AGENDAMeeting No. 172

SOUTH MELBOURNE MARKET COMMITTEE5.30pm Wednesday 19 August 2016

South Melbourne Town Hall, Theatrette

Attending Members: Cr Amanda Stevens (Chairman), Cr Andrew Bond, Cr Anita Horvath, Violetta Hartley (External member), Felicity Giuliani (External member), Andrew Brough (External member), Fiona Blair (General Manager, Infrastructure & Amenity)

Attending Officers: Ross Williamson (SMM Manager)

Apologies:

Guests:

1. Apologies

2. Minutes of Previous MeetingMinutes of meeting 171 held on 24 August 2016

3. Declarations of Conflicts of Interest

4. Reports1. Finance Report, end September 2016 (page 3)

2. Operational & Marketing Report, August 2016 (pages 4-10)

Attendance (page 4-5)Marketing (pages 5-9)Operations Report (page 10)

5. Public Question TimeWritten notification to be submitted in line with Council procedure and handed to the officer attending prior to commencement of meeting.

6. Confidential Reports1. Financials2. Governance3. Licence Management, July 20164. Marketing5. Market Mix policy6. Capital Works

7. Other Business

SMM Committee – Agenda October 2016

TABLE OF CONTENTS

Item 4.1 Finance Report………………………………… 3

Item 4.2 Operational & Marketing ReportAttendance………………………………………………………… 4

Marketing Summary (May 2016)……………………………. 5

Capital Works and Other Projects……………………………… 10

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SMM Committee – Agenda October 2016

Item 4.1 Finance Report

End of year report

2014-15Actual

2015-16Actual

2016-17Budget Comment 15-16 v 14-15

Income

Licence Fees 5,180,974 5,333,083 5,506,1942.9% increase on previous year compared with 4% increase in fees – more construction activity with no fees in 2016

Parking Revenue 422,354 529,289 550,00025% increase in revenue due to 22% fee increase to respond to Congestion Levy – usage held despite increase

Cooking School Income 167,235 223,667 175,000 14% increase in classes; higher occupancy and increase in vouchers sold

All Other Fees & Charges 136,989 175,861 171,930

Additional sponsorship income of $26,000 in 2015-16 plus recovery of vent cleaning paid for by SMM ($18,000)

Total Income 5,907,552 6,261,900 6,403,125 6% increase

Expense

Wages and Salaries -1,061,626 -1,125,566 -1,159,790

6% increase – expect 4.0% for CPI plus band changes additional staff for Night Market (extra 2 weeks) and Mussel Festival; additional cooking school classes; additional Marketing support (less spent in Advertising); maternity leave cover; back pay for previous year

Advertising, Events and Publicity -627,508 -621,248 -608,764

Contract Payments -2,102,361 -1,897,895 -1,943,076 -10% - Maintenance varies in old buildingProfessional Services -304,154 -261,878 -209,906 Less legal costs in 2015-16Insurance -50,700 -45,705 -50,000Utilities -232,503 -234,692 -322,369Head Office Costs - allocation -149,834 -154,329 -158,959

Other Expenses -89,350 -106,775 -99,661Land Tax -132,345 -132,345 -132,000Congestion Levy -128,250 -259,200 -259,200 2014-15 was a half year feeTotal Expense -4,878,631 -4,839,633 -4,943,725

Net surplus 1,028,921 1,422,268 1,459,400 3.8% increase

Recommendation:It is recommended that the Committee note the financial reports for the period ending 31 May 2016.

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SMM Committee – Agenda October 2016

Item 4.2 Operational and Marketing Report

AttendanceMonthly visitor figures are difficult to compare based on a variable number of trading days per month, so we have provided Monthly visitor numbers, as well as Average Market Day visitor numbers. Monthly visitor numbers below:

2014-15 2015-16 Diff Trading Days 2016-17 Diff Trading Days

Jul 373,679 382,251 2.29% 1 extra 457,529* 20% 1 extraAug 422,867* 409,517* -3.16% 1 less 389,512 -4.8% 1 lessSept 364,920 386,889 6.02% 1 extra 414,092** 7.0% 0 extraOct 389,698 401,698 3.08% 0 extraNov 414,222* 399,811 -3.48% 1 lessDec 414,967 423,629 2.09% 1 extraJan 405,166 419,455* 3.53% 0 extraFeb 348,412 357,083 2.49% 0 extraMar 383,630 362,713 -5.45% 0 extraApr 355,375 416,628 17.24% 2 extraMay 425,641* 386,778 -9.13% 2 lessJun 345,944 377,744 9.19% 1 extra

