glen osmond road clearance centre

Marketing Plan For Glen Osmond Road

Clearance Sector December 2003

Prepared for :

Glen Osmond Road Precinct Association

86 Glen Osmond Road

Eastwood SA 5063

Prepared by:

Ray GoldieProject ManagerGoldie Strategic

Development22 – 26 Vardon Avenue

Adelaide SA 5000

Business Development and Marketing Plan for the Glen Osmond Road Clearance Sector

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Table of Contents

MARKETING PLAN FOR THE GLEN OSMOND ROAD CLEARANCE SECTOR ...... 1

A SNAP SHOT OF THE CLEARANCE SECTOR................................................................ 2

IDENTIFICATION OF ISSUES AND OPPORTUNITIES................................................... 3 ISSUES SPECIFIC TO THE GLEN OSMOND ROAD CLEARANCE SECTOR ....................................... 3 OPPORTUNITIES SPECIFIC TO THE GLEN OSMOND ROAD CLEARANCE SECTOR ....................... 16

A MARKETING STRATEGY ............................................................................................... 24

THE MARKETING PLAN..................................................................................................... 37

DETAILED TIMETABLE FOR THE IMPLEMENTATION OF THE GLEN OSMOND BUSINESS PLAN .................................................................................................................... 45

THE FOUR MAIN ELEMENTS OF THE PLAN................................................................ 50

IN CONCLUSION ................................................................................................................... 50


MARKETING PLAN FOR THE GLEN OSMOND ROAD CLEARANCE SECTOR

Throughout the consultation of this project there has been significant participation from the stakeholders who have specific interest in the clearance sector. This location is under considerable threat at this time from the newly established Harbour Town Clearance Centre at West Beach and is looking for strategies to apply in the short term to ensure their market position is maintained, if not enhanced.

Understanding that the processing of the more global recommendations in this report, and any actions that may be initiated from them, may take a matter of months to be put into action, this report has been produced for the Clearance sector stakeholders to consider their options, both as part of the global vision for Glen Osmond Road, and as a discrete sector within the larger precinct. It is also an acknowledgement of this sector’s stakeholder’s proven willingness to work co-operatively to enhance their collective businesses.

The report detalis the issues and opportunities that have guided the recommended marketing position for the clearance sector and recognises that the businesses will need to undertake additional marketing specifically for their sector.

This report takes the view that the clearance sector would self fund, or partially self fund, any clearance sector specific promotions.

To place this report into context to the Glen Osmond Road, Marketing Plan, budgets and Implementation Plan they have been included within this report highlighting the sections impact on to the clearance sector.

There is some information and concepts that overlap between this and the Glen Osmond Road Report. These matters are explained in full in both cases.

1


A SNAP SHOT OF THE CLEARANCE SECTOR

The Glen Osmond Road clearance sector is 300 meters in length, 38 businesses of which 22 are genuine clearance businesses. Its southern and

northern ends are populated by car yards, offices, a private hospital, a school, a few retailers and vacant premises. The clearance sector has been established over the past eight years and has been a small but viable retail destination.

Past joint marketing projects have been instigated and managed by the Glen Osmond Road Precinct Association and have generally been subsidised by the Association, however there has no resources, human or financially, to implement a consistent marketing plan. Promotional coordinators have been engaged on a project by project basis from time to time to drive specific promotional activities.

Recent streetscape improvement have included banners and pencil pines in the Unley sector. The Burnside Council have recently consolidated some off street parking and will shortly introduce pencil pines.

The stakeholders have a very strong focus on traffic and parking issues which are seen as a deterrent to attracting more patrons to the sector. The State Governments decision not to progress in the foreseeable future with the Glen Osmond Road to City Master Plan and proposals to extend the operational times of clearways has created uncertainty with the clearance sectors stakeholders.

Until October 2003 the Glen Osmond was the only clearance destination in Adelaide. In October 2003 the Harbour Town clearance shopping centre opened at West Beach. This centre consists of 70 clearance and complimentary outlets and represents a multi-million dollar (reported as $10,000,000) investment. The establishment of the new centre could have either an extremely adverse effect on the Glen Osmond centre or could cause a significant increase in business.

Boundaries

For this report the Glen Osmond clearance sector has included all properties from St Anne’s Place to Davey Street in the Unley sector and from Main Street to Markey Street in the Burnside sector.

In relation to retail mix the area was reduced to No.84 Baily and Baily to No. 108 vacant formerly Apex Dry Cleaners and No. 69 Red Cross Superstore to No. 100 Sheridan.

2


IDENTIFICATION OF ISSUES AND OPPORTUNITIES

This section lists the issues adversely impacting on the Glen Osmond Road clearance sector as identified through the research and consultation processes.

Issues Specific to the Glen Osmond Road clearance sector

Parking Issues 1Glen Osmond Road Gateway Masterplan – Parking Study prepared by Frank Siow & Associates - November 2000

A study of the Glen Osmond Road Gateway Master Plan Parking Study Final Report1 revealed that between Greenhill Road and Fullarton Road there was a total of one thousand one hundred and eighty six (1,186) car parks inclusive of on-street, off-street and side-street parking.

A further dissection of the figures provided by the report show that parking within a short walk of the clearance sector (Main Street to Markey Street and Alfred Street and Davey Street) has 553 off-street, on-street and side-street parking spaces. Although spread over a greater distance, the later figure is comparable with the 600 car parks adjacent to the new Harbour Town Shopping Centre2.

2

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Discussion with arbour Town

easing staff and easing information it released by arbour Town and ersonal observation

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The report reveals that within and close by the clearance sector car parking is generally available in on-street, off-street and side-street parking locations except at some peak times. Off-street car parks were only at 50% of capacity at most times.

These figures would indicate that there are generally ample parking spaces available within a short walking distance of the clearance sector.

As revealed through consultation and a customer survey this is not the perception of stakeholders or patrons.

Customer Survey responses to questions related to car parking

The responses with references to parking from the Customer Survey³ conducted in July 2003 did not reflect the findings of the November 2000 parking study.

150 customers, of whom 84% had specifically travelled to shop or browse at

3. Glen Osmond Road Customer Survey July 2003 – Goldie Strategic Development

the clearance sector, were interviewed and their responses to their travel arrangements and what they disliked about shopping at the clearance sector are as follows:

Question : What mode of transport did you use to reach Glen Osmond Road?

Response: 91% travelled by private car.

Question: if by car, where did you park?

Response: 56% in side-street

22% in car parks at rear of shops

22% on Glen Osmond Road

Question: What do you dislike about shopping/visiting Glen Osmond Road?

Responses* 43% of 150 responses disliked parking

27% of 150 responses disliked traffic

8% of 150 responses disliked crossing the road

Respondents could give multiple answers to this question. Of the 195 responses (from the 150 respondents) 40% mentioned one or more dislikes related to parking, traffic or crossing the road.

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Why such high dissatisfaction?

On inspection, some off-street car parks have no signage at all and those that do have signs are completely ineffective.

With the exceptions of the Eastwood Community Centre and Baily and Baily car parks all other off-street car parks with entrances on Glen Osmond Road have a high degree of difficulty of access and exit due to small width of the entrance- and exit-ways (average width of driveway is less than 5 metres with the smallest being 2.5 metres).

It is particularly difficult for drivers who are not familiar with the car park locations when travelling along Glen Osmond Road at 60 kilometres per hour, to recognise the entrances in time to indicate the turn and slow down to the very low speed required to manoeuvre into the car park4. The degree of difficulty is increased when the vehicle behind the driver is a large commercial or transport carriers.

The degree of difficulty increases when the vehicle behind is a transport carrier.

Examples of key off-street car parking that is difficult to find and difficult to access

The following page identifies five car park entrances which are either unsigned or very poorly sign-posted. More importantly, the entrances into these car parks are extremely narrow, (2.5 metres to 5 metres). These car parks which offer premium car spaces in the absolute centre of the clearance sector are effectively of no value to the businesses of this sector except as staff car parks.

4.Personal inspection and experience as a driver.

The issue of consolidation of car parks becomes secondary to the entrance

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metre entrance hampered y stobie pole and rubbish in.

issue.

These issues can only be rectified by property owners, council planners and traffic engineers working in partnership. It is recommended that both councils participate in a project to prepare a Glen Osmond Clearance Sector Parking Action Plan that is purely focused on possible solutions for the issues of access, signage and consolidation of these four car parks.

Should it be impracticable to improve any of the sites the stakeholders can at least move their attention and energy to solutions for other issues.

These invisible car parks and the degree of difficulty of entry and exit fuel the consumer’s perception that finding accessible car parking at the clearance sector is difficult.

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A study of the Glen Osmond Gateway Master Plan Parking Study1 personal observation and consultation with business operators and customers suggests that there is a higher parking usage in side-streets during weekdays than on Saturdays (traditionally the busiest shopping day). The higher usage during the week is most probably from staff employed in local shops and offices and regular visitors to the area who are well aware of the easier parking options in the side-streets. In the case of St Anne’s Place cars from the adjacent car yard often flow over and fill side-street car parks.

