Agenda item

RESOLVED:

The Cabinet Procurement and Insourcing Committee approved to:

·  Award the contract for Marketing and Branding Agent services for

Britannia Phase 2b to Bidder 3 in line with the fee set out in Exempt

Appendix A - Tender Evaluation Detail, and

·  Enter into a Services Agreement and any other ancillary legal

documentation necessary relating thereto with Bidder 3 for the

Services under such terms as shall be agreed by the Director of Legal, Democratic and Electoral Services, and authorise the Director of Legal, Democratic and Electoral Services to prepare, agree, settle and sign the necessary legal documentation to effect the proposals contained in this report.

REASONS FOR DECISION

This report outlines the process which has been followed to select a

preferred bidder for the provision of Marketing and Branding services for

LBH Britannia Phase 2b during the Strategy, Pre-Sales and Sales Phase of

the project’s delivery.

This role will commence with a Fixed Price strategy phase. The Marketing and

Branding Agent will co-author the Sales and Marketing Strategy in collaboration with the Sales Agent, and develop a naming and branding strategy. They will also provide input into the Sales Agent’s Development Consultancy Services, where this influences or affects the naming, branding and marketing of the product. Key outputs will be:

? Marketing and Brand Strategy

? Masterplan Brand

? Naming Convention, Block Convention and Release Strategy

? Brand Guidelines Creation

The engagement will then move into the Implementation Phase, in line with

the agreed Implementation Plan and budget agreed during the Strategy

Phase. This Implementation Phase will be split into the Pre-Sales Phase and

the Sales Phase. A move to commence the Sales Phase of the project will be

subject to Cabinet approval, as part of the Contract Award report for the

selection of a Design and Build Contractor for the Phase 2b project. This is

currently programmed for January 2023.

The expedient instruction of the Marketing and Branding Agent is key to

ensure that this Strategy and Pre-Sales work is completed in order to enable

a Sales Launch at the earliest opportunity during the construction phase - this

is of particular importance given the requirement to de-risk the development

by way of off plan sales. The precise nature and timing of this launch will be

subject to the agreed Sales & Marketing Strategy which is the first deliverable

of this appointment.

As set out in the Business Case, the total value of the Marketing and Branding

Agent services over the life of the contract is anticipated to be above the

current threshold of £213,477 (including VAT) under Regulation 5 of the Public

Contracts Regulations 2015. Therefore it was necessary to publish a Find A

Tender notice in respect of the procurement of the services. This was

undertaken using the Open Procedure pursuant to Regulation 27 of the Public

Contracts Regulations 2015.

As part of the Quality bid (10% of the maximum available 60% allocated to the

Quality response), bidders were required to commit to specific outcomes in

response to Hackney’s Sustainable Procurement Strategy. The response and

commitments of the recommended bidder are set out in paragraphs 7.1 to 7.3

to this report.

As clarified during the bid, the fees proposed for Phase 1 - Strategy, are fixed,

based on the supplier’s response to the specification, and based on their

experience of delivering marketing and branding strategy outputs for projects

of a similar scale, price point, and context to Britannia Phase 2b. To enable

flexibility in the commercial models of each bidder, and to pre-empt any

additional services which may be called off in the future, each bidder was also

asked to submit a schedule of rates.

As the final fee for the engagement will be subject to the agreed Sales and

Marketing Strategy, the award of contract is on the basis of a Fixed Price for

Stage 1 - Strategy, an indicative budget for Stage 2 - Pre Sales and Stage 3 -

Sales, and an agreed Schedule of Rates. An analysis of this by bidder is set

out at Exempt Appendix A - Tender Evaluation Summary.

7.1  The Project Director for Britannia Phase 2b introduced the report. They

outlined the process which has been followed to select a preferred bidder for the provision of Marketing and Branding services for LBH Britannia Phase 2b during the Strategy, Pre-Sales and Sales Phase of the project’s delivery.

7.2  The Project Director for Britannia Phase 2b confirmed that across three areas of the project the Council was confident the recommended bidder would deliver the agreed community plan. Its delivery would be monitored through Key Performance Indicators (KPIs) the recommended bidder was keen to promote the work being undertaken in the borough working with local businesses and choosing local suppliers where possible. There would also be work undertaken with local schools to bring forward apprentices in the creative industries.

