dELiA*s 2013 Campaign

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dELiA svv

Presentation 2013

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Situation Market Research

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dELiA’s is a direct marketing and retail company launched in 1993 by Stephen Kahn

and Christopher Edgar. Currently they have 100 retail stores in 35 states, consisting

of products that provide consumers with a vintage feel at an affordable price. With

over a decade of success behind them, they have struggled in recent years to remain

popular with the target market.

dELiA’s is attempting to start fresh again, starting at their executive level. As of April

1, 2013, CEO Walter Killough is stepping down four months prior to his contract

expiring. Company chairman Carter Evans said: "Walter has been a great leader,

following through on our strategic initiatives and positioning Delia's on the right course

to profitability." However, they have remained unprofitable over the past 4 years, but

are searching for new opportunities to reestablish their brand and attract new youthful

customers. This change comes at a time when the world is online and at the fingertips

of every teenage in the world. They are searching for a new executive with the

passion and drive to utilize this and rejuvenate this company.1

C ompany Information

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C onsumer Analysis

Teen Spending Teen Income & Spending

In 2012, teenagers ages 12-17 represented 7.9% of the U.S. population. That percentage represents 25 million individuals.

In the next 5 years, that number is projected to increase 5.3% increasing sales opportunity within dELiA*s target market.

These consumers are trendsetters and early adopters.2 Although teen spending was at a decline in 2012, personal influences

such as parent opinions, circumstances and abilities to save, influence these numbers. Age and gender influenced spending

and saving habits as well. Boys tended to save more than girls, and older teens saved more than younger teens.3

Teenage girls spend most of their money on clothing and things

that impact their appearance.4 In the U.S., teenagers have the

disposable income to spend up to $918 million per week. A

Mintel data report states that weekly teenagers are receiving

a total of $36.73 from sources including allowances, jobs and

gifts. The report also states that 41% of teens spending money

is given to them in the form of allowances or gifts. Another

26% say that their parents pay for all of their expenses. This

information is portrayed in the chart to the right.3 0%

20%

40%

60%

80%

$0 $1-5 $6-10 $11-20 $21-40 $41+

Working/job Money from parents/grandparents

Parents pay for everything directly

Mintel. (2013) Marketing to Teens - US. - November 2012. Retrieved from Mintel Market Research database.

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I spend money without thinking

I like to save my money at home

I am very careful with my money

I am good at saving money

I like saving money

I want to be rich

I don’t like the idea of being in debt

0% 20% 40% 60% 80%

How teens spend money

Teen AttitudesTeens attitudes towards money incorporate financial responsibility. They like to save and do not like the idea of being in debt.

52% of teens said that they are good at saving money. Yet the reason for the financial responsibility is linked to wealth. Teens

want to be rich. These attitudes about wealth increase with older teens as their desire for money management improves. The

chart below explores these attitudes.5

Word-of-mouth marketing is a huge influencer for teens.

This type of marketing is especially relevant to teenage girls. 84% of them use word-of-mouth marketing to share brand

preferences and personal interests. Word-of-mouth marketing is crucial for a social media driven target. This marketing

technique shows huge potential for dELiA*s especially if teens can become brand advocates who influence other teens.3

All Teens 15-17

All Teens 12-14


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Teens value being smart, fun and nice. They like to see this reflection in advertising and in their favorite brands. The top

values are listed in the chart below and key into what teens look for in their products, brands and advertisements.

When teens describe themselves, the top four things they say are that they enjoy school, they are decision makers, they want

to be famous and they have been bullied. This can be attributed to the appeal of reality TV stars and other teen programming.

Cyberbullying is a huge part of teen life and teens place influence on causes that help prevent this type of bullying. In older

teens, a reach for independence and individuality occurs and they become more confident in decision-making.3

...are fun to be around

...are nice to other kids

...are a good citizen

...are good looking

...wear cool clothes

...have talent

...post interesting things on facebook

...know about celebrities and pop culture

0% 25% 50% 75% 100%

Teen Values & Identity

How teens want to be perceived


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Teens identify with brands. Their favorite apparel brands reflected inner desires to “ be cool and look good.” The chart below

explores teen thoughts about brands. This chart is based on data from 1,490 teens aged 12-17 with internet access.

Teens want brands that have a strong social conscious and care about causes and charities. Social media pairs well with

brand identity and recognition. Twitter, Facebook and television are among the top media outlets to reach out to teens. This

is a great way to interact and incorporate brand relationships.

