Selection of an International Media / Public Relations Agency for Croatian National Tourism Board Terms of Reference

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1 Selection of an International Media / Public Relations Agency for Croatian National Tourism Board Terms of Reference Elaborated by: Croatian National Tourism Board Zagreb, November 2014

2 CONTENTS A) Introduction... 4 A.1. Preamble... 5 A.2. Croatia: 2020 Vision and Marketing Goals... 6 A.3. Targeted Consumers... 8 A.4. Targeted Geo Zones... 9 A.5. Messaging... 9 B) Selection of an International Media / Public Relations Agency Terms of Reference B.1. Objectives of the assignment: International Public / Media Relations Services B.2. Scope of Services B.3. Deliverables that Should be Provided by the Awarded Agency B.4. Maximum Available Budget C) Selection Procedure and Requirements C.1. Eligibility and Phases C.2. Phase 1: Pre Qualification Experience Capabilities Years in operation Paid tax Certificate confirming that there are no pending criminal proceedings 19 C.3. Phase 2: Proposal Submission/Negotiation Preparation for the proposals Proposal contents Proposal submission/negotiation Price submission Evaluation Obligations of the Service provider after selection Submission forms 24 Annex 1) Terms and Conditions of the Agreement General provisions Commencement, completion, modification and termination of Contract Obligations of the provider of services Payments to the provider of services Fairness and good faith Settlement of disputes 29 Submission Form 1. - General information about the Tenderer responsible for the project 30 Submission Form 2. - List of contracts for significant services which the tenderers performed in the past three (3) years 31 2

3 Submission Form 3. - List of significant clients in the past ten (10) years 32 Submission Form 4. - List of significant awards in the past ten (10) years 33 Submission Form 5. - Composition of the work-team and tasks 34 Submission Form 6. - CV of the members of the work-team 35 Submission Form 7. - Statement Of Good Conduct 37 Submission Form 8. - Statement Of Paid Taxes 38 3

4 A) Introduction 1. Preamble 2. Croatia: 2020 Vision and Marketing Goals 3. Targeted Consumers 4. Targeted Geo Zones 5. Messaging 4

5 A.1. Preamble A New Strategic Marketing Plan with three major goals In order to help achieve the objectives of the National Strategic Tourism Plan by 2020, the CNTB Tourist Council has approved the Strategic Marketing Plan of Croatian Tourism (SMPHT for the period This plan pursues three major objectives: to increase substantially the brand power of Croatia as a tourism destination, to attract more tourists in pre and post season, and to increase the average daily expenditure of tourists. External services to be procured by the CNTB In order to contribute to the success of this plan, the CNTB wants to acquire (by way of a public tender) the services of specialized agencies to carry out the following: Implement a sophisticated program of "media relations" in specific countries (geo-zones). Aim and content of this document This document has been created to help understand the context and characteristics of the requested services, and contains 3 sections and 3 annexes: Section A: Introduction that briefly presents the Marketing Plan s main objectives and strategies. Section B: Terms of reference of this tender. Section C: Tender s administrative procedure and evaluation of proposals. Annexes (A thorough reading is key to developing good proposals): Annex 1 Terms and Conditions of the Agreement. Appendixes: 1-8 Confidentiality Statement (refers only to tenderers in the second phase of the procedure and will be sent additionally to selected tenderers) Annex 2 SMPHT (for pre-qualified agencies only, upon request, after signing the Confidentiality Statement) Annex 3 5

6 CNTB Communication Strategy (for pre-qualified agencies only upon request, after signing Confidentiality Statement) Budget available for the implementation of functional PR/MR activities during 2015 in the contracted markets (geozones) Clarifications and interpretation of this document and annexes The CNTB shall provide, upon request, additional information and/or clarifications that may be needed for the development of optimal bids. In case of any question/doubt please contact Ms. Marina Šimun, For clarifications regarding the First Phase: Pre-qualification procedure not later than 1 st December 2014 by PM (CET), For clarifications regarding the the Second Phase: Proposal Submission/Negotiation in accordance with further instructions of the CNTB. In case of doubt, the Croatian version of these documents shall prevail. A.2. Croatia: 2020 Vision and Marketing Goals Croatia, as a tourism destination, has great opportunities deriving from its natural and cultural attractions, suggestive lifestyles that enrich its quite virgin territory, its unique islands system, a wide experience in tourism hospitality and a privileged geographical location within the European Union. Vision In this context, Croatia wants to compete in four areas of the tourism business: to relax, to discover, to enjoy, and to meet. The following image describes the vision and its associated marketing objectives, which are later described in further detail: 2020 vision and marketing goals 6