The issue of poor parking within the clearance sector is one of accessibility and signage more than a lack of actual car parking spaces.

On weekdays, some of the more convenient car parks in side-streets are filled by local employees and visitors of local residents, reducing the availability of convenient parking spaces for patrons. Could this situation be improved by a change of parking conditions and a greater level of enforcement?

Rationalisation and Sign-posting of Car Parks

In October/November 2003, car parks at the rear of properties number 81 Jenny’s Gourmet Bakery to number 93 Snow and Surf Camping were consolidated to create expanded parking area. The Burnside Council will provide new parking signs for these car parks in the near future. Given the perceived magnitude of the parking issues in the clearance sector the inability of other stakeholders to reach agreement and implement rationalisation and sign-posting improvements is disappointing. This issue has become even more urgent with the opening of the Harbour Town Centre.

The rationalisation and signposting of more car parks alone will not attract more patrons to park in these locations unless the issues of ease of accessibility from Glen Osmond Road are addressed.

Traffic Issues

A discussion with representatives of Transport and Planning SA (March 2003) advised that the only current plans for Glen Osmond Road were upgrades between Portrush Road and Fullarton Road which would mainly affect the intersections.5

5 Interview with senior staff at Transport and Planning SA March 7th 2003

It is a fact that the volume, type and speed of traffic on Glen Osmond Road will always make it a difficult location in which to create a major retail destination. The need of Transport SA to keep traffic flowing at the maximum (legal) speed is paramount to the flow of traffic to and from the city during peak hours.

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Glen Osmond Road is a main arterial road for cars and transport carriers and the situation is unlikely to change in the near future. Apart from lobbying local and State Governments to alter the route of vehicles and to attend to safety issues such as crossings and medium strips for pedestrians, the businesses need to accept that the current situation will remain and look to alter the factors over which they have influence or control.

Extending the operational time of Clearways

The extension of hours Clearways are in operation would create a considerable disadvantage to retailers on Glen Osmond Road, particularly those in the clearance sector. It would be further disadvantage retail businesses if the clearways were operated both sides of the road simultaneously.

The recommendations of The Glen Osmond Road Gateway to City Master Plan prepared by EDAW (Aust) Pty Ltd, the Frank Siow & Associates Parking Study1 commissioned in 1999 for the Burnside Council, and a similar study, investigating current car parking characteristics which was undertaken by Planning SA in 2000, made the following observations and statements in relation to the extension of the Clearway periods.:

“that retailers would be effected adversely”

“one side of the road be a clearway rather than both sides”

Clearway currently finishes at 9am and commences at 4:30pm.

“if the capacity of Glen Osmond Road is to increase in line with the policy of Transport SA then there is little alternative but to extend the current clearways”

“typically 16 to 27 spaces would be affected if a clearway was applied to both sides simultaneously, or 9 to 14 on either side”

These statements are very concerning to the clearance sector and the Burnside and Unley councils, with the Glen Osmond Road Precinct Association, should be strongly lobbying Transport SA and the State Government not to extend the clearways without careful consideration of compensatory car parking being included as part of any redevelopment.

Two very critical points that were not discussed in the above reports are:

• the psychological effect of clearways. (particularly after 9.00am and before 4.30pm). These restrictions build a belief in patrons that it is too hard to park in these areas and the potential of large fines is too risky.

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• while the consolidation of car parks was mentioned in the report there was no mention of the need to upgrade the entrances and exits to make accessibility for drivers more manageable. The consolidation of car parks and effective signage is fruitless for the key car parks without attending to the difficulty of entry and exit to and from Glen Osmond Road.

Crossing Glen Osmond Road

The challenge for customers, employees, visitors and locals to walk across Glen Osmond Road is often daunting particularly for the elderly and the young. The clearance sector, which includes two primary schools, has only one pedestrian crossing and no medium strips or pedestrian refuges.

Safety issues have been raised by St Raphael’s school for their students and families crossing Glen Osmond Road in front of the school (250 metres from the current pedestrian crossing). The degree of difficulty of crossing Glen Osmond Road safely is a definite deterrent to people shopping in this sector and detracts from a favourable shopping experience.6

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6This was raised by 31 people who attended consultations and at personal interviews with Principal of St Raphael School and as a discussion point with a representative of St Raphael School at GOPA committee meeting.

Summary of transport issues

Ease of access is one of the most important issues facing the clearance .sector and is currently perceived by patrons as its greatest disincentive. Conversely, with a few changes it could become one of its strongest assets.

P 52

spaces

available

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learanc

P Car Park

100 Metre

It is recommended that:

• efforts to consolidate car parks be renewed

• the five entrance ways to car parks from Glen Osmond Road within the Clearance Centre be improved where possible

• signage be installed at 100 metres in advance of parking entrances to advise drivers that they are entering the sector and to prepare to slow down, and at the entrance point a note that indicates the number of car parks available

• local government and businesses monitor the TransportSA’s preference to extend the clearways on Glen Osmond Road and lobby vigorously against any extension of operational time if necessary

• local government and business support St. Raphael’s School in lobbying for either an additional set of pedestrian lights outside the school, or at a minimum, a pedestrian island on the grounds of safety

e to the

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ing spaces

s ahead

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Lack of a Public Toilet in the clearance sector

The clearance sector has been successfully operational now for 8 years and throughout this period the acute need for a public toilet has been on the agenda of local government and the association.7

Any shopping, recreational and leisure precinct that is serious about attracting people to its destination must provide at least the basic public facilities of a toilet, parking and ease of safe access and exit. The lack of a public toilet to service the Glen Osmond precinct sends a distinct message to customers and stakeholders that the local government does not consider this location as an important retail destination.

While there are a number of justifiable reasons as to why it is difficult build and maintain a public toilet, the fact that over the past 8 years a solution has not been found casts considerable doubt over the will and resolve of the Burnside and Unley Council to secure the long term future of the clearance sector as a key retail destination..

Competition

The clearance sector

Entrance to Harbour Town Adelaide

The opening of the Harbour Town clearance shopping complex at West Beach which is in excess of 12,000sq metres, has 60 outlets at an average size of approximately 200 square metres per shop. The complex is part of a chain of major clearance centres that are operated by Brand Direct.

Industry intelligence advises the centre’s marketing levy is in excess of $300,000 per annum. This figure may be supplemented further by the centre management.

The centre is open seven days per week, has 600 car parks, cafes, an observation platform overlooking the airport and an outdoor mall.

The Harbour Town clearance centre is now Adelaide’s major clearance outlet.2

An observation of Harbour Town is that the operators have built the centre to an appropriate scale for Adelaide and have attracted a balanced retail mix for a clearance destination. The question is not, will it be successful, but how successful it will be.

2 Discussion with Harbour Town leasing staff and leasing information kit released by Harbour Town and personal observation of the centre.

7 Issue of toilets mentioned by 30 people during the consultation period.

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While there have been reports of customer dissatisfaction with the new centre, these are to be expected at the opening of a new venture of this magnitude where customer expectations are high and the operators are faced with the issues of the centre and systems not being quite finished, while being swamped with opening crowds which are predictably greater than the centre’s comfortable capacity.

The same responses were heard at the opening of the Marion Shoppingtown’s refurbished centre in 1997.

These few comments do not reflect the expected success of this new venture.

Other competitive issues:

• In 2004 The Parkade shopping arcade on The Parade at Norwood will be redeveloped and it has been reported that the refurbished Centre will have a strong fashion mix. While their focus will not be clearance, they will provide customers with a significant alternative for fashion shopping not previously available in the Eastern Suburbs. 8

• The City of Adelaide is planning a series of markets to be operated in several city locations on a weekly basis. One concept under consideration is to include a segment that would specifically promote as a clearance outlet (market style). It is envisaged that such a market would cater for the needs of small, local manufacturers, student designers and retailers (who could choose to attend on a casual basis) to move excess stock. 4

While the latter two examples would not have a major impact on Glen Osmond Road, and in fact pale into insignificance against the threat from Harbour Town, they are examples of how sales could be further eroded at what could be a difficult time for the clearance businesses.

4 Personal knowledge from consultation with property owner of the Parkade.

• The greatest potential threat to the Glen Osmond clearance sector is that if it shows signs or gives the perception that its clearance position is fading (e.g. currently there are five vacancies in the 300 metre clearance sector) this may create the impetus for a new destination to start up and to benefit from the expected new interest in clearance. Even if such a venture is only moderately successful it could secure some retailers from Glen Osmond and further split the market.

Business and Retail Mix

The issues for the clearance sector in reference to mix are: • the loss of clearance businesses to Harbour Town or simply closing

down their Glen Osmond Road business due to falling turnover. While current numbers of clearance businesses in the sector are adequate at the moment the loss of 2 to 4 brand-name shops would significantly weaken the sector

• the need to develop a strategic approach to attract more clearance outlets particularly in categories that are not traditionally clearance

• the lack of at least one stylish café with an enthusiastic operator who will operate 7 days per week to the centre of the sector

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A review of the retail and business mix

For the purpose of this analysis the retail and business mix has been restricted to the businesses that form the core of the sector. They include: -

Number 84 - Baily and Baily wine merchants to number 108 - currently vacant, formerly Apex Dry Cleaners in the Unley sector

and

Number 69 - Red Cross Super Store to number 101 - Sheridan Australian Factory outlet in the Burnside sector.

