BEST PRACTICES UNDING IS TIGHT FOR TRANSIT agencies across the nation. For new revenue, consider the sale of naming rights sponsorships for key transit assets. Selling naming rights to professional sports facilities has been the norm for years. Today, many college and high school athletic facilities bear the name of a major corporate partner. Isn’t it about time for transit to follow suit? Greater Cleveland Regional Transit Authority (GCRTA) was the fi rst transit system in the nation to sell naming rights sponsorships to its assets. GCRTA partnered with the Superlative Group in 2008, and as a result, naming rights sponsorships have been negotiated for: • Th e HealthLine — recognized as the top bus rapid transit (BRT) system in North America. Th e joint 25-year sponsorship is with two world-class health-care facilities — the Cleveland Clinic and University Hospitals — both of which are located along the route. • Naming rights for individual Health- Line stations have been sold to respected organizations such as Huntington Bank, Medical Mutual, Cleveland State University and Bryant & Stratton College. • In 2014, Cleveland State University entered into a 28-year naming rights sponsorship for the popular 55 bus line, as RTA upgraded the service to BRT. Th e Cleveland State brand can be seen on 16 articulated vehicles, as well as 19 upscale bus stations along the Clift on corridor. Th e sales of these naming rights pumps millions of dollars of revenue into GCRTA. While most of this new revenue goes to the bottom line, a portion is dedicated to maintaining a higher level of cleanliness and landscaping on the sponsored services. Of course it helps when these services are considered strong community assets. • HealthLine: Annual ridership has increased 28 | Mass Transit | MassTransitmag.com | FEBRUARY 2017 by 60 percent since 2008. Th e service has generated more than $6.3 billion in development along Euclid Avenue. • Cleveland State Line: Ridership has almost doubled since its inauguration in December 2014. What is better than money, or at least almost as good? Th e answer is transit’s image in the community. Partnering with well-respected institutions for these sponsorships has the added benefi t of enhancing the image of our transit systems. In 2006, GCRTA introduced Downtown trolley service that was free with a smile. Th e popular service — which now carries up to 6,000 passengers a day — was initially underwritten by a single source, such as the local convention and visitor’s bureau, the Corner Alley entertainment venue or Dollar Bank. Later, when trolley service doubled, the Downtown Cleveland Alliance coordinated a campaign that garnered 14 more sponsors. Although naming rights were not sold, the names of all donors appear on every vehicle. As the GCRTA and Th e Superalative Group continue to look for other opportunities, at least one other major local employer is giving serious consideration to a partnership that supports popular routes connecting their multiple facilities to each other and to the community. When done properly, selling naming rights is one of those win-win situations. HE BOW VALLEY REGIONAL TRANsit Services Commission (BVRTSC) is a unique agency in Western Canada, comprised of three voting members (town of Banff , town of Canmore and Improvement District #9). It was formed with the objective of providing or coordinating local and regional transit services within the regional service area. Th e commission is supported by administration staff from the towns of Banff and Canmore. As well, Parks Canada actively participates in commission meetings. Th e bottom line objectives are social, economic and environmental, supporting the long-term sustainability of the region. Revenue generation through traditional and non-traditional methods has allowed the BVRTSC to consistently remain in the top 10 percent of Canadian transit agencies for cost recovery. As an agency working to meet the needs of both residents and high volumes of visitors, we seek to develop strong corporate and community partners that help us achieve our goals. Our partnership with the hotel sector in Banff has gained benefi ts for the hotels, their guests and our agency through increasing the opportunity for accessibility to local destinations and attractions without moving their Generating Revenue Sponsorship rights / Partnerships / Advertising Martin Bean CAO Bow Valley Regional Transit Services Commission F T Joe Calabrese CEO & General Manager Greater Cleveland Regional Transit Authority Cleveland, Ohio Banff, Alberta “When done properly, selling naming rights is one of those winwin situations.”
MassTransit_February_2017
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