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WORKIVA MAKES ‘GREAT PLACES TO WORK’ LIST FOR 2018 SEE PAGE 3

AMES BUSINESS

MONTHLY M A R C H 2018

March Chamber Update

IMAGINEERS ISU TEAM PLACES FIRST IN DISNEY IMAGINEER COMPETITION SEE PAGE 2

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2 | AMES BUSINESS MONTHLY | MARCH 2018

AMES BUSINESS

MONTHLY MARCH 2018 Vol. 11, No. 3 AMES TRIBUNE Ames Business Monthly is a publication of the Ames Tribune, 317 Fifth St., Ames, IA, 50010; (515) 232-2160.

3 Fresh Thyme opens 3 Workiva a “Great Place to Work” 5 Ames Chamber of Commerce 17 Boone County Economic Growth Corp. announces laborshed study 18 Andra Reason 18 Rick Brimeyer 19 Which Wich? coming to Ames in July

ISU team places fi rst in Disney Imagineer competition By Grayson Schmidt

Staff Writer gschmidt@amestrib.com

When Iowa State University Seniors Alex Doppenberg, Joshua Kurnia and Cristina Diaz entered their respective programs at ISU, none of them thought that one day their paths would bring them together, and eventually lead them to placing first at the Walt Disney Imagineering Imaginations Design Competition in Glendale, Calif. The trio is the first

team from ISU to make the finals in the competition’s 26-year history, and just one of seven schools from around the country that have the privilege of presenting its creation to Disneyland Imagineers. “All three of us are such huge fans (of Disney), and we have been for a very long time,” said Diaz, of Aurora, Ill. “Just being here and experiencing everything as a fan, and wanting to work here, and getting the network opportunities, has been an amazing experience

that we wouldn’t have had without the competition.” This year’s finalists were challenged to apply the same design principles used in creating Disney’s famous theme parks and resorts, and develop new outdoor spaces within their own college or university. These designs — though not actually under consideration for construction — were aimed to address the diverse needs of students, faculty See DISNEY on page 4

Cover photo: ISU Seniors Joshua Kurnia, left, Cristina Diaz, center, and Alexander Doppenberg with their first-place project “Hourglass” at the Walt Disney Imagineering Imaginations Design Competition in Glendale, Calif. CONTRIBUTED PHOTO BY GARY KRUEGER/DISNEY

MARCH 2018 | AMES BUSINESS MONTHLY | 3

Fresh Thyme opens in Ames By Dan Mika, Staff Writer dmika@amestrib.com

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resh Thyme Farmer’s Market opened its doors to the public after several months of renovating its building off South Duff Avenue. The health grocery chain, based in Glen Ellyn, Ill., opened in the former Sports Authority building, at 215 SE Fifth St., after the sporting goods chain filed for bankruptcy in 2016. It is Fresh Thyme’s third location in Iowa behind one in West Des Moines and another in Davenport. The 30,000 square-foot store has full-service meat and produce departments with organic and GMO-free

options, along with beer, wine and health supplements and products. It also has a take-out kitchen making pizza, sushi and bulk salad entrees. The store also has a kombucha station and bulk coffee and ingredient dispensers. A large corner of the store is dedicated to “natural living” products, complete with a refrigerator filled with probiotics. Fresh Thyme regional manager Corky Anderson said the store has more than 9,000 individual products in the section and will staff it seven days a week for customers looking for recommendations. “I always call our natural

living staff basically personal shoppers,” he said. “Natural living and produce are the cornerstone of our business model, in addition to everything else that we do.” Store director Grant Mohlke said the store has hired about 100 part- and full-time employees and may hire seasonal help later. The store also has a juice bar where customers can order custom drinks. Mohlke said the bar is one of the company’s new concepts that will debut with other stores opening in the future. “If you were to ask what’s our demographic or who’s our customers, that’s who

Fresh Thyme employee Sheryl Hanson checks produce at the store when it opened in late January. PHOTO BY NIRMALENDU MAJUMDAR/AMES TRIBUNE

we’re going after,” he said. Fresh Thyme opens its doors in a somewhat crowded health food market in the area. Wheatsfield Co-op has been a staple for health food for several years, and Hy-Vee sells health foods and supplements at both of its Ames locations.