Is something all my friends know about

Tweets to its fans

Supports good causes or gives to charities

Has its own store or place where you can buy this brand

Has a Facebook page that I like to go to

Makes me feel confident

Has great TV commercials

Makes me feel like I’m in the know

Shares behind-the-scenes information with me

Is a brand my parents love as much as I do

Is always doing things that surprise me

Offers great discounts or prices 33%

39%

40%

43%

51%

52%

52%

59%

66%

67%

68%

73%

Brand Relationships


What teens like about brands

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Product Analysis

C onsumer's Say...

dELiA*s products are described as “funky”, “fung shui” and “trendy.” Their products include a diverse collection

of fashion-forward apparel including dresses, jeans, shorts, swimwear and t-shirts. dELiA*s also has a wide

variety of other products such as cosmetics, costume jewelry, home furnishings, household articles, light furniture,

sunglasses, and watches.6

Consumers are giving dELiA*s a thumbs down for overall buying experience. According to

ResellerRatings.com, dELiA*s scored a 1.5 out of 10 on customer satisfaction, with only two customers

out of 23 rating the company above one star.7 These same statistics blanked over numerous websites as

customers complain about customer service and delivery issues. Customers are bashing dELiA*s online

store and if these issues are not fixed, it can potentially lead to sinking profits, poor brand image, and

termination of loyal customers.

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The target market speaks!

"I've never heard of dELiA*s before,

but the clothes are really cute! "

- Kathleen Kennedy - Age 17

"I love the clothes there. I think a lot of girls would be

interested. The clothes are cute and summer-like. I

would definitely shop there because they have cute

clothes at a reasonable price. "

- Cathy Park - Age 17

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DELiA’S is apart of the Internet and mail-order retailing market as well as the women’s clothing market. Companies in the mail-

ordering industry sell products through the Internet or mail-order. Some of the top companies include Lands’ End, LL Bean,

Amazon, Overstock, and Hanover Direct, as well as GS Home Shopping (South Korea), N Brown Group (the UK), and Otto

Group (Germany).

Market Analysis

dELiA*s

American Eagle

Hot Topic

Abercrombie & Fitch

Industry Median

Market Median

-15 0 15 30 45 60

Price/Earnings Ratio Price/Cash Flow Ratio Price/Sales Ratio

Income & Sales percentages in the Market

Teen Income & Spending

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"Worldwide, revenue from internet and mail-ordering

retail totals up to $1 tril lion annual ly."

Worldwide, revenue from Internet and mail-ordering retail totals up to $1 trillion annually. Expansion of the middle class

and internet access in developing countries increases growth in this market. In the US, about 20,000 companies are in this

market and have a combined annual revenue of about $270 billion. In the next two years, the US electronic shopping and

mail-order houses is projected to grow at a moderate pace. There will also be an annual compounded rate of six percent

between 2012 and 2016. Consumer spending habits and technology innovations serve as key growth drivers.

In the women’s clothing industry, companies operate in physical retail

establishments that sell clothing and accessories. Top companies in

the market include TJX Companies, Gap, Limited Brands, Hennes and

Mauritz, Inditex’s Zara chain and Arcadia Group’s Topshop. In the US,

the women’s clothing industry has about 100,000 stores and a combined

annual revenue of $165 billion. In the next two years, the market is

projected to grow at a low rate. Popular clothing styles and consumer

spending levels drive the market’s growth.

Discount merchants have succeeded in fueling the competition for the lower end part of the clothing market. Discount

stores give consumers an offer of fashionable apparel at low prices. Clothing stores typically strive to attract customers

with a certain lifestyle to oppose the sameness of bigger stores. Companies can increase sales through selling distinctive

retail; provide a unique shopping experience, or offering excellent customer service. 8

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Retail companies with the same target market as dELiA’s are experiencing a slightly higher growth over the past 5

years. Many of the store have more store locations, in more states and countries. Brands such as Abercrombie and

American Eagle are more established brands that have built well recognized brand images and control a substantial

amount of the target market.

Over the past three years, the industry average has experienced a 7.52% growth, while over the past twelve months

has only seen a .07% growth. With the economy struggling as it is, the retail industry has taken a hit. Aside from

the top few company’s: Abercrombie, American Eagle, Forever 21 who each have each seen at least a 2.85%

increase, the teenage female retail industry has struggled tremendously. This is a good opportunity for dELiA’s to

extend their market share before the economy takes off.9

Industry Demand Trends

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C ompetition In annual sales, Delia’s made $217.15 million in 2012. In comparison, this is less

than half of what the top competition makes. They have a $32 million market value. In

April 2012, their direct marketing gross profit for the quarter ends was $9.7 million or

41.3% of related revenues as compared to $9.9 million or 44.6% of related revenues

for the quarter ended April 2011. The cut in gross profit, mainly resulted from lesser

merchandise margins, correlated with increased markdowns on clearance goods and

more vigorous promotional techniques to attain new consumers, increased shipping

and handling costs.8

Abercrombie and Fitch is an upscale clothing brand for young men, women, and kids. It is widely popular, operating

worldwide with about 1,045 stores in Europe, North America, and Asia, through both stores and catalogs alike. ANF

generated $3.47 billion in net sales in 2010, up from $2.9 billion in 2009. ANF top competitors are Gap (GPS), Aeropostale

