Transcript Vision 2020
Vision 2020 Greater Bakersfield: Image in California AUGUST 2002 www.cogentresearch.com 2 • OBJECTIVES & METHODOLOGY • STRATEGIC SUMMARY • RESEARCH FINDINGS Overall Perceptions of Bakersfield Attitudes of Consumers Tourism Relocation Retirement Attitudes of Businesses Demographic Profiles 3 OBJECTIVES This quantitative study is Phase II of a two-phase project. The purpose of this study is to measure: • The needs of California residents with regard to tourism, relocation, and retirement • The needs of California businesses with regard to relocation • California residents’ and business persons’ perceptions of Bakersfield 4 METHODOLOGY Population: Residents (Random Sample) Business Persons (Expansion Management magazine subscribers) Area: California Methodology: Phone Data Collection Period: July 9 - July 26 Sample Size (error): Residents n=400 (+ 4.90 pp) Business Persons n=400 (+ 4.90 pp) 5 Residents were not asked all questions in the survey. For some batteries of questions, residents were split into “tourist,” “relocater,” and “retiree” groups. References to question numbers in two questionnaires, labeled QC# for the consumer questionnaire and QB# for the business questionnaire, appear throughout this report. 6 • OBJECTIVES & METHODOLOGY • STRATEGIC SUMMARY • RESEARCH FINDINGS Overall Perceptions of Bakersfield Attitudes of Consumers Tourism Relocation Retirement Attitudes of Businesses Demographic Profiles STRATEGIC SUMMARY Familiarity with Bakersfield positively affects perceptions Confirming our qualitative findings, consumers who have spent time in Bakersfield, who have family and friends who live in Bakersfield, or who have had the opportunity to get to know the people that live there have a more favorable impression of the community. In addition, business people who have a favorable impression of Bakersfield most often attribute it to visiting the city. A significant proportion of both consumers and business persons report very limited knowledge of Bakersfield. In many cases, their lack of knowledge and experience results in their having little or no impression of the city. Over a third of both groups say that their overall impression of Bakersfield is neither unfavorable nor favorable. 7 STRATEGIC SUMMARY As we saw in the qualitative interviews, people’s perception of Bakersfield changed when they learned more about what the city has to offer. For example, a common perception among consumers is that there is “nothing to do” in Bakersfield. However, when they are read messages about the various activities available, many say they would be more likely to visit the city. In addition, most business persons are unaware of the quality and availability of Bakersfield’s labor force. After hearing messages about the labor force, they say they would be more likely to relocate their company to Bakersfield. These misconceptions and lack knowledge present a great opportunity for Bakersfield to positively change its target markets’ perceptions through education and strategic communication. 8 STRATEGIC SUMMARY Perceived Strengths of Bakersfield Cost of living and housing The perception that cost of living and housing is a strength of Bakersfield is held among people looking to relocate, people who may be retiring in the near future, and business persons. In particular, the message about the cost of housing makes business people more likely to consider relocating to Bakersfield. Friendliness of people The friendliness of the people who live in Bakersfield is perceived as better than in other communities. This is an important feature for people looking to relocate to another community. Ability to offer a “change of pace” This is a factor that tourists look for when choosing a community to visit and one which they believe Bakersfield can provide better than other communities. 9 STRATEGIC SUMMARY Restaurants Bakersfield’s restaurants are perceived as being better than those of other communities. The quality of an area’s restaurants is important to tourists. Cost of land and labor Businesses are most likely to relocate in order to reduce costs and because growth of the company has created a need for a larger facility. In particular, the cost of labor weighs relatively heavily in their relocation decision. Bakersfield’s cost of land and labor is perceived as better than that of other communities. Accessibility to highways Accessibility to highways, which is important in business relocation decisions, is perceived as better in Bakersfield than in other communities. 10 STRATEGIC SUMMARY Perceived Weaknesses of Bakersfield Weather Bakersfield’s hot, dry weather was found to have a negative impact on both consumers’ and business persons’ impressions of the city. Weather is perceived as being very important by all groups. In several instances, Bakersfield’s weather has prevented tourists from visiting and relocaters from moving there. Cultural and recreational activities Bakerfield’s night life, and cultural and recreational activities are perceived as being worse than in other communities. Such activities are very important to tourists, and influential in their decisions about where to visit. Importantly, when read messages about the activities Bakersfield has to offer, the majority of participants say that the information makes them more likely to visit. The fact that survey paticipants respond favorably to information about culture and recreation in Bakersfield is consistent with qualitative findings. 