If you're a print and web subscriber, but do not yet have an online account, click here to create one.
Non-subscribers
Click here to see your options for becoming a subscriber.
Foley Council Discusses Advertising Contract
Posted
By Hannah Garcia
As contracts with the city come up for renewal, the Foley City Council has the power to decide whether or not to revive the bonds or sever ties.
One agreement in particular may have drawn ire of local businesses and the eye of the city council.
CGI Communications, which is based in Rochester, N.Y., currently holds a deal with the city to provide free videos for the town’s website. The company finances the project by selling ad space on the videos to local vendors.
<\/scr"+"ipt>");
}
//]]>-->
padding:0in;">The city agreed to the contract to provide more content for the website. Foley has worked with the video production company since 2006. The services came highly recommended by several sources, according to LaDonna Hinesley, marketing director for Foley.
“It’s good for the city in that the city doesn’t have to pay for it. It’s a great tool for people who are wanting to find out more about City of Foley, to really see some great footage of the city,” Hinesley said.
“We have worked with this company in the past and we are disappointed that we have heard comments that their sales tactics have been such that we have received complaints from different businesses,” she said.
The ads generally run from $3,000 to $5,000 and run for three years, according to the council.
“The idea is fine from the standpoint of what they are trying to do. They’re producing videos for the website. That’s a really good thing,” Councilman Ralph Hellmich said in a phone interview.
<\/scr"+"ipt>");
}
//]]>-->
padding:0in;">Some members of the council reported receiving calls from neighborhood businesses asking questions about the company’s sales pitch.
“I have received one call, saying a salesman said that the mayor endorses it. We don’t necessarily endorse the product.” Hellmich said.
“They are pretty aggressive, apparently,” council member Charles Ebert said. “I’m in favor of not renewing the contract. I don’t want this to slip through the cracks.”
According to Ebert, he received “four or five” calls from neighborhood businesses, complaining about the company’s sales tactics as well as claiming that local video advertising businesses could provide the same service.
“My position would be that we need to keep as local as we can,” Ebert said. “In light of the concern, I’d essentially like to see us get out of that contract as soon as possible.”
<\/scr"+"ipt>");
}
//]]>-->
padding:0in;">The council discussed possibilities to deal with issues, including putting the company on notice and attempting to nullify the contract.
“Currently I do not think there are grounds to bring forward a breach of contract issue. We are having legal look into the contract to let us know what our options are,” Mayor John Koniar said. “We will continue to monitor the situation.”
“We want to talk with the people,” Hellmich said. “What we want to make sure is that it’s being sold with the very best information and that they’re not stretching the truth.”
According to the Better Business Bureau, CGI Communications has an “A+” rating. The company has received 11 complaints in the past three years, two of which have been closed in the last 12 months. Two of those complaints pertained to advertising or sales issues.
The Better Business Bureau “has determined that CGI Communications, Inc. meets BBB accreditation standards, which include a commitment to make a good faith effort to resolve any consumer complaints,” according to the bureau’s website.
<\/scr"+"ipt>");
}
//]]>-->
padding:0in;">The advertising business has been accredited since Sept. 30, 2009.
According to the company’s website, CGI Communications ranked 82nd on a list of the 100 fastest-growing private companies in the Rochester, N.Y., region by a local business alliance. It employs 170 people.
Company representatives did not respond to requests for comment.
