RESOLVE LAUNDRY STAIN REMOVER National Branding Campaign Account Executive Rebecca Marcoe Media Research Eric Cascio Media Research Sooyeon Yu Media Research Craig Moscaret Creative Gabrielle Prawl Creative Malcolm MacNeil Sales Promotion Derek Watson -1- -2- TABLE OF CONTENTS Executive Summary 1 Situation Analysis 2 Campaign Objectives 36 Target Market Recommendation 37 DMA Recommendations 43 Media Plan 48 Creative Strategy 66 Sales Promotion 73 Trade Promotion 79 Budget Recommendations 82 Bibliography 85 Appendices 89 -3- EXECUTIVE SUMMARY The end of the stain epidemic has finally arrived. After the “Stain Fighter Campaign” has been properly launched, consumers will understand that they must use Resolve Laundry Stain Remover for every wash. This knowledge will definitively decide the battle against stains forever. This plans-book, created by the Marcoe Agency analyzes the fabric care industry as a whole, which includes: Resolve’s competitive position, consumer preferences and motivations for purchasing decisions. All of these components were collected and analyzed to produce a complete understanding of the market situation in order to create an effective branding campaign. Extensive research was used to identify a target audience, which led to appropriate DMA’s selection throughout the United States that were selected for the campaign. The research revealed Resolve’s need for an established national presence, in addition to, targeted DMA’s through successful sales tactics. These tactics include, Internet ads, television commercials, billboards, and a sponsorship with Tough Mudder to increase brand awareness and produce product sales. The plans-book provides thorough steps, which will be taken in order to persuade consumers that Resolve is an added value for every load of laundry. These steps will achieve desired awareness, sales, and increases in brand loyalty amongst consumers in the fabric care product industry. 1 THE MARKET Definition of Market Laundry prewash/additive (including prewash and in-wash stain fighters, brighteners, whiteners, detergent boosters, etc), laundry starch, static control/fabric protectors, and color safe bleach are all significant to the fabric care market. The Standard Industrial Classification code for this category is 284, which is defined as soap, detergents, and cleaning preparations; perfumes, cosmetics, and other toilet preparations.1 Market Size (Table 1: Sales of Fabric Care Products by Segment)2 The chart below shows that the laundry prewash/additives dominate the segment. Prewash consists primarily of stain fighting products and accounts for 82% of fabric care sales. Sales have fluctuated in recent years, but there has been a declining long-term trend as sales went down 2% between 2011 and 2013. Type 1 2 $million Share of market % Laundry prewash/additives 688 80.4 685 82 -0.5 Color-safe bleach 76 8.8 64 7.7 -15.1 Laundry starch 61 7.1 52 6.2 -14.3 Static control/fabric protector liquids 32 3.7 34 4.1 7.4 Total 856 100 835 100 -2.5 2011 $million Share of market2 % Change 201113 % 2013 (est) North American Industry Classification System Mintel Research: Fabric Care-US-October 2013 2 Market Size 4% Laundry prewash/additives 7% 9% Color-safe bleach Laundry starch 80% Static control/fabric protector liquids Market Forecast In spite of a slight gain in 2009 driven by new product launches, the fabric care category faces a handful of obstacles and has experienced steady declines over the last few years. New allin-one detergents are being introduced to the market, reflecting the increasingly streamlined approach consumers are taking to doing laundry. Products such as Tide Pods, are positioned as a detergent, stain remover, and brightener. The combined formula convinces consumers that these products are sufficient to get the job done in one wash. Fabric care products are not immune to the economizing mindset that has kept sales increasing in the laundry detergent product category. (Table 2: Sales of fabric care products) 3 The sales forecast chart demonstrates there was a small increase in 2009 from $899 to $934 due to new product launches. However, fabric care product sales have declined in the last four years, resting at $835 million in 2013. The decrease has left category sales 7% lower than in 2008. Year 2008 2009 2010 2011 2012 2013 (est) 3 $million 899 934 917 856 847 835 % change NA 3.9 -1.8 -6.7 -1 -1.5 Index (2008 = 100) 100 104 102 95 94 93 Index (2013 = 100) 108 112 110 103 102 100 Mintel Research: Fabric Care-US-October 2013 3 960 940 920 2008 900 2009 880 2010 860 2011 840 820 2012 800 2013 (est) 780 $million According to the Fabric Care Mintel report, its market forecast suggests that the decline in sales could continue in the years to come if proper positioning, promotion and consumer engagement does not occur. Between 2013 and 2018, an estimated decline of 10% in sales is expected to occur resulting in a $755 million total in the category. (Table 3: Sales Forecasted)4 Year 2014 (fore) 2015 (fore) 2016 (fore) 2017 (fore) 2018 (fore) $Million % Change Index (2008 = 100) Index (2013 = 100) 814 806 790 773 755 -2.5 -0.9 -2.1 -2.1 -2.4 91 90 88 86 84 98 97 95 93 90 820 810 800 790 2014 (fore) 780 2015 (fore) 770 2016 (fore) 760 2017 (fore) 750 2018 (fore) 740 730 720 $million 4 Mintel Research: Fabric Care-US-October 2013 4 Mintel predicts the best and worst case scenarios for the market. The best and worst case forecasts take the value of fabric care from an estimated $835 million in 2013, to $893 million (best-case) and $616 million (worst-case) in 2016. Make-up of Market Although, laundry prewash/additives dominate the fabric care category with 82%, their classification codes places them in the market with other soaps, detergents, and housecleaning products, which involve some competition in the market. Leading laundry detergent brands are competing more directly with separate stain-fighting products by placing focus on cleaning power and adding stain-fighting into their ingredients. For instance, Tide Pods emphasizes an added stain remover and brightener in one single pouch. ALL with Stainlifters Oxi, highlights the addition of in-wash pre-treats, and reiterate that other prewash products are unnecessary. Several other brands have begun to add other incentives into their ingredients as well. OxiClean detergent stain fighters, such as Arm & Hammer Crystal Busts, and Purex/Zout detergent stain removers are examples of all-in-one detergents. Even though many consumers will continue to rely on separate stain removers for tough stains; some feel that detergent alone is effective enough in most situations. Chlorine bleach is part of the housecleaning and home laundry markets, making it direct competition for brands in the prewash/additives and color-safe bleach segments of the fabric care category. Downy Wrinkle Releaser, aimed for quick touchups of clothing, is another product in the market which may appeal to time-starved consumers.5 (Table 4: Usage of Fabric Care Products by Region)6 According to Simmons Choices data, the chart below displays the distribution of fabric care products by the total market region. The top three regions were Midwest, South, and West. Total Total 20 MULE TEAM BORAX ARM & HAMMER BIZ 5 6 NORTHEAST MIDWEST SOUTH WEST Vertical % 100.0% 100.0% 100.0% 100.0% 100.0% Horizontal % 100.0% 18.6% 21.5% 36.4% 23.4% Index 100 100 100 100 100 Vertical % 1.7% *1.7% 2.1% *1.2% *2.0% Horizontal % 100.0% *18.4% 27.1% *26.9% *27.6% Index 100 *99 126 *74 *118 Vertical % 2.4% *1.9% *3.0% 2.4% 2.4% Horizontal % 100.0% *14.2% *26.8% 36.1% 22.9% Index 100 *76 *124 99 98 Vertical % 0.8% **0.5% *1.4% *0.7% **0.7% Mintel Research: Fabric Care-US-October 2013 Experian Simmons Market Research Bureau- Fall 2011 5 CLOROX BLEACH PEN CLOROX OXI MAGIC DREFT FEBREZE LAUNDRY ODOR ELIMINATOR OXICLEAN RESOLVE (FORMERLY SPRAY'N WASH) SHOUT TIDE TO GO TIDE STAIN RELEASE WOOLITE ZOUT Horizontal % 100.0% **11.4% *37.8% *29.7% **21.2% Index 100 **61 *175 *81 **90 Vertical % 3.2% 2.3% 2.5% 4.0% 3.3% Horizontal % 100.0% 13.2% 16.9% 45.7% 24.2% Index 100 71 78 125 103 Vertical % 2.0% 2.4% 2.4% 1.3% 2.2% Horizontal % 100.0% 22.4% 26.2% 25.0% 26.5% Index 100 120 122 68 113 Vertical % 0.6% **0.7% **1.0% **0.4% *0.7% Horizontal % 100.0% **19.9% **32.6% **20.4% *27.1% Index 100 **107 **151 **56 *116 Vertical % 1.4% *1.6% **1.1% 2.1% *0.6% Horizontal % 100.0% *20.5% **16.5% 53.8% *9.2% Index 100 *110 **77 148 *39 Vertical % 10.9% 10.5% 9.8% 11.0% 12.0% Horizontal % 100.0% 18.0% 19.4% 36.8% 25.8% Index 100 97 90 101 110 Vertical % 7.1% 5.1% 8.5% 7.5% 6.8% Horizontal % 100.0% 13.3% 25.6% 38.6% 22.5% Index 100 71 119 106 96 Vertical % 20.3% 18.4% 25.8% 20.9% 16.1% Horizontal % 100.0% 16.8% 27.3% 37.4% 18.5% Index 100 90 127 103 79 Vertical % 2.2% 2.7% *1.8% 2.7% *1.4% Horizontal % 100.0% 22.5% *17.3% 45.1% *15.1% Index 100 121 *80 124 *65 Vertical % 3.1% 3.2% 3.4% 3.4% 2.1% Horizontal % 100.0% 19.7% 23.9% 40.5% 16.0% Index 100 106 111 111 68 Vertical % 1.8% *1.4% *1.6% 2.0% *2.0% Horizontal % 100.0% *14.1% *19.7% 40.5% *25.7% Index 100 *76 *91 111 *109 Vertical % 1.3% *2.3% **0.8% *1.0% 1.6% Horizontal % 100.0% *32.1% **12.4% *27.0% 28.5% Index 100 *173 **58 *74 121 6 Trends Declining forecasted sales of fabric care products reflect an increasingly streamlined approach to doing the laundry. This is driven by the all-in-one laundry detergents that are reducing the need for additional stain-fighters and brightener products. Consumers are being persuaded that the new detergents on shelves will get the job done, and spending the extra time to purchase a specific product is unnecessary. Fabric care products are now competing for position ownership to keep their category alive against these new laundry detergents. 7 COMPETITIVE POSITION Broad Summary According to the Fabric Care Mintel report, stain removal products dominated the fabric care category with a majority of new products launched from 2008 – 2013. Bleach, fabric brighteners, and other fabric protectors make up the rest of the fabric care additives. Primary themes of new product launches focus on improving product developments in form and delivery through stainfighting ingredients. Market Share Reckitt Benckiser Inc. is amongst the top five companies in the fabric care industry, but falls short against other leading companies. Church & Dwight Co. continues to dominate and gain market share in the laundry prewash/ additives segment, even though the industry sales are stagnant. According to Mintel, Church & Dwight experienced total sales of nearly $3 billion and remains the smallest company of the six top competitors. The large companies within the industry such as Clorox, P& G, and Reckitt Benckiser have seen drops in sales over the latest 52 weeks, producing negative results in market sales. Reckitt Benckiser Inc. has experienced a one percent decrease in market share within the last year. (Table 1: Sales of Market)7 Church & Dwight Co. Inc. SC Johnson & Son Inc. Clorox Company Procter & Gamble Reckitt Benckiser Inc. Henkel Group Subtotal Private Label Others Total 7 Manufacturer sales of market, 2012-13 52 weeks Market 52 weeks Market ending share ending July 14, share July 15, 2013 2012 $million % $million % 214.6 26.6 230.5 29.1 Sales change 2012-13 Share change 2012-13 % 7.4 % point 2.4 128.2 15.9 126.2 15.9 -1.5 - 131.6 71.6 58.4 41.6 645.9 29.4 130.6 806.0 16.3 8.9 7.2 5.2 80.1 3.7 16.2 100.0 113.9 67.0 49.5 48.2 635.2 29.1 128.8 793.1 14.4 8.4 6.2 6.1 80.1 3.7 16.2 100.0 -13.5 -6.5 -15.2 15.9 -1.7 -1.2 -1.4 -1.6 -2.0 -0.4 -1.0 0.9 -0.1 - Mintel Research: Fabric Care-US-October 2013 8 Shelf Schematics The two charts below show the shelf placement of leading fabric care products at Safeway and Walmart located in Pullman, Washington. (Table 2: Safeway Shelf Schematics) Tide Washing Machine Cleaner $7.99 OxiClean Versatile 53 loads $8.99 Tide Washing Machine Cleaner $7.99 OxiClean Versatile 53 loads $8.99 OxiClean Versatile 89 loads $11.99 Tide Boost Tide Boost $11.99 $11.99 $11.99 OxiClean Laundry Stain Remover $3.99 OxiClean Versatile 89 loads $11.99 OxiClean OxiClean Versatile Versatile Free Free 53 loads 53 loads $8.99 $8.99 Shout Shout Shout $3.99 $3.99 $3.99 Resolve $3.79 Tide Boost Resolve $3.79 OxiClean Laundry Stain Remover $3.99 OxiClean OxiClean OxiClean Laundry Laundry Laundry Stain Stain Stain Remover Remover Remover $3.99 $3.99 $3.99 OxiClean Versatile OxiClean OxiClean 129 loads Laundry Laundry $15.99 Detergent Detergent $7.99 $7.99 OxiClean OxiClean Safeway Safeway Safeway Max Max Force Brand Brand Brand Force $3.99 Oxygen Oxygen Oxygen $3.99 Pro Pro Pro $3.89 $3.89 $3.89 Shout Triple-Acting Shout Advanced Shout Shout $6.99 Heavy Duty Advanced Color $3.99 Heavy Duty Catcher %3.99 $4.29 Resolve Resolve Zout Zout Woolite $3.79 $3.79 $2.99 $2.99 Dry Cleaner $10.99 Safeway’s schematic shows the section of laundry/prewash additives which consist of six shelves. The store has divided their competing brands into rows. On top of the self there is Tide washing machine cleaner and Tide Boost laundry detergent. In the middle of the shelf are all OxiClean products, for consumers to immediately see. On the shelves below are additional competing brands like Shout, Resolve, and Zout. OxiClean is their number one seller which allows the brand to take over the majority of the section and be at eye level. 