11 STRATEGIC SUMMARY Career and higher educations opportunities Consumers who are likely to relocate within the next two years are driven to do so for career and educational opportunities. Those who are unlikely to relocate to Bakersfield cite the job market as one of the reasons. Not surprisingly, messages about the higher education institutions in Bakersfield make potential relocaters more likely to want to move to there. Medical care The availability of and quality of medical care are deemed the most important factors to people looking for somewhere to retire. In general, Bakerfield’s medical care is perceived as worse than that of other communities. 12 STRATEGIC SUMMARY The quality of labor force Labor, particularly its availability, is among the most important factors that businesses consider when deciding where to relocate to. Work ethic of the labor force is important to businesses. However, the work ethic of Bakersfield’s labor force is not perceived as relatively strong. Not surprisingly, the message about the strength of Bakersfield’s labor force makes businesses more likely to want to relocate there. Location Businesses feel they need to be closer to other areas, or closer to their established markets and customer bases, and seem unsure about the business opportunities in Bakersfield. 13 STRATEGIC SUMMARY Recommendations There are several areas in which Bakersfield is living up to consumers’ and businesses’ expectations and needs. We recommend that Bakersfield continue to concentrate on excelling in these areas and communicating its excellence in these areas to the appropriate groups. There are also a number of areas that are important to consumers and businesses which are perceived as being worse in Bakersfield than in other communities. In several cases, both consumers and businesses are simply unaware of what Bakersfield has to offer. These misconceptions can be corrected by educating people about Bakersfield’s true strengths. This study explored the needs and perceptions of several different groups of people including tourists, people looking to relocate, people who may being retiring in the near future, and business persons. We recommend addressing the disparate needs of each of these groups with the messages that will be most relevant to them. The specific recommendations for each of these groups follow. 14 STRATEGIC SUMMARY Tourists • Educate consumers about the recreational and cultural activities Bakersfield has to offer. Let them know that there are, in fact, many “things to do” in Bakersfield and that there are many reasons to visit. • Highlight Bakersfield’s superior restaurants and the “change of pace” from regular life it can offer to tourists. Relocaters • Educate consumers about the abundant job opportunities and higher education opportunities in Bakersfield. • Educate consumers about the quality of Bakersfield’s public education. • Promote Bakersfield’s low crime rate, low cost of living, and low cost of housing. • Promote the friendliness of the people who live in the Bakersfield community. • Concentrate less on promoting Bakersfield’s central location. 15 STRATEGIC SUMMARY Retirees • Educate older consumers about the quality and availability of medical care in Bakersfield. • Promote the affordable cost of living. Businesses • Educate business persons about the stability, availability, skills, and work ethic of Bakersfield’s labor force. • Educate businesses about Bakersfield’s accessibility to major markets. • Promote the affordability of labor, living, and housing in Bakersfield. • Promote the abundance of affordable land available in and around Bakersfield. • Promote Bakersfield’s accessibility to major highways. 16 17 • OBJECTIVES & METHODOLOGY • STRATEGIC SUMMARY • RESEARCH FINDINGS Overall Perceptions of Bakersfield Attitudes of Consumers Tourism Relocation Retirement Attitudes of Businesses Demographic Profiles Perceptions of Bakersfield are consistent across both consumers and businesses. The largest proportion of consumers and businesses in fact have no impression of Bakersfield. In addition, those with unfavorable views outweigh those with favorable views. Overall Perception of Bakersfield CONSUMERS Very favorable 3% Somewhat favorable 17% Neither unfavorable nor favorable 39% Very unfavorable 14% BUSINESS Very favorable 6% Somewhat favorable 14% Somewhat unfavorable 28% Neither unfavorable nor favorable 38% Very unfavorable 14% Somewhat unfavorable 28% Subgroup analysis: Business persons who have been to Bakersfield within the past year have a more favorable impression than those who have not been there in the past year. QC2, QB1. What is your overall perception of Bakersfield, California? Please use a scale of 1 to 5 where 1 is “very unfavorable” and 5 is “very favorable.” 18 Among both groups, perceptions of Fresno are similar to perceptions of Bakersfield. Perceptions of Los Angeles are slightly more favorable. Overall Perception of Other Cities CONSUMERS Very unfavorable 12% Very favorable 7% Somewhat favorable 19% Fresno BUSINESS Very unfavorable 9% Very favorable 8% Somewhat unfavorable 20% Somewhat favorable 21% Neither unfavorable nor favorable 38% Neither unfavorable nor favorable 35% Very favorable 13% Los Angeles Very unfavorable 22% Somewhat favorable 27% Somewhat unfavorable 19% Somewhat unfavorable 21% Very favorable 14% Very unfavorable 16% Somewhat favorable 23% Neither unfavorable nor favorable 17% QC3, QB2. What is your overall perception of Fresno, California? QC4, QC3. What is your overall perception of Los Angeles, California? Neither unfavorable nor favorable 24% Somewhat unfavorable 24% 19 Factors Shaping Perception of Bakersfield Consumers with favorable impressions of Bakersfield