Business and retailers have been rated as:

Genuine Clearance – which refers to businesses which are selling clearance or discounted products.

Very compatible – businesses that would appear to have the same target market as the clearance outlets and enhance the experience and purpose of the visit.

Compatible – businesses that, while they do not detract from the sector, are not 100% congruent with the sector’s band and market position. (These businesses may be strong attractors to the sector and valuable contributors, but cannot be considered as very compatible

Non-contributors – businesses and retail that do not enhance the sector, nor do they attract the target market in significant numbers.

Ranking of the Current Mix

The current mix consists of:

Genuine Clearance – twenty two retailers (59.5%)

Very Compatible – five consisting of two retailers, two eateries, and a hairdresser (13.5%)

Compatible – four businesses consisting of a variety of retail and service businesses and community organisations 11%)

Non Contributors – six businesses consisting of - 1 business which is an office and five which are vacant premises (16%)

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Retail and Business Mix by Name, Category and Rating

Business/Store Name : Category Name Category

Teppanyaki Japanese Restaurant Dine in/Take away Compatible Jenny's Gourmet Bakery Dine in/Take away Very Compatible Tiramisu Restaurant and Café Dine in/Take away Very Compatible Get Real Fashion Footwear & Accessories Genuine Raymond Poulton Shoes Factory Outlet Fashion Footwear & Accessories Genuine Ab Fab Eyewear Fashion Footwear & Accessories Genuine Innerware Factory Direct Lingerie Fashion Ladies’/Children Genuine Brown Sugar Fashion Ladies’/Children Genuine Just Jeans Fashion Ladies’/Children Genuine Cool Change Fashion Ladies’/Children Genuine Intimates Warehouse Fashion Ladies’/Children Genuine Judell's Australia Warehouse Shop Fashion Ladies’/Children Genuine Table Eight clearance Centre Fashion Ladies’/Children Genuine Millers Fashion Club Fashion Ladies’/Children Genuine Premises (formally Rockmans) Unknown Fashion Ladies’/Children Genuine Sparkles Fashion Ladies’/Children Genuine Gazman Fashion Men/Mixed Genuine Essential Man Clearance Store Fashion Men’s/Mixed Genuine Sports Savers Fashion Men’s/Mixed Genuine Corfu Jeans Factory Outlet Fashion Men’s/Mixed Genuine The Snow and Surf Company Clearance Store Fashion Men’s/Mixed Genuine Jay Jay's Factory Outlet Fashion Men’s/Mixed Genuine Jeans West clearance Fashion Men’s/Mixed Genuine Sheridan Australia Factory Outlet Household/Furnishings Genuine In Thing Homewares Household/Furnishings Genuine Baily and Baily Mini Majors/Discount Variety Compatible Eastwood Community Centre Non Retail Compatible The Body Shop Non Retail Non Contributors Red Cross recycle super store Recycle Goods Compatible Recycle Choices Boutique Recycle goods Very Compatible Botanica Medica Services Very Compatible Polladium Stylists Services Very Compatible Vacant premises formerly Tea Tree Gallery Vacant Non Contributors Vacant premises unknown Vacant Non Contributors Vacant premises formerly Ab Fab Eye Wear Vacant Non Contributors Vacant premises formerly Apex Dry Cleaners Vacant Non Contributors Vacant premises formerly Barnacle Bills Vacant Non Contributor

Table 1 Retail mix of Clearance sector

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Retail and Business Mix of the Clearance Centre on Glen Osmond Road

0

2

4

6

8

10

12

Total businesses 3 3 10 7 2 1 2 2 2 5

Dine in/ Take away

Fashion Footwear & Accessories

Fashion Ladies'/ Children

Fashion Men's/ Mixed

Household/ Furnishings

Mini Majors/ Discount Varoiety

Non RetailRecycle Goods Services Vacant

Graph 1 Retail mix by category

Percentage of Retail and Business Mix of the Clearance Centre on Glen Osmond Road

8%

8%

28%

19%

5%

3%

5%

5%

5%

14%

Dine in/ Take away

Fashion Footwear &AccessoriesFashion Ladies'/ Children

Fashion Men's/ Mixed

Household/ Furnishings

Mini Majors/ Discount Varoiety

Non Retail

Recycle Goods

Services

Vacant

Graph 2 Retail categories by percentage

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The mix of genuine clearance, very compatible, compatible and non-contributors is well balanced within the clearance sector. While the current mix is well balanced the sector does not have critical mass and is vulnerable should 2 to 4 brand name businesses to leave the group. There is a critical need to increase the number of businesses in the sector. .

The ideal changes to the mix would be if genuine clearance or very compatible retailers leased the vacant premises in the core of the Clearance sector and non traditional clearance retailers take up the vacancies on the peripheral of the sector.

The mix would be further strengthen if the new retailers included product ranges that appealed to males.

Property Owner ambivalence

A significant threat to the clearance sector is its inability to control its own retail mix. The properties have multiple owners, few who are owner operators.

Should vacancies arise (currently, there are seven vacancies in the clearance sector and four on the peripheral of the sector) and owners lease properties to non-contributing businesses, over time the sector’s fragile clearance/retail mix may be lost.

David Biven, principal of Retail Asset management Pty Ltd, has had two occasions in the past eight years to commercially review the tenancy mix of the clearance sector and identified the following issues:

• relatively lower rental rates on Glen Osmond Road will allow it to maintain its high occupancy rate

• the location is equally attractive to service industries such as medical rooms, financial services and shop-front offices as it is to retail

• without a strategic agreement between property owners regarding an agreed clearance/retail mix, over time, properties may be increasingly leased to non-contributor businesses which would impact on, and eventually, break down the retail mix

The fact that property owners are unlikely to have any difficulty in leasing their properties is a threat because they have no reason to strongly support a specific retail mix strategy.

David Biven’s recommendations were that –

1. all property owners be presented with a retail mix management plan supported by the Association’s broader business plan

2. property owners are kept fully informed by the Association regarding any leasing changes

3. if possible, encourage property owners to use the same Property Management Agent for vacancies within the clearance sector to ensure the planned retail mix maintained.

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Lack of brand names

Lack product diversity

Number of vacancies

Lack of compatible businesses

Weaknesses of the Clearance Mix

Need for 3 to 4 more genuine clearance outlets in the traditional areas of fashion, accessories and home wares

Needs a point of difference in retail mix which could be achieved with non traditional clearance or discount categories

Currently 5 vacancies gives the perception that the sector is failingGlen Osmond Road has a price advantage that makes it popular with many non compatible categories of business

Need to attract more VERY compatible businesses that are strong attractors to the target markets

Weaknesses of the Clearance Sector

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Opportunities Specific to the Glen Osmond Road clearance sector

Transport issues

As stated earlier in this report it is unlikely the traffic conditions on Glen Osmond Road will change particularly in the short term. While it is recommended and important to mount a consistent and frequent lobby to both local and State Governments against some aspects of Transport SA’s plans it is equally important the stakeholders focus on what is within their control to change and influence.

Traffic Opportunities

An opportunity offered by the volume of traffic that traverses Glen Osmond Road throughout the day and particularly during peak hours is to visually promote a frequent and consistent message that gain the drivers’ and passengers’ interest and encourage a visit on another occasion. This could be particularly effective during peak periods when cars often have to travel at slower speeds or stop at traffic lights.

Such conditions require precincts to develop highly attuned, marketable customer experiences that will attract customers despite the inconvenience of high volumes of cars and trucks.

Typical entrance to off street car parking in clearance sector. Parking signs inadequate and width of drive way less than five metres.

Those sectors of the road severely affected by the traffic flow, such as the clearance sector, will need to ensure that all other factors that are important to patrons, such as retail and product mix, customer service, parking and marketing, are highly attuned to their target markets’ needs and desires if they are to continue as a significant retail destination. If all these factors are in place and customers are offered a great shopping experience they will over-ride their dislike of the traffic conditions and continually return to the centre.

Examples of consumers’ propensity to over-ride inconvenience for the shopping or leisure experience of choice are many. Two local examples have been Glenelg’s ability to continually draw big weekend crowds despite a high degree of difficulty in gaining a car park (prior to recent changes) and the inadequate parking available at Marion Shopping Centre to service its customers during the opening weeks of its refurbished centre in 1997. In neither case did it significantly stop people from continuing to visit and shop at these two locations. In short they had what the consumers wanted and the consumers put up with the inconvenience.

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Parking.

Stakeholders have the influence and position to make changes to off-street parking. Councils have the resources to work with property owners to generate change. A more entrepreneurial and long term view is needed by both parties.

While it is recognised that considerable efforts have been targeted to this issue in the past it is important that the impetus is continued? Along with retail mix, ease of accessibility is one of the key issues which will influence the degree of long-term success that the clearance sector will enjoy in the future.

The amount of parking available (if more accessible) in and around the sector provides a distinct and strong marketing advantage.

