Regional Economy

renter's boom startup featured in the atlantic
Alexis Madrigal, senior editor at The Atlantic, has been writing about "Rust Belt" startups as part of an ongoing series called "Startup Nation."

In a feature titled, "Helping Apartment Complexes Help You," he writes about Renter's Boom, a Cleveland startup that works with rental-management companies "to turn their social media pages into leasing hubs."
 
"They set up Facebook pages for these companies and help them build apps so that people can check out apartments, make appointments, and send referrals within the social network. They also work to help the companies integrate Google's various products that renters may use," Madrigal writes.
 
Read the rest here.
new partnership takes toa technologies into 'completely new frontier'
Mobile workforce management software company TOA Technologies has spent most of its existence dealing with the "nuts and bolts of American industry," says Jeff Wartgow, vice president of channels and alliances. It's the company's tech, for example, that ensures the cable technician is getting a proper signal so he can complete his work.
 
Thanks to its recent partnership with Racktime Sales & Marketing Services, a Netherlands-headquartered field marketing services provider, TOA now gets a taste of the "sexy" side of the tech industry, Wartgow says. Racktime will be using TOA's  new ETAworkforce and ETAdirect Professional software to optimize its mobile business operations, which include cool stuff like DVD displays and Playstation demo booths.

"Racktime is a fun, young company," says Wartgow. "It's great to see that side of the culture coming into the market."
"Field marketing" represents the distribution or sampling of promotions in the public space. TOA software will assist Racktime in automating assignments, optimizing schedules and providing its customers with real-time visibility and collaboration capabilities.

Field marketing "is a completely new frontier for us," Wartgow says. "We had to find a progressive prospect like Racktime willing to take a risk on us."

Creating a product far afield from its core is exciting, says the TOA vice president. "Our mission is to keep expanding and taking on these challenges," adds Wartgow. "It's energizing to [work in] this part of the market."
 

SOURCE: Jeff Wartgow
WRITER: Douglas J. Guth
cle zoo welcomes one millionth visitor of the year
On Monday, October 1, the Cleveland Metroparks Zoo welcomed its one millionth visitor of 2012, making it 20 straight years the attraction drew one million or more in attendance.
 
This year’s one millionth visitor was Tara L. of Parma Heights, and her three children, Patrick, Piper and Phineas. The family won a Zoo prize pack including a ZooParent animal adoption package from the Cleveland Zoological Society, limited edition Zoo posters and more.
 
"The Zoo is very fortunate to have such a supportive community surrounding it in Northeast Ohio,” explains Zoo Director Steve Taylor. “The public votes with its feet, and to have sustained such an attendance record for so long is evidence that people enjoy coming here and spending time with their families.”
 
Read the rest here.
beachland owner launches new nonprofit to preserve and promote city's rock scene
The way Beachland Ballroom owner Cindy Barber sees it, Cleveland's music glory days are far from over. Yet our music scene could use some better amplification. That's why Barber has created a new nonprofit, Cleveland Rocks: Past, Present and Future, to preserve the legacy of the city's rock-and-roll history while also promoting and shaping its future.

"The past is the legacy project of capturing Cleveland music history, the present is documenting what's happening now, and the future is figuring out what we need to do to grow it," says Barber. "There's already a huge amount of music business here. We need to take stock of what we have and what we're missing."

Barber cites music business startups like Gotta Groove Records, Fortune Drums, Audio Technica and Dr. Z Amplification as success stories. She also wants to highlight the local bands that are touring and getting signed nationally.

"The plan is to create a website to highlight the bands that are getting attention," she says. "If they're out touring the world, they can bring that energy back to share with other people in Cleveland and grow the music business here."

To kick off the project, Barber and others are organizing a series of live interviews with local legends that played a role in Cleveland music history. The first event is scheduled to place on Saturday, November 3rd at 1 p.m. at the Beachland Ballroom. Tickets cost $15 and include lunch and the opportunity to participate as Larry Bruner, former booking manager for the 1960s folk music venue La Cav, is interviewed by Steve Traina, DJ for the WCSB radio show "Steve's Folk."

Future plans include working with the Rock Hall to preserve oral histories and promote live music, helping musicians identify investment sources for growing their bands or recording albums, and marketing the music industry here.

"All the clubs that came together as part of the Cleveland Music Coalition [to challenge the city's admissions tax] are part of this," says Barber. "We want to use the nonprofit to support what they're doing to create live music in Cleveland."


