Saatva Mattress Château Agence Matthew Biron, Sophie Jara, Mario Lazaridis, Medinah Taiwo, Meri Sargent 10/13/2024 Introduction Saatva Mattress was established in 2010 based in the United States. It was founded by a veteran in the bedding industry, Ronnie D. Patel. Saatva’s brand is built on the concept that everyone deserves healthy and soothing sleep on a good quality bed. Saatva’s beds are handcrafted, they are eco-friendly and they are high quality mattresses. Saatva’s main goal was to sell mattresses at an affordable and reasonable price. In the beginning of Saatva, they originally only sold one type of mattress which they called the “Saatva Classic Mattress.” Over the years, Saatva decided to expand their options and they came up with three different sizes for mattresses. The three are named, “Loom and Leaf” which is a memory foam mattress, “Zenhaven” which is a latex mattress, and lastly the “Saatva Youth” which is designed for children. Saatva became well known for how good their mattresses felt and for their great customer service. Since gaining recognition over the years of selling luxury mattresses, they earned high ratings and multiple industry awards. Today, Saatva continues to grow and it is one of the top online mattress retailers in the United States. Company and Environment Key Brands One way that Saatva sets itself apart from its competitors in the online mattress market is by not adopting the typical bed-in-a-box business model. Alternatively, Saatva prioritizes providing a luxurious, client-centered experience, including in-home setup and white-glove delivery, with items like Zenhaven, Loom & Leaf, and Saatva Youth. Saatva, is one of the leading direct-to-consumer mattress brands, with revenue of approximately $406 million in 2021, Joshie (2023). Particularly in the premium sector of the market, Saatva has successfully carved out a sizable market share thanks to its emphasis on luxury and innovative delivery methods. In 2022, the total estimated value of the mattress market in the United States was $16.43 billion with an expected $78.34 billion worldwide by the year 2030, according to Zlatopolsky (2023). Saatva is a competitor in the rapidly expanding online sales sector, which has experienced rapid growth since the COVID-19 pandemic. Saatva carries out a 2% market share in a very competitive sector. Refer to table A in the appendix for the whole breakdown of revenues and market shares including the big name competitors of Saatva. Target Marketing/Segmentation Saatva demographically targets consumers who range from 30 to 65 years old, with the income level to be ranging from middle to upper-middle-income brackets, typically with annual household incomes exceeding $75,000. Saatva targets individuals with college degrees or higher educational attainment because those individuals tend to have a higher income, therefore spend more. Saatva targets individuals just as much as families and homeowners who are in the market for a mattress. Saatva targets anyone who has an issue with chronic back pain as they offer many choices to resolve that issue. Saatva psychographically targets health-conscious individuals who prioritize wellness and quality sleep along with individuals who value emphasis on sustainability, eco-friendliness, and ethical consumerism. Having a product be eco-friendly will attract those who prioritize the environment when making a large purchase such as a mattress. Saatva attracts individuals who prioritize health in activities such as sports, yoga, and fitness routines since they rely on quality mattresses for proper recovery. Lastly Saatva looks for discerning consumers who value luxury and are willing to invest in high-quality products. Saatva targets people who have certain behavioral tendencies, like buying habits. These people tend to stick with brands that continuously provide high-quality and exceptional customer service, and they prefer to shop online with an emphasis on thorough product research and reviews. Saatva caters to frequent users who value their sleep and are inclined to purchase high-end bedding. By aligning its marketing strategies with these segmentation criteria, Saatva successfully attracts consumers seeking upscale, eco-friendly, and health-conscious sleep solutions. Value Proposition Saatva offers an exceptional value proposition for those in search of a comfortable and sustainable sleep solution. With a focus on eco-friendly materials and innovative design, Saatva mattresses are a smart investment for anyone looking to improve their sleep quality and overall health. Whether you prefer a plush memory foam or a supportive innerspring mattress, Saatva has a product to suit your needs. A good night's sleep is essential for overall health and well-being, and with a Saatva mattress, you can rest easily knowing you are getting the best possible quality at a great value. SWOT Analysis Saatva’s strengths are that they use high quality, organic materials like organic cotton, have a wide product range, and offer various models. Saatva’s weaknesses include having products more expensive than many online competitors, mattresses not compressed and shipped in a box, and it is a primarily online brand with limited physical showrooms. The opportunities for Saatva include the growing demand for eco-friendly products and the consumer trend of prioritizing health and wellness. The threats Saatva face include a highly competitive market with well-established brands and new entrants continuously emerging, and