seem to be 20 most influenced by the people who live there. The majority of consumers with negative impressions of Bakersfield are influenced by the weather. They also mention a lack of “things to do.” CONSUMERS FAVORABLE: Family/friends there Good people/community Other activities Restaurants or shopping Hot, dry weather Only drove through Appearance/cleanliness A previous visit The cost of living Educational institutions n=80 26% 18% 13% 11% 10% 9% 9% 4% 4% 3% UNFAVORABLE: Hot, dry weather Dull/boring/nothing to do Dirty town Not impressed/don't like it Only drove through Crime/drugs Family/friends there A previous visit Never been there Other QC45. You mentioned before that your perception of Bakersfield is (answer Q2). What experiences or information helped form this perception? n=165 55% 23% 14% 12% 8% 7% 7% 3% 2% 11% Factors Shaping Perception of Bakersfield 21 Business persons have favorable impressions of Bakersfield from visiting the community and from reading about it and are impressed by the business opportunities for their industry. Those with negative impressions cite the weather and isolated location as influential. BUSINESS FAVORABLE: Have visited Bakersfield Business opportunities/industry Have read or heard about it New development/nice housing Have only driven through Used to live/work there Rural community/not a big city Weather Family/Friends Agricultural/Farming/Oil industry Location Other Don't know/refused n=82 17% 13% 12% 11% 10% 7% 5% 4% 2% 2% 1% 34% 4% UNFAVORABLE: Weather/hot/dry Location/desolate/isolated Bad business opportunity Have only driven through Have visited Bakersfield Agricultural/Farming/Oil industry Not a lot to do Have read or heard about it Used to live/work there Smog/fog Dirty/wasn't clean Too much desert Crime/corrupt police system Family/Friends Lack of education Rural community/not a big city Never been there Other QB27. You mentioned before that your perception of Bakersfield is (answer Q1). What experiences or information helped form this perception? n=166 42% 22% 14% 12% 10% 7% 4% 4% 4% 3% 3% 2% 2% 2% 1% 1% 1% 23% Visits to Bakersfield 22 Over three-quarters of both consumers and business persons have visited Bakersfield. Over a third have visited within the past year. CONSUMERS BUSINESS Have not been to Bakersfield 16% Have not been to Bakersfield 22% Have been to Bakersfield 85% Have been to Bakersfield 78% Within last year Within last 5 years Within last 10 years Within last 20 years Over 20 years ago Subgroup analysis: Younger consumers (18-34) are less likely than older consumers to have been to Bakersfield. People who live in Los Angeles county are less likely to have been to Bakersfield than those who live elsewhere in California. 37% 29% 15% 11% 9% Within last year Within last 5 years Within last 10 years Within last 20 years Over 20 years ago 43% 30% 14% 9% 5% Subgroup analysis: Business persons with a more favorable impression are more likely to have been to Bakersfield within the past year. Q40C, Q22B. Have you ever been to Bakersfield, California? Q41C, Q23B. When was the last time you were in Bakersfield? Perception of Bakersfield’s Location The majority of consumers and business persons feel “the southern part of the Central Valley” best describes Bakersfield’s location. CONSUMERS Something else better describes it 4% Don't know 11% The northern part of Southern California 26% The southern part of the Central Valley 60% BUSINESS Something else better describes it 5% Don't know 8% The northern part of Southern California 24% The southern part of the Central Valley 63% Subgroup analysis: Younger consumers (18-34) are more likely than older consumers to feel “the northern part of southern California” better describes Bakersfield. QC42, QB24. Which of the following best describes Bakersfield’s location? 23 Awareness of Bakersfield’s Location The majority of consumers and business persons are aware that Bakersfield is located in Kern County. CONSUMERS BUSINESS Don't know 3% No 32% No 43% Yes 55% Yes 68% Subgroup analysis: Younger consumers (18-34) are less aware than older consumers. QC43, QB25. Are you aware that Bakersfield is located in Kern County? 24 Impression of Location Descriptions There is a slightly larger proportion of people who have a more favorable impression of “Kern County” than those who prefer “Greater Bakersfield.” However, the largest proportion of people do not have a preference between the two labels. CONSUMERS BUSINESS Greater Bakersfield 14% Neither is better than the other 55% Kern County 31% Neither is better than the other 43% Greater Bakersfield 25% Kern County 32% QC44, QB26. Which description of the area do you have a more favorable impression of? 25 26 • OBJECTIVES & METHODOLOGY • STRATEGIC SUMMARY • RESEARCH FINDINGS Overall Perceptions of Bakersfield Attitudes of Consumers Tourism Relocation Retirement Attitudes of Businesses Demographic Profiles Frequency of Leisure Travel The vast majority of consumers travel between one and five times a year. Almost a quarter of them travel over five times a year. CONSUMERS More than 10 Less than times a year once a year 12% 14% 6 to 10 times a year 10% About once a year 17% 2 to 5 times a year 48% Subgroup analysis: Younger consumers (18-34) travel for leisure more often. QC5. How often do you travel for leisure? 