Marketing Ease of Access and Parking

The fact that the clearance sector has nearly 600 car spaces can be turned into a marketing advantage.

Harbour Town has 600 car parks in what will be a very busy centre. Their customers do not have the opportunity to ‘drive up to the front door’ and the car park is very exposed to all the elements of wind, rain, dust and heat.

If the parking locations within and surrounding the clearance sector were to be adequately sign-posted and easily accessed they could be promoted through a parking and facilities map and incorporated into all other advertising and promotional campaigns providing an advantage point against Harbour Town.

For the past 10 years the Glen Osmond clearance sector ‘got away with’ poor parking arrangements because it was the only clearance centre in South Australia and people did not have a choice. The previous poor management and complacency around parking issues is a luxury that can no longer be afforded.

The Glen Osmond clearance sector needs to win back customers and attract a whole new market who are being introduced to the concept and culture of clearance shopping. The standards expected by old and new customers have changed with their expectations being raised significantly. .

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Competition

Expanding the awareness of clearance

The Harbour Town centre will raise the awareness of clearance shopping in South Australia and will elevate the word ‘clearance’ in the minds of the South Australian public. Dedicated and recreational shoppers will start looking for clearance outings and the clearance market will expand.

Glen Osmond Road clearance businesses have the opportunity to claim their position as South Australia’s original clearance outlet, the place that offers a completely different experience to a shopping centre. While the Glen Osmond Road clearance sector will not rival the new Harbour Town centre for volume and turnover, it can maintain itself as the smaller and more profitable, busy, bustling, specialty clearance destination.

It can have a more relaxed and personal atmosphere that builds on the feel of a shopping village. It can be the place to meet friends, relax and shop.

In the short to medium term the Glen Osmond Road clearance sector will not develop a stronger traditional clearance mix than Harbour Town and must develop a distinct point of difference in its own right.

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Business and Retail Mix

Strengths of the Glen Osmond clearance sector Retail and business mix.

Recognised as a Clearance destinationRoom to grow

Mix creates the new market position Current retail mix

Strengths of the Clearance Mix

Has small but strong core of outlets. Some major namesHas a history as a successful destination

5 vacant premises within the sector3 vacancies adjacent to the area

7 locations currently leased which could be converted to genuine clearance or very compatible businesses

Attraction of non traditional, short term leases and events creates constant change and intrustCan split the clearance category to create a new unique position

Current mix very balanced for clearance70% of businesses clearance or very compatible

Strengths of the Clearance Mix

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The clearance sector retail and business mix.

Expanding the Retail Mix beyond the traditional

Harbour Town’s market position of clearance of fashion and home wares is fixed and is unlikely to be altered. By sheer size and mass they will own the traditional clearance market position. The Glen Osmond Road clearance sector has more flexibility in the development of its market position. It all ready owns the position of the ‘Original Clearance Centre’. It is recommended that the sector splits the category of Clearance and becomes ‘………. CLEARANCE AND MORE.

This would entail the attraction of very complementary and complementary businesses that offered clearance of non traditional products or were price oriented businesses.

The shift in position places the Clearance sector in a position which;

• will not be challenged by Harbour Town

• immediately opens up the range of businesses and industry groups that can be invited into the sector

• is a marketable position

• can be extended to product ranges that would attract more males

• provides a unique point of difference.

• will bring a greater sense of discovery and vibrancy to the sector

There are sufficient vacant properties and buildings currently leased, which could be redeveloped for retail, to potentially expand the Clearance sector by another 25 – 45 clearance and complimentary shops. (properties listed on Page 21)

While the number one aim will be to attract more genuine clearance shops the availability of additional properties creates an opportunity to attract non-traditional clearance businesses such as sports wear, sports equipment, hardware, wine, toys, adventure and outdoor products, white goods and home entertainment products.

Imagine a clearance sector which included a:

1. Hardware, Golf, Fishing and motor sports clothing and accessories to offer. What if it included a small wine and beer boutique and a male friendly no fuss coffee area? Now imagine it all in one large building.

2. Similarly a building of group of shops which offered clearance cosmetics, perfume (or look a like perfumes) hair dressing, beauty - faces and nails, crafts and a shop specialising in soaps, lace and complementary gifts all centered around a specialty coffee and cake bar with an outdoor settings.

20


These visions may seem (to some) beyond the reach of Glen Osmond Road however if there is a ten year vision supported by a five year plan all things are possible. As identified later in this report there is room for development and developers waiting for the right opportunities. It may take a number of steps before these visions are realised but there probably has never been a better time for the clearance sector to step out and be bold and daring.

Warehouse clearance

There a number of clearance operators who specifically stage clearance weekends throughout Australia. They generally use venues such as Thebarton and Norwood theatres or vacant warehouses. There is an opportunity to establish a Clearance Warehouse which was fitted out to cater for these events. The operator of the venue could consider providing additional services to hirers such as sales staff, arranging accommodation, hire of trestles, counters and cash registers, marketing and office facilities.

118 Glen Osmond `Road has potential to convert to clearance warehouse.

In addition to the weekend clearance there may be manufacturers and wholesalers who do not normally run clearance operations but would like to opportunity possibly once of twice per year to quit stock. Another aspect could be the networking of smaller complementary operators who are willing to join together to create a category clearance sale and share the costs of the venue for a weekend or short period.

The concept needs rigorous research, however if it proved to be viable it would be a major attractor to the sector and give reason for more people to come more often.

The operation would be operated similar to managing an entertainment theatre. In its early years its success would be dependant on the operator ‘selling’ the concept to prospective users.

There are three properties that could be developed to accommodate the warehouse concept. 118 Glen Osmond Road, currently leased by Workskil, could be suitable as is or be extended at the rear, the proposed future development from 109 to 115 Glen Osmond Road or St Damien’s, currently a doctor’s surgery, at 49 Glen Osmond Road.

113 and 115 Glen Osmond Road (in conjunction with 109 and 111) are potential to be redeveloped for the clearance sector

Casual Leasing

In addition there would be a number of industries and wholesalers that would not have ample stock to fill a warehouse who may wish to enter a short term lease. While vacancies are available casual leasing agreements could be pursued.

If successful this concept would give patrons more reasons to return to the sector more often as well as adding a sense of discovery and vibrancy.

This concept is worth further consideration and requires rigorous investigation.

21


Creating a Point of Difference

The attraction of non-traditional, warehouse and casual clearance is that it will provide the Glen Osmond clearance sector with a distinct point of difference to all other clearance destinations. It would also give patrons a reason to return to the sector more often. Its ever changing product mix and the continual expectation that there may be a bargain to find will attract serious shoppers across a wide range of target markets.

Potential of increasing the Retail Mass

There are suitable properties suitable for lease or development as clearance or very complimentary businesses within the core of the sector and at its southern and northern extremities.

These are:

Street No. Potential Sites for Conversion or Redevelopment Status

49 St Damien’s Surgery Operating

71 The Body Shop Office Operating

72 Corner Continental Deli &Snack Bar Operating

72a Harvey World Travel Operating

109 Rodney Twiss Restorations Operating

111A Shed Boss Operating

118 Workskil Operating

84 Formerly Barnacle Bills Vacant

94 Formerly Ab Fab Eye Ware Vacant

97 Formerly Tea Tree Gallery Vacant

99 Unknown Vacant

108 Formerly Apex Dry Cleaners Vacant

111B Formerly Lush Garden Centre Vacant

113 Formerly Adelaide Creative Studios Vacant

115 Formerly Great Solutions Skin care Vacant

The owners of the properties from number 109 to 115 Glen Osmond Road have this area planned for future development which could include retail outlets. Depending on how properties were developed the above properties could extend the sector by another 25 to 45 retail or complimentary operations.

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Marketing the Original

23


A MARKETING STRATEGY for GLEN OSMOND’S

ORIGINAL

CLEARANCE VILLAGE

Overview

A marketing plan must be developed that is as precise and targeted as much as it is creative, innovative, bold and engaging. The Glen Osmond Precinct Committee have the information and skills to develop such a plan. The customer survey provided with this report, combined with the knowledge that incumbent businesses have of their own customers, provides a useful set of data with which to identify the target markets.

Previous creative projects undertaken by the association indicate that their principal members have a sound understanding and feel of the style and images that should be associated with the sector. Discussions have revealed there is no lack of ‘good ideas’ and ‘what ifs’.

The issue is simply a lack of resources both financial and human.

Lack of resources has always been an issue, but with the establishment of the Harbour Town Clearance Centre there is the possibility that the Glen Osmond Road Clearance sector could be seriously weakened and become irrelevant.

Equally, the advent of the Harbour Town Clearance Centre and its ability to stimulate a greater interest in clearance shopping could be the catalyst for a revitalisation of the clearance sector. To take advantage of this opportunity requires the clearance sector to establish a new position that asserts its authority as major clearance destination.

This report acknowledges that the clearance sector is not large enough to raise adequate funds for extensive and frequent media advertising. The recommended strategy is centered on effective action complemented by a number of targeted promotions which are aimed at attracting new and old patrons while simultaneously strengthening the branding position.