7 Marketing goals and objectives Croatia is facing some major challenges that currently prevent the country to achieve the vision: the brand is not too well known and understood in the market, tourism demand is concentrated in 80 days (summer time period), and the average expenditure per person per day is below the Mediterranean average. This has a negative impact on ROI, wages and generation of profit; therefore, Croatia s tourism sector is performing below what is desirable and possible. The following table shows how marketing should contribute to achieving the tourism vision of Croatia. The 3 objectives that marketing should help achieve Problems to be solved Goal Objective a. Croatia s Brand Concept power is weak. About 90% of the market potential is lost due to lack of awareness and understanding of Croatia as a tourism destination. Additionally, Croatia is in most cases valued behind its main competitors (Spain, Italy, Greece, Turkey, etc.) in the 5 key attributes for choosing a destination, except when it is related to "virginity. b. Croatia has difficulty attracting tourists on pre and post season The months of July and August represent close to 60% of the total yearly demand. c. The average per capita/day tourist expenditure is weak. While Croatia receives every year important personalities To Increase Brand Power +50% (Brand Power) To increase PPS arrivals +1M net arrivals in PPS by 2020 To improve daily expenditure +15% (Without inflation effect) Customer 75% of brand awareness and 60% understanding among the target population. Collaborators + 25% awareness among collaborators Internal Achieve 75% of the national key players to support, spread out and be aligned with Croatia s brand in cooperation with CNTB Customer 50 million of PPS potential consumers impacted Collaborators + 30% PPS offerings in TTOO + 20% PPS media buzz + 20% PPS air capacity Internal Attract +50% of key players to the PPS project Customer Increase per capita daily expenditure to 540 HRK (+15% net*) before 2020 Collaborators 7

8 visiting the country, attracted by its unique natural and cultural charms, most of the current customers are middle and lower-middle class, largely from neighbouring countries, who come over in the summer to enjoy unsophisticated vacations in Croatia due to its low level of expenditure. +20% presence in upscale tour operators Internal Attract +30% of the national sector to develop upgraded offerings A.3. Targeted Consumers Croatia uses a double market segmentation (sub-demographic and behavioural), which is described in the following tables: a. Target consumer by demographic variables Age: Higher income Urban residents No kids Friends Couples Families Age: / / 55+ Higher income Urban residents Traveling without children (More details Annex 2 available only to pre-qualified agencies). b. Target consumer by behavioural variables Age: / Higher income Urban residents Traveling with children Place of stay Vacation motive This type of tourist is interested in Need Vacationist Touring Special Interest Meetings Hotel, private accommodation, camp-sites, apartments Private accommodation, camp-sites, apartments Hotel, private accommodation, camp-sites, apartments Hotel Relax and enjoy at the micro destination area. Enjoy and explore activities and experiences within a wider area at destination. Enjoy special activities. They visit the destination primarily because of their special interests. Short-trips to a destination because of a specific business or educational reason. Selecting a micro destination like a town or a region. Moving around in a larger area (even countrywide). Enjoy special activities. They visit the destination primarily because of their special interests. Their trips are organized by the convention or meeting organizer. Wants to feel exciting and authentic experiences at a limited area Wants to feel excited and surprised at a wider destination area Wants to feel exceptional Wants to feel detached 8

9 A.4. Targeted Geo Zones Croatia will focus its efforts on wel-targeted areas (demand feeders) in the following source markets: As marketing resources are limited, it is crucial to target specific geo-zones (not entire countries) based on market attractiveness and Croatia s connectivity. Therefore, 56 air and 27 land geo zones are targeted based on their market potential, direct or + 1 stop air routes, or 4-6 hours car connection to Croatia. (More details Annex 2 & 3 available only to pre-qualified agencies). A.5. Messaging Communication will have a key role within the marketing system in achieving the previously mentioned objectives. The essentials of the messaging strategy are described below. a. Targeting and messaging - Brand power reinforcement objective Target Message Benefit FAMILIES Croatia is a great place for family bonding BONDING COUPLES Croatia is a perfect destination for a getaway away from everyday life GETAWAY FRIENDS Croatia is a destination that inspires INSPIRATION b. Targeting and messaging - Pre and Post Season (PPS) objective Target Message Benefit FAMILIES In Croatia summer lasts longer LONGER SUMMER COUPLES Early or late holiday in Croatia is a smart choice SMART CHOICE FRIENDS Visiting Croatia in PPS is a more authentic option MORE AUTHENTIC

