Carefree Truth
Issue #544, January 13, 2017
Mayor Les Peterson presented the primary thoughts and conclusions relating to the utilization of "Town Events" in Carefree's marketing program for 2017-2018 and beyond. Town events are defined as major events like the Christmas Festival and the Pumpkin Festival, and the individual promoters' fairs and festivals.
The Mayor explained that Carefree is in a transition period from the historic cornerstones of its introductory visitation experiences and its income sources. Many elements which were mainstays in these areas have undergone substantial changes over the years. In Carefree's early years, there were few residents and they valued privacy, open space and pristine desert. Other people visited Carefree, liked it and became residents. The desert between Carefree and developed Scottsdale and Phoenix was largely devoid of homes.
Carefree derived sales tax revenue from day trip visitors and tourists, and from a robust Carefree Resort which hosted visitors, some of whom later became residents. The Boulders Resort in north Scottsdale served as a secondary introductory experience to the Carefree area. The combination of visitor generated income, construction sales tax and state shared revenue produced sufficient income to permit Carefree to provide considerable services to its residents, invest in significant infrastructure projects and build its reserves.
These traditional income sources have been undergoing changes. The number of "destination" day trip and tourist visitors has declined substantially as development has spread north, leading to diminished sales tax revenue and impacting commercial occupancy rates, thus sales tax on commercial leases. The closing of Carefree Station created an income decrease. Due to ownership and management changes, compounded by the economic climate, the Carefree Resort has experienced a downturn in its business, diminishing accommodation and restaurant sales tax revenues previously generated there. Both that and the Boulders, which too suffered depressed activity, appear to be poised for an increase in activity.
Over the past 10 years, Carefree has increasingly relied on town events to fill the visitor gap. It was hoped that these events would help to stimulate sales tax revenues from the restaurants and specialty retailers. The slide on the video at 13:20 shows the income resulting from the fairs and festivals from 2007-2015, less internal Town costs not directly attributed to a specific event.
Carefree's marketing approach starting with the 2017 calendar should focus upon town events, as well as programs and activities in direct support of the Town's efforts to stimulate economic development. Efforts in economic development will be addressed separately.
Every town event should achieve one or more of four primary objectives:
1. Events should enjoy broad participation from residents, generating pride and a sense of "ownership".
2. Events should help to brand Carefree as a progressive, cosmopolitan, art oriented, and health and wellness oriented town among a younger, active, upscale demographic. Only town events which demonstrate and convey quality and adhere to the highest standards of implementation in all aspects will be considered. They must have a theme which supports a major component of Carefree's branding requirements and, if appropriate, offer products and/or activities which communicate this branding to the selected target demographic audience.
3. Events should fulfil the role of creating a positive experience of Carefree for the target demographic audience.
4. Events should help people visiting Carefree to realize that Carefree is not that far away from the cultural and work related centers of greater Phoenix. Carefree is a beautiful town in which to live. It has wonderful deserts, a very attractive downtown, award winning schools, cultural activities, restaurants, and all the desirable infrastructure already in place. Living in Carefree allows families and individuals to be part of the bustling greater Phoenix metro center while being removed from the daily traffic and congestion. And with no town specific property tax, Carefree is a very affordable place to live. A comparable house in Scottsdale or Phoenix costs approximately $3000 a year more due to local property taxes.
In addition, every town event should strive to create more subtle spikes in attendance over a longer period of time, which compliments Carefree's supporting infrastructure and businesses, rather than shorter duration/higher attendance spikes. They should be implemented in the most cost effective manner available to the Town and for the benefit of the residents. Budgets will be established in advance and reconciled afterwards. This will likely entail some participation costs to the people attending the events, and the historical relationships with the promoters of previous individual fairs and festivals will experience some change. Events should contain sufficient activities and elements which would reasonably occupy 2-4 hours of the attendee's time. Every town event must be a complete and satisfying experience in and of itself, not relying on external attractions until such a time as external attractions are in place.