(ARO) and American Eagle Outfitters (AEO). ANF has consistently been at the top of its sector in terms of profitability

and sales. As a point of reference, the approximate average price for a pair of men's jeans at Abercrombie & Fitch is $80

compared with $45 at American Eagle, $25 at Aeropostale and $50 at Gap.10

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Hot Topic has 625 mall-based stores in the US, Canada, and Puerto Rico. They sell rock-inspired clothing and accessories to

kids ages 12 to 22.11 With a fiscal year-end in January, Hot Topic’s sales in 2013 were at $741.75 million with an annual sales

growth rate of 6.28%. Their net income in 2013 was $19.47 million with a market value at $586.01 million.12

Although once a supplier of only outdoor gear, American Eagle Outfitters is now widely known for its casual wear in all aspects

of fashion, from jeans and t shirts to pajamas and bathing suits. The retailer is strictly based within malls, and is aimed at both

young women and men in their late teens and early twenties.13 With a market value of $3.96 billion and a low prescreen store,

AEO had a 10% sales increase this past year.14 During the January fiscal year, AEO’s net income in 2013 was $232.11 million

and total assets equaling to $1.76 billion.15

Alexandra Biesada. (n.d.). delia*s company overview. Retrieved from http://subscriber.hoovers.com.libdata.lib.ua.edu/H/company360/overview.html?companyId=52630000000000

2012 Competitive Landscape

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Ranked in Forbes Private Companies #121 in November 2012, Forever 21 is a fat-growing retailer with almost 500 stores

in North American, Asia, the Middle East, and the UK, as well as online.16 The chain offers cheap, fashionable apparel and

accessories for men, women, teens, and kids. At the fiscal year-end in February they had $3.40 billion in sales with an annual

sales growth rate of 30.77% and a low prescreen score.17

Aéropostale is a premiere store in youth fashion, operating more than 1,050 clothing stores in every state in America, Canada,

and Puerto Rico. Its brand name P.S. is run for fashion-seeking children, while its main brand is operated towards young adults

and older teens.18 Although once a private label, the company has become a specialty store concept and has mostly mall-based

stores. During the fiscal year of January 2013, Aeropostale’s market value was $1.08 billion dollars with a low prescreen score.

It also had a sales growth of 1.88% with a net income in 2013 of$34.92 million. Their total assets equaled $741.98 million.

With increased competition in the market, Aeropostale has been forced to increase promotions and offer more discounts on its

merchandise.19

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SW O T AnalysisStrengths* Experienced 25 years in retail, catalog and e-commerce management team20

* Diverse collection of name brands and proprietary brands which allow for quick adjustments to rend changes* Circulating 38.8 million direct mail catalogs each month21

* High degree of control over the flow of merchandize

Opportunities* Growth in target market having/ using mobile devices to access information* Ability to penetrate the massive growing social media market* Low costs of raw materials* Expand customer base through internet sales, and less mail order

Threats* Seasonal variations* Weakening economy* Less mall traffic* Increased trend in teens to save money

Weaknesses* Combined target audiences form a broad target market* Weak brand identity* Inventory decline per store* Shipping & Delivery issues and customer complaints7

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Our research plan consists of questioning and surveying a select number of females 16-19 years old. With our ultimate goal of

increasing sales by 6%, we wish to get inside the minds of the target market. We will be asking questions in the survey about how

much money the consumers spend, where they find their fashion inspiration from, what affects their decisions and where they buy

clothing. To gain more information we also conducted continuous in-depth interviews with Cathy Park. She is a 17 year old girl

from California and her opinions greatly benefited the primary research and analysis of our the campaign.

Who: 38 girls ages 16-19 were surveyed for this campaign.

Where: There were 21 surveys completed in California, 11 completed in Alabama, 2 completed in Georgia, 2 completed in

Florida, and 1 survey completed in Texas

How: Our team used Kwik Surveys to create a survey online. This website also was used to analyze and document data.

Objective: The objective of this survey is to discover how the target market perceives today's fashion.

Goals: The goal of this survey is to find out the most effective ways to relate our message to the target market. We will do this by

analyzing consumer opinions, buying habits and general interest in order to create a successful campaign.

Primary Research

Survey

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Through our survey we found out that our target market is plugged in online and uses media such as Instagram,

Youtube and Pinterest to find fashion inspiration. Friends are the biggest personal influences to whom advice and

wardrobe are catered to.