Mohlke said Fresh Thyme is set up to offer healthier products to local consumers at the same price point as other grocers. “If you were to look at our prices, I think they’re very comparable to the conventional, which would be your Hy-Vees, your Fareways,” he said. “I think

people will be pleasantly surprised at our prices.” Mohlke said the store is “100 percent fully operational,” but the store could see various changes to its product lineup or services depending on consumer demand. The store’s hours are 7 a.m. to 10 p.m. daily.

Workiva makes ‘Great Places to Work’ list for 2018 By Dan Mika, Staff Writer dmika@amestrib.com

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orkiva has again made one of Fortune Magazine’s “Great Places to Work” list for 2018. The Ames-based financial reporting software company was on the business magazine’s list of 20 best large technology companies to work for, with more than 95 percent of employees surveyed agreeing to statements such as “I’m proud to tell others I work here,” “people care about each other here” and

“people celebrate special events around here.” The company’s ratings were based off 874 anonymous survey responses from Workiva employees during the summer of 2017. In a statement, CEO Matthew Rizai said the company’s founders have worked hard to build a culture around small teams of people that enjoy working with each other. “Workiva is proud to be named to such a prestigious list that includes some of the most successful software companies in

the world,” he said. Workiva was previously on Fortune’s lists for best workplaces for millennials, women and technology in 2016. The company was founded in 2008 under the name WebFilings, but changed its name and became a public company on the New York Stock Exchange in 2014. It employs about 1,300 people and maintains 15 other locations other than its headquarters in the Iowa State Research Park, where it employs approximately 500 people.

4 | AMES BUSINESS MONTHLY | MARCH 2018

ISU Seniors Joshua Kurnia, Cristina Diaz, and Alexander Doppenberg won first place at the Walt Disney Imagineering Imaginations Design Competition in Glendale, Calif., with their project, “Hourglass”. CONTRIBUTED PHOTO BY PETER GOLDMAN/DAVIDSON & CHOY PUBLICITY

DISNEY Continued from page 2

and visitors while also providing a respite from the stresses of everyday life. The ISU group’s project is called “Hourglass,” and symbolizes the constant ticking of time. Hourglass at ISU would allow guests to pause time and find a respite from everyday stresses, using underground geothermal pods that integrate with nature map projection and heated benches for visitors to rejuvenate themselves, while enjoying the natural beauty of the four seasons.

“We’ve always seen time as the main stressor in college life, so we came up with this idea for the hourglass of time, because usually it represents the constant ticking of time,” Kurnia said. “But if you turn it sideways, then it symbolizes the stopping of time.” According to Doppenberg, he was approached by Kurnia to be a part of the project through a mutual friend, and that none of the group had any association with each other prior to meeting for this project this past summer. Kurnia said the original goal was to create a good project that could at least get into the semifinals. “I would have never imagined

that we would make it this far,” said Kurnia, who is originally froms Jakarta, Indonesia. ISU competed against teams from the University of California — San Diego, Howard University, Carnegie Mellon University, Miami University, the University of Notre Dame, and Savannah College of Art and Design. Though ISU is the largest of the schools in terms of student population, Doppenberg — a mechanical engineering major — said it doesn’t feel that way as some of the other schools have made it to the finals before. “Iowa State probably isn’t so well-known for entertainment or anything like that, so it’s cool to represent your hometown

school,” said Doppenberg, who is from Spencer. “Being able to represent Iowa State in that field is kind of like being a pioneer in a way, by getting to showcase the skills that they teach us.” Kurnia said the week is one he will remember for the rest of his life. “This has been definitely one of the best weeks of my life, because we got to see everything behind the scenes of Walt Disney Imagineering, and what they do,” Kurnia said. Diaz said that the week gave the group an opportunity to showcase just one more area that ISU can succeed in. “I’m very happy to represent Iowa State out there,” Diaz said.