The recommended strategy has a focus on the use of human resources more than paid advertising.

Given the clearance sector’s relatively small mass, (38 businesses in total and 22 genuine clearance shops), it would benefit from strategic partnerships which added mass by association and offered the opportunity to share costs or extend campaigns by pooling funds and sharing networks.

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While the strategy detailed here will stand alone for the clearance sector it is also complementary to the more global campaign that has been recommended for the whole of Glen Osmond Road, which builds on the road’s position as the Gateway to Adelaide. The extension of this position is to promote the diversity of business and retail sectors on Glen Osmond Road as Gateways to…….

Glen Osmond Road Clearance Sector

e.g.

Glen Osmond Road the Gateway to Prestige cars

Glen Osmond Road the Gateway to Accommodation

Glen Osmond Road the Gateway to the Convenience Shopping

Glen Osmond Road your Gateway to Entertainment

Glen Osmond Road the Gateway to Australia’s Number 1 Hotel

Glen Osmond Road the Gateway to Adelaide’s most affordable Corporate addresses, and the…

Gateway to the Adelaide’s Original Clearance Village

The elements used to promote Glen Osmond Road in its entirety are the same as those recommended for the clearance sector. The dual campaigns also open up opportunities for significant cross promotions between businesses.

Creating a Marketing Position

While the clearance sector has a position in the clearance category of the market it is not well defined and needs to reposition itself against Harbour Town claiming a strong and superior place in the Clearance category.

It is recommended that in the short to medium term the position be built around the words and phrase Original, Clearance Village, or Glen Osmond Road the Original Clearance Village

Initially the elements that can be used to build the Village image are:-

• Friendly

• Relaxed

• Atmosphere

• Ease of access and movement

In the medium to long term a stronger position could be created by the locating of new genuine clearance businesses, non traditional clearance businesses and special clearance events enabling the image to be expanded to create to a position of …… Clearance and more.

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While a head to head campaign with Harbour Town on the price of fashion and home wares is not recommended, the addition of non traditional products will provide an opportunity to ‘sell’ price advantages on these products. This will suggest, by inference, that the whole village is more competitive in price.

The addition of Clearance Events will further the perception that the Glen Osmond Clearance Village has a greater range and more clearance, discounted bargains.

Slogans such as the following: -

The Glen Osmond Road

Original Clearance Village

Clearance, discounts and bargains

or

Clearance fashion, home wares and more

The Glen Osmond Village where Clearance is an Event

The Campaign

In summary, the position of Original Clearance Village can be used immediately, while the use of other slogans are dependent on the development of recommendations made earlier in this report.

The phrase can be added to the current shopping bag visual and aggressively promoted at every opportunity in any medium that matches the target markets. The key to its success is developing a campaign that effectively reaches the maximum number of people at the least cost.

Marketing the Essential Elements

To achieve its desired position the Clearance sector will need to:

1. have strong cooperation from its member businesses and people of influence

2. address its infrastructure weaknesses and create a desirable ambiance

3. be able to attract new complimentary businesses and possibly developers

4. promote a consistent message frequently

To achieve this any successful marketing campaign will need to include elements which address each of these segments.

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Internal Marketing – cooperation from members

To develop the degree of cooperation that will is required between business managers, property owners, councillors and people of influence, the Association will need to engage these people in a meaningful manner and keep them consistently informed.

It is acknowledged that the Association already delivers newsletters; personally calls on individual businesses from time to time. The challenge still remains despite this attention. It is often difficult to encourage businesses to participate in initiatives. This area requires more hours than can be expected to be provided by a volunteer committee.

In the case of property owners, they periodically need communication about issues that specifically concern them. To ensure newsletters are being read and information is being understood a phone call to property owners is recommended each three months.

Quarterly networking evenings for all businesses and staff in the clearance sector are also recommended. This creates an opportunity for stakeholders to meet and mingle. These could be held at the premises of other businesses in or adjacent to the sector such as a car dealer, to coincide with a new vehicle launch; the Arkaba or one of the accommodation venues or restaurants.

Extend the Passion, Create the Team

During the consultation period the sense of ownership and passion many of the managers and their staff had for the clearance sector was evident. The activity mentioned above is an opportunity to fuel that passion amongst those that have it and develop it in those that are ambivalent.

A practical and achievable plan will assist in uniting the group particularly when they see some of the promised outcomes achieved. It will take time to develop the passion, in some cases, and patience will be needed.

If new businesses or managers are enthusiastically welcomed and engaged on arrival, they often become immediate advocates and can speed up the development of the team environment. It is recommended that a Welcome Program be put in place engaging new managers and new businesses when they move into the precinct.

Elements of a Welcome Program

• letter of welcome

• coordinator calls in and welcomes

• chair or committee member calls in and welcomes

• community police call in to welcome and make themselves known – give tips on security

• local councillor calls in to welcome

• All of these should take place in the first four weeks.

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Attraction of new business and new development

• The business plan highlights the need for the clearance sector to attract new genuine clearance retailers, non traditional clearance retailers and event clearance operators (event clearance operators are those who promote clearance weekends or short term clearance sales in theatres, vacant shops and similar locations).

• The relevant information and recommendations in this plan need to be developed into a “selling document” specifically targeted at the above mentioned businesses and operators with the view of attracting them into the sector.

• The distribution of the kit to businesses could be facilitated by making the kits available to property owners/ property managers of vacant premises, and Business Managers (particularly of interstate companies) who are willing encourage complementary businesses. A member of the committee could be appointed to specifically seek contacts for potential business and operators and by appointing a paid coordinator to pursue selected businesses.

• The Clearance Event concept would need development in association with a property owner who currently own a suitable building or was willing to develop a suitable premise. It would require a feasibility study in its own right and a person engaged to identify potential operators and secure bookings for the venue. This concept requires rigorous research and is potentially a serious commercial enterprise. If successful it will cement the clearance sector’s point of difference.

Attracting non traditionalist clearance

Manufacturers, wholesalers and clearance event operators will need to be personally approached and sold the idea. The businesses do not need to be genuine clearance but do need to be competitive on price.

The pursuit of concepts such the Hardware, Fishing and Golf location would need to need to be put together by property owners and their property managers with support from the Association.

Categories that could be approached include: -

White goods

Computers IT

Sports equipment

Hardware

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Plants

Shoes

Sports clothing

Furniture

BBQ equipment

Motor vehicle accessories

Christmas decorations

Manchester

Home entertainment equipment

Office furniture and equipment

Attracting more patrons more often

Infrastructure – creating the ambience

If the Clearance Village is to obtain an enviable marketing position as an easily accessible, friendly and relaxing place it will need to address a number of issues and instigate improvements that were identified on pages 2–21.

84% of people shopping at the sector arrived by motor vehicle* and 60% of those stated that the factors they most disliked about shopping in this sector were traffic related.7 The issues included parking, traffic flow and crossing

7Glen Osmond Customer

Survey 2003 Goldie Strategic Development

the road safely.

Parking

The clearance sector has an opportunity to turn the poor perception of parking in the area into a positive. If the improvements to the four car parks mentioned earlier in the report, and improved signage be undertaken, it would be significant enough to change parking conditions. Then the parking in the area could then become a marketable benefit.

Harbour Town has marketed the fact it has 600 car parks. The clearance sector can match this and advertise its own point of difference by promoting the convenience of on-street and off-street parking.

It is recommended that inexpensive hand outs could be produced with a map showing all car park options.

Public Toilet

Part of the ambiance that the sector wishes to create is a relaxed atmosphere where patrons feel welcomed, do not have to hurry and feel at ease. The absence of a public toilet within the precinct, or close by, is not conducive to creating such ambience. It sends a message to patrons that this destination is not customer friendly and downgrades the sector to that of a local neighbourhood centre, detracting from its claim to be a major South Australian Clearance destination.

29


Signage

Signage is another area where the installation of necessary infrastructure can provide depth to the marketing. If signage announcing the clearance sector was placed 100 metres prior to entering the area, it would provide warning to visitors to slow down as well as advise that easy/ample parking was ahead.

This would support the sector’s claim to being friendly, easy accessible and welcoming. The information required for the signs does not need to be extensive and can be conveyed as an addition to a standard blue and white parking sign. See example page 7.

Footpaths, art and greening

The Glen Osmond Precinct Association and the councils have very little influence on the traffic flow along Glen Osmond Road, however they do have influence over what happens on the footpath.

Footpaths can be made into interesting and comfortable places which, with the correct treatment, can soften the impact of excessive traffic movement.

It is recommended that a landscape architect be engaged to develop a visual framework for the footpaths including public art, further greening, and awnings, and where appropriate, fences at the kerb line. The framework should have a development time-frame of five to ten years to remove expectations that it will ‘all happen’ immediately.

Business could also be encouraged to place product or displays on the footpath which provides a further sense of discovery and an air of potential bargains.

The public art, colour, greening and products will add to the vibrancy of the sector and create a point of difference that would not be duplicated by Harbour Town.

It is recommended that some of the public art should be large pieces of three metres or more placed in locations that will visible by traffic travelling in either direction on Glen Osmond Road. These will help distinguish the destination.