9 (Table 3: Wal-Mart Shelf Schematic) Tide Boost OxiClean Laundry Value Pack Tide OxiClean Washing Max Machine Force Cleaner Gel OxiClean Laundry Value Pack OxiClean Max Force Gel OxiClean Laundry Stain Remover OxiClean Brightener OxiClean OxiClean Tide Boost Vivid Versatile Versatile Free Free 53 loads 53 loads Shout Wipe & Go Shout set-in stain Shout Grease Busting Shout Grease Busting Shout TripleActing Shout TripleActing Dryel Dryel Shout Color Catcher Calgons Shout Advanced Heavy Duty Resolve Resolve Resolve Stick Stick Max Resolve Max Resolve Fabreeze In-Wash Odor Eliminator Arm & Hammer Baking Soda Arm& Hammer Super Washing Soda Zout White Brite Faultess Starch Downy OxiClean Laundry Stain Remover Dirty Jobs Laundry OxiClean Purex Versatile Crystals 23 loads Dirty Jobs Laundry Purex Crystals Great Great Value Value Stain Stain Remover Remover Resolve Borax Zout Walmart’s shelf schematics show the section of laundry/prewash additives that consist of six shelves. Brands are clumped together on the shelf, but don’t show any real organization. OxiClean products are placed on the top shelf with Tide products next to them. Below OxiClean is Shout and Resolve. Another competing brand is Zout, which is placed in the bottom right corner. 10 Brand Comparison Grid Method of use Abilities Resolve OxiClean Spray, Gel, Stick Spray, Powder, Liquid & Liquid, pen Unit-dose pack Stain Remover & Amylase Enzyme lifts food stains from Color Booster liquid fabric Formula for in-wash Solvents/Surfactants and pre-treatment Combine oxygen & Enzymes Fabric Types Safety Time Usage Not safe with children or ecofriendly 5min+ Pre-wash Rub-in & Soak Clorox dissolve and trap grease and oil Polymers bind to dirt and soils to suspend and rinse them away Protease Enzyme targets protein stains like grass and blood Zout Spray, Foam, Liquid Triple Stain fighting enzymes: The first enzyme helps remove tough protein stains such as Blood, Grass and Sweat. The second enzyme works on starch stains like Tomato & BBQ Sauces. The third enzyme targets oily stains like Salad Dressing, and Margarine. Colorfast Washables Cotton Acrylic Non-wool Nylon Polyester Rayon Spandex Whites & Colors Colorfast Cotton Rayon Linen Nylon Polyester Polyester-Blends Wool Other natural & synthetic fabrics Chlorine & Phosphatefree Phosphate -free Chlorine-free 5-10 min Pre-wash & In-wash Rub-In & Soak 30min(pre-wash) Pre-wash & In-wash Soak 5-10 min Pre-wash Soak 11 Sauces, condiments, coffee, Tea, fruit juice, wine, jam, ink, greasy food, grass, dirt, lipstick, sweat, baby food & formula, chocolate, Blood May use with other products Stain Type Other Method Abilities o o o o Grass, Oil/ Grease, Seat, Clay, Baby Food, Sauce, Blood, Chocolate, Coffee, Dirt, Ink, Condiments, Lipstick, Makeup, Wine Wine, Grass, Juice, Condiments, Sauces, Body fluid, dirt Dirt, sweat, grease, Make up, Tomato Sauce, Fruit Juices, Chocolate, Food Baby & Formula, Dressings, Cooking-Oils, Ketchup, Motor Oil Must use OxiClean product line for best results Soak 1-6hours for best results In-wash stain remover & booster * Contains Fragrances * Not recommend for use on: Leather, Cashmere, or Silk. Shout Tide Borax Green Works Spray, Gel, Roll-on & Foam Pen, Gel, Spray, Detergent Powder Spray Cleaning Agents brake down dirt: Acusol® Ethoxylated Alcohol Sokalan® Builders enhance cleaning: Citric Acid Sodium Borate Sodium Hydroxide Acusol® (thickener) improves texture Cleans hard water and deposited residue on fabrics Sodium percarbonate tough on dirt and stains and easy on colors Sodium carbonatesoftens hard water Natural product Boosts laundry detergent and bleach performance Removes stains and odors The only ingredient is Sodium Tetraborate, a naturally occurring mineral. High-quality ingredients with 99% naturally derived. 12 Fabric Types Safety Colorfast washables Colorfast washables Contain fragrance Chlorine & Phosphate-Free Time 5 min- week N/A 30 min soak 5-30min Usage Pre-wash In-wash In-wash Pre-wash & Soak Stain Types Set-in stains, Baby formula & Food, Urine, Blood, Grass, Blood, Tomato, food grease, chocolate, condiments, wine, coffee, juice, make-up, oil, ink, rust Recyclable spray can Fragrance-free available Removes 99% of everyday stains Other -Does not contain CFC Whites & Colors safe Fragrance, chlorine, detergent, dye and harsh residue free. Grass, coffee, spaghetti sauce, juice, chocolate and gravy Not specific with stains Brand Share of Sale (Table 4: Brand Share of Sales)8 Manufacturer sales of laundry prewashes/additives, 2012-13 Brands Church & Dwight Co. Inc. SC Johnson & Son Inc. Clorox Company 8 OxiClean OxiClean Max Force OxiClean Triple Power Arm & Hammer Other Total Shout Shout Advanced Shout Color Catcher Other Total Clorox 2 Triplesolve 52 weeks ending July 15, 2012 $millio n 147.9 37.3 21.5 7.5 0.4 214.6 78.3 Market share 52 weeks ending July 14, 2013 Market share Sales change 2012-13 Share change 2012-13 % $million % % % point 22.7 5.7 3.3 1.2 0.1 33.0 12.0 171.6 32.2 15.4 10.6 0.6 230.5 79.0 26.5 5.0 2.4 1.6 0.1 35.6 12.2 16.1 -13.8 -28.1 40.3 71.5 7.4 1.0 3.8 -0.8 -0.9 0.5 2.6 0.2 23.5 23.3 3.0 128.2 89.2 3.6 3.6 0.5 19.7 13.7 22.7 21.9 2.6 126.2 67.9 3.5 3.4 0.4 19.5 10.5 -3.7 -6.2 -12.4 -1.5 -23.8 -0.1 -0.2 -0.1 -0.2 -3.2 4.1 0.6 11.9 1.8 186.6 1.2 Mintel Research: Fabric Care-US-October 2013 13 Procter & Gamble Reckitt Benckiser Inc. Henkel Group Other Total Tide 4.5 97.9 48.4 0.7 15.0 7.4 3.3 83.1 45.1 0.5 12.8 7.0 -26.7 -15.0 -6.8 -0.2 -2.2 -0.5 Tide To Go Total Resolve 23.2 71.6 41.0 3.6 11.0 6.3 21.9 67 34.5 3.4 10.3 5.3 -5.6 -6.4 -15.7 -0.2 -0.7 -1.0 Resolve Max 3.9 0.6 3.8 0.6 -1.5 - Other Total Borax 20 10.4 55.2 23.8 1.6 8.5 3.7 9.6 47.9 29.1 1.5 7.4 4.5 -7.8 -13.3 22.3 -0.1 -1.1 0.8 Zout Other Total 7.4 31.2 7.1 44.9 650.6 1.1 4.8 1.1 6.9 100.0 6.4 2.2 37.8 8.4 47.2 648.1 1.0 0.3 5.8 1.3 7.3 100.0 -12.7 21.1 18.8 5.3 -0.4 -0.1 0.3 1.0 0.2 0.4 - Private Label Others Total Through heavy marketing efforts, OxiClean stain remover has managed a 2.6 share point increase in shares between 2012 and 2013. SC Johnson, Clorox, P&G, and Reckitt Benckiser have introduced a few new products over the last two years; with little marketing support. A 22% increase in media spending by OxiClean resulted in a cost of $94 million in 2012. Trends Heavy investments in product development and advertising have helped to increase market share for the competition over the last year. The launch of Tide Stain Release in-wash boosters along with other stain remover infused detergents continues to negatively impact the pre-wash industry. The pre-wash market remains stationary with heavy competition fighting for a decreasing market segment. 14 THE CONSUMER Consumers want fabric care products that get the job done. However, many consumers reported that they use the products only case-by-case basis, possibly to make whites whiter, remove the toughest stains, and other laundry issues. The current consumers perception is that detergents are sufficient enough at removing stains, and using additional products are not needed. In order for fabric care products to be successful; the products need to be emphasized as an added value to every wash, not just a in certain situation. (Table 1: Responsible for Laundry by Gender/Age)9 64 Male, 18-34 53 Male, 35-54 55 Male, 55+ 43 Female, 18-34 66 Female, 35-54 81 Female, 55+ 83 23 31 29 29 20 16 13 7 6 11 19 7 2 1 6 10 5 10 7 1 2 Responsibility All I am responsible I share this responsibility equally with someone else Someone else in the household is responsible but I occasionally do it Someone else in the household is responsible and I never do it Who Does the Laundry? I am responsible I share this responsibility equally with someone else Someone else in the household is responsible but I occasionally do it Someone else in the household is responsible and I never do it 64 23 7 6 All 9 55 53 31 6 10 29 11 5 43 29 19 10 20 83 81 66 7 7 16 2 1 13 1 2 Male, 18- Male, 35- Male, 55+ Female, 18- Female, 35- Female, 34 54 34 54 55+ Mintel Research: Fabric Care-US-October 2013 15 According to the 2013 Fabric Care Mintel report, females across all ages take more responsibility for doing the laundry than males. Females ages 35+ express a higher laundry responsibility than younger females. However, females and males ages 18-34 have similar percentages when it comes to who does the laundry. This may suggest generational roles could be shifting, or they are living in a single household and responsible for their own laundry. (Table 2: Usage of Fabric Care Products by Gender/Age)10 Laundry prewash/additives Prewash stain remover Regular chlorine bleach In-wash stain remover 2-in-1 stain fighter and color booster Chlorine-free bleach Fabric whitener On-the-go stain removal pen or wipes Liquid or spray starch Color run preventer/remover Wrinkle releaser Borax detergent booster 10 All Male, 1834 Male, 35-54 Male, 55+ Female, 18-34 Female, 35-54 Female, 55+ 59 66 56 48 57 63 62 53 61 55 49 53 50 52 45 67 43 31 54 40 39 37 62 35 18 46 33 30 35 32 54 59 31 29 28 26 37 35 30 23 33 24 29 51 27 18 36 25 21 25 45 24 13 31 20 20 24 52 21 12 32 21 10 22 50 20 8 31 17 10 20 44 18 10 24 16 9 Mintel Research: Fabric Care-US-October 2013 16 Usage of Fabric Care Products Prewash stain remover Regular chlorine bleach 80 In-wash stain remover 70 60 2-in-1 stain fighter and color booster Chlorine-free bleach 50 Fabric whitener 40 On-the-go stain removal pen or wipes Liquid or spray starch 30 20 Color run preventer/remover 10 Wrinkle releaser 0 All Male, 18-34 Male, 35-54 Male, Female, Female, Female, 55+ 18-34 35-54 55+ Borax detergent booster In the last six months, males 18-34 with 66% compared to 59% of all adults use wash stain removers most heavily. Among the other fabric care products, younger consumers both male and female, show higher usage of different products than older consumers. This may imply that younger consumers have a high interest in making sure their clothes look the best. Also, young adults could be doing laundry for children of the household, which would increase the need for a variety of products due to different stains and fabrics. (Table 3: Usage of Fabric Care Products by Household Size)11 Laundry prewash/additives Prewash stain remover All 1 person 2 people 3 people 4 people 5 + people 59 43 56 64 73 61 Regular chlorine bleach 53 39 51 54 64 61 In-wash stain remover 2-in-1 stain fighter and color booster Chlorine-free bleach 45 30 40 47 61 55 37 21 29 41 52 49 35 27 31 34 46 41 Fabric whitener On-the-go stain removal pen or wipes Liquid or spray starch 32 19 26 33 48 39 29 15 25 32 44 34 25 17 18 25 39 34 Color run preventer/remover 24 13 17 26 41 30 Wrinkle releaser 22 15 14 21 40 29 11 Mintel Research: Fabric Care-US-October 2013 17 Prewash stain remover Usage by Household Size Regular chlorine bleach 80 In-wash stain remover 70 60 2-in-1 stain fighter and color booster Chlorine-free bleach 50 Fabric whitener 40 On-the-go stain removal pen or wipes Liquid or spray starch 30 20 Color run preventer/remover 10 Wrinkle releaser 0 All 1 person 2 people 3 people 4 people Borax detergent booster 5+ people Households with three or more people express a greater usage of fabric care products than those in a single or two-person household. The presence of children in a household may influence these percentages, because children tend to increase the number of challenges involving laundry. Those with larger households would demand larger containers and refillable options. (Table 4: Fabric Care Product Attitudes)12 Value in clothing care: It’s worth the time and effort to remove a stain to avoid needing to replace an item of clothing Taking care of my family’s clothing (making sure it looks, feels, smells its best) is an important part of taking care of my family If items of clothing lose their color or whiteness, it’s time to replace them Any agree Strongly agree Somewhat agree Neither agree nor disagree Somewhat disagree Strongly disagree 79 43 37 16 2 2 73 36 37 21 3 2 51 14 37 29 15 4 66 30 36 24 6 3 Emergency vs. everyday: I would use a separate stain remover rather than washing stained items twice 12 Mintel Research: Fabric Care-US-October 2013 18 Stain removers are just for tough to remove stains that detergents don’t remove Stain removers added to wash loads help boost cleaning performance Fabric care products vs. detergents: Pretreating stains on clothing with a dab of laundry detergent usually gets rid of them Using stain removers or whiteners in every wash keeps clothing looking good for longer I prefer to use different combinations of detergent, boosters, or stain fighters depending on the needs of each load of laundry The power of today’s laundry detergents means little need for whiteners or color brighteners The power of today’s laundry detergents means little need for stain removers 61 19 42 26 10 2 56 17 39 37 5 2 53 13 40 33 11 4 47 16 31 40 9 4 47 15 31 29 14 11 46 12 34 34 16 4 44 12 32 31 19 6 All consumers agreed that they value and take care of their clothes, as well as the way they wash them. Those that do the laundry view stain removers as a special product for emergency situations, not for every load. Also, today many consumers think using detergents on stains will usually get the job done and there is little need for fabric care products. This idea has made it difficult for fabric care products to succeed against all-in-one detergents. Presenting everyday usage of stain removers, brighteners, and whiteners will bring more awareness for these brands, increase purchase frequency, and show that prewash additives add value to laundry responsibility. 