“People may think we’re just from Iowa or the Midwest, but we still have stuff to offer. All of the people out here at Walt Disney Imagineering are going to know that Iowa State students have this potential.” Doppenberg said he almost has to take a step back to fully appreciate everything that the project has done for him. “It’s crazy to think that I’m interviewing for my dream job right now, because a lot of people might go their entire life without getting a shot at their dream career, and we’re so young, and getting a shot,” Doppenberg said. “It’s very surreal, so you definitely count your lucky stars that you’re in this situation.”

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Join Us for the February Legislative Luncheon on Friday, February 23

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lease join your fellow Chamber members at Renewable Energy Group on Friday, February 23 from 11:30am-1:00pm for the Ames Chamber of Commerce February Legislative Luncheon. Attendees will have the opportunity to hear from our State Legislators regarding developing policy issues of the 2018 Session heading into funnel. The schedule for the Luncheon will be: 11:30am-11:50am: Registration and lunch is available to all attendees. 11:50am-1:00pm: State Legislators ZLOO DGGUHVV WKH FURZG DQG ¿HOG TXHVtions.

The event is open to Chamber members and their guest. The cost of attendance is $10.00 and includes lunch. ,I \RX KDYH TXHVWLRQV UHJDUGLQJ WKH event, are interested in attending, or ZLVK WR VXEPLW D TXHVWLRQ SOHDVH FRQtact Drew Kamp at 515-817-6311 or drew@ameschamber.com. The Ames Chamber of Commerce thanks Converse Conditioned Air, First National Bank, Renewable Energy Group, and Workiva for their support as 2018 Taking Leadership Legislative Sponsors. The Ames Chamber of Commerce also thanks Greater Iowa Credit Union,

Harold Pike Construction; Roseland, Mackey, Harris Architects; and VenuWorks for their generosity as 2018 Legislative Lunch Sponsors. Without the continued support of our sponsors, the Ames Chamber of Commerce would not be able to provide the great events and services we do today.

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Welcome Home to Story County Relocation Assistance Program

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tory County is proud to be a Home Base Iowa Community! Designated as a Home Base Iowa community in 2015, Story County earned the designation by passing a resolution of support, providing an incentive package, having 10% of eligible, hiring businesses as Home Base Iowa busiQHVVHV DQG DJUHHLQJ WR LQVWDOO QRWLÂżFDWLRQ signage about Home Base Iowa on our local road system. The “Welcome Home to Story CounW\ 5HORFDWLRQ $VVLVWDQFH 3URJUDP´ ÂżUVW started with the 2015 designation. During the fall of 2017, Story County revisited the incentive program engaging local high school students through the process. Students through DMACC’s SCALE (Story County Active Learning Experience) reviewed various incentive packages offered throughout Iowa’s HBI communities and provided recommended SURJUDP PRGLÂżFDWLRQV IRU FRQVLGHUDWLRQ of the Board of Supervisors. The Board of Supervisors adopted recommended program revisions in December 2017.

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The Welcome Home to Story County Relocation Assistance Program allows up to $2,500 in relocation assistance for Veterans choosing to make Story County home. Eligible uses of the fund include items covering moving expenses, appliance purchases, utility deposits, down-payment assistance (for home purchases), rent deposits, and rent for temporary housing while waiting for permanent housing. The one-time grant (up to $2,500) is paid on a reimbursable basis.

Eligibility Criteria

Veterans are eligible for the Welcome Home to Story County Relocation Assistance Program when they meet the following criteria: ‡ %H UHORFDWLQJ WR 6WRU\ &RXQW\ DQG establish Story County as the primary residence; ‡ ,I SXUFKDVLQJ D KRPH UHDO HVWDWH being purchased must be located within Story County;

‡ %H GLVFKDUJHG XQGHU KRQRUDEOH FRQditions; and ‡ $SSO\ WR WKH :HOFRPH +RPH WR Story County Relocation Assistance Program. Additional information is available on Story County’s website at www.storycountyiowa.gov under the “For Business� tab.

For more information, please contact the County Outreach and Special Projects Manager at 515-382-7247 or via email at lharter@storycountyiowa.gov.