When we asked if they had ever heard of dELiA’s, 57% said they had not, 72% of which originated from California.

This is why we chose to sponsor the Outside Lands Festival in San Francisco, just in time for back to school

shopping. They all said ads and promos heavily effected what they bought, so media buys were catered to this

information.

Despite all of our surveyors being under the age

of 18, all of them said them would rather shop in

stores rather than online, opposite of what our

other primary research stated. We think that

promo coupons that provide the option online or

in stores will be the best way to effectively reach

the entire target. For more results and survey

questions flip to the appendix.

Results

Pinterest Wanelo Online Magazines

Instagram Youtube

7 2 5 15 9

v

0

5

10

15

20

Pinterest Wanelo Online Magazines Instagram Youtube

Where do you get your fashion inspiration?

Team Voodoo Survey. (February 20 2013). Retrieved on February 20, 2013, from http://kwiksurveys.com/app/item-liveresults.asp

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In recent years, dELiA’s brand has been struggling to

remain popular against competitors such as Forever 21,

American Eagle Outfitters, Hot Topic, and Abercrombie

& Fitch. Most of the growth efforts have been directed

towards the mall-based stores operation due its booming

sales. Store profits have skyrocketed over both the

website and catalogs sales and represent more than

50% of total sales. Yet with this said, store profits have

seen less than a 1% increase in sales over the past

year. Direct market sales have also fallen more than 4%.

dELiA*s has also decreased the amount of catalogs by

approximately 31 million in the past 4 years, hoping to

increase its Internet growth.

Overall the past 4 or 5 years dELiA’s have remained unprofitable, seeing a 3% decrease in sales from fiscal 2010 to

2012. Other problem areas are with brand image, broad target consumer base and customer service. dELiA’s has

recently changed its merchandise assortments and presentations in attempt to reverse this slide.22

Problems

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dELiA’s is at a peak moment of exciting new opportunities. We believe that despite high

market competition, there are many rich opportunities to take advantage of.

With the ever increasing growth of technologies and availability of social

media, we will be able to reach a highly sought after target consumer.

With a more specified target market, dELiA*s will create a consistent

brand image.

The company also has the potential to boost sales and brand

relationships by opening stores in west coast markets. With

the 2013 direct/interactive marketing campaign, dELiA*s will revamp

their brand image to entice new customers, as well as maintain positive

consumer relationships with current customers.

New Opportunites

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Marketing Strategy

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Target MarketdELiA*s primary target consumer is a trendy, unique teenage girl who is environmentally conscious and

a heavy user of social media. Specifically, she is a 17 year old caucasian female who is a junior in high

school. Her parents are 40 - 55 and married, with an annual household income starting at $40,000.

The secondary target audience is non-race specific and includes females between the ages of 12 and

14. This target includes teens with both single and married parents who have an annual household

income above $37,000.23

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Marketing ObjectivedELiA*s objective for the 2013 direct/interactive marketing campaign is to increase sales 6%. This will

be achieved through traditional and non-traditional media which will increase reach and frequency across

target consumers.

Advertising ObjectivedELiA*s 2013 campaign will attract a consumer who trendy, unique and environmentally aware. The

focus of this campaign is to build brand awareness and change consumer perspectives. This campaign

will position dELiA*s as a brand attuned to the consumer’s needs and lifestyle. In addition, dELiA*s will

become the ‘cooler’ choice for our target consumer who is focused on unique fashion.

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Marketing C ommunication StrategydELiA*s will use nontraditional and traditional media to attract a trendy, unique, and

environmentally conscious consumer. We want to revolutionize the perceptions of dELiA’s

shoppers and spectators into a more unique, cool, and free-spirited brand. By doing

this, we will distinguish dELiA*s from the competition. This will be achieved through the

integration of our three sales promotions, interactive and traditional media buys, as well

as creative social media buys.

The sales promotion portion will be coordinated with transit advertising and

innovative social media buys. The interactive and digital part of the campaign will

create a cohesive brand image as well as entice new customers. By using a variety

of communication tools, dELiA*s will be able to achieve marketing and advertising

objectives and have a successful 8-week campaign.

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Sales PromotionsThe first sales promotion is a sponsorship of Outside Lands. This music festival will take place in San Francisco, California

on August 9th - 11th. Outside Lands is an eco-friendly music festival that also incorporates music, food, and art. The target

market will be drawn to the eclectically cool feel of this festival.24 Included in our sponsorship is a booth for the weekend. At

the booth, we will have promotional items such as dELiA*s headbands and beach balls as giveaways.