10 c. Targeting and messaging - Increasing expenditure objective Target Message Benefit FAMILIES COUPLES While on holiday, in Croatia you can be truly happy In Croatia you can finally do the things you always wanted HAPPINESS DREAM FULFILMENT FRIENDS Everything you do in Croatia is more fun FUN d. Targeting and messaging - Messaging for behavioural segments Certain targets may need specific behavioural messages, as described below: Behavioural messaging Segment Make them know Make them think Make them do Vacationist (families & couples) Touring (couples & friends) Croatia offers infinite number of exciting and authentic experiences for everybody Croatia is a source of excitement In Croatia, the holiday doesn t have to be a compromise Croatia thrills with its diversity Decide to choose a holiday destination where no one will feel left out Decide to choose a holiday destination that is exciting Special interest (couples & friends) Croatia is a most convenient holiday option for exceptional activities Croatia is an easy way to feel special Decide to choose a convenient holiday destination which offers exceptional experiences Meetings (n/d) Croatia offers a smooth break Croatia offers instant escape from everydayness Decide to choose a holiday destination which helps you feel better CNTB shall sometimes combine both types of segmentation to better focus its efforts in specific regions, as shown in the following examples. Example 1: If CNTB wants to develop a promotional activity aiming to promote PPS for retired couples in Germany, the brief is as follows: 10

11 Example 2: If CNTB wants to promote the Brand for young backpackers in France, the brief is as follows: 11

12 B) Selection of an International Media / Public Relations Agency Terms of Reference 1. Objectives of the Assignment 2. Scope of Services 3. Deliverables that Should be Provided by the Awarded Agency 4. Maximum Available Budget for the Service 12

13 In order to achieve the three main objectives of the SMPHT , the CNTB will perform significant efforts to communicate in 360º with the plan s specific targets and with the chosen (air and land) geo-zones. These efforts will consist of various integrated communication initiatives both offline and, especially, online. These efforts will include advertising, media relations, branded content, social networking, etc. The CNTB is launching an international tender among highly qualified agencies to perform a 360º media/public relations plan. The plan devised by the winning agency will raise the awareness and understanding of Croatia, and will manage existing perceptions of Croatia as a tourism destination. B.1. Objectives of the assignment: International Public / Media Relations Services The expected goal of the public relations program is to contribute towards achieving the marketing plan s three objectives by modifying certain images, perceptions, and attitudes towards Croatia as a tourism destination in the target consumers mind. Research has clearly revealed which images and perceptions should be modified or strengthened; this (and only this) should be where the public relations program must concentrate its energy. The CNTB does not expect press clippings that are not directly related to achieving of the objectives specified below. Public relations goals and objectives (All of them specifically related to Croatia s target consumers living in targeted geo-zones) (Each objective shall be measured at least once per year) Goal Objectives (2020) To raise awareness and understanding of Croatia (as a tourism destination) brand concept Level of brand and offer understanding: 65% (*) Improvement of key perceptions: + 30% (**) Making the target aware of the benefits and advantages of PPS holidays in Croatia. 30% of target aware of it. (*) Understanding: regions and places, available product categories, top experiences, main symbols and icons (**) Both global and country specific perceptions (positive and negative) 13

14 B.2. Scope of Services Countries (geo-zones) where the PR/MR services are to be provided: Germanic speaking area - Germany, Austria, cantons of Switzerland - Aargau, Appenzell Ausserrhoden, Appenzell Innerrhoden, Basel-Stadt, Basel-Landschaft, Glarus, Lucerne, Nidwalden, Obwalden, Schaffhausen, Schwyz, Solothurn, St. Gallen, Thurgau, Uri, Zug, Zurich, Bern, Graubünden; the United Kingdom; Italian speaking area - Italy, canton of Switzerland Ticino; French speaking area - France, cantons of Switzerland - Geneva, Vaud, Neuchâtel, Fribourg, Valais; Nordic countries - Sweden, Norway; The Netherlands; Poland; the USA (New York area). Services to be delivered by the awarded agency: Perform an exploration and diagnosis of current situation Develop a PR strategy for the next 5 years, for the above stipulated markets Convert the strategy in to a 3-year PR/MRplan, for the above stipulated markets Develop a detailed implementation PR/MR plan/ program for the period of one year (month by month/12 calendar months), for the above stipulated markets Execute strategic PR/MR services according to the plan program for the period of one year for the above stipulated markets (market bay market, activity by activity, budgets breakdown included) Evaluate the results Scope of services: Traditional & online media relations, digital strategy executions, sponsorships & promotions, special events, media presentation & training, media tours, industry engagement, including: 1. IMPLEMENTATION OF A SOPHISTICATED PLAN TO MODIFY THE IMAGE & PERCEPTIONS ABOUT CROATIA AS A TOURISM DESTINATION: In each of our source markets, our target has some specific images and perceptions that stimulate or refrain from their desire to visit Croatia (which may determine Croatia to be in their top of mind ). The main objective of the PR program is to reduce (between 30-50%) the negative perceptions (2-3) and to maximize (between 30-50%) the positive ones (2-3) in such a way that Croatia becomes a country in the potential customers top of mind. 2. PROMOTION OF CROATIA S NEW BIG IDEA Croatia is undergoing the process of the creation of new umbrella communication concept ( The Big Idea ) to be launched in February/March Consistent PR strategy/action plan/implementation plan for the period of the next three years is needed, in order to make the 30-40% of the target customers (at the end of this period) in the given market aware of the key attributes of Croatia communicated as the Big Idea. 14