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Your gateway to jobs in Story County, Iowa

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Leadership Ames Class XXXI Update

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eadership Ames Class XXXI is more than halfway through their year! In late January, the group participated in the State and County Government Day. Morning presentations included a Lobbyist Panel (Kristin Failor, Iowa State University, and Drew Kamp, Ames Chamber of Commerce), Animal Health in the Heartland (Dr. Marcus Kehrli, USDA National Animal Disease Center, and Dr. Michael Roof, Boehringer Ingelheim), and the Story County Board of Supervisors (Rick Sanders, Marty Chitty and Lauris Olson). After lunch we held a State Legislative Panel (State Senators Jerry Behn and

Herman Quirmbach, and State Representatives Lisa Heddens, Beth Wessel-Kroeschell, and Rob Bacon). The class then traveled to the Story County Justice Center for a presentation by County Attorney Jessica Reynolds and a tour of the Story County Jail. Class Community Service Projects are also well underway, including the Plates for Miracles dinner being held on April 8 (see ad at right). The remaining three projects will be featured in upcoming issues of the Chamber Update. Special thanks to the Leadership Ames Class XXXI Sponsor Mary Greeley Medical Center.

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Plates for Miracles Dinner to be held April 8 The Plates for Miracles team is supporting the Ames Miracle Playground and Field for their Leadership Ames service project. They will be hosting an exclusive dinner boasting a multiple course tasting menu with professionally selected wine pairings. This event will take place on April 8 and raise money for the all-inclusive playground and ball ďŹ eld, which will feature 100% accessible equipment along with a rubberized ďŹ eld surface catering to children with physical, cognitive, and sensory disabilities. Only a limited number of 50 seats are available for this exclusive dining experience. If you are interested in attending this one-of-a-kind Ames experience, contact PlatesForMiracles@gmail.com!

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Congratulations to these Chamber members who

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celebrated milestones!

Celebrate with a Ribbon Cutting If your business has completed a major remodeling project, moved to a new location, changed ownership, or reached a milestone, you need to take advantage of the Chamber’s Ribbon Cutting service that brings members and the media to you!

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With each Ribbon Cutting, your business will be exposed to the Ames community and Story County. Event photos of your Ribbon Cutting will be published the Ames Business Monthly. A Ribbon Cutting is a great way to invite people to your location and showcase your business! Not only does this opportunity get people to your place of business, but it offers a XQLTXH QHWZRUNLQJ HQYLURQment in addition to some great marketing. So what are you waiting for?

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Contact Brandon Mumm at Brandon@ameschamber.com or call 232-2310, to schedule your Ribbon Cutting today!

Cindy Albin, Hunziker & Associates Tess Ashley, Global State Mortgage Alli Azbill, Global State Mortgage Steve Bock, RE/MAX Real Estate Center Don Borcherding, Greater Iowa Credit Union Bonnie Brown, Global State Mortgage Adam Brungardt, AmericInn and Country Inn & Suites|Ames Nathan Buss, VisionBank Buffy Clatt, First National Bank John Coder, VisionBank Lisa Downs, Hunziker & Associates Stacy Dreyer, First National Bank Amy Engstrom, 2Men and Adame Cleaning Paula Feltner, Thisday Photography Marci Ferguson, RE/MAX Real Estate Pam Fleener, First National Bank Teresa Garman, Individual Member Leslie Ginder, ISU LAS Career Services Shelley Goecke, McFarland Clinic Colette Gunhus, Keeling Wealth Advisors Tom Haggas, Cheshire Moon Films Jeff Harrison, Midwest Heritage Bank Sherry Hosteng, RE/MAX Real Estate Ashley Howe, Xpanxion Sharon Johnson, RE/MAX Real Estate Michelle King, The Krell Institute Carol Kisling, iHeart Media Matt Koehler, Greater Iowa Credit Union Tony LaRosa, Individual Member Paul Livingston, Hunziker & Associates, Realtors Danielle Minde, EXIT Realty Amanda Moorman, Morgan Stanley David Orth, Spirited Giving Matthew Pacha, Hy-Vee Lincoln Center Mike Peckis, Sam’s Club Sarah Powers, RE/MAX Real Estate Tom Randall, Tom Randall Real Estate Team at Keller Williams Tim Rasmussen, Flooring America Matt Roghair, Exchange State Bank Dorothy Schumer, Ames Convention and Visitors Bureau Tim Tryon, U.S. Bank Daryle Vegge, Story County Community Foundation Barb Vincent, Ames Christian School Allyson Walter, Ames Convention and Visitors Bureau Cherie Wandling, Wilson Toyota of Ames Jan Williams, First National Bank

12 | AMES BUSINESS MONTHLY | MARCH 2018

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Thank you to the following members who have donated 10 percent more than their annual dues for Chamber projects.