27 Factors Influencing Tourism Choices 28 Tourists most often consider the cultural activities/entertainment and the weather when evaluating places to visit. CONSUMERS The cultural activities/entertainment available The weather of the area The cleanliness of the area The safety of the area The scenery The outdoor recreational activities available The proximity/location The quality/friendliness of the people/community The restaurants The presence of family or friends living there The hotels and accommodations The historical sites in the area The population density/number of tourists The activities available for children and families The cost involved The shopping available in the area The traffic/roadways/transportation Other 31% 25% 17% 16% 13% 13% 10% 9% 9% 8% 8% 8% 6% 5% 5% 5% 4% 11% Subgroup analysis: Younger consumers (18-34) are more likely than older consumers to consider the safety of the area and the outdoor recreational activities. Older consumers(55+) are more likely to consider presence of family and friends. Single people are more likely than married people to consider the friendliness of the people. Married people and people 35-54 are more likely than other groups to consider activities for children and families. People from northern California are more likely to consider the scenery than people who live elsewhere. QC6. When you are evaluating a community as a place to visit, what are the most important factors you consider? Factors Influencing Tourism Choices n=307 Mean 5- Very Important 29 The weather, the outdoor recreational activities, and the restaurants are most important to consumers when they are deciding what communities to visit. 4 4.22 The weather 54% 23% The outdoor recreational activities available 3.82 The restaurants 3.81 30% 34% 3.73 32% 29% The area's ability to provide you with a change of pace from your regular life The cultural activities available 3.61 The activities available for children and families 3.45 The hotels and accommodations 3.50 The historical sites in the area 3.59 The shopping opportunities in the area 3.35 The transportation available in the area 3.15 The night life the area offers 2.88 38% 30% 28% 31% 36% 19% 27% 28% 31% 24% 23% 21% 17% 27% 26% 20% Subgroup analysis: Outdoor recreational activities, shopping, “change of pace,” night life, and job opportunities are more important to younger consumers. Historical sites, cultural activities, friendliness of people, and weather are more important to older consumers. QC8-18. Now, I’m going to read a list of factors that might influence someone’s decision to visit a certain community. Please tell me how important each factor is to you. Please rate each factor on a scale of 1 to 5 where 1 is “Not important at all” and 5 is “Very important.” Likelihood to Visit Bakersfield The majority of consumers are very unlikely to visit Bakersfield within the next year, while over a quarter are at least somewhat likely to do so. CONSUMERS Very likely 16% Somewhat likely 11% Neither likely nor unlikely 2% Very unlikely 58% Somewhat unlikely 14% Subgroup analysis: Consumers who have been to Bakersfield recently are more likely to visit again. People who live in Central and South Central California are more likely to visit Bakersfield than those who live elsewhere in California. QC46. How likely are you to visit Bakersfield within the next year? 30 Reasons Preventing Visiting Bakersfield 31 Consumers who are unlikely to visit Bakersfield feel they have no reason to do so. Other barriers, such as location and weather, are rarely top of mind. CONSUMERS n=338 No reason to visit/not interested Location Will only come for family/friends Weather/too hot Family moved/no longer lives there Health issues/age Only go for business “Trashy” place Other QC47. (If Q46<5) Why aren’t you more likely to visit to Bakersfield? 66% 11% 7% 7% 5% 4% 3% 2% 5% Across most factors, in particular weather and night life, Bakersfield is perceived to be below average compared with other communities in California. Bakersfield’s strength as a tourist destination is its ability to offer tourists a “change of pace.” Ratings of Bakersfield Somewhat worse Much worse Somewhat better Much better TOURISTS n=307 Neutral categories not shown The area's ability to provide you with a “change of pace” 12% 10% The restaurants 6% The shopping opportunities in the area The weather The hotels and accommodations The outdoor recreational activities available 30% 9% 4% 14% 10% 3% 10% 15% 8% 4% 7% 7% 8% 4% 10% 13% 8% 3% The historical sites in the area 9% 11% 8% 3% The transportation available in the area 7% 12% 6% 4% The night life the area offers 5% 13% 6% 8% The activities available for children/families The cultural activities available 14% 18% 8% 12% 11% 6% 25% 32 12% 13% 5%3% Subgroup analysis: Consumers who have been to Bakersfield recently perceive activities for families, shopping, and restaurants to be better. QC50-60. Now, I’m going to repeat a list of factors that might be used to evaluate a community as a place to visit. For each factor, please tell me whether you consider Bakersfield much worse, somewhat worse, about the same, somewhat better, or much better than other communities in California that you are familiar with. Importance vs. Performance The chart on the following page illustrates how well Bakersfield performs with regard to the factors which may influence a person’s decision to visit a community. Items are plotted from bottom to top in increasing order of importance and from left to right in increasing order of Bakerfield’s perceived performance. Upper-Left Quadrant: High Importance, Lower Performance. This is perhaps the most critical area for Bakersfield because it demonstrates areas that are very important to consumers and in which Bakersfield is perceived as worse than other communities. Upper-Right Quadrant: High Importance, Higher Performance. Items is this quadrant represent those for which Bakersfield is living up to consumers’ expectations. While there is no indication that Bakersfield’s performance is in need of improvement, it should continue to make these areas a priority. Lower-Right Quadrant: Low Importance, Higher Performance. Items in this quadrant represent those for which Bakersfield is exceeding expectations. Lower-Left Quadrant: Low Importance, Lower Performance. Bakersfield’s performance in these areas is relatively low. However, because they are less important to consumers, there is less reason to be concerned. 