19 (Table 5: Fabric Care Product Attitudes by Gender/Age)13 All Male, 18-34 Male, 35-54 Male, 55+ Female, 18-34 Female, 35-54 Female, 55+ 79 75 75 75 77 85 89 73 66 72 60 75 78 83 51 59 48 40 56 57 44 66 62 63 62 65 72 73 61 68 59 59 66 62 55 56 66 55 51 57 53 55 53 58 56 49 52 52 50 47 60 45 34 52 45 48 47 54 46 35 49 46 50 46 51 43 49 51 41 41 44 57 39 43 50 41 37 41 67 48 35 50 33 20 Value in clothing care: It’s worth the time and effort to remove a stain to avoid needing to replace an item of clothing Taking care of my family’s clothing (making sure it looks, feels, smells its best) is an important part of taking care of my family If items of clothing lose their color or whiteness, it’s time to replace them Emergency vs. everyday: I would use a separate stain remover rather than washing stained items twice Stain removers are just for tough to remove stains that detergents don’t remove Stain removers added to wash loads help boost cleaning performance Fabric care products vs. detergents: Pretreating stains on clothing with a dab of laundry detergent usually gets rid of them Using stain removers or whiteners in every wash keeps clothing looking good for longer I prefer to use different combinations of detergent, boosters, or stain fighters depending on the needs of each load of laundry The power of today’s laundry detergents means little need for whiteners or color brighteners The power of today’s laundry detergents means little need for stain removers Washing in hot water gets rid of most tough to remove stains 13 Mintel Research: Fabric Care-US-October 2013 20 Although women were a little higher, both males and females shared a similar valued interest in how they took care of their clothes. Again, it seems that young adults agree laundry detergents are effective over stain removers, brighteners, and whiteners. However, these same consumers acknowledge fabric care products can keep their clothes looking good longer, but do not seem to utilize them. According to Men’s and Women’s Workwear—US, July 2013, ages 18-34 of both genders who work outside the home agree that they like to wear the latest fashions to work, and that it is important to buy new work clothes every season. Positioning fabric care products as an extra value into every load and promising to keep clothes looking new could interest young adults in these types of products. (Table 8: Brand Selection by Gender/Age)14 Brand Element Biz (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index Clorox Bleach Pen Clorox Oxi Magic OxiClean Shout Resolve Tide To Go Tide Stain Release 14 Male 1834 216 0.7% 79 815 2.5% 77 797 2.4% 123 3,518 10.6% 98 6,515 19.7% 97 2,098 6.3% 89 872 2.6% 119 1,311 4.0% 130 Male 3554 180 0.4% 53 939 2.3% 71 645 1.6% 80 4,103 10.0% 92 8,465 20.6% 101 2,068 5.0% 71 798 1.9% 88 1,157 2.8% 92 Male 55+ 259 0.7% 90 1,581 4.6% 142 746 2.2% 110 3,707 10.7% 98 6,440 18.6% 91 2,666 7.7% 108 593 1.7% 77 747 2.2% 70 Female 18-34 271 0.8% 102 664 2.1% 64 530 1.6% 84 3,506 10.9% 100 6,250 19.4% 95 2,062 6.4% 90 840 2.6% 117 1,161 3.6% 118 Female 35-45 281 0.6% 78 1,384 3.2% 98 777 1.8% 91 4,557 10.4% 96 9,522 21.8% 107 3,526 8.1% 113 962 2.2% 99 1,348 3.1% 101 Female 55+ 656 1.6% 195 1,881 4.6% 144 924 2.3% 116 5,189 12.8% 117 8,669 21.3% 105 3,641 9.0% 126 932 2.3% 103 1,174 2.9% 94 Experian Simmons Market Research Bureau- Fall 2011 21 OxiClean and Shout are the two brands that show high vertical percentages across all consumers. Females 35+ were the only age group that showed interest in Resolve (formally Spray’N Wash), placing higher indexes and vertical percentages compared to other consumers. The results justify findings from the competitive position that those two brands were shown to be top companies/brands. Other brands are relatively similar and do not show data that stands out. (Table 9: Application Preference by Gender/Age)15 Application Elements Gel Male 18-34 911 2.8% 135 Male 35-54 746 1.8% 89 Male 55+ 359 1.0% 51 Female 18-34 616 1.9% 93 Female 35-54 1,205 2.8% 135 Female 55+ 775 1.9% 93 (000) Vertical % Index Liquid (000) 647 886 483 711 1,142 1,028 Vertical 2.0% 2.2% 1.4% 2.2% 2.6% 2.5% % 90 99 64 101 120 117 Index Spray (000) 1,161 904 654 1,183 1,269 1,398 Vertical 3.5% 2.2% 1.9% 3.7% 2.9% 3.4% % 121 75 65 126 100 118 Index Stick (000) 1,611 1,491 1,141 713 2,166 2,095 Vertical 4.9% 3.6% 3.3% 2.2% 5.0% 5.2% % 119 89 80 54 121 126 Index Wipes (000) 334 393 367 370 397 512 Vertical 1.0% 1.0% 1.1% 1.1% 0.9% 1.3% % 96 91 100 109 86 120 Index The application preference can be important to many consumers. Gels, liquids, and sprays allow a consumer to take the time and effort to get a stain out and wash it. Sticks, pens, and wipes give the consumer an opportunity to remove stains on the go or in an emergency when they are not home. Spray and stick application preference were the two that had reasonable indexes and vertical percentages. The spray was popular for males/females 18-34, and the stick was preferred by males 18-34, and females 35+. 15 Experian Simmons Market Research Bureau- Fall 2011 22 (Table 10: Typical Laundry Issues)16 Keeping whites white 45 Male, Male, Female, Female, Female, 35-54 55+ 18-34 35-54 55+ 38 45 36 48 46 54 Removing food/drink/wine stains Keeping colors bright Removing grease stains 35 35 32 37 34 34 32 38 29 25 23 24 42 43 31 37 32 33 37 36 38 Removing sweat and body oil stains 31 30 29 21 44 33 26 Keeping dark colors from fading Removing dirt and grass stains Keeping clothing wrinkle-free Eliminating odors from clothing Removing stains from delicate/handwash only fabrics Keeping clothing fresh between washings None of the above 27 21 21 16 29 32 18 18 25 23 17 13 18 18 22 9 33 20 17 18 27 23 22 18 30 12 29 16 12 18 8 6 20 9 13 11 11 9 10 11 11 16 14 11 15 28 7 13 12 Laundry Issues Male, 18-34 All Laundry Issues Keeping whites white Removing food/drink/wine stains Keeping colors bright Removing grease stains Removing sweat and body oil stains Keeping dark colors from fading Removing dirt and grass stains Keeping clothing wrinkle-free Eliminating odors from clothing Removing stains from delicate/hand-wash only fabrics Keeping clothing fresh between washings 60 40 20 0 All Male, 18-34 Male, 35-54 Male, 55+ Female, 18-34 Female, 35-54 Female, 55+ The top two laundry issues were making whites whiter and removing food/drink/wine stains. Those who thought that removing food/drink/wine stains is important are females 18-34 with 48%, while females 35+ and males 18-34 were both 37%. On the list of laundry issues, the majority of females of all ages rate higher than most of the males. This may suggest that females are the ones who are responsible for a wide range of laundry, including herself, children, spouse, etc. 16 Mintel Research: Fabric Care-US-October 2013 23 ADVERTISING HISTORY In the 2012 Ad Dollar Summary, a majority of the fabric care product brands utilized Network TV, Spot TV, Cable TV, Syndication, and Magazines as a source of advertising. Tide and Resolve were the only brands, which does not use Magazines as a source of advertising. Network radio, National Spot Radio, Sunday Newspapers, National Newspaper and Outdoor advertising are not used by any of the fabric care product brands during January- December 2012. The following table represents the media dollars spent on advertising, as well as media used for fabric care product brands. (Table 1: Media Dollars Spent (January- December 2012)17 In the fabric care product category, OxiClean dominates all other brands with a combined spending of $17,411.10 on advertising its laundry products. Tide Laundry remover and Biz Stain Fighter spent the least amount on advertising during January-December, 2012. Brand 17 11-Media YTD (000) Media Used Resolve 5,839.8 Network TV Spot TV Syndication Cable TV 1,319.2 622.0 2,117.0 1,781.6 Clorox 5,643.0 Magazines Network TV Spot TV Syndication Cable TV 505.1 1,534.8 234.0 571.0 2,798.2 Oxi-Clean 17,411.1 Tide 1,780.3 Magazines Network TV Spot TV Syndication Cable TV Network TV Spot TV Syndication Cable TV 4,174.2 1,029.6 20.8 5,488.3 6,698.3 720.8 1.8 261.4 796.3 Biz Stain Fighter 1,482.0 Magazine Network TV Spot TV Syndication Cable TV 124.2 4.8 13.8 264.3 1086.2 Ad $ Summary/Leading National Advertisers (LNA) 24 Media Dollars (000) 20,000.0 17,411.1 18,000.0 16,000.0 14,000.0 12,000.0 10,000.0 Media Dollars (000) 8,000.0 6,000.0 5,839.8 5,643.0 4,000.0 2,000.0 1,780.3 1,482.0 Tide Biz *Resolve Clorox Oxi-Clean After analyzing the brand positions of leading companies and understanding the competitive landscape, it is apparent that launching a successful campaign that consists of effective advertising creatives is important. The main goal of the leading fabric care product brands is making dirty clothes clean by positioning themselves as a white stain remover, all stain remover, tough stain remover, and quick. 25 RESOLVE The Resolve brand has consistently used TV advertisements to reach out to the target audience. Since the introduction to the consumer market, TV has become the dominant force for advertising the Resolve brand name. Resolve promoted their TV advertisements by specifically using syndicated programming, Spot TV and Network TV. The media strategy used is typical for this type of market segment, which is dominated by infomercials that show how the product works. Overall, Resolve Laundry Stain Remover has established a strong presence due to their media-spending budget, and what was formally known as Spray N’ Wash. Advertisement Analysis As shown above, Resolve focuses on certain aspects to reach out to consumers such as a family oriented surrounding to show the strength of the product itself. In the TV spot shown on the left, a group of young children are playing together and around them are many potential stains waiting to happen, such as burger grease and condiments. This illustrates that tough to remove stains can happen anywhere. In the bottom right of the advertisement is the Resolve stain removal product. To emphasize the product, an orange seal in front says, “voted product of the year, 2013”. The other Resolve advertisement shows a much more practical application of the product itself, passing the consumers stain removal test. The advertisement reminds the target audience that Resolve can aid in the removal of tough stains. Resolve maintains consistency with their message of Resolve giving the best results.18 18 Mintel Research: Fabric Care-US-October 2013 26 OXI-CLEAN OxiClean was first launched in 1997 through TV advertisements that brought essential marketing components for the product. OxiClean promoted their TV advertisements by using an American television direct-response advertisement salesperson, Billy Mays. When Mays died unexpectedly in 2009, Mays’ friend Anthony Sullivan, best known for his roles in TV commercials, took over. On top of the TV advertisements, OxiClean also has been successful with infomercials as a media strategy. In the successful infomercials, Sullivan suggests product demonstrations, sideby-side demos and consumer testimonials. Advertisement Analysis As shown above, OxiClean has been very consistent with their advertisements. In the print advertisement for OxiClean, a child is covered in mud stains and in the bottom right is the OxiClean product. The products tagline, “...Get the Tough Stains Out!” is written below the advertisement to remind the target audience that when you need to remove tough stains, OxiClean is there to help you. OxiClean advertisements have the same information provided next to the product, but the quote on top changes on each advertisement. They emphasize their target audience by including the word, “Mom” in every different quote. 19 19 Mintel Research: Fabric Care-US-October 2013 27 CLOROX * The Clorox Company was very successful with the “Bleachable It Away” campaign and the 2012 introduction of a more concentrated bleach formulation. Though the Clorox Company was achieving success, it did not last long. Clorox was gradually declining in business with a drop of 13% in sales for 52 weeks ending in July 2013. Seeing the gradual decline in sales, Clorox changed their position from a general-purpose brightener and stain fighter to a focus of fighting the toughest stains. Recent advertising techniques emphasizes difficult stain fighting challenges, such as removing ink stains, coffee stains or mud stains that have been through the dryer. Advertisement Analysis The print advertisement above shows a past advertisement from Clorox. The print advertisement on the left is targeted to families that want a healthier and happier home. The tagline says, “Clean with Clorox,” suggesting not only clean your house with Clorox, but use it for laundry too. The print advertisement on the right shows a young female that is really bright and clean. The reflection on her glasses shows colorful laundry being dried and the Clorox product is shown below with a tagline, “Laundry done bright.” Both advertisements show the use of Clorox, to make whites whiter or to make colors brighter. 