the overall chance of economic downturns within the mattress market. Theoretical Foundation Solution Drivers Saatva’s pivotal consumer insight is the health benefits that are built into the high quality mattresses that Saatva offers. When consumers think of mattresses they think about their quality of sleep. Not only do they want a mattress that will keep them comfortable enough to sleep through the night, they also want a mattress that will make them feel rested physically and mentally. Many people deal with chronic pain issues that affect the quality of their sleep which can take both a mental and physical toll on a person’s body. Saatva offers a solution with their line of mattresses named “Saatva Rx” that focus on the support of chronic back and joint pain with their gel-infused memory foam which helps keep the spine of the user aligned and in-place. Saatva should focus on its health benefits that are physically built into the mattress as mentioned. The focus is driven by the idea of “solution drivers”. Solution drivers are the idea that consumers are driven by a couple of different factors such as their own health (self drivers) and the social factors such as social comparison of health (social drivers). Both of these drivers are built into the more broad idea of solution drivers which are built upon the idea that consumers are simply looking for health solutions in their everyday purchases which can lead to someone buying a mattress like the “Saatva Rx” mattress. Health is very important to people and if Saatva is able to focus on that as their main selling point, other consumers who may not even have chronic issues such as back pain may even buy their mattresses because of the quality and comfort they offer. Empirical Evidence Study 1: This study focuses directly on these ideas of “drivers”. “Drivers” can also be named motivations which lead to the consumer making a certain purchase or creating a certain relationship. The study was created by the Journal of Consumer Research and written by Szu-Chi Huang and Leonard Lee. This study goes into these factors and why they are so important when it comes to consumer spending on their own health. All of these “drivers” can affect the way a consumer purchases a certain product or why they start a relationship with a certain company. It is also mentioned how a consumer who is making a choice to purchase a product will also consider how the product is made not only because of their own health but because of the consciousness of the overall health of the world/environment. Saatva not only has a line of mattresses that hold health benefits but are also environmentally sustainable. Study 2: To test the theoretical foundation an article recorded studies ranging from 2000-2019 in mattresses that range from soft, medium-firm, extra-firm or customized to avoid supine decubitus. These studies were conducted from the Cochrane Library, PubMed (Digital Biomedical Archives and Health Sciences of the US National Institutes of Health), Google Scholar, Web of Science and Scopus. The studies were able to conduct and come to a conclusion that there is an association between back pain decrease and higher quality mattress characteristics, in terms of design and firmness, that promote sleep quality and correct column alignment. Studies declared that an intermediate mattress or also known as a mid-firm mattress has seen the greatest result in fixing and preventing back pain. According to Trauamatol and Jacobson (2021), the study compared the quality, comfort, and efficiency of sleep with back pain, shoulder pain, spinal stiffness, and volunteers who had been sleeping on commercial spring mattresses (phase 1) and those who rested on medium-firm mattresses for 28 days (phase 2). Using symptomatic patients as a control group, Jacobson, employed a pre-test and a post-test following the experimental phase. Benefits from using a medium-firm mattress were seen in every instance, regardless of age, weight, height, or body mass index (BMI), and independent of the initial sleep control. Creative Concepts Building off the Solution Drivers and all the studies mentioned above, these creative concepts will be real life scenarios in which you can visualize and relate to in the form of advertisements. We propose that Saatva uses our first creative concept because we believe it captures a Saatva consumer and it is a relatable ad to everyone. We believe it truly embraces what Saatva stands for and what Saatva thrives to be. *** A couple has had a very tough time getting quality sleep and there have been a bunch of restless nights lately. They finally make the switch to a Saatva Rx mattress and the next morning the family wakes up in sync—parents and children stretching, smiling, and ready for the day. A cheerful, orchestral soundtrack plays in the background as each member goes about their morning routine seamlessly: breakfast preparation, kids getting ready for school, and adults sipping coffee, all while laughing and enjoying the moment. A narrator ends the ad by saying “Sleep that sets the tone for the day”. ** A couple reminisces about their great honeymoon and remembers how luxurious and comfortable their mattress was at the hotel. The scene involves flashbacks of that vacation when one of them says “I wish we could bring this bed home”. The scene cuts to them upgrading their mattress at home to a Saatva Rx and it ends with a montage that shows them enjoying cozy evenings, restful nights, and energetic mornings, comparing the experience