33 Consumer Importance/ Performance Matrix Areas of high importance and lower performance include weather and outdoor recreational activities. Areas of high importance and higher performance include restaurants and ability to offer a “change of pace.” TOURISTS 80% Importance Mean = 57% (Top 2 Box) 75% High Importance Lower Performance High Importance Higher Performance Weather 70% Outdoor Recreation 65% Resturants 60% 55% Change of pace Cultural Activities Historical sites Hotels Activities for children 50% 45% 40% 35% 5% Shopping Transportation Low Importance Lower Performance Low Importance Higher Performance Nightlife 10% 15% Performance Mean = 14% (Top 2 Box) 20% 25% 34 Reactions to Messages Much more likely Potential tourists are more influenced by messages about the outdoor recreational activities and cultural activities in Bakersfield. Somewhat more likely TOURISTS n=307 Bakersfield has abundant outdoor recreational activities such as golf courses, bike paths, white water rafting, camping, fishing, water sports, etc Bakersfield's cultural activities include annual Jazz and Film Festivals Bakersfield's entertainment activities include several race tracks, from NASCAR to drag racing, and concerts from a variety of entertainers such as Elton John, Jewel and Buck Owens to Korn, Blink 182 and Tool Bakersfield and Kern County are centrally located-no more than two hours from downtown Los Angeles-or four hours from either San Diego or San Francisco 20% 30% 12% 30% 16% 9% 19% 20% Subgroup analysis: Younger consumers (18-34) found the message about entertainment more appealing than older consumers did. QC82-85. I’m going to read you some statements about Bakersfield, California. Please tell me whether each statement makes you less likely, neither less nor more likely, or more likely to consider visiting there. 35 36 • OBJECTIVES & METHODOLOGY • STRATEGIC SUMMARY • RESEARCH FINDINGS Overall Perceptions of Bakersfield Attitudes of Consumers Tourism Relocation Retirement Attitudes of Businesses Demographic Profiles Likelihood to Relocate Almost a quarter of consumers are likely to relocate within the next two years. CONSUMERS Very likely 14% Somewhat likely 10% Neither likely nor unlikely 4% Somewhat unlikely 10% Very unlikely 63% Subgroup analysis: Younger consumers (18-34) and single people are more likely to relocate than older and married consumers. QC7. How likely are you within the next two years to permanently relocate to another community beside the one where you currently reside? 37 Factors Influencing Decision to Relocate 38 Consumers who plan on relocating are most likely doing so for career or educational opportunities. CONSUMERS n=93 Employment/career opportunities Schools/college Family reasons Population/crowding issues Weather/temperature Looking for a change/something better Cost of living Safety issues Age/retirement Looking for a new home Environment/scenery Want to move back to previous home Other QC7a. What are the main reasons prompting you to consider relocating? 35% 17% 12% 10% 9% 6% 6% 5% 5% 4% 2% 2% 14% Factors Influencing Relocation Choices 5- Very Important The crime rate, the cost of housing and overall cost of living, and the available job opportunities are the most influential factors in a consumer’s decision to relocate to a certain community. 4 n=93 Mean The area's crime rate 4.38 The cost of housing 4.29 57% The job opportunities available 4.22 56% The overall cost of living 4.20 The area's air quality 62% 22% 19% 27% 46% 32% 49% The friendliness of the people who live in the area 4.18 4.08 The higher education opportunities 4.06 The quality of the public education system 4.03 The weather 4.02 The outdoor recreational activities available 3.67 26% The cultural activities available 3.66 25% The shopping opportunities in the area 3.58 26% The activities available for children and families 3.52 32% The night life the area offers 3.42 30% The ethnic and cultural diversity of the people 3.39 27% 43% 27% 45% 30% 55% 16% 41% 23% 29% 30% 38% 25% 25% 23% 27% Subgroup analysis: Job opportunities and nightlife are more important to single people. The weather and the friendliness of people who live in the community are more important to people over 55. The cost of housing is more important to people 35-54. QC19-33. Now, I’m going to read a list of factors that might influence someone’s decision to relocate to a certain community. Please tell me how important each factor is to you. Please rate each factor on a scale of 1 to 5 where 1 is “Not important at all” and 5 is “Very important.” 39 Likelihood to Relocate to Bakersfield Among consumers who are likely to relocate within the next two years, just 5% are likely to move to Bakersfield. CONSUMERS n=93 Somewhat unlikely 12% Very unlikely 80% Neither likely nor unlikely 3% Somewhat likely 2% Very likely 3% QC48. (IF Q7 = 4,5) How likely are you to consider moving to Bakersfield within the next two years? 