Before becoming president and CEO of the Hudson Valley Economic Development Corp. in October, Michael Oates”™ was the owner of Creative Field Marketing, where one of his missions was to make one brand jump out at the public.
Oates said the owner of Bacardi wanted his label to stand out among the clutter on the shelves. “We did it by smashing the market. We needed to become more creative, more aggressive and out-promote the rest of the competition. We created award-winning advertising. We had 10,000 samplings in one year, where our closest competition only had 100. We had samplings in non-traditional places, and we got attention.” The result? Bacardi Light is the number one brand on the shelf, he said.
The dysfunction of the state Legislature has only made it more perplexing for companies considering New York for relocation or an expansion. “Inaction on the budget deficit, the MTA payroll tax, the proposed ”˜fat”™ taxes on soda and sweetened drinks and the sunset of the Empire Zone have not helped our cause.” Add to that clutter more than 1,000 state agencies and 10,000 local governments, said Oates, and you have a recipe for what he says is a system no one can navigate without being totally frustrated.
Oates thinks the strategies employed to bring new customers to Bacardi can be utilized to bring new business to New York. “Let”™s face it,” he said, “we have a lot of competition from neighboring and southern states.” “New York is not in a vacuum. The global financial crisis has hit us hard, but it has hit everyone else just as hard. We are on an even playing field when it comes to attracting new business.”
But where other states might be satisfied with attracting one new business and throw all their energy behind that one acquisition, “that”™s not good enough for the state or this region,” Oates said. “We need to be creative with the resources we have. We want to be in every game.”
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“Big businesses can hire consultants to wade through New York”™s incentive system. Most small and mid-size businesses do not, especially in this economic climate. We need to simplify the system and create an environment for companies that want to come here that is easier and attractive to navigate. We need sound state policies that will encourage investment. And we need clarity; the future of the Empire Zone, which is due to sunset in June 2010. That”™s only six months away.”
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Regional partnerships forged between mid-Hudson economic development corporations and working with local chambers of commerce to introduce prospective companies to the business community are imperative, Oates said. “We can show them the real estate, but we need the chambers to do what they do best ”“ create an ambassador program and bring members of the economic community together.” Clarity is the key, said Oates. In his opinion, New York”™s current “business unfriendly” quagmire of regulations and hurdles needs streamlining and de-cluttering in order to draw and retain companies.
Oates said under his leadership, the HVEDC will be “very active in promoting the seven county Hudson Valley region ”“ we will continue to have a robust website, trade shows, special events, e-blasts and continue extensive outreach to site selectors and brokers.
“When we had our annual showcase on November 9 at Regeneron Pharmaceutical in Westchester, the company liked what they saw and decided to take the space we held the show in. They are going to invest $40 million and create 300 new jobs…and we are going to do more of that.”
One thing the Hudson Valley is lacking is shovel ready sites for high-tech companies, “and we will continue to find and develop those high-tech sites and get the companies in here.”
Concerns about Pepsi Bottling being lured from its Hudson Valley home “are in discussion,” Oates said. “Needless to say, the soda tax and bottle bill have made it more of a challenge for companies like Pepsi to operate in this state.”