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Because of contributions from members like these, the Ames Chamber can maintain a level of excellence in the services we provide. Please note: This represents only a portion of the Chamber’s Gold members. All Gold members will be listed one time during the year.

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2018 Board of Directors Announced 2018 Executive Committee: Justin Dodge, President Jeff Iles, Immediate Past President Anne Nelson, President-Elect Jill Klindt, Treasurer Lynne Carey, Secretary 2018 Board Members: Jason Crawford Nick Johnson Sheila Lundt Amanda Moorman Nate Rippke Melissa Rowan Josh Shields John Tillo Jan Williams ([ 2I¿FLR 0HPEHUV Jim Mason Cathy Brown Andrea Hammes Dodge, Chamber Staff Representative

$PHV &KDPEHU DQG $IŲOLDWH VWDII ‡ Dan Culhane, President and CEO

‡ %UHQGD 'U\HU Director, Workforce Solutions

‡ Sarah Buss, Director, Sponsorship and Membership Events

‡ John Hall, Director, Business Development & Marketing

‡ Karin Chitty, Campustown Action Association Executive Director

‡ Ron Hallenbeck, Executive Vice President

‡ Edana Delagardelle, Client Services Coordinator

‡ Andrea Hammes Dodge, Director, Public Relations

‡ Cindy Hicks, Main Street Cultural District Executive Director

‡ Brandon Mumm, Director, External Business Relations

‡ Amy Howard, Vice President, Finance & Operations

‡ Lojean Petersen, Ames Main Street Farmers’ Market Manager

‡ Drew Kamp, Director, Business Retention/Expansion & Government Relations

‡ Calli Sandahl, Director, Program Management

14 | AMES BUSINESS MONTHLY | MARCH 2018

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Lunch & Learns Join Young Profesionals of Ames! You can now join the more than 100 fascinating, involved, diverse individuals who make up the Young Professionals of Ames membership. And joining online is TXLFN DQG HDV\ Get involved with Young Professionals of Ames for opportunities to build and foster relationships through: ‡ /HDGHUVKLS GHYHORSPHQW ‡ 3URIHVVLRQDO GHYHORSPHQW ‡ &RPPXQLW\ RXWUHDFK ‡ &XOWXUDO DQG VRFLDO opportunities Visit www.ypames.com to learn more and join us!

Thanks to Ben Pyle, CPA with Pyle & Associates, for speaking to YPA members in January at the Ames Public Library. 40 YPA members attended the lunch and learn to hear about how the tax reform will impact them and learn tips to get the most out of their return. 9LVLW ZZZ \SDPHV FRP WR ¿QG PRUH ZD\V WR JHW LQYROYHG DQG FKHFN the calendar for future events!

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Model Farm: Student run, professionally managed

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tudent run, professionally managed. This is the model for a new creative services incubator at Iowa State University built to provide creative services to both the university and corporate entities while giving students an opportunity to work professionally and build up their portfolios before they even graduate. Model Farm, a nod to Iowa State’s ÂżUVW QDPH ,RZD $JULFXOWXUDO &ROOHJH DQG Model Farm, is now in its second year of business and has worked with over 50 clients so far, from on-campus departments to national retailers. Model Farm is located in the Kingland building in the heart of Campustown. “Our business model is really a winwin for businesses looking to get a little extra help with marketing,â€? said Lawrence Cunningham, general manager of the Iowa State Daily Media Group, the parent company of Model Farm. “Clients get a young, fresh take on their branding materials with cutting-edge ideas coming straight out of the classroom, while also giving Iowa State students experiential learning opportunities.â€? Tony Thrush, director of Model Farm,

estimates that currently, 70 percent of the work coming into Model Farm is on a per project basis while the remainder is made up of retainer work in graphic design, copywriting, videography, and photography. He describes the agency as “an army of interns ready to help out with RYHUĂ€RZ RU SURWRW\SH SURMHFWV FRPSDQLHV are considering.â€? “The value we bring is not only the talent we hire from Iowa State, but also that our model allows us to scale up or down depending on the size and scope of a project,â€? said Thrush. “So, we do everything from small-scale logo work to building out an entire brand, to exploring and bringing new technology to solve a niche need.â€? For select corporate clients, Model Farm also serves as an intermediary