We will also have a street team that will hand out more giveaways throughout the course of the festival. The booth will be

decorated to entice our target market. It will also include a photo

station. This station will be a place where teens can come take

their picture in front of a cool decorated wall. If they choose,

they can instagram the pictures to #* and it could appear in the

transit advertising. Examples of this are in the creative execution

section. The final part of Outside Lands sponsorship is a glow

stick balloon drop. On the last night we will drop thousands of

LED balloons on the crowd. These balloons will have dELiA*s

logo on them and will generate social media buzz.

Outside Lands Sponsorship

Above: example of dELiA*s booth at the festival

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The second sales promotion will be

the sponsorship of the Do Something

Award Show. The award show date

has not been set yet, but it is assumed

to be in late August, around the

25th. The show will be aired on VH1

and will honor 5 finalist and 1 grand

winner with $100,000. DoSomething.

org is the country’s largest nonprofit for

young people and social change. The

award show honors 13 - 25 year olds

who have stood up and made a change. dELiA*s sponsorship of this event will boost interest and social commentary by the target

audience. It will also increase positive brand identity as well as relate to dELiA*s consumer base.25

Do Something Award Show Sponsorship

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The final sales promotion piece is a guerrilla marketing coupon event. According to our primary research, 73.7% of our

sample uses coupons to purchase clothing.26 This is why a couponing event was selected. This event will take place

during the month of September, in each of the 6 spot markets. During the event, a street team will place thousands of

pinwheels in a major park in the selected spot market. Each pinwheel will have a 20% off coupon attached to it and by-

passers are free to take one. This event will take place in a different spot location every week in September. The first

and lasts weeks of the month will have two coupon events per week to be able to cover all 6 spot markets. This event will

generate social media buzz as well as increase reach among the target consumers.

P inwheel Event Marketing

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Media P lan

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The goal of dELiA*s 2013 campaign is to optimize reach and increase frequency in order to boost sales

and brand identity. The campaign will focus on interactive and digital media and include traditional

media buys. By using this strategy, dELiA*s will optimize reach, increase brand awareness and expand

consumer relationships.

Media Objectives

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The 2013 dELiA*s campaign will begin in August and end in September. It will run on a continuous schedule using interactive,

digital and media buys. Running the campaign in August and September will take advantage of peak buying during back to

school months. August will have high reach due to media buys surrounding the two promotional events: “Outside Lands” and

“Do Something Awards.” August will also mark the launch of the dELiA*s app, utilize social media, and manipulate both search

engine marketing (SEM) and search engine optimization (SEO). In September there will also be high reach because dELiA*s

will run a guerrilla marketing couponing campaign in the 6 spot markets. In the 8-week campaign spread, dELiA*s will have

continuous buys in magazine, transit, digital, and social media to maintain campaign consistency and achve high reach and

frequency goals.27

The reason back to school season was chosen was based

on data from our primary research. Although it was not the

highest choice, it shows potential for sales increase. Our

target likes to buy during a change of season. This will pair

well with our creative strategy and will generate new sales

for the campaign buying months of August and September.

Timing

Back to School

Christmas Birthdays Change of Season

Times Chosen

10% 0% 20% 40%

0%

10%

20%

30%

40%

Back to School Christmas Birthdays Change of Season

When do you buy the most clothes?


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Spot Marketing will be used to reach the target audience. Spot markets were chosen based on the prevalence of

stores per state, population size, and potential for growth. The six spot markets include: Albany, NY; Staten Island,

NJ; Miami, FL; Dallas, TX; Tuscan, AZ; Roseville, CA.28

Geography

Roseville, Ca

Albany, NY

Miami, FL

Staten Island, NJ

Dallas, TXTuscan, AZ

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Reach & Frequency GoalsReach is the main focus of dELiA*s 2013 direct/iteractive media buying schedule. A higher reach goal will help

to acheive marketing and advertising objectives. By optimizing reach goals, we will increase frequency goals as

well. This media buying strategy will increase sales, brand identity and expand consumer relationships. Since our

campaign is heavy in social and digital media, many of the reach and frequency goals are guesstimations and are

subject to change. In order to cover additional costs or opportunity buys a contingency fund will be set aside. With

that said, we have done our best to anticipate reach and frequency goals based on available information.

During the sales promotional weeks, reach and frequency goals will be higher than other weeks. The reach ranges

from 75-80% for spot buys and 65-70% for national buys. Social media and interactive buys are included in national

buys. This is why the national reach is set at that range. The frequency for these weeks ranges from 4-7 for spot

buys and 4-5 for national buys.

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Throughout the rest of the campaign dELiA*s will have continuous buys in magazine, transit, digital,

and social media. The spot reach will be set at 70% with a frequency of 4. The national reach will

be set at 60% wil a frequency of 5. By using a continuous buying schedule, dELiA*s will be able to

successfully meet campaign objectives by utilizing high reach and frequency media buys.