7.3  The Project Director for Britannia Phase 2b explained that they could not detail the exact amount submitted by each bidder as this information was set out in the exempt appendices. However the Project Director explained that the fixed price element of the project was on phase one only whereas the cost score was across all phases. To some extent the pre- sales and sales phases by the bidders was based on their assumptions of their sales and marketing strategy. The fixed price element for phase one there was very little difference between the second and third place bidders for example. In terms of the original overall score the recommended bidder came fourth out of the five bidding companies.

RESOLVED:

The Cabinet Procurement and Insourcing Committee approved to:

·  Award the contract for Marketing and Branding Agent services for

Britannia Phase 2b to Bidder 3 in line with the fee set out in Exempt

Appendix A - Tender Evaluation Detail, and

·  Enter into a Services Agreement and any other ancillary legal

documentation necessary relating thereto with Bidder 3 for the

Services under such terms as shall be agreed by the Director of Legal, Democratic and Electoral Services, and authorise the Director of Legal, Democratic and Electoral Services to prepare, agree, settle and sign the necessary legal documentation to effect the proposals contained in this report.

REASONS FOR DECISION/OPTIONS APPRAISAL.

7.4  The report outlines the process which has been followed to select a

preferred bidder for the provision of Marketing and Branding services for

LBH Britannia Phase 2b during the Strategy, Pre-Sales and Sales Phase of the project’s delivery.

7.5  The role would commence with a Fixed Price strategy phase. The Marketing and Branding Agent would co-author the Sales and Marketing Strategy in collaboration with the Sales Agent, and develop a naming and branding strategy. They would also provide input into the Sales Agent’s Development Consultancy Services, where the influences or affects the naming, branding and marketing of the product. Key outputs would be:

? Marketing and Brand Strategy

? Masterplan Brand

? Naming Convention, Block Convention and Release Strategy

? Brand Guidelines Creation

7.6  The engagement would then move into the Implementation Phase, in line with the agreed Implementation Plan and budget agreed during the Strategy Phase. The Implementation Phase would be split into the Pre-Sales Phase and the Sales Phase. A move to commence the Sales Phase of the project would be subject to Cabinet approval, as part of the Contract Award report for the selection of a Design and Build Contractor for the Phase 2b project. This was currently programmed for January 2023.

7.7  The expedient instruction of the Marketing and Branding Agent was key to ensure that the Strategy and Pre-Sales work was completed in order to enable a Sales Launch at the earliest opportunity during the construction phase – this was of particular importance given the requirement to de-risk the development by way of off plan sales. The precise nature and timing of the launch would be subject to the agreed Sales & Marketing Strategy which was the first deliverable of this appointment. As set out in the Business Case, the total value of the Marketing and Branding Agent services over the life of the contract was anticipated to be above the current threshold of £213,477 (including VAT) under Regulation 5 of the Public

Contracts Regulations 2015. Therefore it was necessary to publish a Find A Tender notice in respect of the procurement of the services. This was undertaken using the Open Procedure pursuant to Regulation 27 of the Public Contracts Regulations 2015.

7.8  As part of the Quality bid (10% of the maximum available 60% allocated to the Quality response), bidders were required to commit to specific outcomes in response to Hackney’s Sustainable Procurement Strategy. The response and commitments of the recommended bidder are set out in paragraphs 7.1 to 7.3 to this report.

7.9  As clarified during the bid, the fees proposed for Phase 1 - Strategy, are fixed, based on the supplier’s response to the specification, and based on their experience of delivering marketing and branding strategy outputs for projects of a similar scale, price point, and context to Britannia Phase 2b. To enable flexibility in the commercial models of each bidder, and to pre-empt any additional services which may be called off in the future, each bidder was also asked to submit a schedule of rates.

7.10   As the final fee for the engagement would be subject to the agreed Sales and Marketing Strategy, the award of contract was on the basis of a Fixed Price for Stage 1 - Strategy, an indicative budget for Stage 2 - Pre Sales and Stage 3 - Sales, and an agreed Schedule of Rates. An analysis of this by bidder is set out at Exempt Appendix A - Tender Evaluation Summary.