Samples of Model Farm work:

between the client and Iowa State, linking faculty and classrooms of students with outside businesses on experiential learning projects. In the past year, Model Farm has facilitated two such SURMHFWV WKH ÂżUVW in which graphic design students developed branding models for Capital City Fruit Company in Norwalk, and the second an MBA class spent a semester providing research and customer trending data to DeeZee Manufacturing. “We’re well-suited to be the connector for classroom projects such as these,â€? said Thrush.

Experiential learning beyond skillset training

In addition to on-the-job experience, students at the Iowa State Daily Media *URXS DOVR DFTXLUH VRPH SURIHVVLRQDO

intangibles through Model Farm such as appropriate work attire, email and inperson communications with a client or what good customer service looks like. Thrush says “The students we are seeing are some of the best coming out of university, and for the students that work with us we look for opportunities for improvement when we are working on professional projects.â€? “The number one thing we continue to hear from employers,â€? he said, “is that WKH\ H[SHFW JUDGXDWHV WR GHOLYHU TXLFNO\ and professionally. That’s what we push every day, we have high expectations for our students, and it’s a real-world business they’re working for.â€? Model Farm’s typical clients are people “who value that we’re helping to build student, professional and personal skill sets,â€? according to Thrush. “If you compare us to a traditional ÂżUP ZH PLJKW KDYH WR JR WKURXJK DQ H[WUD SURRI RU FULWLTXH ´ KH VDLG Âł2XU students work exceptionally hard – this is WKHLU ÂżUVW ELJ EUHDN Âą EXW WKH\ÂśUH VWLOO VWXdents at the end of the day. That’s what’s exciting for our clients.â€?

M A R C H 2 0 1 8 | A M E S B U S I N E S S M O N T H L Y | 17 The boxed area on the map is an approximation of the boundaries of the area being considered for Site Certification by the Iowa Economic Development Authority. The land sits immediately north of the Boone & Scenic Valley railroad tracks that runs into the current industrial park. PHOTO COURTESY OF THE BOONE COUNTY CHAMBER

Boone County Economic Growth Corp. announces laborshed study By Gena Johnson

Boone News-Republican

Boone County and possible incoming employers will soon have a fresh look on what the labor pool looks like in the area. The Boone County Economic Growth Corp., with assistance from the city of Boone will partner with the Iowa Workforce Development Regional Research Bureau to conduct a laborshed study. The cost of the study will be $4,200, the city of Boone committed to pay roughly half, if other entities in the county do not want to share in the cost. The study will move forward even if it is just funded by the Boone County Economic Growth Corp. and the city. “(It’s) A complete thorough analysis of who from Boone County is working,” said Kurt

Phillips, executive director at the Boone County Economic Growth Corporation/Chamber of Commerce. “There will be some data that talks about out-migration … but we will really understand who works in Boone County. “So, also the in-migration, who comes from Jefferson to work here, who comes from Fort Dodge?” Out-migration data will come from those who live in Boone County, but commute to other areas like Ames for work. “Understanding those raw numbers of in and out, how many people really have a job based in Boone County,” Phillips said, adding the survey will also look at the average rate of pay, benefits and more. Representatives from Iowa Workforce Development will reach

out to Boone County employers to help determine where community workforces reside — looking at information such as aggregate counts of employees and ZIP codes. Once that data is collected from employers, the representatives will then start conducting confidential house telephone surveys. The survey calls will originate out of Cedar Rapids, which will have a 319 area code. Phillips expects the residential calls to start around the beginning of March. “They’re not going to ask for anything deeply personal (i.e. social security number, name, birth date), they are just going to ask general information,” Phillips said, using gender, age, occupation or commute to work as examples. “(Iowa Workforce Development)