20 20 Mintel Research: Fabric Care-US-October 2013 28 TIDE Tide, owned by Proctor and Gamble, is easily one of the most recognizable brands in the fabric care market; however it has one of the lowest expenditures in media dollars. Tide has launched several successful advertisements and ongoing campaigns to help with brand awareness and sales. Advertisements such as the 2013 super bowl ad, “Joe Montana Miracle Stain,” have been well received and successful with audience members. On top of this, Tide has a very unique and on-going campaign called the, “Tide Loads of Hope,” which has raised good PR and awareness for the brand since Hurricane Katrina in 2005. The media mix for Tide consists of both print and broadcast media. Advertising Analysis The pictures above demonstrate past advertisements created by Tide and what they aim for. On the left, is an advertisement that is appealing to members of society who eat on the go, spill on their outfit and do not have enough napkins to clean it up. The tagline reads, “Because you never get enough napkins at the drive-thru”. To the right of this is the Tide logo reinforcing brand recognition. The print advertisement on the right targets families with athletic youths in the home. The tagline towards the top states, “Claim your spot!” This advertisement portrays a young man in football gear. The eye is drawn to the clean version of the man on the left and the the same guy in the background, except he is all muddy. The ad reinforces the idea that tough stains and ridiculous amounts of mud do not stand a chance against the power of Tide.21 21 Mintel Research: Fabric Care-US-October 2013 29 BIZ Biz has been a market competitor since 1968. It has been in the market segment for over 40 years and has become a relatively well-known name since its introduction as a product. The brand line relies mainly upon a media mix consisting of TV advertising, in forms such as: Syndicated programming, Spot TV, as well as Network and Cable television. Biz also appears in magazine advertisements to help support the brand name. The main media strategy for this brand has historically been infomercials that display the features, benefits and results of the brand. As a private label brand nowadays, Biz has a sense of history in the United States, maintaining a consistent market share. Advertising Analysis The above image shows that the Biz brand focuses on simplicity and results. Biz is an older brand and will often be associated with people who are about the same age as the brand itself. The brand is consistent upon showing what the brand can do for a consumer and often highlights the stain fighting ability produced by enzymes in the formula. In the above advertisement, a woman in her mid-40’s is shown holding the product and recommending it to her girlfriends. Towards the bottom are the two forms of the product, both liquid and powder. Overall, the ad shows an equation to help with laundry and a promise that Biz will provide the answers to everyone’s needs. The small print below highlights the new enzymes used in Biz to help fight stains and keep clothes clean.22 22 Mintel Research: Fabric Care-US-October 2013 30 SALES PROMOTION Fabric Care is a category that has been trending downward for the past five years. According to Mintel research this is likely due to the down economy and people cutting items they view as non-essential, such as stain removers, out of their budget. Sales promotion is an important tool to begin moving product off the shelves again. The only product that has increased its market share is OxiClean; a product supported by much more advertising then the competition. This category as a whole is largely dominated by a handful of brands. OxiClean, Shout, Clorox 2, Tide and Resolve combined account for 74% market share. It should be noted that the segment Resolve falls into (Laundry Prewash/Additives) accounts for 82% of Fabric Care category sales. Types and Amounts of Promotional Activity Most of these brands display promotional activity typical of Consumer Packaged Goods. Based on these brand’s websites, conversations with store managers, direct observations and secondary research it is possible to generalize the common types of promotion this category displays. First a look at category media spending: according to Kantar Media Intelligence’s AD $ Summery 2012, all brands PIB classified as “Laundry Stain Removers & Pre-Soaks” (H421.1) spent $30,674,200 on advertising in 2012. This total is primarily derived from Network TV, Syndication and Cable TV media buys. Some was also spent in Magazines and Spot TV. There was no ad dollars spent on Sunday Magazines, Newspaper, National Newspaper, Outdoor, Network Radio and National Spot Radio. Now looking specifically at promotional efforts one can see fairly common promotions are frequently utilized. These include coupons, bonus packs, FSIs, store-club discounts, special displays, money-back guarantees and features in retail trade coupons. Online, most product website have some “offers and promotions” tab that occasionally will offer printable coupons. Some brands cross-promote these coupons on their social media outlets. Finally, several brands with a News and Special Offers email sign up. Beyond these promotions, sweepstakes and contests are not unheard of for some brands. 31 Promotional Activity by Brand OxiClean OxiClean is the overall category leader in sales with its numerous line extensions (29.1% market share). They also lead all competition in promotional spending, increasing their budget 22% in 2012 to $94M for all category brands. While this product segment takes up only a portion of this spending, it sends a message that OxiClean’s parent company (Church & Dwight) is serious about leading in this category. As far as promotions go, OxiClean has been observed discounting their product in a number of ways. Online there is a “Promotions” tab on the product’s website that generally has one or more printable coupons for $1.00 off. In stores like Safeway, the product was at a $1.00 off club price discount. The discount was also promoted in the store’s retail coupons. The brand also will occasionally utilize newspaper FSIs, cross promoting them on their Facebook page. Lastly, OxiClean also promotes the occasional contest or sweepstakes. Shout Shout is the number two brand (15.9% market share) by sales in the Fabric Care category, and is backed by SC Johnson. Based on observation in stores and online, this brand does not appear to discount their product as aggressively as OxiClean does. Beginning with the online presence, it is clear that coupons are not as easy to come by. On the company’s website, the “Coupons and Offers” tab links to the brand’s Facebook presence. Once there, one is asked to “like” the page to be notified of special offers. When doing so on several different occasions, no coupons were being offered. In stores, the brand was not slotted as well as competition. It was often lower on the shelf or slightly away from competition. At some stores Shout was offered with a bonus pack, specifically spray on stain remover with 36% more volume per bottle. Finally, after speaking to the store manager it was found that the product is occasionally offered at discount. Clorox 2 Clorox 2 is the number three market brand (14.4% market share) in the Fabric Care category with sprays, detergents and prewashes. The brand uses many of the same promotional techniques as the competition both online and off. They promote both contests and coupons on bother their website and their social media outlets. In stores, the brand utilizes bonus packs, coupons and retailer discounts. According to one store manager, the product is also occasionally offered in a 2 for 1 deal. 32 Tide Tide is the number four brand by sales (8.4% market share) in the Fabric Care category and is backed by the consumer-packaged goods giant Proctor and Gamble. Like the competition Tide offers a number of offers and coupons online. The brand cycles discounts for different products over time. Their primary product is detergent, but they have a number of Fabric Care options such as prewashes, pens and sprays. In stores, these products are occasionally given price offs from either manufacturers or from the retailers themselves. These discounts coupled with both online and physical coupons make up the bulk of Tide’s sales promotion activity. Sometimes, the brand will also offer samples in exchange for product reviews or input about a product’s effectiveness. This generally occurs with new products. Beyond this Tide is partnered with the NFL, and social media promotions to promote customer interaction. Resolve Backed by Reckitt Benckiser, Resolve is the number five brand in sales in the fabric care category with 6.2% market share. The brand commonly uses a number of promotions for its fabric care product. These include: on-pack coupons, 36% more and 45% more bonus packs, buy 2 get one free deals and manufacturers coupons. Compared to the competition Resolve tends to utilize more manufacturer-originated coupons and deals than retail sales and offers. The brand also offers promotions and coupons online, but they are not readily printable off the website like with other brands. Instead, Resolve required deal seekers to sign up for a mailing list to receive promotional offers. Beyond these discount promotions Resolve has been known to occasionally do giveaways or contests. Traceable Results of Past Promotions On April 25th, 2012 Proctor and Gamble announced Tide would soon begin a multi-year sponsorship of the NFL. Tide is just one of many P&G brands partnered with the NFL, and the company hopes to associate the “huge passion” Americans have for the NFL with their brands. The sponsorship is part of a fully integrated program with support across all marketing channels. According to a press release, NFL teams do more laundry in a week than most families do in a year and associating Tide with the cleaning power necessary to accomplish this will make the product more favorable. The sponsorship is mostly expressed via traditional print and television media channels, but it is also present in social media. On Twitter, a very popular social medium among athletes, the Tide NFL page has close to 1500 followers and 1400 Tweets. The page has garnered a fair amount of fan and player interaction, with Super Bowl players Earl Thomas and Eric Decker being examples. 33 Beginning in June of 2013, Resolve launched its “Tip Exchange” give away. In this program users submit either stain removal questions or stain removal tips to the programs website. At the launch of the sweepstakes, those posting stain removal tips were eligible for a weekly drawing for three weeks. Prizes included a digital camera, mountain bikes, a Master Grill and a threeperson tent. All prizes were claimed, and while the sweepstakes is now over there have been to date over 28,000 stain removal tips submitted. It is safe to say the desired result of community interaction within the context of the brand has been achieved. On May 4th, 2011 Church & Dwight announced OxiClean would be teaming up with Major League Baseball player Jorge Posada and his wife Laura to launch the ‘Brighten Up Your Ball Game” Contest on Facebook. The contest was a $10,000 give-away to a lucky sports organization for use on new uniforms, turf, lights and equipment. The contest occurred at a time when the brand was first launching its Facebook presence and also looked to generate some buzz there. The contest received dozens of submissions, and today the OxiClean Facebook page has over 380,000 “likes”. The contest involved submitting a short essay (150 words or less) explaining why the money is needed and how it would be spent. The contest winner was decided based on a cumulative Facebook vote total. Trade Attitudes Toward Various Forms of Promotion Based upon the research conducted, a number of promotions are very common in the Fabric Care category, and some are often used but less frequently. The most frequently seen promotions are coupons (both manufacturer and retailer originated), bonus packs, and money-back guarantees. Almost all leading brands utilize these types of promotions in some way. The promotions that are less frequent but still present include: sweepstakes, sponsorships, FSI’s, news and offer mailing lists, special displays and sampling. Some brands but not all use these methods, and to varying degrees. Still, it is clear that sales promotion is an important part of marketing efforts for this category with all major brands utilizing it in some way. 34 OPPORTUNITIES/CHALLENGES SWOT ANALYSIS STRENGTHS Laundry/prewash additives 82% market share Two stain fighting formulas teamed together (Resolve & Spray N’ Wash) Quality stain removerremoves stains 1st time guaranteed OPPORTUNITIES Compete with professional cleaners Basic stain removers for all stains and fabric types Use with any kind of detergent WEAKNESSES Low brand awareness Well known as a carpet cleaner Low media expenditure Small line extension THREATS All-in-one detergents being introduced Strong Competitors (OxiClean) Home remedies Cleaning blogs 35 CAMPAIGN OBJECTIVES Campaign Start Date The “Stain Fighter Campaign” will begin June 1, 2014. Although this date is right around the corner, the summer months is a prime time to launch a campaign. June is when school gets out, kids are heading to camps, playing outside, and families are having parties and BBQ’s. These are all events where stains can occur. Target Females 25-34 The campaign will aim to improve brand awareness, especially within the target demographic of females ages 25-34. Sales promotions and advertisements will target this age group and create brand awareness for Resolve Laundry Stain Remover. Since the target demographic is young, it is expected that the brand relationships created will produce long-term loyalty and repeated purchases. Differentiate Resolve from its Competitors The fabric care market has been stagnant over the last couple years, which means gaining market share from its competitors is crucial to the company’s growth. The “Stain Fighter Campaign” will be memorable and efficient in regards to distinguishing Resolve’s Laundry Stain Remover as the best option for pre-wash stain removal for every load. Also, an added emphasis will be placed on clearly showing that the all-in-one laundry detergents, which are currently major players in the market, are ineffective compared to Resolve’s premium product. Produce an Integrated Marketing Plan Each campaign component, from sales promotions to advertisements, will have a clear and consistent message that can be easily understood by consumers. Reach Maximum level of Gross Rating Points (GRPs) The campaign will reach at least 1,000 GRPs. Internet, television, billboard advertisements and sales promotions tactics will be spread evenly throughout the year of the campaign. Adhere to the Projected Budget The campaign will not exceed the $4,700,000 budget. 