MARKETING COMMUNICATIONS REPORT ON Bluehaven Shopping mall
Summary of recommendations
- This report recommends Bluehaven shopping centre to use print advertising supported by direct
mail and other marketing communications tools to achieve its corporate, marketing and marketing communications objectives.
- Close interaction with journalists through PR will increase the awareness of public, living in the catchment area
of the Bluehaven.
- Internal PR will enable Bluehaven to promote itself via sales force of individual retailers.
- Internet advertising will enable Bluehaven to establish its interactive nature and reach Internet
savvy consumers
- Sales promotions will allow Bluehaven to increase their short-term sales
- Constant evaluation and control are highly recommended to reach objectives of the campaign and
contingency budget should be assigned to deal with unforeseen events.
Introduction
The following report
is devised to support marketing communications campaign for the launch of the new shopping mall Bluehaven. The main marketing
activities are print advertising and direct mail. The supporting activities includes outdoor and Internet advertising, public
relations and sales promotion. In order to attract target audience differentiated marketing will be employed to reach different
groups of target consumers.
Campaign will be launched
on the 19th of November, twelve days prior to opening of the centre and last for five weeks.
Evaluation of all
the marketing activities developed in this plan will take place throughout the campaign. Tracking will establish the extent
of brand awareness and effectiveness of the activities in terms of sales figures, awareness levels and attitude towards the
centre.
A contingency plan
will be implemented in the event that during monitoring and evaluation it becomes apparent that the current marketing plan
is unsuccessful. There has been a proportion of the budget set aside to allow for additional marketing tools to be developed
for the contingency plan.
Marketing communications campaign
Launch date
Marketing communications
campaign for Bluehaven shopping mall will be commencing on the 19th of November 2002
eleven days prior to opening of the mall, and will last for five weeks ending on the 24th of December 2002. The rationale for that is to attract maximum
amount of customers, who would be shopping for Christmas.
Budget
The budget of £1million pounds was allocated
for this campaign.
Objectives
Corporate objectives:
- Open Bluehaven shopping mall on the 1st
of December 2002.
- Achieve sales target of £661 million within one year
Marketing objectives:
- Attract 1 million of customers from 1st until the 24th of December. This
amount of people is average for Lakeside shopping centre
in two weeks. This objective will be measured by CCTV cameras in the centre.
- Establish a ROI of 5% for the first year
- Reach £200 millions of revenue until December the 24th
Marketing communications objectives:
- Gain 10% of awareness of the Bluehaven 1 day before launch amongst population in the catchment
area. This will be measured through the use of survey on the 30th of November.
- Gain 60% awareness of the Bluehaven on the 24th of December in the catchment area.
- Gain 30% of the Lakesides
market share in 1 year.
Segmentation: ACORN
Target audience for
this campaign will be segmented on the basis of geographical location (circle with 15 miles radius), which will also include
South East of London and on the
basis of income. Potential target consumers of the Bluehaven are affluent executives, wealthy non-city dwellers and young
fashionables.
Targeting
Due to the fact that
segments, which have been chosen, differ in their age, income and spending patterns differentiated marketing technique will
be employed for this campaign. Two programmes will be developed: first one to reach affluent executives and wealthy non-city
dwellers and second to attract young fashionables. Different messages will be developed to reach these groups.
Positioning
Bluehaven will be
positioned by benefit (largest shopping centre in Europe)
and by class, for well-off consumers.
Message
Due to the fact, that
Bluehaven wants to attract well-off consumers to shop at the centre, the message of the campaign should reflect their needs
and wants. One of the possible options for the message is: Treat Yourself. This message reflects premium context of the place
and stresses the desire of the individual to adorn him or herself. As Bluehaven will be the largest shopping centre in Europe this fact should not be overlooked and should be reflected in the advertisements:
Visit the Largest Shopping Centre in Europe!