15 3. TRADE / INDUSTRY RELATIONS: Support on partnerships with industry key players (TO, TA, airlines, etc.) Co-op initiatives (co-branding, cooperative PR events, etc.) 4. DIGITAL COMMUNICATION: Content creation, community management (if needed), and conversation management (if needed) (Daily) Client engagement daily/ weekly / monthly coordination to approve planning and content for Social Media channels Creation of editorial calendars and selection of content to be activated through Social Media channels Monitoring of Social Media Channels and creation of a monthly report with key activity and KPIs Development of plans for Social Media and Influencer engagement on Facebook, Twitter, Instagram and You Tube Brand campaign on Social Media based on creative activation on social media (coordinated with the Big Idea concept) + coordination with on-going community management + campaign report. 5. INTERNATIONAL COORDINATION WITH CNTB HQ PR Global Plan Design, coordination and follow up Creation of global unified and standardised processes and procedures Creation and development of global stories about Croatia Global reporting to the CNTB HQ + coordination with the CNTB HQ 6. REPORTING TO THE CNTB HQ: Depending on the type of activity: daily/weekly/monthly/annual. 7. CONTRACT DURATION The duration of the contract is one year (12 calendar months). The extension of the contract for the period to up to three calendar years is possible, upon the agreement of both contracting parties. The decision regarding the contract extension shall be made at least 30 days prior to the current contract termination. B.3. Deliverables that Should be Provided by the Awarded Agency The following deliverables should be provided by the awarded agency: All planning documents Evidences of all planned and executed activities Reports on results of the activities Copies of all produced materials B.4. Maximum Available Budget 15

16 The CNTB maximum available budget for the PR/MR activities in 2015 is of ,00 HRK (without VAT). (Including the abovementioned deliverables and unlimited rights of use of the MR/PR Plans) 16

17 C) Selection Procedure and Requirements 1. Eligibility and Phases 2. Phase 1: Pre Qualifications 3. Phase 2: Proposal Submission/Negotiation 17

18 C.1. Eligibility and Phases The competition shall be open to all tenderers who deliver the application forms (Submission forms 1 8) - gather evidence for the following conditions: High level of experience and success in creating relevant PR/MR Plans which were successfully applied internationally High level of professional recognition Highly experienced work-team The tender will consist of two phases, the Pre-qualification phase and the Proposal submission phase. Phase 1: Pre- qualification phase All tenderers that comply with criteria described in tenderer eligibility provisions may participate in this phase. Technical Committee of the CNTB Head Office shall select a maximum of five tenderers, to enter the Phase 2, taking into consideration the submitted documentation proving the criteria described here. Evaluation - The Technical Committee shall evaluate the submitted bids, and in accordance with collected materials shall evaluate discretely the quality of each single tenderer and decides upon which a maximum of 5 (five) tenderers shall be admitted to the second phase. Phase 2: Proposal submission In this phase, the awarded agency will be selected by the Selection Committee (appointed by the Tourist Council) based on the evaluation of their technical proposal and their performance in the proposal presentation. The required contents of the technical proposal are to be found below, as well as the suggested agenda for the presentation. C.2. Phase 1: Pre Qualification To pre-qualify, the agencies shall present evidence of the following (see Submission Forms 1-8): 1. Experience The CNTB wants to work with a global PR/MR agency with extensive and proven experience in this type of services and gather, at least, evidence of the following requirements: 10 years of being operational in the market With a minimum of 10 global clients in the past 10 years With a minimum of 2 clients in the tourism industry With at least 5 relevant national / international awards 2. Capabilities The CNTB wants to work with a global PR/MR agency with extensive and proven experience in this type of services and gather, at least, evidence of the following requirements: Own offices in 70% of the target countries Specialists, dedicated to this account in at least the following areas: Traditional PR 18

