Rocky Mountain High
by Craig McGuire - 17 Apr 2006 11:00
An entrepreneurial spirit is infusing Colorado's
business scene, and companies and PR agencies alike agree talent is
abundant.
Like many other regions, job losses in telecom, tech, and tourism slammed
Colorado in the wake of the 2001 recession. But while recovery here has lagged
behind the overall economy, today the area's performance, especially in the
metro Denver area, is outstripping many national averages.
"As our economy has improved, the value of PR is increasing as a vital
marketing tool among our state's business community," says local PRSA president
Scott Harris.
In the news, the $1.7 billion T-REX infrastructure initiative (light rail and
highway improvements for metro Denver) has created buzz. Denver International
Airport marked its 10th anniversary, welcoming the return of Southwest Airlines,
much to the discomfort of rivals Frontier and United.
Time named Denver Mayor John Hickenlooper (D) one of the top five US
mayors, leaving politico watchers wondering, "Will Hickenlooper run?" for
governor.
In other news, the University of Colorado's football team was hit by sex
scandals, Coors and Molson toasted a merger, some fumed at a smoking ban, and
the Broncos didn't make the Super Bowl.
The agency side
Ogilvy has long been the market's only major national. "We've found tech and
consumer marketing to be the two most active segments," says MD Amy Messenger.
"Local clients like Level 3 want a national perspective. Consumer clients like
Crocs need a global network [with] consumer goods creativity, but appreciate a
local team."
Still, Colorado is dotted with scores of independents.
"The state's most successful firms are both homegrown and home-owned," argues
Peter Webb, principal at Webb PR. "Colorado businesses are loyal and know they
can get the same strategy and professionalism from the business friends they see
on the ski slopes as they can from a New York firm."
But Weber Shandwick will soon enter the market when it launches a dedicated
office in Colorado, says Laura Taylor, SVP at WS.
"Speaking from the tech side, we continue to see Colorado as a region of
smaller companies, but perhaps where more innovative business is being
launched," she adds. "My focus is bringing PR back to Colorado. So many
companies still outsource their agency business outside the state."
The vacuum left by the 2001 recession made the market more suitable for
smaller agencies with less overhead, says Patrick Ward, partner at 104¡ West
Partners.
"Several new firms have been created... and [many] individual consultants
have put out a shingle," says Ward. "That has created a fragmented market where
generalist shops suffer and shops with unique capabilities thrive."
The momentum may spawn consolidation "as the market picks up and clients
require a single view into certain PR activities or want a deeper bench than
individual consultants can provide," Ward adds.
Still, Colorado should stay strong for independent PR firms.
"We don't have a lot of Fortune 500 companies, but we're a strong market for
small businesses and privately held entrepreneurial growth companies," says
Leanna Clark, principal at Schenkein.
As the state's economy has recovered, there's more inbound growth and
disposable income, creating growth activity in consumer goods and real estate,
and a resurgence in tech, ever the main driver here.
"Colorado has perhaps the highest concentration of serial
entrepreneurs and highest per-capita tech work force in the nation," says John
Metzger, CEO of Metzger Associates. "The technologies of the future - biotech,
aerospace, telecom, energy, and IT - are aligning in Colorado like no place
else."
Inside the corporations
Corporate communicators are finding it crowded in Colorado these days, says
James Moore, SVP of corporate communications and development at Ent Federal.
"The increased quality of PR by competitors simply raises the bar," he says.
"The true challenge is breaking through the increasingly complex communications
environment to attract and hold an audience's attention to a message."
Locals agree that strategic communications talent is abundant.
"It is a major US market that gives us a central location to strategically
manage communications in our 14 Western states," says Bob Charlton, corporate
communications VP for Qwest. "Still, we know it is incumbent on us to be more
assertive to engage national media.
"This is a wonderful location to work," adds Charlton, who has been all over
the world and only landed in Denver five months ago. "Professionally, it is also
very invigorating. The region has an incredible technology story to tell."
The region's diverse array of specialized firms also has its benefits for
corporate PR pros, he adds.
"We regularly tap a variety of talented firms," Charlton says. "This enables
us to bring in relevant niche players when we need to and not be beholden to a
larger firm."
The media market
Colorado has both thriving traditional outlets and a growing number of
homegrown bloggers. And Denver is fortunate to still have two dailies: The
Denver Post and the Rocky Mountain News.
"A joint operating agency manages business operations and advertising for
both, but editorial operations are independent of each other, which keeps them
competitive," says Barry Grossman, Praco PR's account group director.
Elsewhere, such cities as Aurora, Colorado Springs, Pueblo, Fort Collins, and
Grand Junction boast daily and weekly newspapers.
"The fact that consumers have so many choices, including a proliferation of
resources for news outside of Colorado, significantly reduces the impact of the
traditional approaches," Ent Federal's Moore says. "I don't believe it will get
easier or simpler in the future."
SELECTED PR FIRMS Catapult PR-IR
CTA PR
JohnstonWells
PR
Linhart McClain Finlon PR
Metzger Associates
MGA Communications
October Strategies
Ogilvy PR Worldwide
PRACO
Schenkein
Fleishman-Hillard
Webb PR
FORTUNE 1,000, 2005 Qwest
Communications
TransMontaigne
First Data
Liberty Media
Echostar
Communications
Ball
Newmont Mining
Molson Coors Brewing
MDC
Holdings
Level 3 Communications
Western Gas Resources
CH2M
Hill
Regal Entertainment Group
Sports Authority
Storage
Technology
Cenveo
Dex Media
AIMCO