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HomeMy WebLinkAboutC31391 - Mrkting-Dsgn Svcs at DWGR CITY OF PALM DESERT STAFF REPORT REQUEST: APPROVE CONTRACT NO. c31391 WITH BLUE MOON ADVERTISING IN AN AMOUNT NOT TO EXCEED $114,000 FOR MARKETING AND DESIGN SERVICES AT DESERT WILLOW GOLF RESORT FOR A 24-MONTH PERIOD SUBMITfED BY: Donna Gomez, Tourism & Marketing Manager CONTENTS: Blue Moon Advertising Contract DATE: June 13, 2013 Recommendation By Minute Motion: 1. Approve a 24-month contract with Blue Moon Advertising in an amount not to exceed $114,000 for marketing and design services for Desert Willow Golf Resort. 2. Authorize the City Manager to execute said Agreement. Funds have been allocated in the Desert Willow Fiscal Year 2013/14 Operating Budget, Fund 520, for the first fiscal year of the contract. 3. Approve subsequent twelve months (12) funding subject to Fiscal Year 2014/15 budget approval. Backqround Desert Willow has been contracting with Blue Moon Advertising for marketing and design services since December 2009. The KemperSports management team has been extremely pleased with the partnership that has resulted in a repositioning and strengthening of its advertising and marketing efforts. Specifically, Blue Moon has managed the design, production and bidding processes associated with the development of Desert Willow's collateral materials, has optimized its advertising program and media buys, and assisted with development of its ad campaign while contributing to its overall branding, image and marketing efforts. Contract No. C31391 Staff Report Blue Moon Advertising - Desert Willow Marketing June 13, 2013 Page2of2 The current contract with Blue Moon is an 18 month contract which is due to expire June 30, 2013. Blue Moon Advertising is proposing to maintain its current pricing structure of $4,750 per month for the entire 24-month time period. This pricing is very competitive and in-line with current market rates for the services they intend to provide within their scope of work. Retaining Blue Moon will allow for a continuity of service and brand messaging while taking advantage of Blue Moon's media buying skills and ability to acquire added value for Desert Willow's marketing program. Blue Moon has also agreed to provide additional services not previously included within the contract at the same pricing structure. During recent budget discussions, the City Manager directed Desert Willow to commit matching advertising dollars to participate in cooperative advertising with the City of the Palm Desert. The City's Marketing Manager has reviewed, commented on, and supports Desert Willow's marketing plan, budget and proposed contract with Blue Moon Advertising. Fiscal Analysis Funds are budgeted within the FY2013/14 Desert Willow operational budget at $57,000. The subsequent twelve (12) months funding would be contingent upon the approval of the Fiscal Year 2014/15 Desert Willow operational budget and would total $57,000 for that time period; total of$114,000 for the contract period. Submitted By: Department Head: Donna Gomez M in Alvarez Touris Marketing Mana r Economic Development Director � CITY COUNCILA��ON APPROVED DF.NiF.D Paul S. Gibson, Director of Finance TtECEI'VED OTHER , MEE ` oval� pyES, rl7l NOES: - ABSENI: - ABSTAIN: ' - J n M. Wohlmuth, City Manager VERIFIED BY: ' Original on File with C erk's Office G:Uda\Donna\Staff Reports\2013\Blue Moon DW Staff Report 2013-2015.doc CONTRACT NO. ADVERTISING � Agency of Record Agreement Agency Scope of Work for 7/1/13 through 6/30/I S Desert Willow Golf Resort (Client) hereby agrees to enter into a contract agreement for a period of 24 months from 7/1/2013 to 6/30/2015 to hire Blue Moon Advertising (Agency) as their advertising agency of record. A sixty-day written notice is required to change and/or cancel this agreement by either party. Agency and Client agree to the following terms and conditions, as well as any terms and conditions outlined in Agency's estimates, media charts and/or invoices. Client also authorizes Agency to produce tangible personal property for your account from time to time as approved by Client. In producing the finished products, it is expressly understood that all materials purchased by Agency to complete the property to be produced, passes to Client at the time of purchase and prior to any use by Agency. Such materials