Source: Cindy Barber
Writer: Lee Chilcote
twist creative adds talent, realigns philosophy as part of strategy shift
TWIST Creative had been adverse the word "agency" for many years, as the term represented something the Cleveland-based branding firm was not. That all changed eight months ago when TWIST shifted its strategy to target bigger clients, spurring a period of growth that has led to a flurry of new hires as well as new customers.

That's four new hires and about 20 new clients to be exact, says Michael Ozan, TWIST's president and chief creative officer, who in 2000 founded the firm with wife Connie. Add promotions and an overall company realignment to that list and TWIST has had a very busy 2012.

"We looked at our market position and decided to turn in the direction of being an agency," says Ozan. "We needed more people [on hand] to make that change."

In September, TWIST hired a new director of media relations, an art director and two designers. The agency also named marketing director Josh Taylor as its new director of strategy and development, while lead senior designer Chris Oldham is now director of design operations.

To its burgeoning client portfolio TWIST added 20 new brands, including big-name consumer product companies Hoover Vacuum and Hinkley Lighting; aerospace industry manufacturer Voss Industries; and multi-market restaurateur Paladar.

This was an exciting year, but one also full of difficult changes, says design director Connie Ozan. Although the former boutique is now a full-service brand agency, the challenge for TWIST looking ahead is to continue to grow its position within the market.

 "There's been lots of energy over the last eight months," she says. "It will take awhile for the new team to gel, but 2013 is going to be a great year."
 

SOURCE:  Michael Ozan, Connie Ozan
WRITER: Douglas J. Guth
international public markets conference offers lessons for success for west side market
The West Side Market is celebrating its Centennial year, prompting much discussion of the institution's past, present and future. Among other things, city leaders are discussing how best to ensure that the market remains successful for another 100 years.

Last week, however, the best ideas seemed to come not from local leaders but from others in Detroit, Santa Monica and Hong Kong as 250 market leaders from around the world attended the three-day International Public Markets Conference in Cleveland.

"The roots of our market are in local farmers selling their produce during the growing season," said Dan Carmody, Manager of Detroit's Eastern Market, during a panel discussion on the role of markets in the future of cities. "When I started there, it was a place where wholesale grocers dumped their product at the end of the week. Now we're trying to envision it as a revitalized local food system."

Eastern Market now sells locally-grown produce raised by urban farmers in Detroit, unlike the West Side Market, which only has a handful of vendors selling local produce.

Santa Monica's public market also was held up as an example. It offers valet parking for bicycles, works with a nearby cooking school to do demonstrations, and hosts "Meatless Mondays" to educate people about how to cook vegetarian.

And if you're looking for fresh, you can't get much more so than Hong Kong's Tai Yuen Market, which has fish swimming in tanks and live chickens. (The market recently installed a state-of-the-art ventilation system to deal with the offending odors.)

Cleveland Councilman Joe Cimperman, who touted his experience working in his uncle's butcher shop as a young man, said that change is coming to the market.

"People at the West Side Market are looking too much at last year's calendar," said Cimperman to the audience. "It won't survive unless they look at tomorrow."

Among the changes that have been recommended at the market are adding more local foods, creating more convenient hours and charging for parking. There is a proposal for a parking fee, but city leaders are still negotiating with vendors.

Cimperman vowed to continue the fight for change. "The city's lease with vendors runs out in 2014,"he said. "It's time to look at the market for the next 100 years."


Source: Joe Cimperman, International Public Markets conference
Writer: Lee Chilcote
efuneral's digital approach to funeral home shopping gets praise
Alexis Madrigal, senior editor at The Atlantic, has been writing about "Rust Belt" startups as part of an ongoing series called "Startup Nation."

In a feature titled, "Bringing Innovation to the Funeral-Home Business (No, Really)," he writes about Cleveland-based eFuneral, which brings funeral home shopping into the digital age.

"The idea for the company did not originate in dreams of Instagram glory or joviality," he writes. "His cousin died, and when his family went to plan the funeral, they encountered some difficulty in selecting a funeral home. There were 12 places within two miles of where his cousin lived. How do you pick one?"

"For us, the big question wasn't, 'Where is there a funeral home?'" founder Mike Belsito was quoted. "It was, How are we supposed to know which of these is going to provide us good service? And what is it going to cost?'"

"We had more information on where to go to dinner, where we're spending 40 bucks, than we did for my cousin's funeral," he said.

Considering that funeral services are some of the highest ticket items someone pays for in their life after a house and a car, a modern tool for shopping seemed a great idea.