19 Digital services Partnerships Social platforms Storytelling Measurement and analytics Joint tendering is not permitted. 3. Years in operation Legally constituted for at least ten (10) years - shall be recognized only if an excerpt from a court or other business register with the date of establishment is delivered. 4. Paid tax Signed statement which is attached to this Announcement 5. Certificate confirming that there are no pending criminal proceedings Signed statement which is attached to this Announcement Important note: CNTB will cross-check the presented references, evidences and capabilities In case some evidence is unclear or is not delivered, CNTB may invite bidders to clarify or submit the evidence within the period specified by the CNTB. In this phase, price submission is not required! C.3. Phase 2: Proposal Submission/Negotiation Selected tenderers shall be invited to participate in the second phase of the tender. All selected tenderers shall be notified by to the same address received in the prequalification phase as official address. All selected tenderers shall confirm their participation in written form in the period of three (3) working days after being invited to the submission phase. If CNTB fails to receive their confirmation, CNTB may select alternative tenderers from pre-selection phase list to join the submission phase and deliver its bid. Tenderers that were not selected in the pre-qualification phase shall not have the right to appeal or the right to any other cost reimbursement or compensation for damages occurred, or that may have occurred due to their participation in the pre-qualification phase. 1. Preparation for the proposals The pre-qualified agencies will be invited to a short online briefing, date and time to be determined by CNTB. The objective of this briefing will be to present to the agencies the marketing plan and to answer any questions related with the process to help them prepare high-quality proposals. 19

20 2. Proposal contents The proposal will have to clearly state five sections: 2.1. Global and country specific objectives and strategies In this section, the agency will have to clearly define its approach for the following three years in order to achieve the specified goals and objectives. This section should include, at least: Three media/public relations related to big ideas An idea for a consumer PR campaign (large or small) that could be implemented across all key markets. Goals, objectives and strategies; global and country specific. Action plan for the next 3 years Proposal of 3 PR Big Ideas Proposal of 3 partner slips Quarterly execution calendar 2.2. The Plan: tasks, activities and deliverables In this section, the proposal has to indicate the necessary tasks and activities the agency recommends to perform in order to deliver the global and country specific strategies and fulfil the objectives. In addition, the deliverables that will be produced will have to be specified and described Experience and dedication of the organisation to implement the plan The agency should provide the following items: Team structure of the delivery team Table with job title, name and qualifications of the delivery team, previous relevant experience (in the agency or in other previous companies), success stories and time dedication to this account List of all other accounts handled by each team member All team members must be employees of the agency submitting the proposal Methodology for managing the relationship with the CNTB Provide the following items of information: Proposal for Croatia s account management approach, including documented account planning, and a documented approach for approving work, financial and activity reporting Description of the cost control methodology suggested Proprietary reporting and/or management processes or systems to coordinate global and regional work 2.5. Methodology for measuring results Provide the following items of information: 20

21 Proposal of quantitative reporting / ROI measurement methods Indicate if the agency plans to use an independent survey for the work s result 3. Proposal submission/negotiation 3.1. The submission date of documents for Pre-qualification phase: the documentation for the pre-qualification phase shall be delivered not later than 1 st December 2014, am CET, by regular mail (address: Croatian National Tourist Board, Attn. Ms. Marina Šimun Iblerov trg 10/IV, Zagreb, Croatia), or by (address: marina.simun@htz.hr) The submission date of documents for the Proposal submission phase: physical proposal ( proposals excluded) for the Phase 2: Proposal Submission/Negotiation shall be delivered in accordance with the CNTB further instructions to the agencies prequalified in the Phase Price submission The CNTB maximum available budget for the year 2015 is of ,00 HRK (Croatian Kuna), without VAT, so the pre-qualified agencies shall keep the quotation within this range. All service prices listed in the economic proposal shall be in HRK (Croatian Kuna). The offer must include a detailed specification of costs for all positions, including the assessment of the average (blended) hourly rate for the services provided. Price submission is required only for the agencies invited to participate in the Phase 2: Proposal Submission/Negotiation 5. Evaluation 5.1. Step 1. Evaluation in the Phase 1: Pre-qualification A Technical Committee shall evaluate the proposals received in the Phase 1: Prequalification. All participants shall be informed about the outcome of this phase. Up to five (5) agencies shall be selected and invited to participate in the second phase of the tender Step 2. Evaluation in the Phase 2: Proposal Submission/Negotiation Personal Presentation in Zagreb The pre-qualified agencies shall present in Zagreb by 23. December 2014 the latest (CNTB reserves the right to change the deadline). The presentation shall last 90 minutes, and 30 extra minutes shall be dedicated for Q & A. The CNTB will take care of transportation (economy class only) and accommodation (maximum of two days stay), if necessary, in a 4 star hotel. The CNTB will also provide the meeting room and all audio-visual elements that the participants may request for the presentation. The following is a suggested agenda for the presentation: Section A: The Agency 1. How is your agency organised and in which position is it ranked in your country? 21