40 Reasons Preventing Relocating to Bakersfield 41 Consumers who are unlikely to move to Bakersfield feel they have no reason to do so. They also mention the weather and the job market. CONSUMERS n=83 Have no reason to move there The weather/heat The job market/business The lack of entertainment or activities The geographic location The location of family and friends Too far from the beach Not familiar with the area Other Don't know 19% 18% 17% 13% 12% 10% 6% 6% 15% 4% Subgroup analysis: Younger consumers (18-34) are more likely to be prevented by the job market. Older consumers (55+) are more likely to be prevented by the weather. QC49. What prevents you from being more likely to consider Bakersfield? Bakersfield’s cost of living and housing and the friendliness the people who live there are it greatest strengths as a community to relocate to. Areas considered weaker are the job opportunities, night life, and cultural activities. Ratings of Bakersfield Somewhat worse Much worse Somewhat better Much better RELOCATERS n=93 Neutral categories not shown The cost of housing 2% 3% 26% 1% 26% The overall cost of living The area's air quality 6% The friendliness of the people 4% 12% 20% 22% The outdoor recreational activities The shopping opportunities 5% 3% 18% 24% The activities available for children/families The higher education opportunities The job opportunities available The cultural activities available 24% 8% 10% 6% 23% 4% 11% 2% 6% 2% 11% 4% 3% 18% 5% 12% 2% 2% 5%5% 3% 11% 6% 12% 2% 1% 8% 6% 3% The quality of the public education system The night life the area offers 15% 4%8% 8% 4% The ethnic and cultural diversity 16% 18% 3% 3% 16% The area's crime rate The weather 13% 17% 6% 1% 4% 2% Q61-75. Now, I’m going to repeat a list of factors that might be used to evaluate a community as a place to live. For each factor, please tell me whether you consider Bakersfield much worse, somewhat worse, about the same, somewhat better, or much better than other communities in California that you are familiar with. 42 Consumer Importance/ Performance Matrix 85% 80% Importance Mean = 68% (Top 2 Box) 75% 70% 65% 60% 55% 50% As the chart shows, among perceived weaknesses, weather, job and higher education opportunities and public education are considered most important. RELOCATERS High Importance Lower Performance High Importance Higher Performance Crime rate Job Opportunities Cost of Living Air quality Higher Education Public education Weather Cost of Housing Friendliness of people Cultural activites Activities for families Outdoor recreation Nightlife Shopping Ethnic/cultural diversity 45% 40% 35% 5% Low Importance Lower Performance 10% 15% Low Importance Higher Performance 20% 25% Performance Mean = 16% (Top 2 Box) 30% 35% 40% 45% 43 Reactions to Messages Much more likely Messages about higher education opportunities, recreational activities, and Bakersfield’s ranking for business and careers were most appealing to potential relocaters. Somewhat more likely RELOCATERS Bakersfield has several public and private higher educational institutions such as California State University and the University of California 17% Bakersfield has abundant outdoor recreational activities such as golf courses, bike paths, and white water rafting 28% 15% Emphasizing youth and family activities, Bakersfield is a great place to raise a family 31% 14% 29% 15% 27% Bakersfield is no more than a two hour drive from the mountains, rivers, beaches, wine country, and LA Bakersfield is centrally located, no more than four hours away from either San Diego or San Francisco 33% 18% The median home sales price in Bakersfield is $105,500 Bakersfield's cultural activities include a 70-year tradition symphony and annual Jazz and Film Festivals 33% 14% Bakersfield is considered one of the best places in the United States for business and careers, ranked 53rd in the nation and 15th in California Bakersfield's entertainment activities include several sports teams n=93 12% 6% 4% 30% 26% 25% QC86-94. I’m going to read you some statements about Bakersfield, California. Please tell me whether each statement makes you less likely, neither less nor more likely, or more likely to consider relocating there. 44 45 • OBJECTIVES & METHODOLOGY • STRATEGIC SUMMARY • RESEARCH FINDINGS Overall Perceptions of Bakersfield Attitudes of Consumers Tourism Relocation Retirement Attitudes of Businesses Demographic Profiles Factors Influencing Retirement Choices 5- Very Important 46 Medical care and cost of living are most important to older consumers when considering communities for retirement. 4 n=175 Mean The availability of medical care 4.37 67% The quality of medical care 4.31 66% The overall cost of living 4.09 The cost of housing 4.05 Proximity to family or friends 3.81 The social and recreational activities for retired people 3.67 15% 14% 46% 34% 50% 39% 34% QC34-39. Now, I’m going to read a list of factors that might influence someone’s decision to retire to a certain community. Please tell me how important each factor is to you. Please rate each factor on a scale of 1 to 5 where 1 is “Not important at all” and 5 is “Very important.” 