The message targeted
towards affluent executives and wealthy non-city dwellers will be similar to the one targeted towards young fashionables,
however the images in the advertisements would be different: first group of customers will be presented the advertisement
with the 30-35 years old man in informal clothing together with attractive female happily shopping. Image for young fashionables
will present photo of few young attractive males dressed in designer clothing. Choice of the image will be made on the basis
on media, promotional method and target audience.
Marketing strategy
To achieve the best
possible results it was decided to use mixture of pull, push and profile marketing strategies for Bluehaven. Pull strategy
will be used to achieve the awareness levels stated above. Profile strategy will work towards interest building. Push strategy
will allow to reach maximum number of visitors.
85% of all budget will be spend on pull
strategy, 5% on profile strategy and 1% on push strategy. Rest of the budget will be allocated for contingency plan.
Print advertising
Advertising in print
media will be the keystone of the campaign and will have local coverage. The objective of this medium will be to inform people
of the launch and build interest. Different newspapers will be used, for example Kent and Sussex Courier. In general campaign
will be using A3/A4 groups of publications. Print advertising will start on the 19th of November and last until
20th of December. Total spending for print advertising will be £345,000. Forty six percent of this amount will
be spend on daily and evening press. A3 publications will be issued 24 days (excluding week-ends) and will cost £158,700 altogether.
A4 publications will be issued 4 times and will cost £186,300.
Outdoor advertising
Outdoor advertising will be presented by
6 sheet size adverts on bus stops, which will be run for the period of two weeks (first and third week of the campaign) with
medium weight with 4000 sites. This activity will cost Bluehaven £350,000. the goal of Outdoor advertising will be to raise
the awareness levels.
Internet advertising
Internet activities
of Bluehaven will include development of the web-site (£1000) which will inform visitors about Bluehaven and give access information,
and banner advertisements. The objective of Internet advertising will be reach target consumers, who spend significant amount
of time online. Banners will be based on CPM (cost per thousand impressions) and will cost Bluehaven £30,000. Banner advertising
will be the key medium to reach Young Fashionables as, according to national statistics, the proportion of households in the
UK who could access the Internet from home increased to 45% in June 2002 (www.statistics.gov.uk) and also 89 per cent of young men aged 16 to 24 have used the Internet (www.statistics.gov.uk). Banners will be positioned on web-sites with fashion background, in the on-line editions of fashion magazines and local
entertainment pages. Promotion via search engines will also take place with Yahoo, Google, MSN and other popular engines.
This activity is projected to cost Bluehaven £30000. In total Internet advertising will cost £61000. Internet advertising
will take place throughout the campaign.
Direct marketing
Direct marketing will
be used to reach prospects, thus to increase the amount of potential customers coming to the centre. Direct marketing for
this campaign will take form of direct mail, which will be distributed to the local (living within catchment area) affluent
executives, wealthy non-city dwellers and young fashionables through CACI system and its application InSite, which is suitable for Out-Of-Town retailing (www.insite.info). This activity will also require the purchase of CACI Postcode coding file, which costs £369,75. Fifty thousand direct mail
postages will be personally addressed, which will require list rental of £50,000; production costs of £750 and mailing costs
of £22500. Sales promotions leaflets will also be distributed. Total direct mail costs will be £73619,75. 40% of direct mail
will be distributed 1 week prior to opening of the shopping mall and the rest during the third and forth weeks (most sales
for Christmas presents).
PR
PR will be the part
of Bluehavens profile strategy. The goal of this activity will be to build awareness and interest around the brand. Since
editorial coverage is virtually free advertising, we will rely on PR to supplement paid advertising as a low-cost way to interface
our target markets and receive awareness. PR activities will include press releases, newsletters, and on-going dialogs with
key editors, writers and news personalities. Bluehaven will schedule key people to give talks and seminars. PR will take place
throughout the campaign. Projected spending on PR will be £50000.
Internal PR strategy
will present the push strategy for Bluehaven. Bluehaven will motivate and persuade individual retailers to take part in it.
Individual retailers will teach and motivate sales force of their high street and other local shops to suggest their customers
to visit their outlets in Bluehaven. Different motivations will be given to consumers, for example: larger assortment, special
discounts and other aside entertainment activities. Bluehaven will spend £10000 for this activity.
