create jobs?
• Quantity over quality of engagement

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MarketLink for Second Stage Businesses

• Clients 30 to 40 per year
• Demographics Under 100 employees
• Referral sources Econ. devel. Partners
• Business type Traded-sector
• Client contact In-person meetings

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MarketLink for Second Stage Businesses cont.

• Engagement length 20 hours over one month
• Needs/Issues Issues surrounding growth, lack of
  time/expertise
• Rate no cost
• Funding streams EDA, regional econ. development
  partners, state

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Program Measures continued

• Second Stage Outcome Measures
• Change in geographic range
• Increased revenues
• Increased capital expenditures
• Increase in hiring
• Attribute growth to MarketLink work?

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How the Grow Oregon Bill was Funded

• The Cast of Characters
• Early Mover Greater Portland, Inc. (GPI)
• Experienced Hand consulted with Growing Local
  Economies
• Pilot GPI funded
• Success Story Keyscaper
• Champion Rep. Jefferson Smith and Grow Oregon
  Council

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Grow Oregon Timeline
Date Activity
January 2010 Ad-hoc group creates and lobbies passage of HB3644 to form Economic Gardening Task Force (EGTF) to assess continuum of services and develop recommendations to Oregon legislature.
June 2010 Oregon legislature passes HB3644
January 2011 EGTF submits HB2879 which forms Grow Oregon Council (GOC) with charge to develop statewide program
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Grow Oregon Timeline continued
Date Activity
June 2011 Oregon legislature passes HB2879, state budgets 300k through Christmas Tree Bill
August 2011 RFP released
February 2012 Oregon SBDC Network named as sole provider
April 2012 First client served
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Inside Grow Oregon

• Funding
• 280k awarded to OSBDCN for 18 month program
• 20K put aside by state for 3rd party eval
• Leverage
• 200K leveraged
• Primarily SBA Small Business Jobs Act awards

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Grow Oregon Feedback continued

• Implementation
• OSBDCN created three regional hubs Portland
  metro, Southern and Central Oregon
• 15 firms served at each hub 15 from rural areas
  (18 month program)
• All referrals run through hubs
• Client contact is in-person (rural by webcam)
• Outsource to consultants for SEO, GIS and market
  research

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Contact Me

• Michael Gurton
• MarketLink Program Director
• Oregon Microenterprise Network (OMEN)
• 503.546.9913
• Michael_at_Oregon-MicroBiz.org
• www.LinkedIn.com/in/mgurton