may include, but are not limited to: Artwork, illustrations, photography, typography, Photoshop, film work, scans, Photostats and prints, dies, logos and taglines, and other materials needed to prepare the finished product. It is understood and agreed that Agency will be acting as the exclusive advertising agency of record. As such, Agency is authorized to contact and employ third-party advertisers in various mediums including print, radio, television, billboard, or internet as agreed upon by the parties or deemed advisable by Agency in its representative capacity. It is agreed that Agency will be paid a monthly Agency Service fee of$4,750.00 payable to the agency on the 15th of each month. The fee will cover the 6 points below plus the scope of services on pages 1, 2, and 3. • All account service time • Production supervision • All clerical labor • Invoice reconciliation where needed and requested for media invoices • All meeting time, no mileage reimbursement Scope of Services to be provided: l. Maintain branding consistency of all the advertising and collateral materials to KemperSports, Desert Willow Golf Resort, and the City of Palm Desert Standards. Print Media Campaigns for 2013-201 S* a. Weddings Ad Template, 2014 b. Weddings Ad Template, 2015 Agency of Record Agreement 1 CONTR.ACT NO. c. Social/Local Ad/Calendar Ad Template, 2014 d. Social/Local Ad/Calendar Ad Template, 2015 e. Wine Event Ad Template, 2014 f. Wine Event Ad Template, 2015 g. Holiday Ad Template, 2013 h. Holiday Ad Template, 2014 i. Meeting Ad Template, 2014 j. Meeting Ad Template, 2015 k. Golf Academy Ad Template, 2014 l. Golf Academy Ad Template, 201 S m. Summer VIP Card Ad Template, 2014 n. Summer VIP Card Ad Template, 201 S o. Golf Branding Ad Template, 2014 p. Golf Branding Ad Template, 201 S q. Platinum Club Card Ad Template, 2014 r. Platinum Club Card Ad Template, 2015 *NOTE: The 2012/2013 contract called for 9 ad templates, we are now saying there will be 18 ad template at no additional charge over the monthly fee. These additional 9 templates are valued at $22,500.00. (Ad Design and Creation $2500 per ad template x 9 additional ads = $22,S00) 2. TWO (2) :60 second radio commercials**, including script writing, creative direction, and production of spots ($I500 per spot x 2 = $3,000) 3. ONE (1) Online Static Banner per ad issue per publication** 4. ONE (1) PR, Advertorial or feature story per quarter** **NOTE: The total added value not being invoiced for the items 2, 3 and 4 are $21,750.00. 5. Blue Moon will implement the FY2013/2014 media buy and negotiate added value in conjunction with Desert Willow staff, as well as present additional media opportunities. Blue Moon will send out an RFP to all prospective advertisers and supply information for FY2014/2015. 6. Approximately 7 rypes of collateral pieces to be revised, not including printing. The proposed revisions may include: a. TWO (2) Facility rack rate card revisions per year b. TWO (2) Westin Desert Willow rack rate card revisions per year c. TWO (2) Club Intrawest rack rate card revisions per year d. Comment Card e. Palm Desert Golf Academy brochure insert revisions f. New 2013/2014 scorecard g. New 2014/201 S scorecard Agency of Record Agreement 2 CONTRACT NO. 7. As directed, assist in the coordination of all local, regional, and national marketing efforts with regard to all Clients selected advertising mediums, (golf operations, catering, weddings, restaurant, golf academy and various special events), as well as conduct invoice reconciliation and tracking. Blue Moon will continue ongoing research of appropriate Bridal magazines and events, Meeting publications and events, Online and Social Media Golf marketing, Canadian Golf publication, and Local and Regional media opportunities, including added value and remnants. 8. Provide concept, design, production, and copywriting services necessary to maintain and/or improve the quality and appearance of a broad spectrum of marketing materials generated on behalf of Desert Willow Golf Resort. To include: Creative concept creation, pricing, copywriting, ad resizing and updating ads, as well as print coordination, digital photography, photo retouching, and creating and sending PDFs or electronic files to appropriate vendors. 