22 2. Which professional services does your agency provide and which credentials in tourism does it has? 3. Please explain 3 success stories of global PR management (tourism industry or any other business sector) of your agency. 4. How is your approach to global PR management (process and relationship with the client)? 5. Which major or differentiating value can the agency provide to this account? Section B: The proposed strategy and plan for Croatia 1. Global and country (geozone) specific strategy: How do you propose to increase the awareness and understanding of the brand Croatia? 2. Global and country specific strategy: How do you propose to re-position Croatia by changing the perception the target has got already? 3. What are the credentials and experience of the team that will be handling the account? 4. How would the agency coordinate the account and a global PR campaign with local adjustments? What will be the role of the Croatian Tourist Representative Offices in each source market? 5. How do you plan to measure the results of implementing the strategy? Assessment by a Selection Committee A Selection Committee will evaluate the proposals and issue a technical note that has a maximum of 70 per cent of the score. The remaining 30 per cent will come from the proposed price. The highest scoring proposal wins. Technical criteria Category Maximum Points 1. Rationale & creativity of the global strategy Rationale & creativity of the country (geozone) specific strategies Qualifications and experience of the delivery team Suitability of tasks and activities for the overall strategy execution Methodology for program management Methodology for quantitative measurement of results 10 TOTAL ( ) = A

23 The assessment of each criterion shall be done by using the scale: Category Scale Criterion not met Low compliance Medium compliance High compliance Very high compliance Financial criteria P MAX : The highest tender price among all the tenders P 1 : The actual price of the tender of the tenderer who is being assessed The evaluation formula The weighted score of the tender is calculated according to the formula given below: X = A * 70% + (P MAX *100/P 1 ) * 30% X = the total number of points for the tenderer who is being appraised Evaluation will be made in accordance with the discretional evaluation by the members of the Selection Committee, based on the presentation/materials delivered by the tenderer during the Proposal Submission/Negotiation phase. CNTB may decide not to select the Service provider and to reject an offer at any stage of the process, until the moment of signing the contract with the selected Service provider without any liability for the compensation of any damages which therefore arise or may arise. Agencies whose bid was not selected, or who are not invited to the Phase 2 of the proceedings, have no right of appeal or the right to request compensation for any costs associated with the procedure. CNTB may subsequently decide to extend the deadline for delivery of materials. 6. Obligations of the Service provider after selection Service provider shall enter into contract with the elements listed in Annex 1. 23

24 7. Submission forms The pre-qualified tenderers have to submit all attached Submission Forms. 24

25 Annex 1) Terms and Conditions of the Agreement 25

26 1. General provisions This Agreement is concluded by and between the company as Service Provider (hereinafter referred to as Service Provider ) and the Croatian National Tourist Board as Client (hereinafter referred to as CNTB ). Integral part of this Agreement is the announced tender for the Selection of an International Media / Public Relations Agency for Croatian National Tourism Board (hereinafter referred to as: ''Announcement ). Terms and Conditions contained in the Announcement shall be binding for the Service provider. 2. Commencement, completion, modification and termination of Contract The Agreement is concluded for a definite period of one year. The termination of this Agreement shall not affect any permanent rights transferred and established under this Agreement and Service provider s specific obligations under the provisions of the Announcement and this Agreement in respect of these rights, which shall continue to be in force after the termination of this Agreement. 3. Obligations of the provider of services Services to be delivered by the Service provider: Perform an exploration and diagnosis of current situation delivery of the report Develop and deliver a PR strategy for the next 5 years (for the stipulated markets) Convert the strategy and deliver the 3 year operational PR/MR plan (for the stipulated markets) Develop and deliver a detailed implementation plan/ program for the period of one year (month by month/12 calendar months) - for the stipulated markets Execute strategic PR/MR services according to the plan program for the period of one year (for the stipulated markets) Evaluate the results Traditional & online media relations, digital strategy executions, sponsorships & promotions, special events, media presentation & training, media tours, industry engagement, including: IMPLEMENTATION OF A SOPHISTICATED PLAN TO MODIFY THE IMAGE & PERCEPTIONS ABOUT CROATIA AS A TOURISM DESTINATION: In each of our source markets, our target has some specific images and perceptions that stimulate or refrain from their desire to visit Croatia (which may determine Croatia to be in their top of mind ). The main objective of the PR program is to reduce (between 30-50%) the negative perceptions (2-3) and to maximize the positive ones (2-3) in such a way that Croatia becomes a country in the potential customers top of mind. 26