has been doing this (surveys) for years.” Phillips encourages residents to participate in the survey. “The document when it’s all said and done … it’s pretty thorough, lots of graphs, charts and data,” Phillips said. “The reason we are doing it is, and the reason the City of Boone jumped on, is it’s one of the greatest challenges not only in Boone County … it’s workforce. “We have to figure out who they are, where they are at, maybe give you a sense of their skill sets, education level and maybe we find out there is a lot of people here who have a job — because we know out unemployment is low — … they are prime candidates for raising their skill levels.” Phillips estimates the study

should be done by the end of April. Phillips said the county needs to be able to articulate to a new business moving into the county that there will be enough people to take the jobs they will offer. The area being considered for site certification by the Iowa Economic Development Authority north of the Boone Scenic Valley railroad tracks that runs into the current industrial park is an example. “It’s just one tool in a tool bucket of many we hope to have,” Phillips said. “Our organization is persuing what they call site certification … that could allow us to recuit larger industry, the idea is that it will put us on the desks of a lot of CEOs and site selectors for larger industry and at the same time we have to know the labor pool.”

18 | AMES BUSINESS MONTHLY | MARCH 2018

Over 70 ½ or know somebody that is? W

Andra Reason

e have all heard that the new Tax Cuts and Jobs Act of 2017 is now in effect, and it will change your annual tax calculations. The changes are estimated to make it less likely you will itemize your deductions and will instead claim a higher standard deduction. This provides an opportunity to rethink a strategy that has been available for years. Let’s step back for one minute. To maximize your deductions, you claim the larger of the standard

deduction or the total of your itemized deductions. In many cases, instead of itemizing, a couple over 65 years old could claim the $26,500 standard deduction for married couples ($24,000 plus $1,250 over age 65 per person additional deduction,) or an individual will claim $13,250 ($12,000 plus $1,250 over age 65 per person additional deduction). To be clear, when you claim the standard deduction, you get no financial

benefit for your itemized deductions, including your charitable donations. However, if you’re taking required minimum distributions (RMDs) from your traditional IRA, there’s a time-tested strategy that will still allow you to obtain a financial benefit from your charitable donations, while claiming the standard deduction. A Qualified Charitable Distribution (QCD for tax geeks) allows those age 70 1/2 or older to give money to charities directly from

their IRAs in a tax advantaged manner. Total annual QCDs from all IRAs cannot exceed $100,000 per individual. Individuals can give any portion of the distribution to charity. Making a QCD as opposed to donating cash to your favorite charity has two advantages. First, it counts toward your required minimum distribution (RMD) for that year. And secondly, it is EXCLUDED FROM INCOME. With very few individuals expected to itemize in 2018, this

strategy is great news. Your donation will still save you tax dollars, just on a different page of the tax return. Please contact your tax professional or financial advisor before you distribute your RMD for 2018, if you are interested in learning how to continue to be tax efficient in your charitable giving. ANDRA REASON, CPA, CFP is an advisor at Marrs Wealth Management. She can be reached at andra@ marrswealth.com.

Determining and marketing product and service features R oughly 40 years ago Professor Noriaki Kano of the Tokyo University of Science led research for predicting customer satisfaction which is still very relevant today. At a crude level, one might believe that if a product or service meets customer needs, they will be happy. If needs are not met, customers will be dissatisfied. Kano determined that it’s a bit more complicated than that. He found that not all product/service features are created equally. Understanding this is critical to designing, producing and marketing your products or services. Kano defined features which are expected by all customers as basic or musthave features. These are the minimum expectations which customers have established. For example, anyone purchasing a vehicle in a developed country today expects a spare tire and air conditioning as standard. Basic features aren’t differentiating characteristics, but merely a threshold that

Rick Brimeyer must be met in order to play the game. Automobile companies don’t get extra credit for supplying two spare tires. The only way suppliers can hope to differentiate themselves via basic features is by providing them with minimal trade-offs of other features, such as the temporary use spare tire which minimizes cost and expended trunk space. One can only dissatisfy customers by failing to meet basic expectations. Thus, because they are not differentiating, basic features should not be marketed. Imagine driving down the highway and coming across a hotel sign advertising