Town events should be managed and supervised by the Town, with clear lines of authority and responsibility established. They should not rely heavily on the limited Town staff, Council members or volunteers for their implementation. This will likely require the use of an outside firm for the bulk of the labor requirements. Disruption of typical resident activities such as getting mail at the Post Office must be minimized, as well as disruptions to the business patterns of the patrons of restaurants and retailers. Events must have no inherent safety concerns which might result in an injury to a participant or come back negatively to the Town either financially or image-wise.
Mayor Peterson said the Town must bring in quality retailers who sell everyday goods. Since the remodel, Bashas' business is up 30%. This is a necessary course adjustment to prepare for the future in terms of building sales tax revenues. The Council agrees with the residents that no one wants a property tax.
Joe DeVito asked if revenue is trending downwards, how long will it be before Carefree feels the consequences. Gary Neiss did not feel comfortable hazarding a guess, but said if the Town does nothing, it will be sooner rather than later. Councilman Mike Krahe said Mr. DeVito asked the perfect question. If the downward trend were to continue, Carefree would be in a very bad position. He felt the plan is a thoughtful analysis of the past and the present, and provides a sensible way to move towards the future. It maintains the character and beauty of the town, while creating the revenue needed to sustain our way of life. The Council is committed to success.
The Mayor agreed that Carefree must be prepared and that it is do-able in a manner that protects the neighborhoods. This was part one of the discussion, which will be continued at the February meeting. Mayor Peterson said all questions, comments and feedback are welcomed.
Councilman Jim Van Allen introduced information about the annual Canadian Picnic that would be held 3 weeks from then at South Mountain. Around 3000 Canadians usually attend. For $1000 or less, the Town could have an information booth there for 4-5 hours. Rather than depending only on events to draw people to Carefree, he suggested going out and "grabbing them". The Mayor said Mr. Van Allen's suggestion would be investigated.
https://vimeo.com/198372255
Lyn Hitchon
Prepared by Carefree Truth
Visit our website at www.carefreetruth2.com If you know anyone who would like to be added to the Carefree Truth email list, please have them contact me. Feel free to share Carefree Truth with others on your list. Visit www.carefreeazbusinesses.com to see more info about businesses in Carefree. Please support our merchants.
Issue #544, January 13, 2017
Mayor Les Peterson presented the primary thoughts and conclusions relating to the utilization of "Town Events" in Carefree's marketing program for 2017-2018 and beyond. Town events are defined as major events like the Christmas Festival and the Pumpkin Festival, and the individual promoters' fairs and festivals.
The Mayor explained that Carefree is in a transition period from the historic cornerstones of its introductory visitation experiences and its income sources. Many elements which were mainstays in these areas have undergone substantial changes over the years. In Carefree's early years, there were few residents and they valued privacy, open space and pristine desert. Other people visited Carefree, liked it and became residents. The desert between Carefree and developed Scottsdale and Phoenix was largely devoid of homes.
Carefree derived sales tax revenue from day trip visitors and tourists, and from a robust Carefree Resort which hosted visitors, some of whom later became residents. The Boulders Resort in north Scottsdale served as a secondary introductory experience to the Carefree area. The combination of visitor generated income, construction sales tax and state shared revenue produced sufficient income to permit Carefree to provide considerable services to its residents, invest in significant infrastructure projects and build its reserves.
These traditional income sources have been undergoing changes. The number of "destination" day trip and tourist visitors has declined substantially as development has spread north, leading to diminished sales tax revenue and impacting commercial occupancy rates, thus sales tax on commercial leases. The closing of Carefree Station created an income decrease. Due to ownership and management changes, compounded by the economic climate, the Carefree Resort has experienced a downturn in its business, diminishing accommodation and restaurant sales tax revenues previously generated there. Both that and the Boulders, which too suffered depressed activity, appear to be poised for an increase in activity.
Over the past 10 years, Carefree has increasingly relied on town events to fill the visitor gap. It was hoped that these events would help to stimulate sales tax revenues from the restaurants and specialty retailers. The slide on the video at 13:20 shows the income resulting from the fairs and festivals from 2007-2015, less internal Town costs not directly attributed to a specific event.
Carefree's marketing approach starting with the 2017 calendar should focus upon town events, as well as programs and activities in direct support of the Town's efforts to stimulate economic development. Efforts in economic development will be addressed separately.