27 PROMOTION OF CROATIA S NEW BIG IDEA Croatia is undergoing the process of the creation of a new umbrella communication concept ( the Big Idea ) to be launched in February/March Consistent PR strategy/action plan/implementation plan for the period of next three years is needed, in order to make the 30-40% of the target customers (at the end of this period) in the given market aware of the key attributes of Croatia communicated as the Big iidea. TRADE / INDUSTRY RELATIONS: Support on partnerships with industry key players (TO, TA, airlines, etc.) Co-op initiatives (co-branding, cooperative PR events, etc.) DIGITAL COMMUNICATION: Content creation, community management (if needed), and conversation management (if needed) (Daily) Client engagement daily/weekly / monthly coordination to approve planning and content for Social Media channels Creation of editorial calendars and selection of content to be activated through Social Media channels Monitoring of Social Media Channels and creation of a monthly report with key activity and KPIs Development of plans for Social Media and Influencer engagement on Facebook, Twitter, Instagram and You Tube Brand campaign on Social Media based on creative activation on social media (coordinated with the Big Idea concept) + coordination with ongoing community management + campaign report. INTERNATIONAL COORDINATION WITH CNTB HQ PR Global Plan Design, coordination and follow up Creation of global unified and standardised processes and procedures Creation and development of global stories about Croatia Global reporting to the CNTB HQ + coordination with the CNTB HQ REPORTING TO THE CNTB HQ: Depending on the type of activity: daily/weekly/monthly/quarterly/annual. GUARANTEES The Service Provider shall be liable to the CNTB for any damages; undertakes the obligation to protect and defend CNTB at its own expense, from and against any and all claims, actions, losses or damages arising out of any conduct of Service Provider contrary to applicable laws or regulations and / or intellectual property rights of third parties, such as copyright, industrial property, industrial designs, patents, etc. For that purpose, the Service Provider shall provide a bank guarantee to CNTB in the amount of HRK (or equivalent in EUR), on first demand, valid for a minimum of 13 months from the date of signing of the Contract. CNTB is authorized to charge partially or in total the set amount of 27

28 the bank guarantee in case of claim for damages towards CNTB, on the basis of this provision, if the Service Provider, within 7 (seven) days from the request sent by CNTB to the Service Provider by or registered mail, does not take responsibility and fails to secure the deposit for damages or fails to take participation in litigation as an opponent to a third party. 4. Payments to the provider of services Under the provisions of this Agreement, the CNTB shall be obliged to pay the compensation set out in the Service Provider s accepted offer in the following manner: 20% of the total payment upon: o Delivery of Exploration and diagnosis of current situation report o Delivery of PR strategy for the next 5 years, for the stipulated markets o Delivery of 3-year operational PR/MR plan, for the stipulated markets o Delivery of detailed implementation PR/MR plan/ program for the period of one year (month by month/12 calendar months), for the stipulated markets 80% of the total payment: o equal quarterly payments No payments shall be made in advance. 5. Fairness and good faith If the Service Provider fails to perform or observe any undertaking or obligation under this Agreement, the penalty shall be charged in the manner as described hereinafter: if the Service Provider fails to execute contracted services, determined in accordance with the detailed implementation plan/program for the period of one year, accepted by the CNTB (month by month/12 calendar months), payments shall be reduced in the following manner (based on the quarterly submitted invoice, for the period of the previous quarter): o o o o o o o less than 40% execution contract termination, no payments by the CNTB 40-50% execution 35% of payment for the quarterly period 51-60% execution 45% of payment for the quarterly period 61-70% execution 55% of payment for the quarterly period 71-80% execution 65% of payment for the quarterly period 81-90% execution 75% of payment for the quarterly period % execution percentage of payment equal to the percentage of the executed implementation plan/program. The Service Provider shall not be liable for failures or delay in performing its obligations hereunder arising from Force Majeure. Force Majeure refers to any cause beyond reasonable control of the Service Provider and does not include mistake or negligence in execution of this Agreement and the performance thereof. 28

29 6. Settlement of disputes This Contract shall be governed by, and shall be construed in accordance with the laws of the Republic of Croatia. The Parties hereto agree to try to settle all disputes in an amicable way. Should the amicable settlement fail, all disputes or claims arising out of or in connection with this Contract including disputes relating to its validity, breach, termination or nullity shall be finally settled under the Rules of Arbitration of the International Arbitral Centre of the Austrian Federal Economic Chamber in Vienna (Vienna Rules) by three arbitrators appointed in accordance with the said Rules. The place of arbitration shall be Vienna. The language of the arbitration shall be English. The governing law is the law of the Republic of Croatia, without reference to the Conflict of Laws Rules of Private International Law. It is not incompatible with an arbitration agreement for a court to grant, before or during arbitral proceedings, an interim measure of protection relating to the subject-matter of the arbitration upon request of a party. Each party shall provide to the arbitral tribunal copies of documents and such other information as shall be required in connection with making or confirming financial calculations required hereunder. The arbitral tribunal shall proceed with the greatest possible speed consistent with its responsibilities hereunder. The arbitral award shall be final and binding. The parties expressly waive their right to any form of appeal or recourse from or against such arbitral proceedings or arbitral award to any judicial authority. 29