Read the rest of the news here.
report checks cleveland's economic vital signs: shows where city is, where it can be
If the future belongs to those cities that can frame their opportunities and challenges, act in ways that demonstrate measurable progress, and connect and engage with the smartest people and the smartest ideas, than City Vitals 2.0 can act as a road map for urban leaders.
recruiters tasked with selling cleveland say city has room for improvement
When it comes to attracting talent from outside the city, Cleveland "has room for improvement," according to recruiters and other pros tasked with the job. But numerous developments currently taking place in the city are major steps in the right direction, say those same pros.
'nerd-friendly' shaker launchhouse featured in the altantic
Alexis Madrigal, senior editor at The Atlantic, has been writing about "Rust Belt" startups as part of an ongoing series called "Startup Nation."

In a feature titled, "A Space to Be an Entrepreneur and Not Feel Like You Have Leprosy Here in Cleveland," he writes about Shaker LaunchHouse, where an abandoned car dealership has been transformed into a "lively space for Cleveland's nerds and entrepreneurs alike."

"Run by native Clevelander Dar Caldwell, LaunchHouse takes a bunch of the weird and geeky things going on in the Bay and compresses them into one glorious space filled with entrepreneurs, developers, designers, and (I use this word lovingly) nerds," Madrigal writes.

Writing about some of the more eccentric "tenants," he notes, "I'm not sure I could explain to an economic development officer or even some venture capitalists why these guys are so important in the formation of new companies, why you need them drinking beer with the entrepreneurs, or why their love for the sheer thingness of things is so exhilarating. But I'll put it like this: these guys are the wizards, even if they aren't the kings or the knights. They're the soul of a tech scene, even if they may never sign a term sheet, trademark a name, or raise seed capital. And where they are, there is magic."

Read the rest of the news here.
chamberlain college of nursing to open new campus in health tech corridor
Chamberlain College of Nursing has announced plans to open a new campus in the MidTown Tech Center amidst Cleveland's Health-Tech Corridor this January. The new school will offer an accelerated, three-year Bachelor of Nursing degree program.

"Chamberlain is sensitive to the nursing shortage and the need to create nurses at the bachelors level to provide care where there's high levels of need," says Adele Webb, President of the new Cleveland campus. "We're a three year program, so within three years, we can contribute nurses to market."

According to the Health Policy Institute of Ohio, there is likely to be a deficit of 32,000 nurses statewide by 2020. According to the American Association of Colleges of Nursing, Ohio turned away more than 2,300 nurses last year.

Chamberlain's new Cleveland campus -- its 12th in the nation and second in Ohio -- offers several innovative features. The school's SIMCARE Lab gives students a chance to work on mannequins that simulate real-world situations such as labor, birth and when a patient stops breathing. The school also will include a Center for Academic Success to help students get the resources they need to stay in school.

The rising demand for nurses due to health care reform, an underserved market in Cleveland and the opportunity to be a part of Cleveland's medical community were all factors driving Chamberlain's decision to locate in the city, Webb says.

"As the City of Cleveland is trying to develop the Health-Tech Corridor around major institutions, this was an opportunity for us to be a part of it," Webb says.

The new Chamberlain School of Nursing facility will be located at 6700 Euclid Avenue.


Source: Adele Webb
Writer: Lee Chilcote
the atlantic visits sparkbase as part of 'startup nation' series
Alexis Madrigal, senior editor at The Atlantic, has been writing about "Rust Belt" startups as part of an ongoing series called "Startup Nation."

In a feature titled, "A Framed First Dollar for the Internet Age," he writes about SparkBase, a Cleveland-based loyalty, gift, and reward card processor.

"SparkBase is a nice success story," he writes. "They've been hiring like crazy in Cleveland, particularly in the last year and a half and are up to 50 people working out of their new offices. They're one of several middleware vendors in the retail space that are emerging to collect and analyze retail data."

The title, by the way, is a reference to SparkBase's conference table, which instead of displaying the company's first dollar earned features the mother boards from their first servers.

Read the rest of the story here.
greater cle firms nabbed $1B in vc cash in 5 years
According to a report released by the Venture Capital Advisory Task Force based on data provided by investors and collected by tech-based development organizations BioEnterprise and JumpStart, Greater Cleveland companies attracted $961 million from venture capitalists and angel investors from 2007 to 2011.

That figure represents a 26-percent increase in dollars when compared to the previous five years.