36 TARGET MARKET RECOMMENDATION The recommended target audience for Resolve Laundry Stain Remover is based on people who specifically use laundry boosters, pre-soaks or pre-cleansers and show interest in the all-in-one detergents. It is also based on gender, age, income, household size, education and other characteristics of the demographic. Basic demographics were chosen upon research from Simmons Choices 3. Below is a basic demographic breakdown of the chosen target audience:23 Gender: Female Age: 25-34 Income: $50,000 to $75,000 Household Size: 3+ Education: College graduates (4 years- Undergraduates) Other: Values Clothes Gender: Females Gender Elements Laundry Boosters, PreSoak, Pre-Cleansers Male (000) Vertical % Index (000) Vertical % Index (21,233) 44.7% 90 (35,268) 52.7% 107 Female Overall, females show a greater presence in the usage of pre-wash fabric product. Although, the index and vertical percentages are relatively close, females are higher. Glancing back to the consumer section in the situation analysis, this data matches with the graph that represents who does the laundry. Resolve Laundry Stain Removers main effort is to be the dominant brand in the fabric care category. Targeting an audience that shows an assuring usage rate already will lead to successful results in our branding campaign. 23 Experian Simmons Market Research Bureau- Fall 2011 37 Age: 25-34 years old Research from Simmons Choices 3 helped define those who use laundry boosters and precleansers. Also, since all-in-one detergents are becoming a big competitor in the laundry category, getting the attention of those consumers will generate brand awareness. The vertical percentage represents the amount of people from the top category that makes up the age group. An index number has an average of 100, and shows the relationship between the two percentages. The chart below represents the findings: Gender/ Age Elements Female/ 18-24 (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index Female/ 25-34 Female/ 35-44 Female/ 45-54 Female/ 55+ Laundry Boosters, Pre-Soak, PreCleansers (2,878) 42.1% 85 (8,728) 42.3% 86 (10,422) 51.2% 104 (11,129) 49.0% 99 (23,345) 53.2% 108 Laundry Detergents (6,657) 97.4% 99 (20,409) 98.8% 101 (19,848) 97.6% 99 (22,417) 98.6% 100 (43,091) 98.3% 100 According to the Simmons Choices 3 report, females ages 55 and older are more likely to use laundry booster or pre-cleansers than the younger age groups. The findings show that females ages 25-34 are more likely to utilize laundry detergents compared to the other ages. The amount of usage in laundry detergents for females ages 25-34 has a strong vertical percentage and index number, which supports the decision to choose a target demographic of 25 to 34 year olds. In addition, females ages 25-34 should be targeted because women ages 35+ have increased laundry responsibilities. The earlier, Resolve gains brand awareness and loyalty from the target audience the better since females that like the product should continue to use the Resolve product as they get older. 38 Income: $50,000-$74,999 The highest household income level for the target audience utilizing pre-wash and detergent was $75,000 to $99,999. However, the Census Bureau states that average income for a United States citizen is $53,046. Considering this campaign will be on a national level, targeting those around this average income seemed reasonable. The table below shows the breakdown of the different income levels and our specific target audience: Household Income Elements $25,000- $29,999 (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index $30,000- $34,999 $35,000- $39,999 $40,000- $44,999 $45,000- $49,999 $50,000- $59,999 $60,000- $74,999 $75,000- $99,999 Female, Age 25-34, (YES to Pre-Wash) (426) 4.4% 84 (808) 8.4% 175 (420) 4.4% 85 (295) 3.0% 78 (557) 5.8% 105 (1,140) 11.8% 136 (904) 9.4% 90 (1,398) 14.5% 111 Female, Age 25-34, (YES to Detergents) (1,402) 7.2% 137 (1,138) 5.9% 123 (962) 4.9% 97 (1,063) 5.5% 139 (867) 4.5% 82 (1,998) 10.3% 119 (1,702) 8.8% 84 (2,826) 14.5% 112 39 Household Size: 3 or more A majority of the females ages 25-34 have three or more people in their household. Mintel research showed households with a larger number of people show a much higher usage rate of laundry stain remover products. Simmons Choices 3 was utilized to help determine the household size of the target audience, and paralleled with what was found on Mintel. The following chart shows the breakdown of household size among females 25 – 34. Household Size People in Household: One People in Household: Two People in Household: Three People in Household: Four People in Household: Five People in Household: Five + Elements (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index Gender: Female Age 25-34 1, 493 11.3% 42 3, 614 27.3% 77 2, 627 19.8% 133 3, 142 23.7% 179 1, 278 9.65% 171 2, 368 17.9% 186 40 Education Level: College 4 years Patterns from Simmons Choices 3 data have shown trends for education specific to the target audience. Females 25-34 are shown to have completed a full four-year college education, receiving an undergraduate degree. The Census Bureaus showed that 28% of the US population has a bachelor’s degree too. Education Level High School Diploma College 2 Full Years Undergraduate Degree Graduate School Elements (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index (000) Vertical % Index Gender: Female Age 25-34 2, 862 21.6% 74 1, 407 10.6% 95 3, 091 23.3% 157 1, 474 11.1% 111 41 Other- Values Clothes In addition to looking at who uses pre-wash additives, research was conducted to consider the behaviors toward the usage of these products. In order to choose the right target market recommendation for our campaign, we wanted to see who viewed pre-wash fabric products as an everyday value. One of our main goals in this campaign is to encourage consumers to think about stains every time they do laundry. We want to change the focus from only using stain removers for emergency situations, to using them in every load. Females 18-34 expressed the most interest in using stain removers each wash to boost performance, as well as to keep clothes looking better longer. Hopefully, by grabbing the attention of the consumer who values how their clothes look can create more brand awareness for Resolve Laundry Stain Remover. All Male, 18-34 Male, 35-54 Male, 55+ Female, Female, 18-34 35-54 Female, 55+ Emergency vs. Every day: I would use a separate stain remover rather than washing stained items twice Stain removers added to wash loads help boost cleaning performance Fabric care products vs. detergents: Pretreating stains on clothing with a dab of laundry detergent usually gets rid of them Using stain removers or whiteners in every wash keeps clothing looking good for longer 66 62 63 62 65 72 73 56 66 55 51 57 53 55 53 58 56 49 52 52 50 47 60 45 34 52 45 48 42 DMA RECOMMENDATIONS The advertising campaign recommended will be on a national level. Six hot spots, better known as DMA’s, have been selected for additional advertising. Listed below are the six recommended hot spots to properly reach the target audience. These six hot spots have been selected based on research in eight different factors: age, gender, income, education, families, household size, pretreat usage, and all-in-one detergent usage. The six target DMA’s of emphasis are as follows:24 Los Angeles, California Las Vegas, Nevada Salt Lake City, Utah Denver, Colorado Baton Rouge, Louisiana Dallas, Texas 24 SRDS- “Local Market Audience Analyst.” 43 FEMALES The map above illustrates the areas with the highest density of females in the United States. FEMALES 25-34 The above map illustrates the recommended target audience females 25-34. Targeting hot spots that have a high density of females 25-34 is important for exposure to an advertisement. 44 HOUSEHOLD SIZE 3+ The situation analysis shows that as households get bigger then so does the usage of pre-treat laundry additives. This map illustrates households who have 3+ people. MAINSTREAM FAMILIES Mainstream refers to working class, middle class, and child-filled households which are factors within our target audience recommendation. 45 INCOME $50,000-$75,000 The above map illustrates DMAs where $50,000-$75,000 is an average income, where a majority is in the Midwest. BACHELOR’S DEGREE There were not many DMAs that showed a strong presence of Bachelor’s degree, other than the Northwest and northern Colorado. 46 PRE-TREAT USAGE Pre-treat laundry additives were found to be more popular in the Midwest, South, and West regions of the United States. However, the South had the highest vertical percentage of 38%. Targeting the hot spots that already use pre-treat fabric care products will bring more brand awareness for Resolve Laundry Stain Remover. COMBINED MAP The combined map gives insight on the areas where all factors overlap. 47 MEDIA PLAN The overall goal for the Resolve Laundry Stain Remover “Stain Fighter Campaign” is to increase brand awareness among the target demographic and establish a definitive place of positioning for the product. In generating brand awareness, it is important that Resolve’s media reflects differentiation between their brand and other laundry care brands. This differentiation will be reflected through traditional media, all of which is a cohesive aspect of the media plan. Listed below are the media objectives which will aid in a successful campaign: Utilize media the target audience is familiar with. Primarily target females 25-34, who are responsible for laundry and value their clothes. Expand Resolve’s advertising strategy into new mediums. Select media based on usage and cost efficiency analysis. The recommended media for the “Stain Fighter Campaign” was selected based on Simmons Choices 3 data.25 25 Experian Simmons Market Research Bureau- Fall 2011 48 RECOMMENDED MEDIA Internet: Home/Work Internet: Female 25-34 Quintile 1 (Highest) Weighed (000) Vertical % Index Quintile 2 (2nd Highest) Quintile 3 (Middle) 2,218 1,747 2,097 22.9% 18.1% 21.7% 151 119 143 Simmons Research indicates those who use pre-treat laundry additives in their household ranked highest (Quintile 1) in terms of their internet usage. An above-average vertical percentage (22.9%) and high index number (153) suggest that these participants frequently use the Internet as a media outlet. The following Quintiles, 2nd highest and middle still show a high vertical percentage and index number too. Reemphasizing the fact that Internet usage is primarily high among the target audience. Internet advertisements will be placed in Google Adwords and YouTube. Out of Home (Outdoor): Outdoor: Female 25-34 Quintile 1 (Highest) Weighed (000) Vertical % Index Quintile 2 (2nd Highest) Quintile 3 (Middle) 2,718 2,073 1,359 28.1% 21.4% 14.1% 141 107 70 49 In terms of vertical percentage, outdoor advertising surpassed internet with a vertical percentage of 28.1%. However, outdoors’ index was lower compared to internet with 141. In the second and third quintile, the index numbers begin to trail off, but still hold a strong vertical percentage (21.4% and 14.1%). Research from Simmons Choices 3 highlights the outdoor activities of the target audience who uses pre-wash fabric care products at home, which includes going to the beach/lake, visiting zoos, and visiting aquariums. It can be concluded from this information that the target audience spends a majority of their time outside, which requires commuting time. Outdoor advertisements will be expressed through transit and billboards. Television: TV Prime Time: Female 25-34 Quintile 1 (Highest) Weighed (000) Vertical % Index Quintile 2 (2nd Highest) Quintile 3 (Middle) 1,685 1,808 2,421 17.4% 18.7% 25.1% 87 94 125 Despite quintile data from Simmons suggesting primetime television shows the lowest usage of a media outlet compared to internet and outdoor, it is recommended that it be pursued as an advertising medium. The target audience does not use television as their primary media source, but still watch network and cable shows that exude high vertical percentages and index numbers. Five top network channels included NBC, ABC, CBS, FOX, and the CW. Among those networks, shows such as Criminal Minds, Grey’s Anatomy, American Idol, The Voice, and The Bachelor are all shows that interest the target audience. In terms of cable television channels viewed, TBS, TLC, ABC Family, Lifetime, Food Network, MTV, and Bravo ranked the highest. These channels provide the opportunity for Resolve Laundry Stain Remover to extend brand awareness across various media. It is important for Resolve to demand presence in all three of these mediums, especially with major competitors such as OxiClean and Tide who have strong brand awareness in laundry products. Advertising in these three media outlets provides the opportunity to engage with millions of consumers on a national level, which is a crucial aspect of this national branding campaign. 50 MEDIA CONSIDERED, BUT NOT USED Newspaper: The first media channel considered but not recommended for this campaign is newspaper. According to Simmons data, readership of females 25-34 had a 4.2% vertical percentage of total gross and an index number of 97. Overall, newspaper readership was higher in females 35+. The advertising history section shows Resolve has not utilized newspapers in their advertising strategy. According to Mintel, the internet has shifted focus away from traditional media such as newspapers. In 2010, regular users of newspapers have dropped to 50%, creating less advertising opportunities and forcing readers to migrate to the internet newspapers. 