30 Submission Form 1. - General information about the Tenderer responsible for the project Name of the company Address of the head office of the company address of the company Tax number of the company Years of operation Authorised representative of the company (name, surname and function) List of offices owned by the Tenderer: Germany United Kingdom Italy France Nordic Countries Switzerland The Netherlands Poland USA (NY) Sweden Norway YES NO Signature of the authorised representative of the Tenderer Stamp of the Tenderer Place Date 30

31 Submission Form 2. - List of contracts for significant services which the tenderers performed in the past three (3) years Number of Contract Name and Address of the Commissioner Subject of the Contract Time and Place of the Completed Contract Signature of the authorised representative of the Tenderer Stamp of the Tenderer Place Date 31

32 Submission Form 3. - List of significant clients in the past ten (10) years Number of Contract Name and Address of the Client Type of Services Number of Years of Cooperation Signature of the authorised representative of the Tenderer Stamp of the Tenderer Place Date 32

33 Submission Form 4. - List of significant awards in the past ten (10) years Number of Award Award Name Awarded for Award is Presented by Year of Award Signature of the authorised representative of the Tenderer Stamp of the Tenderer Place Date 33

34 Submission Form 5. - Composition of the work-team and tasks Name and Surname of the Members of the Work-team Position in the Workteam Tasks in the Work-team Signature of the authorised the representative of the Tenderer Stamp of Tenderer Place Date 34

35 Submission Form 6. - CV of the members of the work-team General Information about the members of the work-team Proposed position in the work-team Company in which the member of the work-team is employed Name and Surname of the member of the workteam Professional qualifications/occupation of the members of the work-team Date of birth Nationality Total years of service of the members of the work-team Years of service of the members of the workteam in the company of the Tenderer Membership in professional associations Assignments in the work-team Education of the member of the work-team (state college and other specialised education, including names of educational establishments, dates of attendance and degrees/diplomas acquired). Institution of Higher Education Period of attendance: from (month/year) to (month/year) Achieved level of education or diploma/degree Work experience of the member of the work-team (State former work experience, beginning with the present. State dates of employment, names of companies/businesses/establishment and a short list of assignments.) Date: from (month/year) to (month/year) Company/business/establishment Address of the companies/ businesses/ establishments Position in the companies/ businesses/ establishments Knowledge of foreign languages of the members of the work-team for each language state the level of knowledge (excellent, very good, good, basic user) in reading, writing and speaking. Language Reading Speaking Writing 35

36 List of the most important projects and assignments of the members of the team in previous employment Name of the project Contractor/Client of the project Short list of tasks in the project Period of work in the project: from (month/year) to (month/year) I certify that the information given in this Form is a true description of my qualification and work experience. Signature of the member of the work-team and of the authorised representative of the Tenderer Name and surname of the member of the work-team Name and surname of the authorised representative of the Tenderer Signature of the authorised representative of the Tenderer Stamp of the Tenderer Place Date Note: The Tenderer shall submit this Form for each member of the work-team 36

37 Submission Form 7. - Statement Of Good Conduct STATEMENT OF GOOD CONDUCT by which I, (Name and Surname) from (Address), as a legally authorized representative of (Company name), declare under material and criminal liability, that against me personally, or against the above mentioned company, no unappealable conviction was issued for any of the following criminal activities, or corresponding criminal activities according to the regulations of the country where the company is seated or the country whose national is the person legally authorized to represent the company: a) fraud, fraud in business operations, taking bribe in business operations, giving bribe in business operations, malpractice in public procurement procedures, evasion of taxes or duties, subvention fraud, money laundering, abuse of power and office, illegal discrimination in favour of, taking bribe, giving bribe, trading in influence, giving bribe for trading in influence, criminal association and committing crime within criminal association under the Criminal law. b) fraud, money laundering, fraud in business operations, taking bribe in business operations, giving bribe in business operations, conspiracy to commit crime, abuse of power and office, abuse of government powers, illegal mediation, taking bribe and giving bribe under the Criminal law. This statement applies to me personally and to the company (Company name) with its registered seat in (Address) of which I am a legally authorized representative. In, (Place) (Date) 37

38 Submission Form 8. - Statement Of Paid Taxes STATEMENT OF PAID TAXES I, (name and surname) from, as the person authorised to represent the tenderer (company) based in hereby declare that the tenderer in the moment of giving this statement has no due, and unpaid debts on the basis of tax or social contributions in the Republic of Croatia, as the country of its headquarters. In, 2014 (place) (date) Stamp (Signature of the person authorized to represent the tenderer) 38

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