It is realised that not all of these improvements and changes can be made in the short term. The campaign described in the following section could be launched initially without emphasis being placed on factors such as ease of access and relaxed ambience. These factors could be introduced at a later date when improvements are completed.

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Articulating the position – being every where at once

The competition and marketing budget

Tenants leasing at Harbour Town contribute in the region of $300,000 per year to a promotional and advertising budget. This amount could be increased with further contributions from the property owners. It is to be expected that Harbour Town will continue to run advertisement through all main stream media in Adelaide and regionally. They have full time qualified staff who will be supported by a national marketing team (based in Perth) to implement their campaigns.

How to position Glen the Osmond Road Clearance sector

With the advent of Harbour Town is expected that Adelaide now has a greater awareness and interest in clearance shopping. These potential new customers to Glen Osmond are spread across all parts of Adelaide and Regional South Australia.

To place the clearance sector’s positioning statement in front of as many South Australians as possible, it is recommended to use a ‘Post Card Campaign’. This involves the design and production of a double sided DL size card which can be distributed across Adelaide to key locations, by post or letter box dropped.

Alternatively, (and subject to availability of funds) a DL folded card which opens to an A4 or foolscap size could be used if it was considered beneficial to have more details.

Examples are provided in the appendices.

Elements of the Post Card

Graphic Design

• Each side to be aimed at different demographics.

• Side one to be designed to attract an age group from 30 to 45

• Side two to have a funky feel which would be more attractive to 16 to 25 year olds

Message

A simple and short message and emphasising the

ORIGINAL CLEARANCE VILLAGE. 1995 – 2003

Secondary messages:- Relax, Friendly, Location – edge of city,

When improvements are made secondary messages could be added including:

• ‘600 car parks off street and on street locations’,

• ‘easy access – just look for the signs’,

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Quantity

The quantity is driven by funds to both print and distribute. It is recommended a minimum of 100, 000 distributed over a month. Indicative distribution would be:-

65,000 letter-box dropped to selected suburbs

10,000 to selected businesses in café strips

(e.g. East End, Norwood, Glenelg, Brighton, Nth Adelaide)

5,000 to cafes, libraries etc in Hills suburbs from Crafers to Murray bridge

5,000 to South Australian Tourism Commission for distribution to Visitor Information Centre

5000 to motels, restaurants and eateries on Glen Osmond Road

Locals

10,000 retained for a promotion to local residents and businesses.

Negotiate a cross-promotion with one or more eateries who would provide an offer specifically for locals who live and work in the area. The post card would need an additional small flyer to be attached to the post card or via a sticker attached to the card. The aim is to acknowledge these people as a part of the Glen Osmond Road family and have them recognise the Village as ‘their’ place.

The coffee factor

The clearance sector has two eateries within its core area however it is not recognised as part of the outing for many. It is essential to add a strong social connection to establish the Village atmosphere. The draw of ‘doing lunch’ and browsing the shops can be a strong attraction. It is recommended that were practical and affordable that any promotional includes a reference to coffee and lunch.

An extension of the special offer to locals is to offer every person who purchases items at the Clearance Village during the first month of the promotion receives free tea/coffee from either Jenny’s Gourmet Bakery or Tiramisu Restaurant and Cafe. An agreement could be made with the operators for the Association to only pay cost for these coffees (say 50c each). Vouchers are given out at time of purchase and are available for that day only. The offer would reinforce the Village image.

Sunday coffee

It is recommended that an agreement is made with a stylish mobile Coffee vendor to set up on the Village Green on Sundays with Coffee and Danishes. Chairs tables and umbrellas would set up to create an outdoor café. The vendor’s existence would be promoted to locals and the concept of coffee vouchers could be continued on Sundays.

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Takings for coffee vendor may not cover costs in the early months and he/she may have to be supplemented. However given time the clientele would be expected to grow.

It would be possible to monitor the customer count and turnover which would give a clear indication of the viability for local cafes within the Clearance sector to open on Sundays.

More points about distribution

A key element is the distribution to café strips, tourism outlets, local accommodation outlets. A person would need to be designated to top up outlets through the life of the promotion. It is important the cards keep ‘popping up’ everywhere with the message ‘Glen Osmond Road Original Clearance Village’. Relaxed, friendly, easy to reach.

In the future they could read

Glen Osmond Original Clearance Village

Clearance and more

Frequency

Ideally, in the first year a new card would be designed and distributed each quarter. After that it is expected twice per year would be adequate. Funding may limit distribution to twice per year.

This same concept is recommended for the global Glen Osmond Road campaign which would includes the clearance sector as one of Glen Osmond Road’s Gate-Ways. This would effectively place the message in the market place four times per year, twice as a destination in its own right and twice as part of a broader promotion for all the destinations within Glen Osmond Road.

Tracking the Result

Value-added offer

The results of the campaign could be tracked by numbering or colour coding the cards recording areas in which they are distributed. A value-added offer could be included which was only redeemable by returning the post card. The evaluation does increase the costs and is not included in the budgets prepared for this report.

Locals

Potentially the people to buy and buy most often are those who work and live in the area. The customer survey indicated only 6% of customers in the clearance sector were locals. (i.e. post code 5063)

33


These results would indicate that the local market is an untapped area in addition to the large number of employees who commute into the area daily. While general conversation with retail business indicate that they have regular patrons who work in the area based on the Customer Survey the actual numbers against the potential is low. It is suspected that those who are regulars work close by.

Most people drive into work in the morning and drive home at the end of the day having no contact with the clearance sector or what it has to offer.

It is recommended that a consistent campaign be launched to attract local residents and employees. It is further suggested that theme be a built around engaging these people as the Village’s locals and colleagues.

The campaign’s centre piece could be the promotion of an exclusive Village’ Home’ Sale which was open only to people who worked on Glen Osmond Road (Greenhill Road to Cross Road) and residents.

During the sale period shops would be closed to the general public and entry would only be by the special invitation. The occasion could be a release of new seasonal stock, or an opportunity to buy sale items before they were available to the general public.

The night would have a very festive occasion with a wandering minstrel on the footpath, face painter, balloons, and lollies on counters.

The invitation could have a tear off which could be used to redeem a special give away gift\s from selected business. The idea is to create a very homely welcome atmosphere. A security guard (or person dressed as one) checking invitations as people entered would add to the exclusivity of the sale.

The sale would be held on a Friday night (or other suitable night) from 5.30 pm aimed to catch people coming from work. The stores would be closed except to customers who had a Village Home Sale Invitation* which would only be made available to patrons who worked in the on Glen Osmond Road or were residents. (Boundary of residential area to be decided).

This concept links strongly to the Glen Osmond Road Global Marketing Campaign

Clearance Events

A point of difference that could be established by the Clearance sector is that of The Clearance Village where Clearance is an Event.

The position includes creating a sense that the Clearance Village offers more than Harbour Town and that it is worth visiting more often because there are always new products and ranges to choose from.

This could be created in the short term by offering casual leasing in vacant to businesses to set up weekend or short term clearance sales.

In the longer term if a warehouse was established to house major weekend clearance events this position would be a very distinctive and marketable position.

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Cross Promotions

The retail and business mix for Glen Osmond Road is diverse with its main attractors being prestige cars, tourist accommodation, supermarkets, the Arkaba and commercial offices.

They all attract clientele into the area who are potential customers of the Clearance sector. There is an opportunity to engage these people through cross promotion.

A few ideas:

Car Dealerships

• Stage a promotion with a Car Dealership when they next launch a new model which contains these elements:-

• A fashion parade at the launch event

• A give-away built into the price of the car which offers a $1,000 voucher for women’s or men’s clothing

• A theme of value for money by both parties could be incorporated, if appropriate, for the products being promoted

Tourist Accommodation

The Glen Osmond Road accommodation sector is the third largest supplier of beds in Adelaide. A recent survey of businesses indicated that capacities where high and there was no real low season.

Interviews with three accommodation operators conveyed an interest with working more closely with the Clearance sector. Two of the motels reported that many customers visited the clearance sector and that it was an asset to their business.

The Arkaba is one of Australia’s most successful hotels and one of Adelaide’s most well known land marks. The hotels manage their own marketing and is very self-sufficient. However, they would welcome the opportunity to work more closely with the clearance sector.

Throughout Australia tourist shopping is recognised as a significant proportion of Clearance Centre’s turnover.

It is recommended that the clearance sector develop a invitation left in every room specifically welcoming the patron to Glen Osmond Road and offering a free cup of coffee when they visit the clearance sector. An arrangement could be made with the adjacent eateries.

An addition to this promotion is that recognition could be given to the motel which refers the most customers over a six month period by including them (in a small way) on the next post card promotion.

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These are just two examples of cross promotion with local businesses that could be pursued and it is recommended that the sector meet with other business and business sectors to develop opportunities to cross promote through each others newsletters, mail outs, staff incentives or functions. While this style of promotion takes time to instigate and implement they often can be instigated at no, or little additional cost.