Sales promotions
The objective of sales
promotions will be to reach maximum short-term sales. Promotional coupons will be distributed via direct mail to the potential
consumers at the commencement of the campaign. 20000 coupons with par value of £2 will be distributed to young fashionables.
This amount was found to be optimal, as it is large enough to motivate consumers to come, but on the other hand small enough
for Bluehaven to afford it. These coupons will offer £2 discount for single purchase for more then £30. On the back, coupons
will have advertisements from several retailers, which operate in the mall. This will allow Bluehaven to reduce costs of sales
promotion though cross-promotion. Estimated cost of sampling will be £2400 and overheads will be £5000. This will make the
total of £7400 for this activity, which will take place during the first two weeks Bluehaven is opened.
Special contests will
also take place from the date Bluehaven is launched until the end of the campaign. Twenty four £100 shopping vouchers will
be given away to randomly selected purchaser at 8pm each day. This will motivate customers to stay longer, thus purchase more. Cost of this activity will be £2400
for vouchers and these contests will be advertised by print, outdoor and Internet. Overall sales promotion cost will be £9800.
Collateral materials
We will produce the following collateral
materials to support advertising and sales:
- Brochures and Catalogues will be published and distributed amongst people who would request them through web-site.
Cost of this activity is projected to be £3000.
- T-Shirts for children, who win certain contests and games, while their parent shop. 2000 T-Shirts
will be produced (costing £0.5 each) and given away. His activity will motivate more children to stay longer and to come frequently
to the shopping centre, thus children themselves will encourage parents to come. Other small giveaways will also be created
(small cars, dolls and etc). Despite the fact, that children were not primary target market for this campaign it is very important
to attract them, as affluent executives and wealthy non-city dwellers often do shopping together with their families. This
activity will cost £2000.
- 100,000 in store leaflets at the price of 2p each will be published. Their cost will be £2000.
Contingency planning
Very important aspect
of launch will be contingency planning. Oppose to usual 5% this campaign will allow 9% (£90000) of the budget for contingency
planning. This money will be spend to replace the activities which fail to work or on additional promotion. Detailed Media
Plan and allocation of promotional budget are presented in Appendixes 1 and 2 accordingly.
Evaluation and control
Monitoring and evaluation will take place
throughout the campaign. Amount of £3581 have been set aside from the budget to control the performance of the campaign.
To assess pre-launch
awareness random survey will be conducted on the 30th on November 2002. Two hundred people will be questioned.
Same procedure will take place on the 24th of
December 2002, the day campaign terminates. For this occasion 1000 people living in the
catchment area will be surveyed. Results of these researches will be compared to the target and all necessary measures will
be employed to reach the goals of the campaign.
Sales and revenue
figures will be tracked on the daily basis. This will help Bluehaven to determine the effectiveness of the campaign. In case
when actual figures will differ significantly from the plan emergent measures will be employed and sponsored from the contingency
budget.
Conclusion
This report has developed
the marketing communications campaign for the launch of a new shopping centre Bluehaven. The main marketing tool chosen for
this campaign was print advertising heavily supported by direct mail. The other devices used to support this campaign were
outdoor and Internet advertising, public relations activities and sales promotions.
It is believed that
the objectives outlined at the beginning of this report will be met with the marketing activities chosen.
Every step was taken
to ensure that there was continuity throughout the whole campaign and each marketing tool complemented each other. This is
so that the brand values will be reinforced through each type of marketing tool and there will be less chance for the message
to be misinterpreted or neglected by the consumers. Continuous evaluation will be performed throughout the campaign and is
accounted for in the budget.
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Lecture Notes
Mintel reports
European Retail Property Scene (2002).
United Kingdom
Department and Variety Store Retailing
in the UK
(2002)
www.caci.co.uk
www.insite.info
www.statistics.gov.uk
www.icsc.org
http://www.mall-uk.com/landingpages/lakeside/lakeside.html
http://www.bluewater.co.uk/
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