“There is a dramatic change in the activity, the number of investable companies and the quality of the companies in the pipeline in Northeast Ohio from 10 years ago,” says Bill Trainor, co-founder and Managing Director of Mutual Capital Partners Funds I & II.

The bulk of the money went to companies in the fields of biopharmaceuticals, medical devices, healthcare service, IT, and software.

“We’re only beginning to see the results of the public, private and philanthropic initiatives begun almost 10 years ago to accelerate the successes of startups in the state,” says Doug Weintraub, JumpStart’s chair and an active investor in the region. “Given that Northeast Ohio started ramping up activity to assist and support the creation and growth of tech companies in 2005 and 2006 -- and that the National Venture Capital Association estimates the average time from initial investment to a company’s exit is about nine years -- we can expect even more success stories in the coming years.”
 
Read the rest of the news here.
strategic marketing and sales firm invisia 'looking for talented people'
Andy Halko has entrepreneurship in his genes. The characteristics that make an entrepreneur succeed -- vision, hard work, and a touch of daredevil -- prompted Halko in 2002 to create Insivia, a strategic marketing and sales agency focused on business-to-business.
 
“In high school and all through college I worked for a company doing website development and software solutions,” recalls Halko. After graduating from John Carroll University, Halko stayed with the company for a while before deciding to go into business for himself.
 
“My dad was an entrepreneur. I had nothing to lose and I thought, I can do this," he says. "It’s kind of in my blood and I’m not afraid of work.”
 
Insivia focuses on four areas: Generating leads through SEO and direct mail; converting those leads; closing sales through presentations, proposals and online sales; and retaining customers. “We consider ourselves a full gamut firm, from leads to retaining customers,” Halko says. “We really try to come up with new ideas for things to improve our clients’ business. We use technology to close sales and design to impress customers.”
 
An additional component of Halko’s vision is customer service. “The other piece is good work,” he says. “Our stratagem is don’t settle for good enough. We take ideas, plans and strategy to reach our clients business goals. We’re really looking at the end goal and our focus being proud of every single piece.”
 
The philosophy has worked: 10 years later, Insivia has 15 employees in “the coolest” space on the West Bank of the Flats. The company is looking to hire people in account management, customer relations and software development.

“We’re always looking for talented people,” Halko says. “People who can produce good work and come up with good ideas.”

 
Source: Andy Halko
Writer: Karin Connelly
goal of new blackstone launchpad locales is 150 sustainable companies
The Blackstone LaunchPad program opened its doors on the Baldwin-Wallace College and Lorain County Community College campuses on Sept. 6 and 7 and will open at Kent State University later this month and CWRU in January.
 
The Burton D. Morgan Foundation in Hudson and the Blackstone Charitable Foundation announced last November that they had committed $3.2 million to open LaunchPad locations in Northeast Ohio to train area student entrepreneurs.
 
The LaunchPad is a venture coach program developed at the University of Miami, Florida in 2008. The program provides participants with advice and mentorship to take business ideas to fruition. Students are matched up with venture coaches to guide them through the development process.
 
“The real goal here is around education,” says Deborah D. Hoover, president  and CEO of the Burton D. Morgan Foundation. “We’re providing a strong education, it’s experiential. Our key approach to the program is about networking – obviously in Northeast Ohio and venture coaches, but also in the larger community and through the national network of LaunchPad locations.”
 
Hoover reports that the potential is there for 150 new sustainable companies in the next five years, which could generate as many as 3,000 jobs.
 
Amy Stursberg, executive director of the Blackstone Charitable Foundation, says Northeast Ohio is an idea fit for LaunchPad. “We try to choose locations where we feel there is a robust entrepreneurial ecosystem and culture,” she says. “We’re leveraging those assets to jumpstart the region where it already exists.”
 
Kent State, which had a soft launch of LaunchPad this summer, already has 70 to 80 students involved in the program.
 
Sources: Deborah H. Hoover, Amy Stursberg
Writer: Karin Connelly
 
  
 
 
the 25th street shuffle: will success kill ohio city?
Neighborhoods that experience revitalization often do so at the expense of their distinctiveness. As an area becomes more appealing, vacant spaces fill up, and higher rents crowd out all but the deepest pockets. Ohio City business owners, developers, and community development groups are fighting that with an unprecedented level of cooperation.
cleveland featured on two upcoming food network shows
Cleveland will get its close-up on the Food Network in two very visible ways this week.
 
On Sunday's airing of The Great Food Truck Race (9 p.m.), the popular show hosted by Tyler Florence rolls into Cleveland, with stops throughout town. The show was taped this past summer.
 
