State aims its biz-marketing out-state

LANSING - Michigan is retooling efforts to advertise itself to business.Like tourism promotional funding, state business-marketing dollars are in tighter supply this year.

And the reduction means the state will cut back on what it spends in Michigan and target its out-of-state spending on specific industries or international investment, as opposed to broader promotion.

For example, the Michigan Economic Development Corp. is likely to home in more on regions that house industries the state is trying to foster, like alternative energy, said MEDC executive vice president Lisa Dancsok.

The MEDC has $11.35 million this year to spend on business marketing, down nearly 13 percent from the $13 million it had available last year. This year's support comes from several sources: $3.75 million from the 21st Century Jobs Fund, $5.5 million in MEDC funds derived from casino revenue, $1.4 million from the state general fund, and $700,000 unspent from 2007.

Total business-marketing spending will shift from the previous 80 percent out-of-state and 20 percent in-state, to about 95 percent out-of-state and 5 percent in-state. Dancsok said in-state marketing will probably be tied to specific events, like the North American International Auto Show and the SAE 2008 World Congress.

The MEDC will continue to use the Upper Hand advertising campaign, which features actor Jeff Daniels and highlights Michigan companies.

— Amy Lane, Crain's Detroit Business