Spot Reach National Reach Spot Frequency National Frequency

0

20

40

60

80

Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8

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Magazine Inserts

Transit Advertising

Promotional items

Sponsorships

41%

35%1%

23%

dELiA*s 2013 spot media buying campaign will consist of 85% of the total $500,000 budget. By using a

heavy spot buying campaign, dELiA*s will be able to better target primary consumers. This will generate

more sales due to high frequency and reach among the 6 spot markets. To accomplish this, traditional

media such as magazine inserts and transit advertising will be used. The two sales promotional

sponsorships will also generate more buzz and business within the opportune spot locations.

Spot

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Social Media

SEO Banner ads

75%

10%16%

dELiA*s will use 10% of the 2013 media total buying budget on national buying. Due to a relatively low

budget, a national campaign was not ideal. The money used for national advertising consisted of internet

advertising. This includes banner advertisements, social media upkeep and innovations as well as

search engine optimization. By utilizing interactive national media buys, dELiA*s 2013 campaign will be

able to reach a wide consumer base and reinforce customer relationships.

National

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Magazine Inserts

Transit Advertising

Sponsorships

Promotional items

Banner ads

Social Media

Contingency SEO

35%

30%

20%

8%4%

2%

1%

1%

Media Mix

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Our biggest media investment was 35% of our $500,000 budget into spot magazine inserts. Despite 51% of our target

market being daily users of social media, 78% are still weekly readers of traditional magazines. With so many social

media outlets we feel as if these inserts will have a profound impact on these teenage females.29

The unique nature of these seed paper inserts will draw our audience’s curiosity not only towards the advertisement,

but will spark an interest in dELiA’s brand all together. The magazine insert will be placed in 17 Magazine. What makes

this medium unique to the campaign is that the advertisements will be printed on environmentally friendly seed paper.

This specialized paper has the ability to grow flowers when planted. This medium is not only accessible to over 2 million

teenaged girls 16-19, but also aligns with the campaigns advertising and creative strategies.

Magazine Inserts

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Transit Advertisement

Transit advertising will be utilized within the 6 spot

markets. The advertisements will be placed on

transit bus stations and will run for two 4-week

periods. This advertising will be effective to the target

market because it will be interactive. The ad itself will

have movement and will generate buzz and social

media conversation. Transit advertising will increase

reach as well as generate frequency in spot market

areas.

Transit advertising will account for 30% of our total budget. As Generation Y continues to age and mature, an

environmentally concerned stereotype is beginning to emerge. They are finding the use of public transportation,

bikes, and foot power a more economical way to get where they are going. With the rise of technologies such as

social media, teens are finding the world they are growing up in smaller and smaller. Studies show that over the past

decade, young people 16-34 years old have decreased the annual number of vehicle miles traveled by 23%.30 With

such an increase in use of public transportation, we believe that our eye-catching advertisements in select transit spots

will spark interest to our target market. It will engage them in the ads and generate buzz on social media outlets.

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SponsorshipsFrom August 9th - 11th dELiA*S will sponsor Outside Lands Music Festival in San Francisco, CA. This is a three-day green-

movement festival, usually attracting between 40,000 - 60,000 attendees a day. Over half of all attendees are under the age

of 25. We are not just targeting residents within driving distance of the closest Brentwood store, but instead the 72% of young

people traveling from outside the bay area to partake in the festival.31

Our interactive booth and trendy promotional items will allow us to not only fit in the hipster west coast atmosphere, but will allow

us to stand out and create social media buzz. With the glowing balloon drop on the last night, we will leave a positive lasting

impression on the target market attendees. This sponsorship will reinforce our campaign message and encouraging youthful

awareness. Our other sponsorship of the Do Something Awards, engages the target consumers in a fun and socially aware

atmosphere. Both of these sponsorships align with marketing and advertising objectives.

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With 90% of our target market plugged into Social Media, this buy is a must. 75% of our

national buying will go into this category. Social media can be accessed everywhere, allowing

teens to incorporate more online time in their daily lives.

31% of the time teens spend on smartphones is spent on

social media. With a target consumer entwined into the

digital world, social media becomes pivotal.

dELiA*s is currently plugged into the typical social media

scene with accounts on facebook, twitter and instagram.

Yet they have not fully embraced the potential of new

technology. In order to understand the target consumer,

social media buys need to be extended.

Social Media

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Youtube

The first extension of the social media buys is to incorporate Youtube. Youtube is a great medium to use generate interest,

increase reach and build better consumer relationships. For this medium, we will purchase in-stream advertisements.

Although they are often overlooked and skipped, it offers a bonus that regular youtube ads don’t have. In-stream buying

offers the ability to change the background of the webpage as well as play a video advertisement. This will be a great way

to change consumer attitudes and generate interest among the target audience.