Total 4,644,521 4,724,196

* As Saturday and Sunday are our busiest trading days, months with 5 weekends push the visitor numbers up higher than average. **Grand Final Eve included

Jul Aug Sept Oct Nov Dec Jan Feb Mar Apr May Jun -

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

2014-152015-162016-17

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SMM Committee – Agenda October 2016

Market Day Comparison:

As the monthly total is skewed by the number of trading days, we can now compare the average visitor numbers by Market day.

Average Market Day Jan 15 Jan 16 Diff Feb 15 Feb 16 Diff Mar-15 Mar-16 DiffWednesday Traffic 17,933 17,748 -1.03% 16,812 16,926 0.68% 16,255 16,904 3.99%Friday Traffic 18,849 19,778 4.93% 18,346 18,636 1.58% 17,956 16,888 -5.95%Saturday Traffic 24,908 25,868 3.85% 24,841 25,570 2.93% 26,336 26,344 0.03%Sunday Traffic 28,662 28,160 -1.75% 27,104 28,139 3.82% 28,288 26,492 -6.35%Total 90,352 91,554 87,103 89,271 88,835 86,628Average Market Day Apr-15 Apr-16 Diff May-15 May-16 Diff Jun-15 Jun-16 DiffWednesday Traffic 18,023 17,375 -3.60% 15,872 16,898 6.46% 15,773 17,367 10.11%Friday Traffic 19,296 19,229 -0.35% 18,013 18,402 2.16% 17,646 18,180 3.03%Saturday Traffic 26,628 26,327 -1.13% 26,146 25,988 -0.60% 24,832 25,669 3.37%Sunday Traffic 27,260 29,838 9.46% 28,271 28,326 0.19% 28,235 28,879 2.28%Total 91,207 92,769 88,302 89,614 86,486 90,095Average Market Day Jul-15 Jul-16 Diff Aug-15 Aug-16 Diff Sept-15 Sept-16 DiffWednesday Traffic 16,666 17,774 6.65% 17,686 17,310 8.52% 17,733 19,102 7.72%Friday Traffic 18,049 19,462 7.83% 25,485 18,579 5.05% 18,564 20,825 12.18%Saturday Traffic 24,704 27,045 9.48% 29,535 26,680 4.69% 26,550 27,688 4.29%Sunday Traffic 27,465 30,779 12.07% 17,686 30,480 3.20% 29,442 30,702 4.28%Total 86,884 95,060 88,657 93,049 92,289 98,317

Note:GF Eve 2014 (not public holiday): 20,360GF Eve 2015 (public holiday): 25,209 (+23.8% on 2014)GF Eve 2016 (public holiday): 27,079 (+7.4% on 2015)

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SMM Committee – Agenda October 2016

Marketing SummaryACTIVATING THE MARKETPAST EVENTS

School Holiday Workshops:Wed 21 to Wed 28 SeptemberDuring the September School Holidays we had craft and cooking workshops for kids of all ages in The Neff Market Kitchen. These were all sold out, and gave the parents an opportunity for a quick Market shop while the kids were entertained.

Grand Final Eve:Fri 30 SeptemberThe Market was open on Grand Final Eve, and again being a public holiday, school holidays and a Friday the Market was busier than normal (noted above) This assists the Market traders with what is usually a quieter than normal Saturday when traffic drops off in the afternoon when the Grand Final starts.

Future Events:

Ride2Work day:Wed 12 OctoberWe’re inviting regular and not-so-regular cyclists to jump on their bikes and ride to work via the Market for Ride2Work Day. There will be free coffee, breakfast, bike repairs and pampering, with lots of prizes to be won.

