2005 INNOVATIONS AWARDS PROGRAM
APPLICATION
Deadline: April 4, 2005
INSTRUCTIONS: Complete and submit this document electronically if possible, preferably in Microsoft Word format (.doc or rtf). This application is also available at www.csg.org, in the Programs section. Determine the appropriate “Change Driver” from the enclosed matrix and indicate that in the appropriate space listed below. Keep in mind that the matrix is only meant to show potential relationships between change drivers, trends and issues, and is not exhaustive. Be advised that CSG reserves the right to use or publish in other CSG products and services the information that you provide in this Innovations Awards Program Application. If you object to CSG potentially using or publishing the information contained in this application in other CSG products and services, please advise us in a separate attachment to your program’s application.
ID #: 05- S-04-KY______Change Driver: __The Role of Government State: __Kentucky______
1. Program Name: "Kentucky Unbridled Spirit" Statewide Branding Initiative
2. Administering Agency: Kentucky Commerce Cabinet
3. Contact Person (Name and Title): W. James Host, Secretary, Kentucky Commerce Cabinet
4. Address: 2400 Capital Plaza Tower, 500 Mero Street, Frankfort, KY 40601
5. Telephone Number: 502-564-4270
6. FAX Number: 502-564-1512
7. E-mail Address: [email protected]
8. Web site Address: http://www.kentuckyunbridledspirit.com
9. Please provide a two-sentence description of the program. The "Kentucky Unbridled Spirit" statewide branding initiative was created to unite Kentucky, its people, its resources and its vision under one common brand. The branding initiative also was created to consolidate Kentucky’s Public Relations, Marketing and Advertising contracts to improve efficiency and bring significant savings to state government.
10. How long has this program been operational (month and year)? Note: the program must be between 9 months and 5 years old on May 1, 2005 to be considered.
Kentucky Governor Ernie Fletcher and the Kentucky Commerce Cabinet signed a contract with New West LLC (the company assisting with the branding project) that took effect on July 1, 2004.
11. Why was the program created? What problem[s] or issue[s] was it designed to address? Indicate how the program applies to the “change driver” that you listed above. Research had shown that Kentucky had no point of differentiation to market itself to prospective businesses or to tourists. Governor Fletcher created this program to provide that point of differentiation. Since a "brand" is a shortcut to a purchasing decision as defined by the American Marketing
1 Association), he made the decision to “brand Kentucky.” One common brand will allow all state cabinets and agencies to promote their services while also promoting the brand, thus ensuring a quality and consistency of message. In addition, the program was created to consolidate Kentucky’s numerous marketing, advertising and public relations contract under one banner to help improve efficiency, save money and create more “buying power” and return on investment for the state’s advertising dollars.
12. Describe the specific activities and operations of the program in chronological order. May 2004: Contract awarded by Governor Ernie Fletcher and the Kentucky Commerce Cabinet to New West, LLC. May-June 2004: Focus groups were conducted with over 1100 people inside and outside Kentucky. Hundreds of national business leaders, tourism industry and out-of-state consumers, plus Kentucky residents, were questioned during focus groups. June 2004: Meetings with Cabinet Secretaries and agency leaders to evaluate marketing and advertising budget and policies. July 2004: Brand concepts were created. August 2004: Communications Audit was conducted on all printed material in state government. September 2004: Brand concepts were presented to Governor. October 2004: Four Brand finalists were presented to the public to allow for voting by the people. November 2004: Governor Ernie Fletcher announces “Kentucky Unbridled Spirit” was the runaway winner. December 2004-Present: Kentucky Unbridled Spirit is being incorporated into all advertising, stationery, Web sites, plus other written and verbal communications inside and outside state government.
13. Why is the program a new and creative approach or method?
No state has ever had one state brand for all of state government. Kentucky, as other states, had separate brands or slogans for tourism, economic development, health and other issues. However, no state could feature one brand for tourism, economic development, state police, transportation, commerce, health and family services, Kentucky is the first state to feature one umbrella brand to promote an entire state and all state services with one common message.
The branding effort is working because Governor Fletcher mandated that all cabinets adopt the brand, and all cabinet secretaries mandated that their employees adopt the brand. Because of bureaucracy and “silos” that often exist in state government, the level of cooperation among cabinets in state government is unprecedented.
The branding initiative goes past the simple adoption of a logo. All stationery, brochures, websites and state communications are also being reviewed, and nothing can be printed without the brand. During this review process, unnecessary documents are being eliminated. A “Graphics Standards Manual” has been disseminated throughout state government, explaining how state agencies can properly adopt the brand instructions. This ensures a quality and consistency necessary in a branding effort.