Media

• Paid advertising

• Paid advertising campaigns are not recommended unless they are fully paid for by contributing businesses. It is considered that the marketing budget should be focused on the Post Card Promotion.

Editorial

• Editorial coverage should be pursued regularly and press releases should be distributed at least once a month. The variety of stories and story angles will be critical in the story development stage.

• Story opportunities should be pursued in national special interest magazines such as fashion, prestige cars, and tourism in conjunction with other local businesses.

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THE MARKETING PLAN

The following is a copy of an indicative action plan that would need to be followed to institute the recommendations made in Glen Osmond` Road Marketing Strategies. It highlights the segments which are specific to the
Clearance Village and gives them a context to the overall global plan.
The anomaly with the time frame suggested in this plan is that the initial post card in March 2004 will carry the Gateway message for all of Glen Osmond Road, to be followed by a post card specifically for the Clearance Village in July 2004. This time table may not suit Clearance Village who may wish to promote their new position as a matter of urgency.

It is equally important that the first card promotes all businesses on Glen Osmond Road. As a result it may be necessary to share the first card ( one side Glen Osmond Road a Gateway to …! and the other side the Clearance Village or alternatively the Clearance Village to fund an additional card. These matters will need to be negotiated.

This plan is based on the following premise:-

• the timetable commences at February 1st 2003 and assumes adequate funds are available for the initiatives undertaken.

• assumes a coordinator is engaged to facilitate the plan.

• The Marketing Team consists of one or two Committee Members (or co-opted member) and the paid coordinator

The Marketing Plan is followed by a copy of the Glen Osmond Road Business Plan implementation timeframe to provide a context for the Clearance Village Marketing Plan and its other activities in relation to the broader Glen Osmond Business Plan.

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Marketing Plan for Glen Osmond Road (Greenhill Road to Mt Barker Road)

Segments specific to the clearance sector

Action Time Frame Outcome Responsible Cost

Step One – Market Position and Planning

Committee

• Endorse the Marketing Plan

• Appoint a Marketing Team and direct the team to proceed with the plan

• Marketing Team given the authority to engage a Project Manager on as need basis to assist with promotions and marketing until June 30th.

February 2004

Support and ownership gained from the committee.

Marketing team given authority and clear direction to proceed with the marketing plan as recommended.

Provides skilled and experienced resource to drive the promotion hence ensuring a higher degree of success.

Committee

00

The Marketing Team appoints a Project Manager to coordinate immediate postcard promotion.

February 2004

Marketing team has a clear focus and action for immediate implementation of marketing activities.

Immediate action will encourage and enthuse stakeholders while sustainable funding sources are developed.

Marketing Team

Project Manager

00

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Step two – Immediate action – the Post Car Promotion

Marketing team focus on designing, producing and distributing Glen Osmond Road Gateway to ….! post card. The Clearance Village would negotiate a prominent position and message on this card.

Feb 14 to Feb 28

Aim is to deliver a significant action in the shortest possible time

Marketing Team and Project Manager

00

Design and production – quotes received, suppliers selected, graphic completed, distribution plan documented and costed.

Feb 14 To Feb 28

Project fully costed and the logistics plan for distribution completed.

Project Manager – with approval of marketing team

$3,500 design & print

Evaluation procedures devised and put in place. Feb 14 to Feb 28

Benefits of promotion recorded for future analysis and reporting purposes.

Marketing Team and Committee

00

Production work completed Mar 14 Printing received Project Manager 00

Distribution undertaken Suburban households – delivered by a commercial operator Local businesses (all of Glen Osmond Road) – hand delivered by project manager and committee members Café strips - paid person or volunteer,

March 14 to March 28

Material distributed Project Manager and suppliers. Committee could assist in local distribution or through own networks.

$3,200 distribute

Press release announcing the positioning of Glen Osmond Road the Gateway to …! (possibly produce 100 T-shirts with a Glen Osmond Road Gateway to …. logo for distribution to press and shop staff

March 14 Generation of media stories and interests

Project Manager $500

Monitor outcomes – call regularly on local businesses to interview staff and managers on effectiveness of the campaign.

March 14 April 14

To ascertain the effectiveness of the promotion

Project Manager 00

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Step three – Market a Summary of the report and the funding options to all stakeholders

Hold a launch to present the final report and its recommendations with summaries available.

February 20

Marks the release of the report as an important event and provides opportunity to promote the report.

Committee and GSD

00

Deliver a copy of the summary report with brief questionnaire to all stakeholders requesting a confirmation that the report was received and comments on main points of the plan.

Feb 23 Ensures every business stakeholder receives a copy of the summary report

Project Manager 250

Reminder posted to all businesses who have not responded to report.

March 7– March 14

Maximising return of surveys and readership of the report

Project Manager or volunteer

00

Telephone or call direct to businesses who have not responded.

March15 March 31

Further maximising return of surveys and readership of the report Project Manager

or volunteer 00

When responses analysed advise stakeholders of results via a newsletter.

April 15th Stakeholders advised of response to the report and increases ownership in the implementation of the plan.

Project Manager or volunteer

00

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Step four – Establish an on going internal communications program with the stakeholders

Review contact lists used and updated during step three and if necessary revise current methods of communication with stakeholders and develop a plan which will provide effective and efficient contact with:

• Business managers and staff in the sector • Business managers who are not situated in

the sector • Property Owners • Councillors and senior staff at both councils • Other people of influence • Include quarterly network evenings

To be completed by June 30th.

Provides a documented system of communication which will ensure all stakeholders are informed on key issues and the sectors activities, issues and successes.

Marketing Team

00

Present first network meeting with the purpose of discussing the proposed funding options and opportunities for cross promotion

March 15 Provides an opportunity for stakeholders to discuss the issues and opportunities with peers and provide direct feedback to committee

Marketing Team & Project Manager

100

Committee to form an Advisory Board consisting of key players in the precinct such as the two mayors, CEO’s of council, Peter Hurley, owner or manager of the Foodland and BiLo centres and in the accommodation, and motor vehicle categories. who will meet quarterly for briefing on issues and opportunities.

July 1 The briefings are an opportunity to inform key influential players of the sectors issues, opportunities, successes and plans as well as gain their endorsement and involvement in future plans. They are both an internal marketing and management activity.

Chair of the Association

$150 catering

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Step five – Develop a Clearance Village Selling Kit

Develop and produce a kit (brochure) which clearly articulates the clearance sectors five year plan

• the preferred retail and service mix • the benefits for complimentary businesses • the benefits for developers • maps, contact numbers for council, average

rents, list of vacancies, demographics of patrons, current customer survey

Approach property owners in the clearance sector to contribute financially to this project. This material can be presented in several formats with an acceptable product for a low cost ($1,000) or a glossy presentation depending on the style of the sales pitch and the businesses that are being targeted.

April 1 Provides a succinct view of the opportunities in the sector demonstrates the expertise and focus of the Association and gives confidence to prospective businesses. .

Marketing Team and Property Managers

$1,000 to $5,000

Distribute kits widely to current property owners and their managing agents, other key commercial agents and council. Post to property and sales managers of retail groups who would be attracted to the sector.

April 1 Places Glen Osmond Road top of mind with the real estate industry and emphatically states the sector is here to stay, has sound achievable plans and is a key destination for compatible retailing.

Marketing Team

$ 200 mailing

Depending on the time allocated to, and the skills of the marketing team the could be directed to identify 4 businesses every week who would be complementary to sector and contact the decision maker personally and forward the kit.

To commence in July

Keeps a consistent flow of professional information into potential market places

Coordinator 00

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Action TimeFrame

Outcome Responsible Cost

Step six – Develop cross promotions with other business categories

Approach two business sectors (suggest Motor Vehicles and Clearance Village) and work with them to develop a significant cross promotion.

May 1 - 30 Provides a template for future promotions and having gained commitment from a major player will give confidence to other groups.

Marketing Team - 00

Create a brief document outlining the cross promotional concepts using the Motor Vehicle and Clearance promotion as an example of what’s possible. Arrange meetings with other businesses or category groups (send concept document in advance of meeting) and work with groups to develop ideas, responsibilities and time frames.

May 30 to Sept 30

Involves potential partners from the beginning and creates the opportunity to learn what their needs are developing the plan together will create ownership. Meetings can be arranges over several months so the coordinator can manage the work flow

Marketing Team – Project Coordinator

00

Work continues, plans progress May 30 – June 30

Ongoing work Marketing Team Project Coordinator

00

Commence process to design, produce and distribute second Post Card Promotion specifically for the clearance sector.

June 1 to July 31

Post cards repeated each quarter, or each six months depending on budget availability

Marketing Team - Coordinator

All cards distributed by July 31st July 31 Specific promotion for clearance sector. Committee only allocates $2,500 balance contributed by clearance sector businesses.

$2,500

Post Card Distribution continues, cross promotion for next post card promotion developed.

August 31st

Consistency and frequency maintained. Marketing Team -

Maintenance of current projects and media opportunities

September 30th

Consistency and frequency maintained. Marketing Team - Coordinator

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Post card Promotion for Glen Osmond Road produced and distributed

October 31st

Consistency and frequency maintained. Marketing Team - $6700

Post Card Distribution continues, cross promotion for next post card promotion developed.

