MARKETING BIRMINGHAM

PARTNERS EVENT

Tuesday 20 th June 2017

WELCOME

PAUL KEHOE, CHAIRMAN

AGENDA

WELCOME Paul Kehoe - Chairman, West Midlands Growth Company

COMPANY UPDATE

Neil Rami – Chief Executive, West Midlands Growth Company

AN AUDIENCE WITH THE WEST MIDLANDS MAYOR

Andy Street, CBE

COMPANY UPDATE

NEIL RAMI, CHIEF EXECUTIVE

TRANSITION PROGRESS –

WEST MIDLANDS GROWTH COMPANY

WEST MIDLANDS GROWTH COMPANY

Attracting investment, jobs, visitors and businesses to the West

Midlands

“The West Midlands Growth Company (WMGC) will help to create new jobs, expand existing

businesses and attract new businesses and investment to the region, aligned to the ambitions set

out in the West Midlands Combined Authority (WMCA) Strategic EconomicPlan.”

Partners include:

▪ WMCA

▪ Local Authorities

▪ Local Enterprise Partnerships

▪ Universities

INVESTMENT UPDATE

INTERNATIONAL CONTEXT

Performance overview - Tumultuous year – Brexit, Trump,

European elections, China slow down

- UK performed strongly in the first half of

the year but Brexit had immediate effect on

FDI for greenfield investment

- 2016 - UK down 42% in greenfield capital

investment and 9% down in jobs*

Future forecasting - impact of Brexit/Trump to gather pace,

nationally greenfield investment into the

UK is expected to decline*

- China – outbound investment, both FDI

and capital, may become increasingly

restrictive * Global Greenfield Investment trends, fDi Intelligence Report 2017

2016 - WM FDI PERFORMANCE

Increased jobs - Momentum in first half of the year

carried through, upward trend in job creation, up 16% on

2015 **

Top performance - West Midlands 2nd highest

performing region, SE leading

Key investments trends– Distribution driven by Amazon (3/5 largest projects), largest

in Coventry

– IT driven by investment in cyber security and investment by

large US firms Google and Apple in London.

** Deloitte, 2016 Location Trends

Top 5 national sectors:

– Distribution

– IT

– Business Services

– Energy & Utilities

– Travel & Leisure

GREATER BIRMINGHAM PERFORMANCE Strong interest in the region for capital

investment

– Qatar conference

– China mission

– MIPIM 2017

Challenging year for FDi

– Leading European markets impacted by Brexit,

projects put on hold

– Global uncertainty creating slower pace of

investment

– Key sectors Automotive, BPFS, Food and

Drink, Life Sciences

Three- year trend

– Past 3 years up vs previous 3 years

– 53% number of projects, 27% number of jobs

HIGHLIGHTS Life Sciences - continued expansion of The

Binding Site

Automotive – Changan expansion, JLR at

Castle Bromwich, Tenneco Automotive,

continued growth of OEMs and supply chain,

IT and Creative Services – vibrancy of local

clusters enabling attraction of growing number

of companies – Lombard Risk, Advanced

Software and BBC

Tourism and Leisure – vital investment to the

city, key for employment and quality of life -

Bierkeller Entertainment Complex, on-going

growth of BHX and Jet2, launch of BCEC

FUTURE OUTLOOK

Targeting key geo markets – US, Canada,

Australia, India

Europe – seeds of growth, private sector moving at

a faster pace than politicians

HS2 – unique opportunity, working to maximise

opportunity

Sectoral targeting – BPFS, IT, Creative and

Digital, Life Sciences, Automotive

Continuing the media momentum - positive

national PR coverage on Greater Birmingham as an

investment destination. Leverage leading regional

spokespeople to target London based firms

VISITOR ECONOMY

RECORD BREAKING PERFORMANCE

33.5 33.8 34.0

37.2

38.1

39.1

30.0

31.0

32.0

33.0

34.0

35.0

36.0

37.0

38.0

39.0

40.0

2011 2012 2013 2014 2015 2016

Vis

ito

r n

um

be

rs (

mill

ion

s)

Visitor numbers to Birmingham over the past 5 years (2011-2016)

SEGMENT GROWTH

11.9%

15.7%

23.5%

0.0% 5.0% 10.0% 15.0% 20.0% 25.0%

SFR

Day visitors

Staying visitors

Percentage growth in types of visitors to

Birmingham over the past 5 years (2011-2016)

ECONOMIC PERFORMANCE

0.78

0.70

0.76

0.71

0.740.73

0.71

0.92 0.94

1.111.12

0.5

0.6

0.7

0.8

0.9

1

1.1

1.2

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Mill

ion

International visitor growth over the

last 10 years (2006 – 2016)

4.9 5.15.3

6.06.2

6.5

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

2011 2012 2013 2014 2015 2016

Eco

no

mic

Im

pa

ct (£

Bili

on)

Economic impact of Birmingham's Visitor over the past 5 years (2011-2016)

UK VISITOR PERCEPTIONS

74% 74%

66%

62%

58%

54%51%

43%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Percentage of respondents who agree each core city is a great place to visit

