Call it the soft-sell approach to lure companies to Nevada.
The Nevada Development Authority has turned away from the chimpanzees and to Nevada business executives and entertainers to pitch relocation to California companies.
The private economic development agency this month launched an advertising campaign in Southern California that features testimonials from prominent people who live and do business in Nevada.
The advertising spots show high-profile Nevadans explaining why this is a prime spot to reside, said Somer Hollingsworth, president and CEO of the NDA.
Among those featured are Tony Hsieh, CEO of Zappos.com; Rick Moonen of RM Seafood; UNLV President Neal Smatresk; entertainers Wayne Newton and Terry Fator; and Applied Analysis Principal Jeremy Aguero.
The NDA, which gets $1.1 million a year from the state to pitch for business development and relocations, has traditionally focused mainly on low taxes as a selling point to lure California companies.
In a 2009 ad campaign, California legislators were compared to chimpanzees to focus on Nevada’s lack of income taxes and lower workers’ compensation rates.
In the new campaign, testimonials focus on Nevada’s positive lifestyles, schools, community activities and business support, Hollingsworth said. The goal is to build third-person credibility among California residents who might be uncertain about relocating here, he added.
“It’s a complete 180 on how we have been doing this in the past,” Hollingsworth said. “Our research in talking to clients shows they don’t have any idea of the business side of Las Vegas and how people live here.”
Hollingsworth said there’s a deep misconception about Las Vegas—that it’s all about resorts and hotels, great restaurants and having a good time. The advertising campaign aims to show that Las Vegas is business- and family-friendly.
It’s quite a challenge to go against the image portrayed nationally and worldwide by the Las Vegas Convention and Visitors Authority about Las Vegas being solely a resort destination, he said.
“I don’t think they should change one thing because that’s our core revenue, and it’s always been good to us,” Hollingsworth said. “We just want to do the other side and show there is more than just this. It’s not just about gaming but a great place to do business. That it’s a wonderful place to live, work and play.”
Hollingsworth said the campaign will run through mid-November in California and may be extended depending on its success, which will be closely monitored. He said previous campaigns, including ones using chimpanzees, have been successful in luring companies to Nevada. But, he added, it was time to change the strategy.
Those advertisements generated national and international publicity that made the ad buys more valuable than the money that was spent, he said, but the softer sell is needed if Nevada wants to target several states across the country with a campaign to lure companies.
“We always said that if we got a lot of serious marketing dollars to do a nationwide campaign we would have to go softer and have local people talk about the other side of this town,” Hollingsworth said.
Southern California from San Diego to Los Angeles to the Inland Empire have been targeted by the NDA’s advertising campaign. It’s too expensive to include Northern California, he said.
The ads will air on cable networks such as CNBC, ESPN, The Golf Channel, USA, CW, The History Channel and FOX News.