9. Agency will utilize KemperSports advertising discounts when available on all advertising placements. No commissions to the agency will be paid by Desert Willow Golf Resort. All media will be invoiced net direct to Desert Golf Willow Resort. The agency will use either KemperSports negotiated rate or the Agency's rate, whichever is less. 10. Provide estimates on all Agency expenses outside of the scope of the Retainer Agreement, and ensure that all work performed on behalf of Desert Willow Golf Resort (including but not limited to printing, photography, copying, shipping, and delivery) be billed to Desert Willow Golf Resort at net amounts. Blue Moon submits at least THREE (3) bids for all jobs outside of scope of Retainer Agreement in estimate form to Desert Willow Golf Resort. Blue Moon negotiates for best possible prices on behalf of Desert Willow Golf Resort based on volume work and unique relationships with outside vendors. 11. Work closely with Desert Willow's Marketing Team which consists of the Director of Sales and Marketing, Director of Catering Sales, General Manager, Regional Sales and Marketing Director of KemperSports, Vice President of Marketing for KemperSports, and the Director of Sales and Marketing City of Palm Desert. 12. Provide monthly reports summarizing project activities, future planning, and achievements. 13. Manage the calendar of due dates for all marketing activities to ensure timely production and execution of all marketing programs assigned. 14. Attend a monthly meeting with Desert Willow Golf Resort Management to provide coordination and reporting on all marketing efforts. 15. Provide the Client with media tracking and provide copy of all materials to the Client. Blue Moon set up and coordinated a unique tracking URL system for print and online advertising with the Desert Willow Golf Resort Marketing Team at no additional cost. Above tracking system is coordinated on a weekly basis and is part of Retainer Agreement. Agency of Record Agreement 3 CONTRACT NO. 16. On course photography to be supervised and directed by Blue Moon at no additional charge. Blue Moon to oversee photographer(s) and coordinate on creative direction and supervision, including model selection (if applicable), set design (if applicable), and angles. 17. All outside work, such as, but not limited to printing, photography, illustrations for example will be billed to client net direct. 18. Blue Moon will provide liability insurance to Desert Willow Golf Resort naming the City of Palm Desert and KemperSports as a beneficiary. Any additional agency costs will be estimated in advance for client approval. No work shall be authorized by either client or agency without a signed estimate by client. Client specifically holds harmless and indemnifies Agency for any and all advertising costs as a result of any placement of advertising by Agency with any medium or third party. Client agrees to pay all invoices for such advertising medium or third party thorough Agency only and may not directly contact or pay the advertising medium. It is expressly understood that Agency takes no financial responsibility for any and all materials or media placed, and the only credit being established is that of the client. Invoices for all work performed by Agency whether for advertising placement, creative design, internet or other work shall be billed to the Client as incurred. Unless objected to in writing within a period of ten days, all invoices submitted by Agency will be deemed conclusive of the work performed, approval of the quality of the work shall be conclusive of the amount owed to Agency for such services. Client agrees to pay Agency within 30 days of receipt of invoices. Client agrees that all design work, creations including but not limited to: advertising, internet, business cards, stationery, billboards, or other medium shall be the exclusive work and property of Agency until invoices for such work are paid in full. Client agrees not to utilize any such design work in the event payment to Agency is not made in full, in a timely manner. Client agrees that the design work of Agency constitutes proprietary work to which Agency is entitled to a temporary restraining order or injunctive relief, without posting a bond to prohibit Client from utilizing such design work without payment to Agency. Approved: CITY OF PALM DESERT BLUE MOON ADVERTISING, INC. John M. Wohlmuth Edward Rubenstein City Manager President Date: Date: Agency of Record Agreement 4