to a luxury getaway. ** A newly engaged couple is in the hunt for a new mattress. After having failed to be satisfied with their previous ones, they finally try a Saatva Zenhaven. They fall in love with it. The ad cuts to them growing and starting a family all while still sleeping on a Saatva Zenhaven. The couple grows older, their family expanding as they welcome a child. The child climbs into bed with them, and the Saatva mattress remains a central part of their lives. ** A team of scientists is seen conducting data on what the best mattress is. Their data suggests Saatva is the best mattress and they how Saatva’s advanced mattress technology addresses issues like pressure points, back support, and temperature regulation. They place a person on a Saatva mattress to test their theories and the screens all light up with positive sleep data, illustrating deep, uninterrupted rest. * The ad starts off introducing little cartoon characters that cause our main character Nick to get irritated. These characters cause Nick to have bad sleep, wake up with back pain and with no comfort at all. Nick finally gets irritated and upgrades to a Saatva Rx and these cartoon characters can’t disturbed his sleep anymore due to Saatva’s such superior comfort and support. * A 5 star athlete named Tommy, is seen struggling to get quality sleep and is always complaining to his teammates that he is waking up with back pain in the morning. He sees that this is affecting his quality on the court so he asks his coach for a mattress recommendation. After taking his coach’s accommodation and switching to Saatva, his quality on the court increases and he leads his team to a championship victory. * The camera pans in a clean luscious forest with clean rivers and beautiful blooming flowers. As the camera pans out a Saatva Rx mattress appears and it transforms into a beautiful bedroom setting with a family enjoying a good night’s sleep. * A young and ambitious woman is trying to establish herself in her new job, but she is seen constantly yawning and exhausted. The camera cuts to her tossing and turning at night struggling to get a good night's sleep. After having enough, she decides it is time to upgrade to Saatva. After making the upgrade the camera cuts to her getting much better sleep and she is seen as rejuvenated and thriving in her new workplace. *A montage of happy customers getting their Saatva mattresses opens the commercial. As the white-glove delivery crew meticulously arranges the mattress in each customer's bedroom, their faces light up. Shots of customers enjoying their Saatva mattresses—couples cuddling, children jumping, and people falling asleep peacefully—take over the commercial as it wraps up with peaceful music. Conclusion Saatva has an opportunity to grow their brand. That opportunity is hiring us–Château Agence. We have the theory that supports our claims while having the evidence to back it up. We understand what Saatva has to offer and how they can use their brand and product lines to grow their business. We know how many people value their health and wellness which is exactly what Saatva values. They understand the consumers they are trying to reach just as we understand them. Our initiative of focusing on the prioritization of health and wellness by consumers in today’s markets shows our understanding of this brand, the market, and overall paths to success for Saatva. We know everything that is already amazing about Saatva and we want to communicate to the target markets exactly why they are amazing. Saatva should choose us because not only are they hiring an advertising agency but also an advocate for everything they are building. A.) Company Name Revenue Market Share Saatva 406 million 2.77% Tempur Pedic 4.93 billion 32% Sealy PosturePedic 4.921 billion 32% Purple 434 million 3% Sleep Number 1.89 billion 24.84% Mattress Firm 4.13 billion 18% * Tempur Pedic and Sealy Pedic share a parent company therefore have the same market share Works Cited Saatva. (n.d.). Why Saatva. Saatva. (n.d.). Mattresses Overview. Saatva. (n.d.). Sustainability at Saatva. Saatva. (n.d.). About Saatva: Affordable Luxury.Saatva. (n.d.). Delivery and Setup. Consumer Reports. (2023). Best Mattresses of the Year. Mattress Clarity. (2023). Saatva Mattress Review: Is This Luxury Hybrid Right for You?. Sleep Foundation. (2023). Saatva Mattress Review. GoodBed. (2023). Saatva Showrooms: Locations and Experience. Consumer Reports. (2023). Saatva Mattress Complaints and Issues. Forbes. (2023). Eco-Friendly Mattress Market Trends. IBISWorld. (2023). Global Mattress Market Report. Sleep Foundation. (2023). What is a Hybrid Mattress?. Business Wire. (2023). Mattress Company Product Diversification The New York Times. (2023). The Online Mattress Wars: Can Saatva Compete?. CNBC. (2023). Supply Chain Disruptions and Their Impact on Retailers. Harvard Business Review. (2023). Luxury Market in Economic Slowdowns. MarketWatch. (2023). Consumer Preferences in the Mattress Industry. CFAH. "Chronic Back Pain Statistics in the US (2024)." CFAH, 2024. Huang, Szu-chi, and Leonard Lee. “The 5S’s of Consumer Health: A Framework and Curation of JCR Articles on Health and Medical Decision-Making.” Journal of Consumer Research, vol. 49, no. 5, Feb. 2023, pp. 926–39. Radwan, Amir, et al. "What Type of Mattress Should Be Chosen to Avoid Back Pain and Improve Sleep Quality? Review of the Literature." Journal of Clinical Medicine, vol. 10, no. 23, 2021.
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