Media Launch for Simply Spanish – Award Winning Paella:Wed 12 OctoberOn Sunday 11 September Simply Spanish won the Best Paella Outside Spain award at the annual Paella Valencia competition in Spain. This was picked up by media on Monday 12 September (3AW, evening news channels and more). The Valencia style paella is the original recipe including rabbit and snail, and while the winner is always a Spanish restaurant, this year they included a Best Outside Spain award. Simply Spanish owner and head chef Leno Lattarulo is hosting a media / public launch of this special recipe Paella. This launch will give the media and diners a chance for a limited time to taste this paella:

Media Launch for 150 Year Celebrations and opening of new Food Hall:Wed 30 NovemberThere are a range of activities planned to celebrate the Market’s 150th Anniversary in 2017 and we are holding a Media Launch / celebration on 30 November, 5.30-7.30 in the newly renovated Food Hall to outline the program. We are expecting 200-300 people to attend, and this will kick off our festival season including Christmas, Night Market, and our 150th programs.

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SMM Committee – Agenda October 2016

Major Events in 2017:

We have now confirmed our event program for the first half of 2017 including:

Night Market (Jan-Feb) Chinese New Year celebration (28 Jan) Australian Garlic Showcase (11-12 Feb) Port Phillip Mussel & Jazz Festival (11-12 March) Easter (14-17 April) Mother’s Day (14 May) Biggest Morning Tea (25 May) Footy Card Swap Meet (3-4 June) National Markets’ Conference (14-18 June)

150th birthday events

150th Ringing of the Bell Launch (4 Jan) May Birthday Month:

o Exhibition (May)o Birthday BBQ (6 May)o Free History Tours (May)

January February March April May June

1 Su 1 We 1 We 1 Sa 1 Mo ALL MONTH 1 Th

2 Mo 2 Th NIGHT MKT 2 Th 2 Su 2 Tu EXHIBITION 2 Fr

3 Tu 3 Fr 3 Fr 3 Mo 3 We TOUR 3 Sa FOOTY

4 We BELL LAUNCH 4 Sa 4 Sa 4 Tu 4 Th 4 Su SWAP MEET

5 Th NIGHT MKT 5 Su 5 Su 5 We 5 Fr 5 Mo

6 Fr 6 Mo 6 Mo 6 Th 6 Sa BDAY BBQ 6 Tu

7 Sa 7 Tu 7 Tu 7 Fr 7 Su 7 We

8 Su 8 We 8 We 8 Sa 8 Mo 8 Th

9 Mo 9 Th NIGHT MKT 9 Th 9 Su 9 Tu 9 Fr

10 Tu 10 Fr 10 Fr 10 Mo 10 We TOUR 10 Sa

11 We 11 Sa GARLIC W/E 11 Sa PPMF 11 Tu 11 Th 11 Su

12 Th NIGHT MKT 12 Su GARLIC W/E 12 Su PPMF 12 We 12 Fr 12 Mo LONG WEEKEND

13 Fr 13 Mo 13 Mo 13 Th 13 Sa TOUR 13 Tu

14 Sa 14 Tu VAL DAY 14 Tu 14 Fr EASTER 14 Su MUM DAY 14 We NMC’17

15 Su 15 We 15 We 15 Sa EASTER 15 Mo 15 Th NMC’17

16 Mo 16 Th NIGHT MKT 16 Th 16 Su EASTER 16 Tu 16 Fr NMC’17

17 Tu 17 Fr 17 Fr 17 Mo EASTER 17 We TOUR 17 Sa NMC’17

18 We 18 Sa 18 Sa 18 Tu 18 Th 18 Su NMC’17

19 Th NIGHT MKT 19 Su 19 Su 19 We 19 Fr 19 Mo

20 Fr 20 Mo 20 Mo 20 Th 20 Sa TOUR 20 Tu

21 Sa 21 Tu 21 Tu 21 Fr 21 Su 21 We

22 Su 22 We 22 We 22 Sa 22 Mo 22 Th

23 Mo 23 Th NIGHT MKT 23 Th 23 Su 23 Tu 23 Fr

24 Tu 24 Fr 24 Fr 24 Mo 24 We TOUR 24 Sa

25 We 25 Sa 25 Sa 25 Tu ANZAC DAY 25 Th BIGGEST MT

25 Su

26 Th NIGHT MKTAust Day 26 Su 26 Su 26 We 26 Fr 26 Mo

27 Fr 27 Mo 27 Mo 27 Th 27 Sa TOUR 27 Tu

28 Sa CHINESE NY 28 Tu 28 Tu 28 Fr 28 Su 28 We

29 Su 29 We 29 Sa 29 Mo 29 Th

30 Mo 30 Th 30 Su 30 Tu 30 Fr

31 Tu 31 Fr 31 We TOUR

SMM PR/ MEDIA/ BLOGGER COVERAGE

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SMM Committee – Agenda October 2016

