Presentation on theme: "Support to the Development of Greenfield investments in Lithuania “Presenting your Industrial Zone to Investors” Training session leaders: Gino De Reuwe."— Presentation transcript:
Support to the Development of Greenfield investments in Lithuania “Presenting your Industrial Zone to Investors” Training session leaders: Gino De Reuwe & Tomasz Sikora, Business Mobility International Richard Liebrechts, ECORYS Hotel Reval, Vilnius, 19 September 2006
Content Introduction: How to deal with investor’s information needs? Workshop: –Developing a presentation on the four sites (coffee break) –Presenting the four sites
The art of being prepared Just imagine… "Wouldn't it be great if there were a way to anticipate the information needs of companies and site selection consultants, before you receive their request for info?"
The information challenges INVESTOR'S SIDE: Complexity of decision (trade-offs, uncertainties…) Need for unbiased and correct information Intangible nature of some factors Need for tailored information Need for complete information Need for speed REGION'S SIDE: Lack of project information (confidentiality, distance…) Problem of coordination (sources, consistency…) Lack of resources
Investor Information options HIGHLY TAILORED SPEED Brochures Fact sheets / slides Tailored Business proposal EFFORT LOWLY TAILORED Website Investment guide Meetings & Site Visits
Handling meetings with investors Overcoming sales resistance: have the right attitude! –It's not a contest –Think in terms of of an opportunity to help select the right location Selling yourself Selling your organisation -> the "agency / product substitution effect"
Handling meetings with investors Be prepared Be sincere The VIP-treatment Decision-makers vs decision-influencers Use a locational requirements checklist Focus presentation on “Unique Selling Proposition”
The do's and don'ts of site visits DO's: –Do your homework! –Prepare an agenda for the day –Consider taking a translator –Call in the experts – but don't overcrowd it –Schedule one or more testimonials, e.g. with a local HR manager –Include a visit to the municipality –Be selective in which real estate opportunities you show the investor
The do's and don'ts of site visits DON'Ts: –Take shortcuts… –Go to unfamiliar restaurants –Involve the politicians (if you can)
The do's and don'ts of site visits Suggested contents for a Site Visit Guidebook: –Table of contents –Visit schedule –Regional map with all sites/buildings to be visited –Per site or building: Location map Industrial estate / site map Site / building analysis fact sheet Building lay-out map Photographs
Overcoming objections –It's not always that smooth: "Your country/region is too expensive…" "I will need to discuss this with …(decision-maker)" "We have some other countries on our shortlist…" –Try to be complete –Prepare your answers in advance BUT: the ideal location does not exist!
Best people Best communications Lowest payroll Lowest taxes Best sites Highest grants … … … … … = !!!
Investor business proposal It should be FAST, TAILORED and COMPLETE WHY FAST: –Reduce uncertainty regarding data collection –Ever-shortening location decision making period –The agency/product substitution effect Target: –Preferably available in draft form at time of site visit, based on preliminary project data –Final version sent within one-two weeks of the enquiry
Investor business proposal TAILORED PROPOSAL – Typical contents: –Cover page (with title, investor name and logo) –Table of contents page(s) (autom. generated) –Introduction (standardised) –Understanding of the project profile and key requirements (based on template) –Summary information, for all relevant location factors Based on fact sheets (standardised), but with sector focus where possible Accurate and verifiable (source info, contacts) Including interpretation and recommendations regarding the project (tailored) –Various annexes
Investor business proposal Delivery format: –Bound (colour) photocopies –Preferably in electronic form (Word / pdf) as well, for fast & easy referrals to all people involved within the investor's firm
How to achieve this? Co-ordinate with the other partners –Preferably only one global business proposal, prepared in conjunction with the Lithuanian Development Agency (ensuring consistency in content and format) –Added value of the regional and local level (different sources): Sites / building options Local cost levels Local infrastructure & utilities issues Local permit issues Local incentives issues Local workforce availability issues, community facilities…