Visibility and attractiveness of clusters

European Cluster Conference 2010!Marcus Andersson and Per Ekman, Tendensor

Brussels, 29 September 2010

- through Brand Management

Our services:

✓  Place branding processes and projects.

✓ Advising cities, clusters, regions and countries on place development and attractiveness.

✓ Training courses for place managers.

✓ Measure the image of places with our Attractiveness Index.

When place image influences our reality

When place image influences our reality

A recent example of place branding

Burgeoning academic interest

Distinctiveness vs. conformity

BioValley

Bio Bio Valley

STERN BioRegio

BioCon Valley

Medicon Valley

Biotechvalley

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? ?

?

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Some perspectives on brands

...an image

...a promise

...a relationship"

Brand as...

Place branding is difficult

Complex target markets

Limited control over the ”product” "

Structural problems can cause bad image

Improving place image takes time

The good news – clusters are no “ordinary” places

Inherently some degree of common identity and common interest.

Based on public-private partnerships and/or tripple-helix.

In search of distinctiveness..

Bordeaux

Parma

Bavaria

✓ Clusters need to mobilise commitment internally and have story to tell externally

✓ Find conceptual idea about cluster - unity of purpose

✓ Need to ask questions, such as: - Who are we, and what do we stand for? - What do we deliver? - What do others think about us? - How are we different from our competitors? - How do interactions with stakeholders shape our brand?

✓ Storytelling can create meaning, unity and direction

In search of distinctiveness..

Cluster reputation can help cluster actors to:

- Attract skilled professionals - Attract investments - Attract new firms -  Get new members to cluster organisation -  Promote sales and export – place-of-origin effect -  Diversify into new areas

How cluster reputation works

Benefits for SMEs:!- Talent attraction – surrogate for corporate reputation"- Financing – reduce risk "- Exports and internationalisation – prove legitimacy

Benefits for larger companies: -  Lobbying and articulating needs vis-à-vis policymakers -  Talent attraction – locality more important than ever -  Showcase “good citizenship” and maintain social image

How cluster reputation works

Process oriented benefits: -  Clarification of strategic concepts -  Strategic focus and direction -  Driving force to internal development -  Better sense of place and shared values -  Local and civic pride

Virtuous circles:

Sense of belonging more commitment to cluster development and brand idea

Positive international recognition identity strengthened internally

How cluster branding works

1. Project planning Expectations on goals and process Composition of steering- and project group Mapping of basic conditions and important background reading

2. Create process management team and steering group

Balance private-public Ensure management and policy support

3. Research Qualitative – focus groups (tripple-helix), deep interviews, “mystery shopping” Quantitative – perception surveys, media analyses

The Brand Management process

4. Development process - Workshop 1: Today’s image of the cluster - Workshop 2: The desired image of the cluster (brand identity) - 30 – 40 people participate (triple helix + local opinion leaders) - Results interpreted and analysed in project group - Feedback process to workshop group

5. Brand platform Clarifies:

- Identity, profile and image - Brand positioning - Core values -  The uniqueness and attractiveness of the place

The Brand Management process

6. Mobilisation and implementation Brand strategy

- Clarify roles – who is doing what? - Target groups and stakeholders - Action plan – both communication and development – if we want to achieve the image we want, what do we need to do/change? - Identify brand ambassadors who can carry the central idea of the brand

The Brand Management process

1. Leadership – brand building is management responsibility

2. Place matters – also for clusters

3. Brand identity – possibility to create hype, but mind the gap

Considerations and success factors

1. Ambassador networks

2. Joint showrooms

3. Conferences, reports and indexes

A few words about innovative channels..

1. Cultural regions

2. University towns

3. Thematic brands

4. Geographical positioning

5. Value-driven brands

Possible brand strategies

1. Are interested in being involved in our forthcoming study of cluster branding

2. Want to suggest cases to study or issues to look into for study

3. Are interested in our services

How?

-  Leave business card

-  Email us: marcus.andersson@tendensor.se

-  Join “Cluster brands” group on Linkedin

Get in contact with us if you:

THANK YOU FOR YOUR ATTENTION!

TENDENSOR AB WWW.TENDENSOR.COM TEL: +46 708-673634 EMAIL: marcus.andersson@tendensor.se

To discuss:

Which benefits of cluster reputation can you see for your cluster, and which one is the most important?

Group discussion – benefits of cluster reputation