Economic Development Isn’t Just Marketing - It’s Strategy

Too often, communities treat economic development like a branding exercise—design a logo, print some brochures, maybe attend a trade show or two, and hope the right company notices. But while marketing is part of the equation, real economic development goes much deeper. It’s not about selling a story—it’s about shaping your future.

At Impact Economics, I work with communities to approach economic development as a strategic, data-driven discipline, not just a promotional effort. And that starts with a hard, honest look at where you are today.

Start With the Fundamentals: Your Fiscal Foundation

Before trying to attract a single new business, every community needs to understand its current fiscal position. That means asking:

• What does our tax base look like?
  Is it concentrated or diversified? Are we overly reliant on a handful of large employers or a specific sector? What is the ratio of residential to non-residential value on the tax base? What is the relationship of our property tax to sales tax?

• What is our effective tax rate—on property, income, and sales—and how does that compare to peer communities?

• What is the state of your employment base?
  Are residents commuting out for work? Do we have an adequate labor pool for different types of industries?

• How many utility customers do we have—and are we growing or shrinking?
  Utility data is a proxy for population, development momentum, and long-term financial sustainability. Is the cost of operating the utility system fall on industry or residents? Are rates competitive to peer communities?

• What are our demographics telling us?
  Age structure, household income, educational attainment, and migration trends all signal what’s possible—and what’s not.

This baseline assessment is critical. Without it, you’re flying blind. With it, you’re ready to move from tactics to strategy.

Economic Development as Strategy, Not Reaction

Once you understand your fiscal foundation, you can begin crafting an economic development approach that fits your reality—not a neighboring city’s highlight reel.

• If your tax base is stagnant, you may need to focus on redevelopment, infill, or adaptive reuse strategies that grow value without increasing infrastructure costs. Or, we may need to consider investments to attract new employers and businesses to town.

• If your labor force is aging or shrinking, it may be time to invest in talent retention and attraction strategies—housing, childcare, and workforce development—before chasing another industrial lead.

• If your infrastructure is underutilized, such as excess water/sewer capacity or an airport that’s underperforming, those can be assets with the right business targets—but only if you know how to position them strategically.

• If you’re seeing revenue erosion, you may need to rethink your incentive policies or tax structures—not just to be competitive, but to ensure sustainability.

This is what strategic economic development looks like: not chasing leads, but building the conditions where the right investment fits, lasts, and lifts the entire community.

Don't Skip the Strategy for the Sake of the Spotlight

Marketing without strategy is like painting the front door of a house with a cracked foundation. It may look good in the photos, but it won’t stand the test of time.

Real growth happens when a community understands its position, defines its goals, and aligns its policies, investments, and partners to move in that direction.

That’s the kind of work I help our public sector clients do at Impact Economics. I bring a private-sector mindset to public-sector challenges—clear-eyed analysis, actionable strategies, and measurable outcomes.

Is your community ready to move from promotion to purpose?
Let’s have a conversation. Because economic development isn’t just about getting noticed—it’s about building something worth noticing.