26 Radio: Although radio was initially considered as a medium, Simmons research demonstrated it would not be an effective medium for generating GRPs to reach the target audience. Choosing network radio channels and specific DMA channels is the only way to reach the target demographic of females 25-34. It would be expensive and would not get enough GRPs to reach the goal for this national branding campaign. After speaking with local radio stations, they said the majority of females 25-34 listen to the radio from 10AM to 3PM, not during morning or night drive time. This suggests the target audience usually follows a pattern of running errands for the day. Magazine: Based on cross tabulation reports from Simmons representing the target audiences’ interest in magazines, eight were chosen for potential advertising. For females 25-34, People, Star, US Weekly, InTouch Weekly, OK! Weekly, Cosmopolitan, Glamour, and Parents showed the highest numbers of readership in terms of vertical percentage and index number. However, the target audience does not show high rates of magazines readership compared to older females. This could suggest that since internet was a high media outlet for the target audience, consumers could be viewing these magazines online. The vertical percentages and index numbers to support these findings can be found in the appendix. 26 Mintel-“Online news more popular than reading newspapers” 2010 51 COST EFFICIENCY ANALYSIS Medium MAGAZINE People US Weekly Cosmopolitan InTouch Weekly OK! Weekly Star Reach/Circulation Females 25-34 Unit of Space/Cost 9,656,320 National Edition Full page/color/ $337,400 Split Edition Full page/color/ $219,400 People Top 10 Full page/color $181,200 People Top 20 Full page/color $240,000 Full page/ color $231,310 2/3 page/color $185,048 ½ page/color $138, 786 1/3 page/color $92,524 Cover 2/color $257,441 Cover 4/color $300,703 Full page/color $297,735 2/3 page/color $223,300 ½ page/color $201,000 1/3 page/color $148,900 1/6 page/color $119,100 Second cover/color $379,600 Fourth cover/color $401,900 Full page/color $68,595 2/3 page/color $58,305 ½ page/color $44,585 1/3 page/color $30,870 Cover 2/color $82,305 Cover 4/color $89,160 Full page/color $66,830 2/3 page/color $56,850 ½ page/color $43,480 1/3 page/color $30,115 ¼ page/color $21,785 Cover 2/color $80,190 Cover 4/color $86,875 Full page/color 4,342,000 3,654,000 5,934,000 2,891,590 2,474,000 Rating CPM CPM Females 25-34 $7.90 $34.94 $5.14 $22.72 $4.24 $18.76 $5.62 $24.85 $16.66 $53.27 $13.33 $42.61 $10.00 $31.96 $6.67 $21.31 $18.33 $59.29 $21.66 $69.25 $17.53 $81.48 $13.15 $61.11 $11.83 $55.00 $8.77 $40.75 $7.01 $32.59 $22.35 $103.88 $23.66 $109.98 $9.41 $11.56 $8.45 $9.83 $6.46 $7.51 $4.47 $5.20 $11.93 $13.87 $12.92 $15.02 $13.64 $23.11 $11.60 $19.66 $8.87 $15.03 $6.14 $10.41 $4.45 $7.53 $16.36 $27.63 $17.73 $30.04 $18.03 $48.64 52 Glamour Parents INTERNET Facebook 3,658,000 6,009,000 Females 25-34 280,000 280,000 YouTube <750 views/day Google AdWords 1 billion OUTDOOR Billboard Total Imp Fresno, CA 3,100,000 Albuquerque, NM 465,200 Riverside-San Bernardino, CA 6,900,000 Baton Rouge, LA 2,800,000 Portland to Vancouver to Beaverton 3,800,000 Bloomington, IN 637,100 Boise City to Maple, ID 1,200,000 Dallas to Fort Worth, TX 10,000,000 Des Moines, IA 954,000 $120,355 2/3 page/color $96,305 ½ page/color 72,215 1/3 page/color $48,150 1/6 page/color $33,700 Cover 2/color $144,430 Cover 4/color $156,465 Full page/color $240,511 2/3 page/color $184,575 ½ page/color $162,196 1/3 page/color $108,307 Cover 2/color $288,650 Cover 3/color $252,540 Cover 4/color $300,679 Full page/color $198,180 2/3 page/color $153,260 ½ page/color $118,910 1/3 page/color $82,580 Cover 2/color $227,910 Cover 4/color $237,820 Page Likes $498.40 Bids for Clicks $.67 per click $187,000 Per view $.40/4 wks/$1200 $2,000 per/day 6 months $360,000 total $14.42 $38.93 $10.81 $29.19 $7.21 $19.46 $5.05 $13.62 $21.63 $58.38 $23.43 $63.24 $20.84 $65.75 $15.99 $50.46 $14.05 $44.34 $9.38 $29.61 $25.01 $78.91 $21.88 $69.04 $26.05 $82.19 $10.49 $32.98 $8.11 $25.50 $6.29 $19.79 $4.37 $13.74 $12.06 $37.93 $12.58 $39.58 $.01 $6.53 $1.03 $667.85 $.11 $.13 $.36 4 panels/4wks $16,972 5 panels/4wks $4,000 8 panels/4wks $36,880 100 $5.47 $446.89 200 $8.60 $96.62 50 $5.34 $538.45 5 panels/4wks $14,300 7 panels/4wks $49,000 100 $5.12 $327.86 50 $12.89 $341.62 4 panels/4wks $9,000 3 panels/4wks $4,605 10 panels/4wks $32,000 6 panels/4wks $12,000 100 $14.13 $226.17 50 $3.84 $297.40 50 $3.20 $298.08 50 $12.58 $716.97 53 Fort Collins to Loveland, CO 569,700 Las, Vega NV 3,700,000 Austin, TX 5,500,000 Bakersfield, CA 2,500,000 Phoenix, AZ 6,500,000 Athens to Clark, GA 306,000 Gainesville, GA 916,500 Los Angeles, CA 20,400,000 3 panels/4wks $6,450 50 $11.32 $567.63 5 panels/4wks $20,500 9 panels/4wks $47,250 6 panels/4wks $27,240 16 panels/4wks $56,000 2 panels/4wks $3,000 4 panels/4wks $7,000 32 panels/4wks $148,800 50 $5.54 $505.34 100 $8.59 $329.87 100 $10.89 $366.74 50 $8.62 $509.41 50 $9.80 $351.06 150 $7.64 $207.07 50 $7.29 $169.56 Albuquerque, NM 3,875,872 KING /4wks 30”x144” $17,000 QUEEN /4wks 30”x88” $28,875 KING / 4wks 30” X 144” $17,100 Bus Tail 21"x70" $12,600 Bus Queen 30"x88" $18,250 Bus King 30"x144" $11,340 Bus Headlight 21"x44" $11,498 King 30” x 144” $36,000 Headlight 22”x44” $14,200 Black & White Open Wk/day $23,920 Sunday $5,360 1 page Wk/day $33,630 Sunday $4,848 1/7 page $42,499.80 1/6 page $49,583.10 ½ page $148,749.30 ¼ page $74,379.65 Open Wk/day $2,700 Sunday $5,032 Page $125,600 ½ page $81,500 ¼ page $61,300 1/8 page $35,400 Sliding Billboard $5,500 207 $4.39 $410.64 125 $7.97 $257.90 85 $3.49 $395.13 67 $3.26 $291.14 85 $2.72 $143.86 150 $4.11 $298.59 204 $1.35 $200.01 153 $4.29 $81.48 153 $1.69 $74.58 Transit San Mateo, CA 3,624,867 San Bernardino, CA 4,895,408 San Bernardino, CA 3,868,661 Denver, CO 6,715,400 Fresno Area Express 2,758,834 Portland, OR 8,500,405 Salt Lake City, UT 8,373,092 NEWSPAPER New York Times Wall Street Journal Total Readership 746,127 592,290 Washington Post 528,797 Daily 738,962 Sunday USA Today 544,450 Daily 618,455 F-Su Dallas Morning News Online Online 257,133 $50.24 $7.18 $45.07 $6.49 $71.76 $83.71 $251.14 $125.58 $5.10 $6.81 $230.69 $203.08 $149.69 $137.78 $112.59 $99.12 $65.02 $57.23 $21.39 54 LA Times Online 141,600 1 month ad/package 1 $1500 Su/349,000 1 month ad/package 2 $3,000 Half Page (6c x 11") / Weekday - $8870.40 / with color $12,394.90 TELEVISION NETWORK ABC Modern Family Females 18-49 Half Page (6c x 11") / Sunday - $12,074.70 / with color $15,599.20 Quarter Page (3c x 11") / Weekday - $4,435.20 / with color $7,959.70 Quarter Page (3c x 11") / Sunday - $6,037.35/ with color $9,561.85 .30 sec America’s Funniest Home Video Grey’s Anatomy 1,387,200 Scandal 3,121,200 The Bachelor 3,814,800 Kelly and Michael 3,614,000 CBS Criminal Minds 3,005,600 How I Met Your Mother 3,930,400 The Good Wife 3,814,800 Big Bang Theory 6,473,600 The Amazing Race 7,976,400 The Doctors 462,600 The Ellen Degeneres 3,841,000 NBC The Voice 9,016,800 Dancing w/ The Stars 10,750,800 Law Order SVU 4,508,400 Parks and Recreation 9,363,600 Parenthood 3,236,800 Dr. Phil 809,200 FOX American Idol 4,739,600 The Seattle Times 300,000 Wk/241,700 4,624,000 3,583,600 American Idol Results show Glee 4,508,400 The Simpsons 3,930,400 Family Guy 3,583,600 Kitchen Nightmares 2,543,200 2,774,400 $10.59 $10.00 $36.70 $51.28 $49.95 $34.59 $18.35 $12.70 $24.98 $17.29 Wed 9-9:30 pm $193,635 Su 7-8pm $87,392 Th 9-10pm $222,113 Th 10-11pm $207,053 M 8-10 pm $165,857 M-F 9-10am $35,000 4.0 $1.68 $41.87 1.2 $.75 $75.59 3.1 $1.91 $61.98 2.7 $1.79 $66.34 3.3 $1.03 $43.48 1.5 $.30 $9.68 Wed 9-10 pm $128,487 M 8-8:30 pm $141,772 Su 9-10 pm $109,375 Th 8-8:30pm $195,077 Su 8-9pm $114,584 M-F 4-5pm $10,000 M-F 3-4pm $35,000 2.6 $1.11 $42.75 3.4 $1.22 $36.07 3.3 $.94 $28.67 5.6 $1.69 $30.13 6.9 $.99 $14.37 .4 $.08 $21.62 2.8 $.30 $9.11 M 8-10pm $294,038 M 8-10pm $204,806 Wed 9-10pm $94,758 Th 8-8:30 pm $78,146 Th 10-11 pm $100,437 M-F 2-3pm $10,000 7.8 $2.54 $32.61 9.3 $1.77 $19.05 3.9 $.82 $21.02 8.1 $.68 $8.35 2.8 $.87 $31.03 .7 $.08 $12.35 Wed 8-10 pm $355,943 Th 8-9 pm $289,942 Th 9-10 pm $272,694 Su 8-8:30 pm $253,170 Su 9-9:30 pm $259,289 Th 9-10 pm 4.1 $3.08 $75.09 3.9 $2.50 $64.31 2.4 $2.36 $98.29 3.4 $2.19 $64.41 3.1 $2.24 $72.35 2.2 $.98 $44.88 55 Hell’s Kitchen CW America’s Next Top Model The Vampire Diaries 2,427,600 578,000 1,734,000 Super Natural 809,200 Nikita 346,800 90210 231,200 CABLE Average Daytime Early Fringe Primetime Late Fringe Bravo 103,649,000 15,000 29,000 52,000 110,000 53,000 $114,146 Th 8-9 pm $121,944 Wed 9-10 pm $63,285 Th 8-9 pm $74,913 Th 9-10 pm $37,982 Th 9-10 pm $61,584 Tu 8-9 pm $58,347 .30 sec M-F M-F M-Su M-F Early Morning M-F 6-8 am $550 Daytime M-F 8am-3pm $1,562 Early Fringe M-F 3pm-7pm $3,184 Primetime M-Su 7pm-12pm $14,640 Weekend Day 8am-7pm $4,486 2.1 $1.05 $50.23 .5 $.55 $109.49 1.5 $.65 $43.20 .7 $.33 $46.94 .3 $.53 $177.57 .2 $.50 $252.37 .08 $8.99 $10.20 $33.85 $12.65 $5.05 $17.43 $18.63 $46.77 $17.31 $36.66 .15 $8.98 $53.86 .26 $12.25 $61.23 .55 $22.04 $133.09 .27 $14.06 $84.64 Dallas-Ft. Worth HGTV 51,000 105,000 ABC Family 65,000 112,000 Food Network 56,000 138,000 MTV 128,000 358,000 Lifetime 21,000 118,000 TLC 81,000 192,000 E! 35,000 85,000 :30 sec M-Su 6am-6pm $102.00 M-Su 6pm-12am $241.00 M-Su 6am-6pm $20 M-Su 6pm-12am $73.00 M-Su 6am-6pm $72.00 M-Su 6pm-12am $193.00 M-Su 6am-6pm $13.00 M-Su 6pm-12am $41.00 M-Su 6am-6pm $30.00 M-Su 6pm-12am $146.00 M-Su 6am-6pm $10.00 M-Su 6pm-12am $41.00 M-Su 6am-6pm $8.00 M-Su 6pm-12am $53.00 .2 $2.00 .3 $2.29 .2 $.31 .4 $.65 .2 $1.28 .4 $1.39 .4 $.10 1.1 $.11 .1 $1.43 .4 $1.24 .3 $.12 .4 $.21 .2 $.23 .4 $.62 .36 $6.96 .29 $8.55 0.02 $125.52 Los Angeles, California Bravo 34489 ABC Family 28063 CNBC-TV 1912 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 56 CNN -TV 22519 Food Network 33742 FX TV 17126 HGTV 20389 Lifetime 19082 MTV 34978 TBS 29278 TLC 22721 TNT 12967 USA 35895 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 .24 $10.66 .29 $7.11 .18 $14.01 .21 $11.77 .20 $12.58 .37 $6.86 .31 $8.20 .24 $10.56 .14 $18.51 .14 $6.69 Th 8-8:30 pm $5,613.30 Wed 9-10pm $$2,702.70 8.1 $19.01 3.9 $9.15 Wed 9-10pm $842.40 Wed 9-9:30 pm $864 3.9 $3.66 4.0 $3.75 Su 8-9pm $2,118.30 Su 9-10 pm $1,013.10 6.9 $14.57 3.3 $6.97 M 8-10pm $1,032.30 Th 8-9 pm $166.50 9.3 $15.93 1.5 $2.57 M-F 6-10am :60/$40 .2 $94.20 $600.85 M-F 10am-3pm :60/40 Sa 10am-3pm :60/20 M-F 6-10am :60/$55 .5 $37.68 $240.34 .2 $47.10 $300.43 2.7 $9.59 $61.19 M-F 10am-3pm :60/$60 M-F 10am-3pm :60/$40 2.2 $10.47 $81.93 2.2 $8.56 $54.62 .6 $38.56 $279.45 .7 $27.57 $199.61 .7 $33.05 $239.53 .7 $29.65 $394.96 .7 $21.18 $282.11 Estimated Cost based on TV rating./DMA CPP Denver, Colorado Primetime Parks and Recreation Law and Order SVU Salt Lake City, Utah Primetime Law and Order SVU Modern Family Las Vegas, Nevada Primetime The Amazing Race The Good Wife Baton Rouge, Louisiana Dancing With the Stars The Vampire Diaries RADIO KIZN-FM 92.3 Boise, Idaho Country KCIX Mix 106 Boise, Idaho Today’s Hits KSAS 103.5 Boise, Idaho Top 40 San Bernardino, CA KVCR 91.9 Public Radio Fort Worth, Texas KPLX 99.5 Country 41,400 41,400 41,400 411,900 512,900 575,300 Fresno, CA KSKS 93.7 Country 14,800 M-F 5-9am :30/$500 M-F 6a-10a :30/$180 M-W 10am-3pm :30/$150 M-F 3p-7p :30/$180 M-F 10am-3pm :30/$105 Saturday 10am-3pm :30/$75 57 The cost efficiency analysis highlights six different types of media: Magazines, Internet, Newspapers, Outdoor, Television, and Radio. The magazines that were chosen were based on the interests and popular magazines among females 25-34. Internet options included, Facebook, YouTube, and Google Adwords. The internet choices were chosen upon popular sites searched by the target audience. Newspaper was not popular among the audience, but for the cost efficiency analysis options for different newspapers were explored. For outdoor, there are options for billboards and transit, in the top chosen DMAs, as well as other locations. Television has both network and cable options. The channels and specific shows were chosen based on research from Simmons Choices 3 for the target audience females 25-34. Finally, radio was the last medium on the cost efficiency analysis, where most of the radio stations are located in the top DMAs such as Texas and California COST RANKER CPP Station/Program $48,408.75 ABC Modern Family $71,649.35 America’s Funniest Home Video Grey’s Anatomy $76,686.30 Scandal $50,259.70 The Bachelor $4,666.66 Kelly and Michael $24,709.04 CBS Criminal Minds $72,826.67 $41,697.65 $33,143.93 How I Met Your Mother The Good Wife $34,835.18 Big Bang Theory $16,606.38 The Amazing Race $5.68 The Doctors $1,250 The Ellen DeGeneres NBC The Voice $37,697.18 $22,022.15 $12,148.46 Dancing w/ The Stars Law Order SVU $2,411.91 Parks and Time/Cost .30 sec Rating # of Spots Rating GRP Weekly Totals Wed 9-9:30 pm $193,635 Su 7-8pm $87,392 Th 9-10pm $222,113 Th 10-11pm $207,053 M 8-10 pm $165,857 M-F 9-10am $35,000 4.0 1x 4.0 $193,635 1.2 1x 1.2 $87,392 3.1 1x 3.1 $222,113 2.7 1x 2.7 $207,053 3.3 1x 3.3 $165,857 1.5 5x 7.5 $175,000 Wed 9-10 pm $128,487 M 8-8:30 pm $141,772 Su 9-10 pm $109,375 Th 8-8:30pm $195,077 Su 8-9pm $114,584 M-F 4-5pm $10,000 M-F 3-4pm $35,000 2.6 2x 5.2 $256,974 3.4 1x 3.4 $141,772 3.3 1x 3.3 $109,375 5.6 1x 5.6 $195,077 6.9 1x 6.9 $114,584 .4 40x 16 $400,000 2.8 10x 28 $350,000 M 8-10pm $294,038 M 8-10pm $204,806 Wed 9-10pm $94,758 Th 8-8:30 pm 7.8 1x 7.8 $294,038 9.3 1x 