Every town event should achieve one or more of four primary objectives:
1. Events should enjoy broad participation from residents, generating pride and a sense of "ownership".
2. Events should help to brand Carefree as a progressive, cosmopolitan, art oriented, and health and wellness oriented town among a younger, active, upscale demographic. Only town events which demonstrate and convey quality and adhere to the highest standards of implementation in all aspects will be considered. They must have a theme which supports a major component of Carefree's branding requirements and, if appropriate, offer products and/or activities which communicate this branding to the selected target demographic audience.
3. Events should fulfil the role of creating a positive experience of Carefree for the target demographic audience.
4. Events should help people visiting Carefree to realize that Carefree is not that far away from the cultural and work related centers of greater Phoenix. Carefree is a beautiful town in which to live. It has wonderful deserts, a very attractive downtown, award winning schools, cultural activities, restaurants, and all the desirable infrastructure already in place. Living in Carefree allows families and individuals to be part of the bustling greater Phoenix metro center while being removed from the daily traffic and congestion. And with no town specific property tax, Carefree is a very affordable place to live. A comparable house in Scottsdale or Phoenix costs approximately $3000 a year more due to local property taxes.
In addition, every town event should strive to create more subtle spikes in attendance over a longer period of time, which compliments Carefree's supporting infrastructure and businesses, rather than shorter duration/higher attendance spikes. They should be implemented in the most cost effective manner available to the Town and for the benefit of the residents. Budgets will be established in advance and reconciled afterwards. This will likely entail some participation costs to the people attending the events, and the historical relationships with the promoters of previous individual fairs and festivals will experience some change. Events should contain sufficient activities and elements which would reasonably occupy 2-4 hours of the attendee's time. Every town event must be a complete and satisfying experience in and of itself, not relying on external attractions until such a time as external attractions are in place.
Town events should be managed and supervised by the Town, with clear lines of authority and responsibility established. They should not rely heavily on the limited Town staff, Council members or volunteers for their implementation. This will likely require the use of an outside firm for the bulk of the labor requirements. Disruption of typical resident activities such as getting mail at the Post Office must be minimized, as well as disruptions to the business patterns of the patrons of restaurants and retailers. Events must have no inherent safety concerns which might result in an injury to a participant or come back negatively to the Town either financially or image-wise.
Mayor Peterson said the Town must bring in quality retailers who sell everyday goods. Since the remodel, Bashas' business is up 30%. This is a necessary course adjustment to prepare for the future in terms of building sales tax revenues. The Council agrees with the residents that no one wants a property tax.
Joe DeVito asked if revenue is trending downwards, how long will it be before Carefree feels the consequences. Gary Neiss did not feel comfortable hazarding a guess, but said if the Town does nothing, it will be sooner rather than later. Councilman Mike Krahe said Mr. DeVito asked the perfect question. If the downward trend were to continue, Carefree would be in a very bad position. He felt the plan is a thoughtful analysis of the past and the present, and provides a sensible way to move towards the future. It maintains the character and beauty of the town, while creating the revenue needed to sustain our way of life. The Council is committed to success.
The Mayor agreed that Carefree must be prepared and that it is do-able in a manner that protects the neighborhoods. This was part one of the discussion, which will be continued at the February meeting. Mayor Peterson said all questions, comments and feedback are welcomed.
Councilman Jim Van Allen introduced information about the annual Canadian Picnic that would be held 3 weeks from then at South Mountain. Around 3000 Canadians usually attend. For $1000 or less, the Town could have an information booth there for 4-5 hours. Rather than depending only on events to draw people to Carefree, he suggested going out and "grabbing them". The Mayor said Mr. Van Allen's suggestion would be investigated.
https://vimeo.com/198372255
Lyn Hitchon
Prepared by Carefree Truth
Visit our website at www.carefreetruth2.com If you know anyone who would like to be added to the Carefree Truth email list, please have them contact me. Feel free to share Carefree Truth with others on your list. Visit www.carefreeazbusinesses.com to see more info about businesses in Carefree. Please support our merchants.