DEPARTMENT: Solid Waste Management
DEPARTMENT HEAD: David W. McCary
COUNCIL DISTRICTS IMPACTED: All
SUBJECT:
Media Purchases from Spurs Sports & Entertainment, LLC
SUMMARY:
This ordinance authorizes the Solid Waste Management Department (SWMD) to execute media purchases for advertising with San Antonio Spurs LLC d/b/a Spurs Sports & Entertainment, LLC for an amount not to exceed $135,650.00 beginning November 1, 2014 to September 30, 2015. These media purchases will encompass promotional needs for outreach for the SWMD recycling program through increased awareness.
BACKGROUND INFORMATION:
In FY 2014, the Solid Waste Management Department (SWMD) launched a partnership with the San Antonio Spurs in order to create more awareness of the City's recycling initiatives. That partnership, which included a television ad featuring Danny Green, has been SWMD's most successful television initiative to date, receiving more than 3,000 views on the SWMD You Tube page. Comparatively, other commercials and educational videos available on the SWMD You Tube page have received on average less than 600 views each. Overall, this partnership has increased viewership on the SWMD You Tube page by five times. The commercial was also featured during primetime television throughout the second half of the NBA season and playoffs. In addition to more recognition for the program, the partnership has helped to increase visitation to the department's social media pages and websites.
As SWMD continues to move toward reaching the residential recycling goal of 60% by 2025, it is important to continue to pursue marketing initiatives that will help the San Antonio community understand the importance of recycling. By leveraging the fan base of the San Antonio Spurs, SWMD hopes to continue to reach new audiences that may have previously been missed.
ISSUE:
As part of the outreach for the recycling program, SWMD wants to increase awareness by advertising during the NBA San Antonio Spurs games that will be showcased on local and cable television during their 2014-2015 NBA season. Through this agreement, a 30-second SWMD commercial will run 70 times throughout the season. SWMD will be the Spurs title sponsor for a full season recycling campaign culminating in the league-wide NBA Green Week in April. As part of the NBA Green Week, SWMD will receive one (1) week of promotional media leading up to the Spurs Go Green Night. SWMD also will receive one (1) week of live in-game TV drop-ins during the Spurs broadcasts on Fox Sports Southwest. In addition, SWMD will receive five (5) sponsor posts during NBA Green Week in April on the Spurs Facebook Page to promote Go Green Night and educate followers on green living.
A Request for Offer (RFO) was issued to Spurs Sports and Entertainment, LLC outlining the required scope of work to include all necessary advertisement requirements to support SWMD's Recycling educational outreach initiatives. Spurs Sports and Entertainment, LLC responded to the RFO and will provide said services for a cumulative amount not to exceed $135,650.00.
SWMD has routinely allocated funds within their budgets for marketing and media purchases to promote their programs and services. In some cases, the program requires the utilization of media outlets as a component of the program's work plan. This Ordinance will authorize SWMD to execute media purchases with Spurs Sports and Entertainment, LLC for FY 15 for recycling education outreach for SWMD's program. Approval by City Council will allow SWMD recycling program to efficiently spend funds allocated for media purchases for FY15 and meet the deliverables of their work plans. This will be the second marketing contract between SWMD and the Spurs, the first running through the 2013-2014 season.
ALTERNATIVES:
Should this Ordinance not be approved, SWMD will continue to promote the recycling education programs with the traditional means of pamphlets, door hangers, website and social media advertising, radio ads and meeting with homeowners. In order to reach the number of customers that could potentially be reached through the Spurs fan base, SWMD would have to increase outreach efforts in the area of marketing initiatives. For example, in order to get the television exposure of the Spurs games, SWMD would have to make a commercial which could cost as much as $50,000.00. Comparable air time buys could cost up to $200,000.00 with fewer rotations. Alternatively, newspaper ads can cost up to $45,000.00 and billboards cost $25,000.00 for a two month rotation. With newspaper and billboards, there is no guarantee that the desired audience will see the advertising.
FISCAL IMPACT:
This Ordinance will authorize SWMD to execute media purchases with Spurs Sports and Entertainment, LLC for SWMD Recycling outreach programs for a cumulative amount not to exceed $135,650.00. Funding for these purchases is available and budgeted within the FY 2015 Solid Waste Operating and Maintenance Fund Adopted Budget.
RECOMMENDATION:
Staff recommends the authorization of media purchases from Spurs Sports and Entertainment, LLC for the promotion of outreach for the recycling program for a total cumulative amount not to exceed $135,650.00 for FY 2015 which will allow SMWD's recycling programs to efficiently promote program activities and community outreach.