51%

64%

60%58%

51%

74% 74%

66%

62%

58%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Birmingham Manchester Liverpool Newcastle Leeds

Percentage of respondents who agree selected cities are a great place to visit – 12 month comparison

2015 2016

Source: Perceptions survey 2016

MAXIMISING OUR OPPORTUNITIES The WMCA area welcomed 72 million visitors in 2015 - more than double that of Greater Birmingham alone

48%

61%

83%

28%7%

4%25%

32%

13%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Day visits Domestic staying visits International visits

Visits to the WMCA area in 2015

Greater Birmingham Black Country Coventry & Warwickshire

Greater

BirminghamBlack Country

Coventry &

WarwickshireTotal

Day visits

(millions)31 18 16 65

Domestic staying

visits (millions)3.3 0.4 1.7 5.4

International visits

(millions)1.5 0.1 0.3 1.9

Total 35.8 18.5 18.0 72.2

2017 PROMOTIONAL HIGHLIGHTS

Campaign competition entry - Over

17,000 entries over 4 week period

Easter Bank holiday hotel occupancy – Sunday

most popular with majority above 70% occupancy .

Digital metrics

- Direct traffic up 12% (compared to previous period)

- Page views increased by 10%

- Social media reach of 2.5 million

International exposure – TV Ad broadcast and

pitch branding coverage across more than 200

territories, across five continents with a potential

global reach of 2.1 billion

In stadium – LED advertising, replay screen and

programme advertising, expecting a reach of

120,000 spectators

2018 PROJECTS

Birmingham

Gateway

project

2018 PROJECTS

Open jaw

ticketing

COMMONWEALTH GAMES 2022

IN NUMBERS

• 1930 first of 20 Games

• 52 Commonwealth

members & 70 competing

nations

• 9 countries and 18 cities

have hosted

• England hosted twice

• 18 sports & 20 venues

• 11 days of competition

• 4300 athletes

• One billion TV audience

• 12,500 volunteers

SCOPE

• Host selection process

• Choosing our sports & venues

• Athletes Village & accommodation

• Transportation & security

• Culture & added value

• Vision & legacy

• Positioning & PR

• Costs and economic impact

“Through hosting the 2022 Commonwealth Games, we are

aiming to demonstrate the very best of Global Britain to the

world. We want to deliver a low cost, low risk but high quality

major multi-sport event that showcases the UK’s world-class

event hosting abilities and as a destination for business,

education and tourism. In addition to promoting elite and

grassroots sport, we want to bring a modern and innovative

approach to the hosting of these historic Games, that helps

redefine how multi-sport events can be delivered in a more

sustainable way. We will draw on: the infrastructure; people;

and the experience gained from hosting previous sports events;

and combine that with a broader set of ambitions aimed at

redefining the UK’s position on the world stage and the future

role of the Commonwealth. We also want to see the Games have

a lasting impact on its host city and the people that live there.”

Global

Low cost

Low risk

High quality

Hosting

Destination (Business,

Education & Tourism)

Modern

Innovative

Sustainable

Experience

UK positioning

Local impact

GOVERNMENT POSITION

OUR VISION

Birmingham: heart of the UK, soul of the

Commonwealth

Sitting at the heart of the UK, and standing for the diversity of

the Commonwealth, Birmingham is well positioned to attract

people to the Games and to ensure the benefits extend from the

city and region to the UK and the Commonwealth. Our vision is

‘Birmingham: heart of the UK, soul of the Commonwealth’.

CALL TO ACTION – MAKE OUR CASE

19th July - Marketing Birmingham Partners

summer drinks event

20th September - Marketing Birmingham

Partners Event

FORTHCOMING EVENTS

ANDY STREET

MAYOR OF THE WEST MIDLANDS

THE WEST MIDLANDS STORY

Renaissance

Set for Success

The Future

From: Heart of the Industrial Revolution

1960s zenith

8%

87%

5%

47%

45%

8%

Manufacturing

Services

Other

1971 2014

Sectoral composition of employment in Birmingham, 1971 & 2014

Disruption in action

From: Relative underperformanceIndices of employment since 1971 in Birmingham and the UK

To: Much improved economic performance

9,4167,845

17,473

Birmingham Manchester Glasgow

Most startups outside London

Fast productivity growth

2.4%

6.8%

West Midlands UK

New businesses registered, 2016

GVA per head growth, 2016 vs. 2013

THE WEST MIDLANDS STORY

Renaissance

Set for Success

The Future

How? Collaboration and confidence

How? Regional Industrial Strategy

Focused on our competitive

advantages

How? Devolution deal with Government

Some notable successes for the region

Renewal Plan: Both economic & social priorities

THE WEST MIDLANDS STORY

Renaissance

Set for Success

The Future

What are we doing?

Getting our

structures right

Asking

Government for

more

Making some

quick first steps

Bidding for prizes with Government (and others)

Next steps: How can you help?

Telling our storyShare your skills

and expertiseKeep investing

Next steps: Help the Growth Company help you

The future is bright

THANK YOU FOR JOINING US