Mon, Nov 23 2009

Published: April 22, 2008 08:38 am    PrintThis  

Report: Newburyport is a 'creative economy' leader

By Katie Curley
Staff writer

NEWBURYPORT — From marketing, technology and public relations firms to its rich artistic culture, the city's thriving creative economy put Newburyport near the top in a recent study of creative businesses in the North Shore.

Out of 28 North Shore cities and towns included in the North Shore Creative Economy Market Analysis and Action Plan study released last week, Newburyport is No. 2 with 219 creative businesses, behind Beverly's 268.

"I see it all the time in terms of various marketing companies in town," said Mark Guay a local attorney representing several area marketing companies. "The Merrimack Valley Economic Development Council has made Newburyport the cornerstone of its strategic plans."

The creative economy study focused on industries that are tied to innovation and individual creativity, and use skill and talent to create wealth and jobs.

According to the report, the creative economy on the North Shore represents 10 to 12 percent of the region's private sector employment. The local economy employs a larger percentage of workers than biotech (2 percent) and manufacturing (7 percent), the study says.

The Enterprise Center at Salem State College, The Salem Partnership and the Creative Economy Association of the North Shore sponsored the study using a $45,000 state grant won last summer, said Christine Sullivan, who runs the small business incubator at Salem State College.

The report identified five "creative clusters" within the North Shore representing more than half of all creative economy businesses. The clusters, which included design, computer systems and software, business and management consulting, engineering and research/development business, artists and advertising, represent many of the types of businesses which have moved into Newburyport in recent years.

David Strand, president and founder of Newburyport-based Strand Marketing, says the businesses he is seeing lately are stronger than those of the late 1990s and early 2000s prior to the "dot-com crash," and indicate the strength of the local economy.

"A lot of companies are business to business and are staying strong despite the R-word (recession)," Strand said. "If this is any indication that the area is healthy and strong, they are spending money on marketing which is a good sign."

While economic development officials have been touting the creative economy as a driver of job growth for years, this study represents the first time the size and scope of the creative economy on the North Shore has been fully measured.

In Newburyport, which prides itself on its creativity, Guay and Strand agree the community lends itself to the entrepreneurial spirit creative thinkers are looking for.

"When I describe Newburyport I call it a room with a view," Guay said. "It has great views, great atmosphere, great economy and it has been shown, the educational background of people living in this area is higher than the rest."

Strand, who moved to Newburyport from the North Reading area 10 years ago, says he was first attracted to the city for its "vibes."

"Businesses like to locate where other creative people are," Strand said. "We are trying to brand ourselves as a green community and that furthers the progressiveness and attracts more businesses to the area as it is a hot trend, socially responsible, ecologically responsible and an intelligent move."

Public relations firm Matter Communications has found Newburyport to be a niche community where it has thrived as well.

"In advance of establishing our office, we recognized that the greater Newburyport area was increasingly becoming a center for creative professionals," said Scott Signore, principal of Matter Communications. "Fortunately for us, the community has become an even more significant host of creative people and programs since we first opened our doors five years ago."

The report suggests the region needs to brand and promote its creative economy initiatives with an action plan that suggests local governments, those interested in economic development and others work together and take a regional approach.

Guay notes companies which are green-based have created a confluence of the concepts which in turn have invigorated the area and can be used as a model for other cities.

"We need to extend our concept and on a broader scale, reach the mega community in the area," Guay said. "By partnering with other communities we can share our values."

> >

Among the report's findings:

r 2,233 businesses and organizations in a region are involved in the creative economy.

r The creative economy employs 17,000 to 20,000 people

r It represents 10 percent to 12 percent of all private sector jobs.

r Creative economy enterprises contribute more than $3 billion in annual sales.

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Where is the creative economy on the North Shore?

A new study finds 2,233 creative economy establishments on the North Shore. Here the top five cities and towns, as well as other towns within the Daily News readership area.

Town Number of establishments Percent of total

1. Beverly 268 12

2. Newburyport 219 9.8

3. Gloucester 195 8.7

4. Salem 192 8.6

5. Marblehead 172 7.7

Also

Amesbury 87 3.9

Salisbury 45 2

Rowley 26 1.2

Georgetown 25 1.1

West Newbury 23 1

Newbury 21 0.9

Groveland 15 0.7

Source: Karl F. Seidman Consulting Services and ConsultEcon Inc.

The full report can be found at www.enterprisectr.org.

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