November 30th


Maintenance of current projects and media opportunities

December 30th


Commence process to design, produce and distribute second Post Card Promotion specifically for the clearance sector.

January 2005


$2,500

Action TimeFrame

Outcome Responsible Cost

Step seven – Continue the process – frequency and consistency

Process continues every three to six months with variations on the method depending on opportunities and funds available

Post cards repeated each quarter, or each six months depending on budget availability

Full Budget presented in Management section. Marketing Budget includes :- Each Post card Promotion $6,700 (clearance sector post cards only partially underwritten to $2,500) Allocation for catering $ 750 Allocation for PR an media releases $ 500 Clearance ‘selling kit’ $1,000 $1,000 Bulk Mailing $ 200

The coordinator would be required in the early stages for a minimum of 20 hours per week. The costs could range from $25.00 to $30.00 per hour. Initially it may be easier to pay the coordinator a higher fee and they meet their own telephone, insurance, motor vehicle expenses and general administration. (Stationery, postage etc charged on to the association) A coordinator at $30 per hour for 26 weeks costs $15,600. It would be desirable to create a precinct office on Glen Osmond Road if the space was donated.

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DETAILED TIMETABLE FOR THE IMPLEMENTATION OF THE GLEN OSMOND BUSINESS PLAN This timetable provides an indicative timeframe and chronological sequence for implementation of the business and marketing plan and is included here to highlight the time frames for initiatives which directly impact on the Clearance Village. Sections highlighted directly impact on the Clearance Village.

In this section G.O.R.P.A. stands for Glen Osmond Road Precinct Association

2004

Febr

Time

Febr

Febr

uary 1 The Management Committee endorses the expansion of the Glen Osmond Road Precinct from Martens Road to Mt Barker Road.

Frame Management Funding Traffic & Streetscape issues

Mix and property leasing Marketing

uary 1 Working Party’s formed to • review the constitution,

recruit new committee member

• recruit advisory board members

• prepare position and person descriptions for coordinator

• to instigate a significant promotion that benefits all stakeholders

• appoint marketing team

G.O.R.P.A. identify most achievable source of funding

G.P.

Endorse the marketing plans for Glen Osmond Road Precinct and the clearance sector

uary 1 - 29 Engage a project manager to drive short-term promotion.

G.O.R.P.A. gain endorsement of funding sources from Unley & Burnside Council

Negotiate with Burnside and Unley councils for inclusion of infrastructure as recommended in the report ( parking signs, toilets, visual footpath framework) in future capital works budgets for next five years.

G.O.R.P.A. endorse the retail plan for the clearance sector Business case for property owners to consider engagement of joint property manager prepared and presented to Property owners in the clearance sector – agreement reached

Significant promotion benefiting the entire precinct launched.

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2004

Time Frame Management Funding Traffic & Streetscape issues


March 1 -31 Business case for funding support of the new Management structure and Marketing Plan prepared.

G.O.R.P.A. and CEO’s ofboth councils meet with Transport SA and Planning SA seeking clarification and cooperation

Property manager appointed Business case for funding support of the new Management structure and Marketing Plan prepared. Post card promotion for Glen Osmond Road prepared and distributed

April 1 – May 30 Working parties report back on changes to constitution and results of recruitment drive – decisions made and appropriate actions taken prior to next Annual General Meeting

Support promotional material prepared for property manager who commences leasing drive

Business case for new Management and Marketing Plan ‘sold’ to stakeholders Post card distribution continues. Cross promotion for next post card promotion developed

June 1 – June 30 Recruit Part time permanent coordinator

Working party consider criteria for evaluation of the main elements of the project to be incorporated into the coordinators reporting

Property manager reports to Property owners and G.O.R.P.A.

Post card promotion for clearance sector prepared. and distributed

July 1 - July 31 Appoint coordinator Ist meeting of the Advisory Board

New funding arrangements with stakeholders in place and income flow commences on July 1

Agreed council capital works projects instigated for 2004/2005 year. Most urgent is Parking Signage


Post card distribution continues. Cross promotion for next post card promotion developed

August 1 – 30 Coordinator implements evaluation systems

Works projects continue Update directory of businesses and retail mix (ongoing on a weekly basis with full audit every thee months

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September 1 - 30 Works projects continue Property manager reports to Property owners and G.O.R.P.A.

Post card promotion for Glen Osmond Road prepared. and distributed

October 1 – 31 Meeting of the Advisory Board Works projects continue Property manager reports to Property owners and G.O.R.P.A.


November 1 – 30 Works projects continue Update directory of businesses and retail mix (ongoing on a weekly basis with full audit every thee months

December 1 – 31 Works projects continue Property manager reports to Property owners and G.O.R.P.A.


2005

January 1 – 30 Meeting of the Advisory Board Funding arrangements reviewed if necessary

Works projects continue Property manager reports to Property owners and G.O.R.P.A.


February 1 – 28 Working party’s formed to recruit new executive committee members for next election recruit advisory board members if necessary

Review works projects with councils for the next financial year

Update directory of businesses and retail mix (ongoing on a weekly basis with full audit every thee months

March 1 – 31 Works projects continue Property manager reports to Property owners and G.O.R.P.A.

Post card promotion for Glen Osmond Road prepared and distributed

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2005



April 1 – 30 Meeting of the Advisory Board

Works projects continue Post card distribution continues. Cross promotion for next post card promotion developed

May 1– 30t Works projects continue Update directory of businesses and retail mix (ongoing on a weekly basis with full audit every thee months

June 1– June 30 Works projects continue Property manager reports to Property owners and G.O.R.P.A.


July 1 - July 31 Meeting of the Advisory Board

Works projects continue Post card distribution continues. Cross promotion for next post card promotion developed

August 1 – 30 Works projects continue Property manager reports to Property owners and G.O.R.P.A.

September 1 - 30 Works projects continue Update directory of businesses and retail mix (ongoing on a weekly basis with full audit every thee months

Post card promotion for Glen Osmond Road prepared and distributed

October 1 – 31 Meeting of the Advisory Board

Works projects continue Property manager reports to Property owners and G.O.R.P.A.


November 1 – 30 Works projects continue

December 1 – 31 Works projects continue Property manager reports to Property owners and G.O.R.P.A.


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2006



January 1st – 30th

Meeting of the Advisory Board

Funding arrangements reviewed if necessary

Works projects continue Update directory of businesses and retail mix (ongoing on a weekly basis with full audit every thee months


February 1st – 28th

Review works projects with councils for the next financial year


An Evolving Plan The plan would be reviewed each year, evolve as adjustments are made from lessons learnt and enhanced from its successes.

While the manner in which the recommendations are implemented may change it is important the main elements of the plan remain as the core focus:-


THE FOUR MAIN ELEMENTS OF THE PLAN

The four main elements in the Clearance Marketing Plan are:-

Housekeeping

make it easy for people to access: create interesting and calming surrounds and provide great service.

Expand the Mix

create a unique mix of clearance retailers

Attract and Satisfy Customers

deliver a frequent and consistent message

Engage a Coordinator

adequately resource the plan

For the clearance sector to reach its full potential all aspects of this plan need to be applied. It is realised the application of the plan is fund dependant and should it take time to secure adequate funds the short term focus should be on ‘attracting and satisfying customers’ and the long term focus ‘expanding the mix’.

IN CONCLUSION

The Glen Osmond Road clearance sector is at a crossroads. Its current position as a clearance destination is in danger of being slowly eroded or, conversely, the sector could reposition itself and benefit from the establishment of a new clearance shopping culture that is expected to grow in South Australia.

The clearance sector is an integral part of the global marketing plan and positioning of Glen Osmond Road however to take advantage of the opportunities that currently present themselves it will need to generate a more aggressive campaign than can be generated as part of the Glen Osmond Road Marketing Plan. The important factor is that the position for both campaigns is linked and supportive of the other hence maximising the marketing impact.

The Glen Osmond clearance sector is in an enviable position of having a major clearance centre spending considerable resources to create a greater awareness of the benefits of clearance shopping in the minds of South Australians. For a comparably small cost the Glen Osmond clearance sector can benefit from the this expected new popularity in clearance shopping by simply presenting itself as a legitimate alternative clearance destination.

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However, if the sectors goal is to assure itself of a strong future and an unassailable market position as a major destination in the clearance market it will need to establish a unique mix of clearance retailers that offer a point of difference to all current or future clearance destinations.

There are two factors that must be understood by the stakeholders for this plan to be successful. The first is that all stakeholders, from both the Unley and Burnside sectors, will need to contribute financially if the marketing plan is to be implemented successfully. The second will be long term commitment to the plan and patience to give the plan and its implementation adequate time to mature and deliver its promised returns. While immediate gains will be achieved through promotion the development of a desirable retail mix and the complete establishment of “Clearance and More” may take 3 to 8 years.

For the recommended changes to take place the councils will need to be supportive and when appropriate take a leadership role, however the choice of a future of slow decline or a vibrant unique Clearance Village lies predominately with the business operators and property owners.

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glen osmond road clearance centre

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