“Free HBO.” The sign basically screams, “We haven’t updated anything within the last 40 years!” Kano identified a second category of features as performance features. These features are directly responsible for customer satisfaction. Returning to our vehicle example, if fuel efficiency is important to a customer, the higher the mpg delivered, the happier they are. If they are price conscious, happiness is directly related to the sticker price. It’s important to realize that each customer has their own unique priority list of performance features for a product or service. Often there are trade-offs between various features (e.g. increasing storage space may negatively impact fuel efficiency and cost). Understanding how various customer segments prioritize performance features is critical to the future success of any new product or service. This information will drive the design focus and later the marketing focus. Performance features

can be effectively marketed if they establish new benchmarks (e.g., fuel efficiency with hybrids) or they surpass the levels provided by competition. The final category acknowledged by Kano is excitement features. These are innovative ideas that most customers haven’t even thought of yet. At best, customers may have identified a problem or inconvenience that they would like solved. I vividly recall driving home from a high school girls’ basketball game 10 years ago in a friend’s car on a night when the temperature was near zero. When he switched on the electric seat heaters it was a near religious experience. My opinion of electric seat heaters went from a frivolity to a near necessity in the time it took the seats to heat up. Because excitement features are unique to your product or service, they also represent a marketing opportunity. Depending on the degree of novelty, the marketing effort may have

to take extra care to explain the feature (who really understood Bluetooth when it was first introduced?). The lack of excitement features doesn’t cause customer dissatisfaction so these only add to satisfaction … assuming they perform as advertised. They also attract the early adapter crowd as customers, those folks who have to be the first person to own a new innovation. Obviously, with time, excitement features become basic features. The standard for performance features also continues to rise over time. OK, this all makes sense when designing a car; but what about those of us providing services? Let’s look at an example for a tax accountant:  A basic feature is the ability to e-file.  Performance features might be the experience and knowledge to legally minimize taxes within a given area of specialization (e.g., farmer, small business owner), the ability to quickly process someone’s taxes or

complete them at minimal cost.  An excitement feature would be the service my accountant (also my wife) provided for her clients by spending the already busy last week of the year analyzing whether each of her clients would benefit by pre-paying 2018 property taxes in 2017 after Congress passed the tax bill on Dec. 22. Spending time face to face with your customers is vital to understanding their needs, wants and issues so that you can effectively design, deliver and market products and services that hit the mark.

RICK BRIMEYER is the president of Brimeyer LLC, an independent management consulting firm located in Ames which guides organizations to higher performance by focusing on process improvement and leadership development. Further information is available at www.brimeyerllc. com or by calling (515) 450-8855.

MARCH 2018 | AMES BUSINESS MONTHLY | 19

Which Wich? coming to Ames in July By Dan Mika, Staff Writer dmika@amestrib.com

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hich Wich?, a national sandwich chain, is planning to open in Campustown later this summer. Sonya Salvucci, franchise owner for Which Wich?’s Ankeny location, confirmed recently that the company intends to open its location in a ground-floor commercial lot in the Union on Lincoln Way, a student housing development currently under construction at the corner of Lincoln Way and Sheldon Avenue. Salvucci said she wanted to expand into the Ames area because of ongoing mixeduse construction happening in Campustown. “With all the construction

going on, we thought now would be a good time to come to Ames,” she said. Customers order at the shop by writing what sandwich they want, or by marking what ingredients they want on the sandwich, and handing it to the staff. The staff then call out the customer’s name

to pick up the sandwich. Which Wich? would open up in a market already saturated with fast-casual options. In particular, they will have to compete against Jimmy John’s and Erberts and Gerbert’s, both of which have delivery options while Which Wich? does not.

Salvucci said the shop has done well in a competitive environment before, as its Ankeny location is in a part of that city occupied by several other chains. “We’re something a little bit different,” she said. Salvucci said the shop mainly focuses on sandwiches, but offer

lettuce and spinach wraps for vegetarians or gluten-allergic customers. The shop also carries gyros and reuben sandwiches. Salvucci expects to hire about 25 employees. The company expects to begin renovating the space later this May and open sometime in July.

20 | AMES BUSINESS MONTHLY | MARCH 2018

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