In addition, Kentucky was able to enlist residents in the branding process by allowing people to vote for their favorite choice among four brand options presented. This built awareness of the branding process and support for the winning brand.
The contract also provides a unique and added value for the state. In previous years, the state had paid approximately $2.5 million in fees and commissions on $12-14 million in advertising. Under this contract, no advertising commissions are charged, and New West receives a flat hourly fee for all work performed
2 which is substantially less than the varying rates paid in the past. The branding research, development and implementation process was accomplished, as well as advertising placement and assistances to all other cabinets in state government, for approximately one million dollars less than had been paid in the previous year.
14. What were the program’s start-up costs? (Provide details about specific purchases for this program, staffing needs and other financial expenditures, as well as existing materials, technology and staff already in place.) Research, creative development, testing, rollout and initial implementation were completed for approximately $500,000. No state personnel were added, since work performed was under the scope of the contract with New West.
15. What are the program’s annual operational costs? Essentially zero. Any continuing branding costs are a part of what had been paid in past advertising fees and commissions. Each cabinet in Kentucky state government is incorporating the brand into their normal operations.
16. How is the program funded? The money for the branding initiative comes from money that has, in the past, been paid for advertising fees and commissions. Each cabinet in state government has an advertising budget, and savings in each cabinet are being used to fund ongoing branding work.
17. Did this program require the passage of legislation, executive order or regulations? If YES, please indicate the citation number. No. However, it required extraordinary cooperation among all cabinets in state government to adopt one common theme and incorporate it throughout state government. To accomplish the advertising savings, all existing contracts were allowed to expire. The Commonwealth published an RFP for one single agency to represent all of state government. 18 firms applied; seven were invited to make presentations and a committee that reviewed and graded all presentations ultimately selected New West as the top vote getter.
18. What equipment, technology and software are used to operate and administer this program? No additional technology was purchased for this program. The technology used was typical office and graphical design applications.
19. To the best of your knowledge, did this program originate in your state? If YES, please indicate the innovator’s name, present address, telephone number and e-mail address. Yes-the program was the vision of Governor Ernie Fletcher and Commerce Secretary W. James Host.
Governor Ernie Fletcher Secretary W. James Host Kentucky State Capitol Kentucky Commerce Cabinet 700 Capitol Avenue 500 Mero Street Frankfort, KY 40601 24th Floor 502-564-2611 Frankfort, KY 40601 [email protected] 502-564-4270 [email protected]
20. Are you aware of similar programs in other states? If YES, which ones and how does this program differ? No. Other states have started similar efforts after learning of Kentucky's success. In fact, other states have contacted Kentucky representatives to learn how it was accomplished.
21. Has the program been fully implemented? If NO, what actions remain to be taken?
3 No, the program is still being implemented. The brand is progressing across the state at a rapid pace-but any successful branding campaign takes time. A branding campaign is more than a motto or logo, for they are just symbols of a much larger philosophy and strategy. The goal is to make Kentucky Unbridled Spirit the most recognized state brand in the country. In addition, a merchandising component has been added and will result in more funds coming to the state's coffers.
22. Briefly evaluate (pro and con) the program’s effectiveness in addressing the defined problems] or issues]. Provide tangible examples. Before this effort began, Kentucky had several slogans; "It's that Friendly," "Education Pays, Think Kentucky.' among them. In essence, messages competed with each other and none had recognizability or traction. The branding effort is allowing uniform advertising and marketing efforts that are more direct and targeted.
In addition, the campaign has brought national publicity for the Commonwealth and has instilled more pride among current residents. Others have defined Kentuckians in less than flattering terms. Focusing on the "Unbridled Spirit" of Kentucky's people allows Kentuckians to see themselves in a more positive light, which is improving the self-image of our citizens. 55,000 Kentuckians voted during the branding process. Each time, “Kentucky Unbridled Spirit” received more than 60% of the vote.
23. How has the program grown and/or changed since its inception? The private sector has asked to participate by placing the brand in private advertising, stationery, signage and merchandising. In fact, there have been so many requests for branded merchandise that the brand has been licensed and is currently being marketed.
24. What limitations or obstacles might other states expect to encounter if they attempt to adopt this program? Cooperation among all state agencies is critical. It takes strong leadership and the tearing down of "silos" that have existed in the past. Buy-in from all of state government is a major issue. It is critical to communicate the intentions of the branding effort and the philosophy behind a brand to all employees of state government.
Add space as appropriate to this form. Return to: CSG Innovations Awards 2005 The Council of State Governments 2760 Research Park Drive, P.O. Box 11910 Lexington, KY 40578-1910 [email protected]
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