9.3 $204,806 3.9 4x 15.6 $379,032 8.1 4x 32.4 $312,584 58 $35,870.36 Recreation Parenthood $714.29 Dr. Phil $86,815.37 FOX American Idol $74,344.10 $113,622.5 American Idol Results show Glee $74,461.76 The Simpsons $117,858.64 Family Guy $51,884.55 Kitchen Nightmares $58,068.57 Hell’s Kitchen $54,260 CW America’s Next Top Model The Vampire Diaries Super Natural $205,280 Nikita $291,735 90210 $6,875 CABLE Bravo $126,570 $24,971 $1,041.33 $1,224.62 $26,618.18 $16,614.81 $36.43 Dallas-Ft. Worth DMA HGTV $114.76 $7.14 ABC Family $26.07 $25.71 $68.93 Food Network $78,146 Th 10-11 pm $100,437 M-F 2-3 pm $10,000 2.8 1x 2.8 $100,437 .7 20x 14 $200,000 Wed 8-10 pm $355,943 Th 8-9 pm $289,942 Th 9-10 pm $272,694 Su 8-8:30 pm $253,170 Su 9-9:30 pm $259,289 Th 9-10 pm $114,146 Th 8-9 pm $121,944 4.1 1x 4.1 $355,943 3.9 1x 3.9 $289,942 2.4 1x 2.4 $272,694 3.4 1x 3.4 $253,170 3.1 1x 3.1 $259,289 2.2 1x 2.2 $114,146 2.1 1x 2.1 $121,944 Wed 9-10 pm $63,285 Th 8-9 pm $74,913 Th 9-10 pm $37,982 Th 9-10 pm $61,584 Tu 8-9 pm $58,347 .30 sec Early Morning M-F 6-8 am $550 Daytime M-F 8am-3pm $1,562 Early Fringe M-F 3pm-7pm $3,184 Primetime M-Su 7pm-12pm $14,640 Weekend Day 8am-7pm $4,486 .5 1x .5 $63,285 1.5 2x 3 $149,826 .7 1x .7 $37,982 .3 1x .3 $61,584 .2 x .2 $58,347 .08 5x 4 $2,700 .15 10x 1.5 $15,620 .26 10x 2.6 $31,840 .55 5x 2.75 $73,200 .27 1x .27 $4,486 .2 12x 2.8 $1,224 .3 12x 2.1 $2,892 .2 12x 2.8 $240 .4 12x 2.8 $876 .2 12x 2.8 $864 .4 12x 2.8 $2,316 :30 sec M-Su 6am-6pm $102.00 M-Su 6pm-12am $241.00 M-Su 6am-6pm $20 M-Su 6pm-12am $73.00 M-Su 6am-6pm $72.00 M-Su 6pm-12am $193.00 59 $32.50 MTV $2.66 $100 Lifetime $52.14 $1.66 TLC $102.50 $2.86 E! $18.93 $96 Los Angeles DMA Bravo $120 ABC Family $1,714.29 CNBC-TV $141.18 CNN -TV $120 Food Network $184.62 FX TV $160 HGTV $171.43 Lifetime $92.31 MTV $109.09 TBS $141.18 TLC $266.67 TNT $266.67 USA $693 Denver, Colorado Parks and Recreation Law and Order SVU Salt Lake City, Utah Law and Order SVU Modern Family $316 $307 Las Vegas, Nevada The Amazing Race The Good Wife $111 M-Su 6am-6pm $13.00 M-Su 6pm-12am $41.00 M-Su 6am-6pm $30.00 M-Su 6pm-12am $146.00 M-Su 6am-6pm $10.00 M-Su 6pm-12am $41.00 M-Su 6am-6pm $8.00 M-Su 6pm-12am $53.00 .4 7x 2.8 $91 1.1 12x 15.4 $574 .1 7x .7 $210 .4 12x 2.8 $1,022 .3 12x 6 $200 .4 7x 2.8 $287 .2 12x 2.8 $112 .4 12x 2.8 $371 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 M-Su 4pm-12am $240 .36 7x 2.5 $1,680 .29 7x 2.0 $1,680 0.02 7x .14 $1,680 .24 7x 1.7 $1,680 .29 7x 2.0 $1,680 .18 7x 1.3 $1,680 .21 7x 1.5 $1,680 .20 7x 1.4 $1,680 .37 7x 2.6 $1,680 .31 7x 2.2 $1,680 .24 7x 1.7 $1,680 .14 7x .9 $1,680 .14 7x .9 $1,680 Th 8-8:30 pm $5,613.30 Wed 9-10pm $2,702.70 8.1 24x 8.1 $134,719.2 3.9 24x 3.9 $64,864.8 Wed 9-10pm $842.40 Wed 9-9:30 pm $864 3.9 24x 3.9 $20,217.60 4.0 24x 4.0 $20,736 Su 8-9pm $2,118.30 Su 9-10 pm $1,013.10 6.9 24x 6.9 $50,839.2 3.3 24x 3.3 $24,314.4 Baton, Rouge, Louisiana 60 $200 Dancing With the Stars The Vampire Diaries RADIO KIZN-FM 92.3 Boise, Idaho Country $80 $100 $20.37 KCIX Mix 106 Boise, Idaho Today’s Hits $27.27 $18.18 $300 KSAS 103.5 Boise, Idaho Top 40 San Bernardino, CA KVCR 91.9 Public Radio Fort Worth, Texas KPLX 99.5 Country $214.29 $257.14 $150 $107.14 Fresno, CA KSKS 93.7 Country M 8-10pm $1,032.30 Th 8-9 pm $166.50 9.3 24x 9.3 $24,775.2 1.5 24x 1.5 $3,996 M-F 6-10am :60/$40 .2 2x .4 $80 M-F 10am-3pm :60/40 Sa 10am-3pm :60/20 M-F 6-10am :60/$55 .5 2x 1 $80 .2 4x .8 $80 2.7 2x 5.4 $110 M-F 10am-3pm :60/$60 M-F 10am-3pm :60/$40 2.2 2x 4.4 $120 2.2 4x 4.4 $160 M-F 6a-10a :30/$180 .6 2x 1.2 $360 M-F 10am-3pm :30/$150 M-F 3p-7p :30/$180 M-F 10am-3pm :30/$105 .7 2x 1.4 $300 .7 2x 1.4 $360 .7 4x 2.8 $420 Saturday 10am3pm :30/$75 .7 4x 2.8 $300 M-F 5-9am :30/$500 61 MEDIA FLOWCHART Audience: 25-34 June 1 2 3 4 July 1 2 3 4 August 1 2 3 4 September 1 2 3 4 October 1 2 3 4 November 1 2 3 4 Television *Network ABC Kelly and Michael CBS The Doctors Ellen NBC Law Order SVU Parks & Recreation Dr. Phil *Cable Bravo Dallas DMA HGTV ABC Family Food Network MTV Lifetime TLC E! Los Angeles DMA Bravo ABC Family Food Network HGTV MTV TBS TLC Denver, Colorado Parks& Recreation Law& Order SVU Salt Lake City, UT Law& Order SVU Modern Family Las Vegas, NV Amazing Race The Good Wife Baton, Rouge, LA Dancing w/ T.S. Vampire Diaries 62 MEDIA FLOWCHART December 1 2 3 4 January 1 2 3 4 February 1 2 3 4 March 1 2 3 4 April 1 2 3 4 May 1 2 GRP’s 3 4 7.5 16 28 15.6 32.4 14 4.1 4.9 5.6 5.6 15.4 2.8 6 5.6 2.5 2.0 2.0 1.5 2.6 2.2 1.7 8.1 3.9 3.9 4.0 6.9 3.3 9.3 1.5 63 Audience: 25-34 June 1 2 3 4 July 1 2 3 4 August 1 2 3 4 September 1 2 3 4 October 1 2 3 4 November 1 2 3 4 Billboard Dallas Texas Baton Rouge Las Vegas Denver Colorado Los Angeles Salt Lake City, UT Transit Denver Colorado Salt Lake City, UT Internet Facebook YouTube Google AdWords 64 December 1 2 3 4 January 1 2 3 4 February 1 2 3 4 March 1 2 3 4 April 1 2 3 4 May 1 2 GRP’s 3 4 50 100 50 50 67 153 Total GRP’s Television Network: 113.5 Cable: 105.4 Billboard: 250 Transit: 220 65 CREATIVE STRATEGY “Think About Stains Every Wash” Positioning Statement: To effectively reach young female adults in the “Stain Fighter Campaign,” it is recommended that they be targeted for one thing: how Resolve laundry stain remover fits into their daily laundry responsibilities. The goal is to create brand awareness for Resolve laundry stain remover and the value it adds to every wash. “Think about stains every wash” is an appropriate slogan for this campaign because it emphasizes the usage of pre-treat additives for every load of laundry. The Advertising Challenge: The Resolve brand is prominently known for their carpet cleaning products. After teaming up with Spray N’ Wash, the fabric care products still have low awareness as a laundry product. Resolve must expand their brand awareness to compete with the fabric care product leaders: OxiClean, Tide, Clorox, and Shout. These industry leaders are heavy users of network, cable, and syndication television, specifically infomercials. Resolve laundry products have not been successful in their advertising strategy, with no memorable television, magazine, radio, or online advertisements. Although Resolve started as a tough stain fighting carpet cleaner, they have since expanded their product line to all-in-one stain fighting products that can be used on an array of stains and clothing fabrics. Who Is The Audience? The target audience consists of females ages 25-34, who value their clothes, and are aware that the pre-treat laundry additive products boost performance for every wash. They have a bachelor’s degree, income level of $50,000-$75,000, 3+ household sizes and primarily reside in the following cities: Dallas, Los Angeles, Baton Rouge, Denver, Las Vegas, and Salt Lake City. What They Think and Do? Consumers within the target market typically see pre-treat laundry additives as emergency situation products. If their clothes are stained they will use the products that work for that specific stain or the specific fabric type. Consumers are not aware that fabric care products add great value to each wash and can keep clothes looking better longer. Instead, a majority of consumers believe the new all-in-one detergents will get the job done for every load. 66 What We Want Them To Think and Do? Resolve Laundry Stain Remover needs to establish itself as a top brand and an added value among the target market. A primary goal of this campaign is to encourage consumers to use pretreat fabric care products for every wash. Resolve is not just a brand, but also rather a product that can meet the everyday laundry needs and responsibilities of the consumer. Resolve pre-treat products should become an applicable aspect of every consumer’s life. The BIG Idea: “End The All-In-One Epidemic” In our creative advertisements we want to highlight Resolve pre-wash laundry additives and encourage the target audience to use Resolve with every wash. Our big idea is to promote stains as an epidemic, and the cure is Resolve laundry products. The All-In-One detergents are the cause of epidemic and resolve is the solution. Consumers used to care about their clothes and Resolve has been there from the beginning to treat the stains when needed. However, these allin-ones have allowed stains to go unnoticed. The evidence is there that these all-in-ones are not equal to pre-wash treatment of Resolve. The target audience, females ages 25-34, are the most risk and must be educated in order to stop the epidemic. The target audience needs to be thinking about stains every wash, and using Resolve to end the epidemic. How to Connect with the Consumers In order to effectively and efficiently connect with the target audience it is important to utilize media they currently use. This particular demographic utilizes television, internet, and outdoor media outlets. Constructing a campaign through these forms of media will generate brand awareness and loyalty due to the familiarity of the medium. The Campaign Tone Resolve’s “Stain Fighter Campaign” is a problem-solution tactic that will reposition Resolve and stains in the minds of the target audience females 25-34. The overall tone throughout the campaign will be an engaging, dramatized, and intense experience. 67 INTERNET The internet advertisement’s main element is based on a horror scene. It is placed in a darkened room with a pile of clothes showing laundry that has been wasted. A death toll counter represents every time a piece of clothing is thrown away because of a simple stain. Light draws the eye to the washing machine where everything can be cured with Resolve. End the All-In-One Epidemic and “Think About Stains Every Wash” reminds the target audience of the big idea and campaign slogan. These advertisements will be placed on websites based on popular google internet searches of the target audience. The top websites will be beauty, health, fashion, and news. 68 BILLBOARD The laundry trails off to the left, depicting dirty, deteriorating, and dissolving laundry, emphasizing that the clothes are dying from the all-in-one detergents. To the far right is the solution, Resolve, which is highlighted as clean and the cure for the all-in-one epidemic. The billboards will be featured in the six DMAs for 4 weeks: Dallas, Los Angeles, Las Vegas, Denver, Baton Rouge, and Salt Lake City. In the last week we will feature a snipe-it of a white laundry basket with the Resolve logo, signifying the call to action to be the solution of fighting stains. Snipe-it Version: 69 TELEVISION COMMERCIAL All-In-One Stain Epidemic :30 Seconds VIDEO 0:00-0:03 – Camera is heading down a dimly lit hallway toward a fluorescent room. 0:03-0:10 – A shirt with a stain is attempting to creep out of a dryer in the laundry room. It shakes in pain as it loses its will to live. Client: Resolve AUDIO MUSIC: Creepy horror theme plays throughout ANNOUNCER: “A terrible epidemic is sweeping the nation. Look at her, a trendy innocent victim robbed of her youth by a treatable stain.” MUSIC: Slow motion “Nooooooo” music 0:10-0:15 – Slow horror shot of All-In-One detergent being dumped into a washing machine. 0:15-0:19 – Scene changes to a female ripping up the same shirt into shreds in order to use as a rag. ANNOUNCER: “All because her owner didn’t Resolve to use laundry stain remover. Millions will continue to suffer the same fate unless you do your part. Think about stains every wash. Use Resolve 0:19-0:24 – Frame of a female ripping up a rag rapidly multiplies to two frames, then four, then eight, etc. Filling up the entire screen (Brady Bunch affect). 0:24-0:27 – Shot of the same rag being thrown into a dark mop bucket. Rag dissolving into bucket Or Keep spending $50 on rags.” SFX: Loud slamming sound as logo appears ANNOUNCER: “End the All-in-one Epidemic.” 