26% 25% 29% Consumers consider the cost of housing and living in Bakersfield to be better than in other communities they might consider for retirement. However, for most, Bakersfield is not as close to their family and friends. Ratings of Bakersfield Somewhat worse Much worse Somewhat better Much better RETIREES n=175 Neutral categories not shown The cost of housing 3% The overall cost of living 3% 3% 4% 26% The availability of medical care 3%5% 7% 5% The quality of medical care The proximity to family or friends The social and recreational activities available for retired people 5% 4%6% 5% 24% 15% 11% 23% 6% 5% 7% 10% 5% 3% QC76-81. Now, I’m going to repeat a list of factors that might be used to evaluate a community as a place to retire. For each factor, please tell me whether you consider Bakersfield much worse, somewhat worse, about the same, somewhat better, or much better than other communities in California that you are familiar with. 6% 47 Consumer Importance/ Performance Matrix 85% Areas of high importance and lower performance are availability and quality of medical care. Areas of high importance and higher performance are cost of housing and cost of living. RETIREES High Importance Lower Performance High Importance Higher Performance Availibility of medical care Quality of medical care 80% Cost of living Importance Mean = 74% (Top 2 Box) 75% Cost of housing 70% 65% 60% Proximity to family and friends Social and recreational activites for retirees 55% 50% 45% 40% 35% 5% Low Importance Higher Performance Low Importance Lower Performance 10% 15% 20% 25% Performance Mean = 18% (Top 2 Box) 30% 35% 40% 48 49 • OBJECTIVES & METHODOLOGY • STRATEGIC SUMMARY • RESEARCH FINDINGS Overall Perceptions of Bakersfield Attitudes of Consumers Tourism Relocation Retirement Attitudes of Business Persons Demographic Profiles Likelihood to Relocate About 12% of the business people interviewed say their company is likely to relocate within the next two years. BUSINESS Somewhat likely Neither likely 5% nor unlikely 3% Very likely 7% Somewhat unlikely 9% Very unlikely 77% QB4. How likely is your company to relocate to another community beside the one where you are currently located within the next two years? 50 Factors Influencing Decision to Relocate 51 Costs and company growth are among the top reasons companies are considering relocation. BUSINESS n=47 Costs (general) Company growth/need a bigger facility Government regulations Energy costs Lease is almost up Location of corporate headquarters Availability/cost of labor Traffic Other Don't know/Refused 36% 17% 9% 6% 6% 6% 6% 4% 9% 11% Subgroup analysis: Manufacturing companies are more likely to relocate due to company growth and need for a bigger facility. QB5. What are the main reasons causing your company to consider relocating? Factors Influencing Relocation Choices 52 Availability of labor and geographic location were mentioned most often as factors that are influential in relocation decisions. BUSINESS Availability of workforce Location/traveling distance to work Cost of living Amount of business opportunity Transportation Cost (general) The people/community Tax costs Amount of space available Environment Population Proximity to the owner's home Accessibility to recreation/other places Weather Shipping/trucking services Government support/regulations Other QB6. If your company were planning to relocate to a different community within California, what are the most important factors it would consider? 22% 21% 18% 13% 12% 12% 6% 5% 5% 5% 3% 3% 3% 2% 2% 1% 9% Factors Influencing Relocation Choices 5- Very Important 53 Various aspects of a community’s labor force, including work ethic, stability, availability, and cost are considered most important to business relocation decisions. BUSINESS 4 Mean The work ethic of the labor force 4.30 The stability of the labor force 4.27 The availability of the labor force 4.28 The cost of labor 4.15 43% 35% How well the labor force's skills fits company’s needs 4.09 44% 31% The overall cost of living 4.00 The cost of land 3.96 The area's accessibility to major highways 3.98 The training of the labor force 3.89 The cost of housing 3.82 The area's proximity to major markets 55% 3.63 The higher education opportunities 3.38 The accessibility to air travel 3.20 The cultural and recreational activities available 3.26 48% 37% 50% 34% 37% 37% 44% 27% 40% 30% 38% 30% 30% 3.70 The area's technical infrastructure (T1 and T3 lines) 30% 37% 35% 26% 30% 20% 18% 13% 25% 27% 22% 26% QB7-21. Now, I’m going to read you a list of factors that might be used to evaluate a community as a place to live and as a business location. Please tell me how important each factor would be to your company if it were considering moving some where else in California. Likelihood to Relocate to Bakersfield Based on current perceptions, few California businesses would consider relocating to Bakersfield. Even among businesses likely to relocate with the next two years, only 6% are likely to relocate to Bakersfield. BUSINESS Unlikely to Relocate Likely to Relocate n=46 n=354 Somewhat unlikely 11% Very unlikely 79% Neither likely nor unlikely 6% Somewhat likely 3% Somewhat unlikely 11% Neither likely nor unlikely 20% Very likely 2% Somewhat likely 4% Very likely 2% Very unlikely 63% QB28. If your company were planning on relocating to somewhere else in California within the next two years, how likely would it be to relocate to Bakersfield? 