A new show called $24 in 24, hosted by Jeff Mauro, will premier on Monday, September 24, at 10:30 p.m. with multiple stops in Cleveland. The show originally was slated to air later in the season but was moved up to the premier, presumably because of its quality.
 
On the show, Jeff Mauro, winner of the seventh season of Food Network Star and host of Sandwich King, hits the road in search of budget-friendly eats across America.
 
While in Cleveland, Mauro made stops at Danny's Deli, Palookaville Chili, ABC the Tavern, and the West Side Market.
new data reveals that travel and tourism is on the rise in cle
According to The Economic Impact of Tourism Study, organized by the research firm Tourism Economics and coordinated by the Ohio Tourism Division, Northeast Ohio tourism is up significantly
 
Visitor volume to Cuyahoga County has jumped to 14.9 million visitors in 2011, compared to 13 million in 2009. Those visitors generated $6.7 billion in related business activity, which constitutes a 12-percent jump in the same time period.
 
The travel and tourism industry is Cuyahoga County’s fourth largest employer, with tourism supporting 1 in every 11 salaried jobs. In 2011, tourism employment accounted for more than 60,946 individuals, generating $1.8 billion dollars in wages.
 
Tourism in Cuyahoga County contributed more than $886 million in taxes, with $265 million for state taxes and $194 million in local taxes in 2011.
 
“The tourism industry is a major contributor to the economic vitality of our region,” Positively Cleveland’s President/ CEO David Gilbert said. “Visitors to our region buy local products and services, support area amenities, generate tax revenues and sustain jobs.”
 
More on the way
 
With $2 billion in visitor-related development underway throughout Northeast Ohio, numbers are increasing in both business and leisure travel. Visitors to Downtown Cleveland are expected to double in 2013, equating to a projected six million visitors.

Read the rest of the report here.
launchhouse accelerator aimed at helping tech startups go from idea to validation
The LaunchHouse Accelerator kicked off its inaugural program on September 4 with 10 technology startup companies eager to move to the next level. The program is funded through a $200,000 ONEFund grant and a $50,000 grant from Clarion Direct Investment. Each company will receive a $25,000 investment from LaunchHouse to grow their business.
 
“We’re quite excited,” says LaunchHouse CEO Todd Goldstein. “It’s changing the way investments are made in Northeast Ohio. With a little bit of capital we work with them to go from idea to validation.”
 
Goldstein describes the accelerator program as “customer-centric,” emphasizing the identification and needs of potential customers to grow the business. The 12-week program will provide mentors and instruction to the startup owners, guiding them through set goals.

“We’re hitting the ground running,” says Goldstein. “We’re not starting from scratch. We’re looking at the best innovators and how the company has grown.”
 
More than 60 companies from around the world applied for the accelerator. Twenty were selected to make their pitches to a panel of experts. From there, 10 companies were chosen, nine of which are from Northeast Ohio. The hope is that these 10 businesses will remain in Northeast Ohio once they are better established.

“The goal is to keep these companies in the region,” says Goldstein. “We believe Northeast Ohio is prime for an explosion of entrepreneurs.”

 
Source: Todd Goldstein
Writer: Karin Connelly
cleveland is best example of 'market city,' says smithsonian
In the Smithsonian blog, Sarah Rich describes "What Public Spaces Like Cleveland’s West Side Market Mean for Cities," a lead-up of sorts to the Public Markets Conference to be held in Cleveland next week.

Rich writes that, "Markets have long been an important organizing principle for infrastructure, traffic patterns, and human activity in a city, but in many places, the grand buildings that once housed central markets have gone neglected, and the businesses inside are long shuttered. Where public markets are still in operation or have been revived, however, it’s hard to find a stronger example of the power of placemaking."

These places are Market Cities, where public food sources “act as hubs for the region and function as great multi-use destinations, with many activities clustering nearby… Market Cities are, in essence, places where food is one of the fundamental building blocks of urban life -- not just fuel that you use to get through the day.”

"There are a number of good examples of market cities in the U.S., but one of the best is Cleveland, where the century-old West Side Market has become a key engine in the city’s revitalization. The market building itself is one of Cleveland’s finest architectural gems -- a vast, red-brick terminal with stunningly high vaulted ceilings, book-ended with massive, arched windows."

"The West Side Market is now just one (albeit sizeable) node in a buzzing network of food-related endeavors -- restaurants, farmers’ markets, urban farms -- which are assembling into a whole new identity for the Rust Belt city."

Read the rest of the report here.