MarketUrban List – 13 awesome things to do this weekendBroadsheet – Australia’s best produce marketsThe Australian – Wellness are we over the fad yet?Itimes - SMM Dim SimsHerald Sun – Solar PVInvest Victoria

SO:ME SpaceThe Plus Ones – Off the wagon launch

The Neff Market KitchenEat Drink Design AwardsPostcards – Black Swan Started at SMM

Simply Spanish Paella WinThe Age3AWTriple M

COMPETITIONS#DapperDad Competition – Our Father’s Day Instagram competition had one lucky person winning a makeover for dad, valued at over $600. The prize included a styling session at Barber of Seville; men’s manicure & pedicure at Miss Nail Bar; eyebrow trim at Miss Brow Bar; $100 voucher from Lost in Seasons; shirt and tie set from Hew Clothing; Bonds socks, jocks and Raglan V-neck from A Story by Another Name; genuine leather wallet from Cavalli Designer Fashion; heavy duty tradie’s phone cover from SMM Mobiles; For Him Gift Pack from The Australian Natural Soap Company.

The winner was @sofia.elani who posted a photo of her husband (in need of a makeover) with their new baby Luna.

WIN a Global Dinner Extravaganza – this competition is still running until16 October. One lucky person wins dinner for four people at all four of our Cecil Street restaurants, total value $1600. This is being promoted on our website, via social media advertising, in our Direct Mail, enews, in the Market and via the restaurants.

ADVERTISING

Direct Mail (Spring) - 8 -

SMM Committee – Agenda October 2016

The Age Good Food - Grand Final Eve

Gram Magazine - WIN Global Dinner

Social Media

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SMM Committee – Agenda October 2016

14/07/2014

29/08/2014

10/11/2014

13/02/2015

13/04/2015

4/06/2

015

11/08/2015

19/10/2015

20/11/2015

8/02/2

016

29/03/2016

8/06/2

016

10/08/2016

30/9/206

-

5,000

10,000

15,000

20,000

25,000

30,000

South Melbourne Market Social Media

TwitterInstagramFacebook

Fans

/ Fo

llow

ers

14/07/2014

29/08/2014

10/11/2014

13/02/2015

13/04/2015

4/06/2

015

9/08/2

015

19/10/2015

20/11/2015

8/02/2

016

29/03/2016

8/06/2

016

10/08/2016

30/09/20160

500

1000

1500

2000

2500

3000

SO:ME Space Social Media

TwitterInstagramFacebook

Fans

/ Fo

llow

ers

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SMM Committee – Agenda October 2016

29/08/2014

10/11/2014

13/02/2015

13/04/2015

2/06/2

015

9/08/2

015

19/10/2015

20/11/2015

8/02/2

016

29/3/2016

8/06/2

016

10/08/2016

30/09/20160

2000

4000

6000

8000

10000

12000

South Melbourne Night Market Social Media

TwitterInstagramFacebook

Fans

/ Fo

llow

ers

Recommendation:It is recommended that the Committee note the Marketing Report.

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SMM Committee – Agenda October 2016

Operations ReportMarket Cleaning and Waste Management ContractOCS (Outsourced Client Solutions) commenced their three year cleaning contract on 1 July.

The transition has been relatively smooth however new equipment is still on the way so some processes are more labour intensive and therefore more cumbersome for staff.

Renewal works The departure of AV Leathergoods has enabled the Market to do renewal works to this old stall. This included installation of new roller doors and the replacement of fence walls with MDF, which were painted. A pop-up trader from the SO:ME Space register will fill the space until an EOI is done for a long term tenant.

RISK ISSUES:First AidTraining SMM staff will undergo first aid training on 25 August.

Recommendation:It is recommended that the Committee note the Operations Report.

Ross Williamson17 August 2016

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