Why I think Investment enquiry handling needs to be managed well.

Most councils can generate investment leads and opportunities, but many can fail when it comes to effective and professional handling of investor inquiries. 

What is important is efficient case management, effective research and timely provision of information requested by investors, and effective site visit handling.

Inquiry handling is critical to success. Once the investor has confirmed interest in a location, the decision to invest will be influenced by the quality of service provided by the council. 

Investors often expect a response to an enquiry within 1-2 days, in accordance with private sector practice. As The Economist Intelligence Unit (The EIU) survey emphasized, governmental support for corporate overseas expansion plays a crucial role across all key areas. 

The better the quality of inquiry handling, the higher the “conversion rate” will be (i.e. the percentage of project leads that result in actual investments).

Best practice for US based investment promotion agencies (IPAs) typically aim for a 20% conversion rate, with a 10% conversion rate considered average. But many IPAs struggle to achieve more than 5% conversion, a key reason being weak inquiry handling.

It is difficult to compare but what you can do is ask your organisation the following questions to keep you grounded in your inquiry handling.

You can find more information to assist you investment attraction and facilitation strategies on the LGAQ members page (login required)