Signs of a Successful Downtown

Post on 01-Dec-2014

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Presentation made at California League of Cities conference September 22, 2011, San Francisco. Presenters: Jeff Aran, Esq., California Sign Assn; Joe Horwedel, Planning Director, City of San Jose; Joanne Sanders, Mayor Pro Tem, City of Sonoma

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Signs of a Successful Signs of a Successful DowntownDowntown

Branding your CityBranding your City

How signs translate into municipal fiscal How signs translate into municipal fiscal healthhealth

The importance of illuminated signsThe importance of illuminated signs

Making the most of Commercial Making the most of Commercial Aesthetics & SafetyAesthetics & Safety

Tying the community togetherTying the community together

Making the most of zonesMaking the most of zones

Branding Your CityBranding Your City

Welcome to Sonoma

What is Missing?What is Missing?

Working with the Development Working with the Development and Business Communityand Business Community

Commercial Directionals

How Signs Translate Into How Signs Translate Into Municipal Fiscal HealthMunicipal Fiscal Health

Average Increase in Sales Revenue Signage Change Fast Food Pier One ImportsAdd one monument sign 9.3% Add large pole sign (144 sq. ft.) 15.6% 8.6%Add chain identity to plaza identity sign  7.7%Addition of two new directional signs  8.9%Replaced storefront wall sign with larger sign  7.7%

Let's assume you own a typical family clothing store and add a new, better-designed sign to the business. Here's how it could impact your bottom line:Your annual sales $1,757,486Cost of goods sold 61.8%Gross Profit Margin 38.2%Operating expenses (includes other expenses of 1.5%) 36%Income taxes (estimated at 35%) 0.8%Income after taxes 1.4%After tax profit ($1,757,486 x 1.4% or) $24,604

A 7% increase in sales created by the addition of a needed sign, without increasing operating expenses, would cause the following change in profit:New sales at 7% ($1,757,486 x .07) $123,024

Gross Profit from new sales ($123,024 x 38.2% Margin Contribution) $46,995Net Profit (Assumes 35% taxes) $30,547Total Profit (Original Profit $24,604 plus New Profit $30,547) $55,151

With a small, 7% bump in sales the profit could jump from $24,604 to $55,151. That's an increase of over 124%! Increasing profits is one way that signs improve the bottom line.

How did you learn about us?

Number of Customer ResponsesOn-Premise Sign Word of Mouth Newspaper Yellow Pages TV Radio1,234 820 212 139 32 38

Percentage by Category50% 33% 9% 6% 1% 1%

Making the Most of Making the Most of Commercial Aesthetics & Commercial Aesthetics &

SafetySafety

The Challenge of Landscaping

Service Club Gateway Signage

The Importance of The Importance of Illuminated SignsIlluminated Signs

On-Premise Electronic Message On-Premise Electronic Message CenterCenter

What is an ElectronicWhat is an Electronic Message Center Message Center (EMCs)(EMCs)

What an ElectronicWhat an Electronic Message Center is NOTMessage Center is NOT

On-Premise Regulations:On-Premise Regulations:Based on amount of commercial Based on amount of commercial activity in an area Residential vs. activity in an area Residential vs. Commercial zonesCommercial zones

Static images with minimum 4-Static images with minimum 4-second hold times Commercial second hold times Commercial

corridorscorridors

Appropriate frame effect with Appropriate frame effect with smooth transitionssmooth transitions

0.3 – 0.8 footcandle based on 0.3 – 0.8 footcandle based on ambient conditionsambient conditions

Automatic dimming technology in Automatic dimming technology in all areasall areas

How Can This Be How Can This Be Improved?Improved?

How Can This Be How Can This Be Improved?Improved?

WayfindingWayfinding

WayfindingWayfinding

Readable? Legible?

How Can This Be How Can This Be Improved?Improved?

Illegal Signs RemovedIllegal Signs Removed

No Enforcement! Safety No Enforcement! Safety Hazard?Hazard?

Tying the Community Tying the Community TogetherTogether

Professional ResponsibilityProfessional Responsibilityandand

Legal RamificationsLegal Ramifications

Signs of a Successful Signs of a Successful Downtown…Downtown…areare the the

Signs DowntownSigns Downtown