0:27-0:30 Resolve logo coming into the shot from the dark spot of the bucket 70 Story Board Screen 1: Screen 2: Screen 3: Screen 4: Screen 5: Screen 6: 71 PRODUCTION COST Television Commercial: Talent: Main performer Announcer Crew: Producer Director Technical Producer DOP Sound Art Director Camera Operator Production Asst. Make up $1,254 $944 Floor Director Editor: VO Artist $1,200 $1,200 $1,000 $ 800 $600 $600 $800 $800 $600 Equipment: Camera Package Film package Lighting package: Dolly Package Van Studio Package Voice over package On line Linear TOTAL $600 $1,800 $1,500 $2,800 $3,000 $300 $900 $120 $500 $1,800 1,800 28,918 181 for each 13 weeks Denver Dallas LA Baton Louge Las Vegas Salt Lake City 4 7 1075.30 2 2 2 Internet: Photography Fee: expenses Usage Rights: Stylist: Graphic Designer Illustrator Billboard/Transit $7,000+ $2,100 $600 $70/hour $40/hour Photography Fee: expenses Usage Rights: Design Material 55 panels $7,000+ $2,100 $35,112.00 72 SALES PROMOTIONS Tough Mudder Sponsorship: As promotional support for the advertising campaign, Resolve will be sponsoring a rapidly up and coming event series which relates directly to the product’s primary function. The event is called Tough Mudder, a series of ten to twelve mile military-style obstacle courses that take place across the United States. The courses test individual’s strength, stamina, mental grit and camaraderie. They also get participants very, very dirty. This is where Resolve comes in. Tough Mudder’s popularity is growing quickly. The following graphs based on Tough Mudders “Sponsorship Insights” illustrate the explosive growth of the event series over the last four years: Annual Number of Events 60 40 20 0 2010 1000000 2011 2012 2013 2014 Annual Number of Participants 800000 600000 400000 200000 0 2010 2011 2012 2013 2014 73 Annual Number of Spectators 400000 300000 200000 100000 0 2010 2011 2012 2013 2014 2013 2014 Total Facebook Fans 6000000 5000000 4000000 3000000 2000000 1000000 0 2010 2011 2012 The growth shows no signs of slowing any time soon. In an interview with Advertising Age, Tough Mudder recently appointed CMO Carol Kuse who spoke about the power of the Tough Mudder community’s word-of-mouth. “People can’t NOT talk about their experiences – and share it with their friends,” said Kuse in the interview. Sponsorship of the event gets Resolve’s message out to more people than just the participants and spectators. Branded materials will appear in the background of participants Facebook posts, Instagram pictures and Tweets. As the event continues to grow, this type of exposure will only become more common. Based on the estimated 800,000 participants and 300,000 spectators in 2014, the CPM for direct event impressions in this sponsorship is $681.82. These impressions will be supplemented by the additional word-of-mouth social media impressions. In addition to impressions generated directly from participants and spectators, Resolve will make occasional appearances in Tough Mudder’s own marketing. According to Tough Mudder’s published 2012 media values for print, online and broadcast event series generates annual impressions as follows: 74 Media Print Online Broadcast Total Impressions 41,016,008 633,016,000 78,777,978 752,809,987 While this is a gaudy total, Resolve will only appear in a fraction of these impressions. The brand will be seen in the background of videos, pictures, and in various places in Tough Mudder’s social media and online outlets. These are potential media impressions. Based on the price tag of the event and the total impressions figure noted above; the CPM for these “potential media impressions” is $0.99. Official sponsorship of Tough Mudder will cost $750,000 of Resolve’s marketing budget. The cost includes the company logo on many event materials such as the race completion t-shirt, banners and posters. In addition to this, Resolve’s logo will be seen on Tough Mudder’s online presences – including the official website, emails and social media contact points. Resolve would also be permitted to use the Tough Mudder brand in its own promotions such as contests, packaging and special online destinations. Finally this sponsorship will give Resolve the opportunity to create one “branded obstacle” to be placed at each of the 55 events taking place across the United States in 2014. Tough Mudder's "Phoenix" Obstacle The key to choosing a good branded obstacle is to choose one which is well known and frequently photographed. This way the exposure is maximized by participant and spectator social media sharing. Perhaps the most visually striking of all obstacles is called “Phoenix”. 75 In this obstacle, participants crawl through a smoky chute to get to the final flames: a four foot high wall of blazing flames to jump over. For participant safety on the other side of the wall is a pit of water to cool them off. To sponsor this obstacle, we recommend Resolve flank it on either side with two 10’Wx5’H billboards with the phrase: “STAINS ARE TEMPORARY. GLORY IS FOREVER.” Alongside this phrase will be a gritty Resolve logo. Keeping with the general theme of the campaign to “Think About Stains Every Wash”. In the gritty and intense moment the last thing participants will be thinking about is the state of their clothing. However, the billboard will remind them that even though their clothes are stained – they can be cleaned. At the same time it alludes to the “glory” of completing the Tough Mudder event. In addition to the branded obstacle, Resolve will have a booth at each post-race event. At the 10x10 booth Resolve will take the opportunity to connect with participants one step further. A number of computers will be set up, and finishers will be asked to log into Facebook and like the separately branded “Resolve Tough Mudder Facebook Page.” They will receive a special $2.00 off digital coupon to be used on a regular sized pack of Resolve Pre-Treat Stain Remover. Participants will be encouraged to use the coupon to purchase some Resolve Stain Remover to clean the clothes they just completed the event in, which will set the brand up to have further dialogue with participants in the future. The materials for the booth and branded obstacle will be an additional cost on top of the sponsorship fee. The cost will be covered by the remaining $190,000 of the sales promotion budget. An itemized estimate of the total cost of sponsorship is provided below: Item/Expense Sponsorship Fee Description Standard fee, annual Billboards 10’Wx5’H, two at each event, one time use due to size*27 Two tall vertical banners, one long horizontal banner to be transported from event to event** Two laptops for Facebook sign-up at each event. (HP Pavillion 14 Chrome Book) One representative at each event for six hours ($15/Hr) Estimated coupon redemption of 5% for $2.00 off digital coupons Booth Banners Laptops Labor Coupon Redemption Count 1 Cost $750,000.00 110 $1,650.00 3 $374.40 2 $599.98 330 Hours $4,950 40,000 $80,000 TOTAL $837,574.38 **Pricing based off displays2go.com, three (3) 96”x22” banner at $125.45 ea. 27 www.billboardsetcinc.com 76 Facebook Page Resolve/Tough Mudder 77 78 TRADE PROMOTIONS Supermarket News: Supermarket News is the leading national circulated trade magazine for the food distribution industry. The print and online magazine covers information from news, trends, and features in the industry. The brand’s readership includes retailers, manufacturers, brokers, analyst, and others associated with the food distribution industry. Supermarket News is seen as an authoritative voice because it operates with the largest and most experienced editorial staff in the industry.28 Medium Subscribers Unit of Space/Cost CPM 20,795 Full Page/color $13,360 Junior Page/color $11,670 1/2 Page (Island or Horizontal)/color $8,375 ¼ Page/color $5,510 1/8 Page/color $3,390 $642.46 MAGAZINE $561.19 $402.74 $264.96 $163.02 Progressive Grocer Advertisement: Progressive Grocer aims to targets top management at headquarters and key decision makers at store level. It reaches chain supermarkets to regional and local independent grocers, supercenters, wholesale distributors, and other supply train partners.29 Medium Reach/Circulation Unit of Space/Cost CPM 37,527 Full page/ color $10,690 ½ page/ color $5,940 1/3 page/ color $5,380 $5,38 1/4 page/ color $4,300 $4,300 $284.86 MAGAZINE 28 29 $158.29 $143.36 $114.58 "Supermarket News." "Progressive Grocer.” 79 ASD Tradeshow: Las Vegas, Nevada ASD Las Vegas brings the largest variety of merchandise together in one consumer-goods tradeshow. The established tradeshow continues to grow with quality products at every price point. Thousands of attendees from retail distribution channels come to the tradeshow to discover new suppliers and product categories. This tradeshow is held twice annually and is the best opportunity for buyers to find merchandise that will set their business apart.30 Liquidation category $3,100 space w/ no booth $1,000-$5,100 booth through ASD New York City, New York The New York Wholesale Expo is produced by ASD and is a regional value/value and closeout show held annually in September serving buyers in the Northeast United States. The event allows vendors to reach the single largest metropolitan area in the United States and serve retailers, distributors, including general merchandised stores too: grocery stores, discount stores, hardware stores, convenience stores, etc. The tradeshow is a smaller portion of the ASD event held in Las Vegas. This show is held for buyers who do not have the opportunity to come to the larger ASD event.31 Value and Variety category Contract o Sign a contract to be a participant in the tradeshow Participation Fee: $3,225 10’ x 10’ booth, carpet, standard ID sign, two plastic chairs, gray drapes, one waste basket Additional costs o Shipping o Employees o supplies 30 31 "ASDLV." Retail Merchandise Trade Show. "Value + Variety Expo." New York Trade Show 80 Food Marketing Institute Tradeshow: The FMI Connect Tradeshow offers opportunities for meaningful interaction with buyers that will boost awareness among an influential audience. Exhibitors will meet over 15,000 innovators from every channel of food retail. There will be distributors, national retail chains, drug stores and convenience stores from around the world. 32 Buyers and Purchases from Chain Participation Fee: $3,400 10’ x 10’- 100 sq ft’ o Booth- pipes, drapes, Wi-Fi, table and chairs Outside location Valassis In-Store: A standard Shelftalker (5.5” x 7.5”) o $18-$30 per store for a 4 week cycle. o Includes media, printing, kitting, shipping, and execution. Floor graphics (24” x 36”), o $25 and $42 per store for a 4 week cycle. 32 "Food Marketing Institute." 81 BUDGET RECOMMENDATION Budget Breakdown Budget: $4,700,000 Sales Promotion: (20%) $940,000 Sales Promotion Budget o $837,574.38 Sales Promotion o $75,400 Trade Promotion Budget Leftover: $27,025.62 Production Cost: (15%) o $564,000 Production Cost Budget Media Budget: $3,196,000 Billboard/Transit: $294,090 Internet: $554,698.40 Television: $2,230,989.40 o Budget Leftover: $116,222.22 Itemized Media Budget Billboard/Transit Dallas, Texas o 10 panels/4wk $32,000 Baton Rouge, Louisiana o 5 panels/4wk $14,300 Las Vegas, Nevada o 5 panels/4 wk $20,500 Los Angeles, California o 32 panels/4wk $148,800 Fort Collins to Loveland, Colorado o 3 panels/4wk $6,540 Denver, Colorado o Bus Queen $18,250 Salt Lake City, Utah o King 30” x 144” $36,000 o Headlight 22” x 44” $14,000 *Additional Snipe-it Cost: $.50 per sq. foot 55 panels- $9,240 82 Television Network o ABC o NBC o CBS o Bravo $175,000 $891,616 $750,000 $47,460 Cable o o Dallas DMA $10,691 o Los Angeles DMA $11,760 o Denver DMA $199,584 o Salt Lake City DMA $40,953.60 o Las Vegas DMA $75,153.60 o Baton Rouge DMA $28,771.20 Total $2,230,989.40 Internet Total Facebook o Page Likes $498.40 o Bids for Clicks $187,000 YouTube o 6 months: $7,200 Google Adwords o 6 months: $360,000 $554,698.40 83 Itemized Sales Promotion Budget Sponsorship Fee Standard fee, annual $750,000.00 Billboards 10’Wx5’H, two at each event, one time use due to size* 110/$1,950.00 Booth Banners Two tall vertical banners, one long horizontal banner to be transported from event to event** 3/$374.40 Laptops Two laptops for Facebook sign-up at each event. (HP Pavillion 14 Chrome Book) 2/$599.98 Labor One representative at each event for six hours ($15/Hr) 330 Hours/$4,950 Coupon Redemption Estimated coupon redemption of 5% for $2.00 off digital coupons 40,000 for $80,000 TOTAL $837,574 Itemized Trade Promotion Budget: $102,426 In-store graphics o Avg. 165 stores/per DMA o Shelftalkers-$30,000 o Floor Graphics- $42,000 Total $72,000 FMI Tradeshow o Participation Fee: $3,400 o *Additional Expense: banners, products, etc. 84 BIBLIOGRAPHY AFTRA http://www.sagaftra.org/files/sag/2013_wild_spot_unit_values_exhibit.pdf http://www.sagaftra.org/files/sag/2013_radiocommercials_wild_spot_rate_schedules.pdf ASD Tradeshow "ASDLV." Retail Merchandise Trade Show. Emerald Expositions, 2014. Web. 25 Apr. 2014. "Value + Variety Expo." New York Trade Show. Emerald Expositions, 2014. Web. 25 Apr. 2014. Borax Site Borax Detergent. Borax.com/products. Rio Tinto Group, 1 Jan. 2014. Web. 29 Mar. 2014. <http://www.borax.com/products>. 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Web. 1 Apr. 2014. <http://www.zout.com/>. 88 APPENDICES Magazines Readership: Total Total FEMALE 18-24 FEMALE 25-34 FEMALE 35-44 FEMALE 45-54 FEMALE 55+ Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index 12,106 100.0% 100 272 2.6% 100 352 4.3% 100 562 4.6% 100 736 5.6% 100 1,688 10.3% 100 TOTAL TOTAL MAGAZINES MAGAZINES READ - NET READ - GROSS 10,025 10,025 100.0% 100.0% 100 100 230 230 2.6% 2.3% 101 91 307 307 4.5% 5.2% 105 121 504 504 5.0% 5.4% 110 117 665 665 6.1% 6.5% 108 116 1,522 1,522 12.1% 14.6% 118 142 Specific Magazines: Total Total COSMOPOLITAN GLAMOUR INTOUCH WEEKLY Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample 12,106 100.0% 100 1,367 4.9% 100 1,008 3.5% 100 1,158 FEMALE 25-34 352 100.0% 100 118 15.3% 314 83 9.8% 279 98 89 Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index OK! WEEKLY PARENTS PEOPLE STAR US WEEKLY 4.2% 100 851 3.2% 100 618 2.1% 100 3,543 12.8% 100 1,055 4.3% 100 1,197 5.1% 100 12.7% 301 80 8.1% 255 72 9.8% 465 172 21.9% 171 79 11.7% 270 97 14.2% 276 Newspaper Readership: 12,106 100.0% 100 7,015 100.0% 100 7,511 100.0% 100 8,402 100.0% 100 TOTAL ANY GROSS 8,402 100.0% 100 272 2.6% 100 352 4.3% 100 562 4.6% 100 736 5.6% 100 1,688 10.3% 100 115 1.7% 64 176 3.8% 88 282 4.1% 90 463 6.4% 113 1,176 14.4% 141 119 1.5% 59 217 4.2% 97 348 5.2% 113 504 6.5% 115 1,235 13.9% 136 138 1.6% 63 243 4.3% 101 392 5.0% 110 557 6.3% 113 1,357 13.3% 130 138 1.4% 55 243 4.2% 97 392 4.6% 102 557 6.4% 114 1,357 13.7% 133 Total Total FEMALE 18-24 FEMALE 25-34 FEMALE 35-44 FEMALE 45-54 FEMALE 55+ Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index Sample Vertical % Index DAILY NET TOTAL WEEKEND NET TOTAL TOTAL ANY NET 90 Radio: Radio Drive Time: Female 25-34 Weighed (000) Vertical % Index Quintile 1 (Highest) Quintile 2 (2nd Highest) Quintile 3 (Middle) 2,130 1,925 2,508 22.0% 19.9% 25.9% 110 100 130 Radio All Day: Female 25-34 Weighed (000) Vertical % Index Quintile 1 (Highest) Quintile 2 (2nd Highest) Quintile 3 (Middle) 2,500 1,811 2,350 25.9% 18.7% 24.3% 130 94 122 Preferred Music Type: W25-3433 33 Average Share Country 16.4 Pop Contemporary Hit Radio 14.8 Adult Contemporary 7.8 Hot Adult Contemporary 7.6 Rhythmic Contemporary Hit Radio 5.7 Urban Adult Contemporary 4.2 News/Talk 3.3 "Mix It Up." Nielsen. The Nielsen Company, 2014 91