54 Reasons Preventing Relocation to Bakersfield 55 Bakersfield’s geographic location appears to be preventing businesses from considering it. In several cases, businesses need to be closer to other areas or already have customer bases established elsewhere. n=346 BUSINESS UNLIKELY TO RELOCATE IN NEXT TWO YEARS: Need to be close to other places 24% Not likely we will relocate 14% Customer base already established 12% Bad business opportunity/small market 8% Lacks work force/talent needed 7% Weather is too hot 7% Happy elsewhere 6% Employees live elsewhere 4% Owner's issues 3% Nothing to attract us there 3% Too small for our business 2% Other 21% n=45 LIKELY TO RELOCATE IN NEXT TWO YEARS: Customer base already established 18% Need to be close to other places 16% Bad business opportunity/small market 13% Employees live elsewhere 9% Lacks work force/talent needed 4% Happy elsewhere 4% Owner's issues 2% Other 33% QB29. Why isn’t your company more likely to relocate to Bakersfield? Businesses generally rate the cost of land, living, and labor in Bakersfield as better than that of other communities. Accessibility to air travel, higher education opportunities and training of labor force are generally rated as worse. Ratings of Bakersfield Somewhat worse Much worse Somewhat better Much better 56 BUSINESS Neutral categories not shown The cost of housing The cost of land 1% 5% 43% 1% 5% 43% The overall cost of living 1% 5% The cost of labor 6% The availability of the labor force 5% The stability of the labor force The work ethic of the labor force The area's proximity to major markets 14% How well the labor force's skills fit needs The accessibility to air travel The cultural and recreational activities 8% 16% The area's technical infrastructure 3% 11% 19% 3% 9% 18% 32% 11% 7% 17% 30% 8% 5% 4% 3% 14% 5% 11% 5% 22% 11% 11% 12% 10% 4% 29% 5% 24% 20% 23% 22% 38% 18% 31% The training of the labor force The higher education opportunities 13% 23% 41% 1% 6% The area's accessibility to major highways 25% 2% 7% 4% 8% 3% 8% 3% QB30-44. Now, I’m going to read once again a list of factors that might be used to evaluate a community. For each factor, please tell me whether Bakersfield is much worse, somewhat worse, about the same, somewhat better, or much better than other communities in California you are familiar with. Business Importance/ Performance Matrix 85% BUSINESS High Importance Lower Performance Importance Mean = 67% (Top 2 Box) 75% High Importance Higher Performance Labor stability Labor availibility Work ethic 80% Cost of labor How well labor skill's fit company's needs Cost of living 70% Cost of land Assessibility to highways Training of labor force 65% 57 Among Bakersfield’s perceived weaknesses are various attributes of the community’s labor force. 60% Cost of housing Proximity to markets 55% Technical infrastructure 50% 45% 40% Higher education Low Importance Lower Performance 35% 5% 10 % Low Importance Higher Performance Assessibility to air travel Cultural and recreational activities 15 % 20 % 25 % 30 % 35 % 40 % 45 % Performance Mean = 30% (Top 2 Box) 50 % 55 % 60 % 65 % 70 % 75 % Reactions to Messages Much more likely Business persons find messages about the cost of housing and the work ethic of Bakersfield’s labor force to be most influential. Somewhat more likely BUSINESS 25% The median home sales price in Bakersfield is $105,500 40% With a turnover rate that is much lower than average, Bakersfield has a loyal labor force with a strong work ethic 16% The cost of labor in Bakersfield is around $3.60 less per hour than the national average 16% 37% The availability of labor in Bakersfield is high. On average, there are between 5 and 10 quality applicants per job opening 16% 36% Industrial zoned land in the Bakersfield region averages $1.40 to $2.50 per square foot Bakersfield's labor force has a large and diverse skill set that spans from agriculture to high tech skills 41% 12% 35% 10% 37% Bakersfield is considered one of the best places in the United States for business and careers, ranked 53rd in the nation and 15th in California, according to the Forbes/Milken Institute Several major Fortune 500 companies have headquarters or major regional operations in Bakersfield 8% 31% Bakersfield contains abundant ATM, ISDN, DSL, and T1 and T3 lines 10% 27% Situated between Los Angeles, Sacramento, and San Francisco, Bakersfield is the hub for three key freeways- Interstate 5 and State Routes 99 and 58 10% 26% 10% 32% QB45-54. Now, I’m going to read you some statements about Bakersfield, California. Please tell me whether each statement makes you less likely, neither less nor more likely, or more likely to consider relocating there. 58 59 • OBJECTIVES & METHODOLOGY • STRATEGIC SUMMARY • RESEARCH FINDINGS Overall Perceptions of Bakersfield Attitudes of Consumers Tourism Relocation Retirement Attitudes of Business Persons Demographic Profiles 60 DEMOGRAPHIC PROFILE CONSUMERS AGE EDUCATION INCOME 18-24 25-34 35-44 45-54 55-64 65 plus 17% 16% 23% 19% 12% 13% Less than high school Graduated high school Some college/Tech./Voc Graduated college Graduate/professional school 5% 19% 29% 35% 10% Less than $35,000 $35,000 to less than $50,000 $50,000 to less than $75,000 $75,000 to less than $100,000 $100,000 to less than $150,000 $150,000 and above Don't know Refused 16% 16% 18% 14% 10% 8% 4% 14% 61 DEMOGRAPHIC PROFILE CONSUMERS MARRIAGE Single Married Divorced Widow or widower 36% 49% 9% 5% ETHNICITY Asian African American Caucasian Hispanic Other Refused 5% 6% 68% 15% 4% 3% Male Female 46% 54% GENDER 62 DEMOGRAPHIC PROFILE BUSINESS REVENUE TITLE Less than $500,000 $500,000 to less than $1 million $1 million to less than $2.5 million $2.5 million to less than $5 million More than $5 million 6% 14% 19% 14% 37% Manager/Supervisor/Director/Coordinator Executive V.P./ Senior V.P./ V.P. Owner/President/CEO Some other executive level position Other non-executive level position 33% 13% 21% 14% 19% 63 DEMOGRAPHIC PROFILE BUSINESS INDUSTRY GENDER Manufacturing High technology Distribution Construction/ Mining Professional Services / Associations Agricultural General services Wholesale Retail Other 58% 11% 5% 4% 4% 3% 3% 2% 2% 9% Male Female 61% 39% For more information: Cogent Research, LLC 2 Tyler Court Cambridge, MA 02140 617-441-9944 www.cogentresearch.com