Along side in-stream advertisements, we will also launch a dELiA*s Youtube

channel. This channel will provide the target audience with numerous resources

and entertainment. Ideas for weekly posts are bulleted below.

* DIY clothing tutorials * The best of youtube - top 10 videos of the week* Nail art tutorials* Technology/app updates* Celebrity looks from dELiA*s * Music scene updates

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App Renovation:

The second extension of social media buys for the 2013 campaign will be app renovation. Although dELiA*s recently

launched a catalog app, it is lacking basic brand application necessities. This media buy will redesign and refocus the

dELiA*s mobile app. By incorporating these elements below into one app, the target consumer will be more likely to

engage with the new image for dELiA*s brand.

According to ypulse.com, the top 5 reason our target market uses a mobile

phone while shopping are33:

* To find store locations

* To get discounts and coupons

* To research prices

* To take photos so they can look for the product at other places

* To find product information

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Paid Exposure:

Social media is moving at such a fast rate that advertisers oftentimes just cannot keep up. Many of the most popular apps

and websites have not even formulated payment options for emerging advertising media. One solution to this problem

is our third extension which is paid exposure. Companies are paying influential teens to repost brand content, images or

to just generate positive social media buzz. We decided to use this tactic because we believe this is the future of social

media. The chart below was taken from our primary research, indicating the influence teens have over their peers.

We are going to use 1,000 influential teens in our target

market to generate buzz about dELiA*s. The sites that

they are going to implement this media buy are bulleted

below. These sites and applications are extremely

popular among the target consumer. The sooner we

can brand dELiA*s with the current trends, the better our

chances for a successful campaign.

* Pinterest* Wanelo* Vine* Tumblr

Friends Family Boyfriend Celebrities60% 0% 10% 0%

0%

15%

30%

45%

60%

Friends Family Boyfriend Celebrities

Whose fashion advice is most important?


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Social Media Upkeep

With a heavy social media campaign, we want to make sure there is consistency among all technologies. We will purchase

social media upkeep to maintain a single voice throughout the campaign. This buy will also revamp the current facebook,

twitter, and instagram to align with an older, trendier target consumer.

Banner AdvertisementdELiA*s target market is plugged in. Their world is online and

that is where we want to be. Banner Advertisements are a great way to direct web traffic and generate reach when battling

a lower end budget. Since our target market is so in tune with social media related sites, we will have our primary banners

on sites with links to Foursquare, Tumblr, Twitter, etc. Because Banner Ads have such low click-thru rate (usually .2%-.5%),

we are not investing a large amount of our budget in this medium.34 We do think, however, that our creative banners entice

current and potential customers. Although typical internet advertisements can get lost in the clutter, our ads will be bold and

unique. They will direct the target consumers to dELiA*s website and potentially generate sales. Banner Advertisements

will also boost exposure for new customers and serve as reminder advertising for current consumers.

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Search Engine Optimization

C ontingency Fund

Search Engine Optimization will serve as a preliminary launch buy. This will lay the groundwork for the increased internet

and web traffic. 20% of the target markets time online is spent searching.5 With that said, we feel that Search Engine

Optimization will increase the success of our campaign. It will create a gateway into social media buzz, and generate traffic

flow to dELiA*s website. This will also lead to increasing reach and frequency throughout the course of our campaign.

dELiA*s 2013 direct/interactive marketing campaign incorporates non-traditional and traditional media. Yet with a large

portion of innovative social media buys, a contingency fund is necessary. Right now, costs can only be estimated for most

of the social media extensions. The $19,502 contingency fund will be used to cover any additional costs in the social media

area. The campaign creatively is focused on the intangible cool factor. Inevitably some media buys will just work better

than others. With a contingency fund, we will have more flexibility to successfully optimize sales potential.

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Creative Strategy

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dELiA*s 2013 creative campaign will engage the target consumer to

achieve marketing and advertising objectives. The designs will be

interactive, engaging and evoke new purchases. It will also revamp

dELiA*s image and increase brand relationships.

Creative Objectives

Live Freely will be the tagline of dELiA*s 2013 campaign. This tagline

will relate and engage the target market. dELiA*s 2013 campaign also

will have a green feel to it. This idea was generated by re-invention and

growth of dELiA*s brand image. The idea was sparked by the dELiA*s

asterisk. It evolved into a flower which represents growth and life. We

wanted to position dELiA*s as a brand that cares and represents all

aspects of life. By using a trendy and enviornmentally aware feel for the

campaign, dELiA*s can fully target the primary audience.

Live Freely

Banner Advertisement

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Magazine Insert

Interactive Transit Advertising

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Mobile App

"I really like these ads! The ads and the video both

capture the essence of "live freely."

