The city council's newest ratepayer-funded organisation, Papamoa Unlimited, has taken a sideswipe at the way its older and larger Tauranga equivalent does its business.

Papamoa Unlimited co-ordinator David Hill told city council's Monitoring Committee this week that the organisation's style of taking $25,000 from a commercial rate levy and ensuring all events are fully sponsored is far more efficient than contracting everything out for over $250,000.

David Hill says Papamoa Unlimited has proved to be ‘uber-efficient'. Photo: File.

His comments were in reference to Mainstreet Tauranga, which contracts out all event promotions and initiatives to Tuskany Marketing for $250,800 according to figures tabled in the Monitoring Report this week.

'It's a realisation that what we are doing in Papamoa is uber-efficient and is a good business model,” said David after the meeting. 'We are really happy with the results we are getting in Papamoa.

'I think the business model of asking for a little bit of money and not relying on paying money and abdicating responsibility is one that works exceptionally well with town centre organisations I have been involved in, both now and in the past.”

David moved to Papamoa from Richmond, near Nelson, where he says the decision to turn everything over to a marketing group didn't work out well.

'What happened with the Nelson retailers is they brought a marketing group on board and within a couple of years moved back to the retailers running the organisation, because there was direct accountability and a direct line of feedback.

'Our model is run by retailers – people with skin in the game who have direct responsibility for where their money is being spent. That model tends to work exceptionally well.”

He also picked up from comments made at the meeting by Tuskany director Sally Cooke, who suggested that Tauranga Mainstreet are having trouble engaging with their stakeholders.

He says that's something that doesn't happen where ratepayers or businesses are paying a targeted rate directly on that committee and having a say on day-to-day activities.

In the first six months of operation, Papamoa Unlimited organised Shop and Win, which had more than 12,000 entries and Dinner in The Domain from October until March.

Also proving popoular were the Teddy Bears' Picnic, with more than 2500 people participating on the day, Ulysses Toy Run, which featured over 300 motorcycles as well as a barbecue, and the Papamoa Polar Plunge.

Papamoa Unlimited's draft profit and loss statement, for the year ended June 30, recorded a profit for the year of $18,040 before tax.

Mainstreet Tauranga also made a profit. Total income was $377,341.20, with total expenses coming in at $307,282.55, leaving a net income of $70,058.65.

When contacted, Tuskany marketing director Sally Cooke referred SunLive to the Mainstreet board.

'They are the ones who set up the partnership with Tuskany that we report to every month,” she explains.

She also adds that the advantage for Mainstreet is that it gets a full team working on the Downtown Tauranga contract who have got marketing, event management, strategic marketing and branding expertise, offering independent advice on how to market the city centre.

Tauranga Mainstreet board vice chair Anne Pankhurst says Mainstreet Tauranga represents a diverse membership of 725 – two-thirds of which represent a commercial or first floor business in the central business district.

'We're not just representing retailers of the CBD,” says Anne.

'We have a big programme of not just delivering events in the CBD, but also working in the true Mainstreet model of five elements, which include street activation such as the Wharf Street dining concept and heritage conservation.”

The Mainstreet board has used Tuskany as their management and marketing agency for two years and is very happy with the results, says Anne.

'We monitor the outcomes against the contract each month and we consider our model to be very efficient and effective for the outcomes we have strategically selected to work towards,” she says.

'Again, the Wharf Street activation is an excellent example of that, and involved Tuskany who were very much at the head as project manager, strongly supported by a number of businesses including Aotea Electrical and Paul Rutherford Signs.”