They make me feel young, carefree, [and] happy. I

think the music for the video is perfect because it's

very upbeat. I think the video and the ads will appeal

to many girls my age because it incorporates a lot of

colors, cute clothes, and a girly vibe."

The Target Market Speaks!

Cathy Park - Age 17

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Budget Recap

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Spot Medium Total Dollars Spent % of Budget

National

Budget Recap

Magazine Inserts $175,000 41%Transit $150,000 35%Promotional Items $4,498 1%Sponsorships $100,000 23%

Total: $429,498 100%

Medium Total Dollars Spent % of BudgetBanner Ads $5,000 10%Social Media $38,000 75%Search Engine Optimization $8,000 16%

Total: $51,000 100%

Medium Total Dollars Spent % of BudgetMagazine Inserts $175,000 35%Transit $150,000 30%Banner Ads $5,000 1%Promotional Items $4,498 1%Sponsorships $100,000 20%Social Media $38,000 8%Search Engine Optimization $8,000 2%Contingency $19,502 4%

Total: $500,000 100%

dELiA*s 2013 creative campaign budget was $500,000. With our campaign strategy and creative executions,

we anticipate using all of the budget with a contingency fund included.

Budget

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21dELiA*s, Inc. (April 10, 2008). dELiA*s Business Strengths. In WikiInvest. Retrieved February 02, 2013, from http://www.wikinvest.com/stock/DELIA*s_(DLIA)/Business_Strengths. 25DoSomething.org. (2012). About Us. In Do Something Awards. Retrieved March 19 2013, from http://www.dosomething.org/. 27Erwina, I. January 2013. Back-to-School Shopping. Mintel. Retrieved March 14, 2013, from http://academic.mintel.com.libdata.lib.ua.edu.14Event brief of Q3 2012 american eagle outfitters inc earnings conference call - final. (2012, Nov 28). Fair Disclosure Wire. Retrieved from http://search.proquest.com/docview/1237166289?accountid=14472. 24Fast Atmosphere. (2012). Latest News. In Outside Lands Music and Arts Festival . Retrieved March 17 2013, from http://www.sfoutsidelands.com/news/. 16Forever 21 Fortune - Forbes.com. (n.d.). Information for the World's Business Leaders - Forbes.com. Retrieved April 1, 2013, from http://www.forbes.com/2009/04/29/billionaire-retail-forever21-korea-rich-09-wealth.html.6Hoovers, Inc. (2013). dELiA*s inc. fact sheet. Retrieved February 4, 2013, from Hoover's Company Records database. 12HOTT Competitors | Hot Topic, Inc. Stock - Yahoo! Finance. (n.d.). Yahoo! Finance - Business Finance, Stock Market, Quotes, News. Retrieved April 1, 2013, from http://finance.yahoo.com/q/co?s=HOTT.32Jessica Draws. (2013). Jessica Draws. In The Social Media Revolution. Retrieved February 27, 2013, from http://jessicadraws.com/infographics/.30Lipman, Susan Sachs. (2012, July 12). Teens waiting to get drivers’ licenses, prefer public transportation. Retrieved from http://www.csmonitor.com/The-Culture/Family/Modern-Parenthood/2012/0712/Teens-waiting-to-get-drivers-licenses-prefer-public-transport.3Mintel. (2013) Marketing to Teens - US. - November 2012. Retrieved from Mintel Market Research database. 4Mintel. (2013) Spending Habits of the Teen Consumer - US.- August 2013. Retrieved from Mintel Market Research database. 5Mintel. (2013) Teens and Finance - US - January 2009. Retrieved from Mintel Research database.9Novellino, Teresa. (2011 February 25). Delia’s Looking to Make a Deal. Retrieved from http://upstart.bizjournals.com/news/wire/2011/02/25/delias-reportedly-putting-itself-up-for-sale.html?page=all. 29Seventeen. (n.d). Seventeen Magazine Media Kit. Retrieved March 12, 2013, from http://www.seventeenmediakit.com. 26Team Voodoo Survey. (February 20 2013). Retrieved on February 15, 2013, from http://kwiksurveys.com/app/item-liveresults.asp. 31Treewingers. (2012, August 14). Outside Lands 2012. Retrieved from http://treeswingers.com/category/outside-lands-2/. 10Woodhull, S. (2011, January 10). Wikinvest.com. Retrieved from http://www.wikinvest.com/stock/Abercrombie_&_Fitch_Company_(ANF).33Youth Pulse. (July 25, 2012). Social Shoppers Infographic. In YPulse. Retrieved March 1, 2013, from http://www.ypulse.com/post/view/social-shoppers-infographic.

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The End.

dELiA*s 2013 Campaign

Education

Transcript of dELiA*s 2013 Campaign