TireSource

30
Craig Evans Jacqueline Jaggers Kelly Lineberry Brianne Henney Vince Miceli

Transcript of TireSource

Page 1: TireSource

Craig Evans Jacqueline Jaggers

Kelly Lineberry Brianne Henney

Vince Miceli

Page 2: TireSource

Executive Summary....................................................................................................3

SWOT Analysis...........................................................................................................4

Target Market..............................................................................................................6

Campaign Objectives.................................................................................................7

Campaign Strategies..................................................................................................8

Media Recommendations.....................................................................................9-21

Sales Promotions................................................................................................22-24

Public Relations...................................................................................................25-27

Campaign Budget.....................................................................................................28

Advertising Schedule................................................................................................29

Campaign Evaluation...............................................................................................30

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Target Market

Our target market consists of young adults from 18-30 years of age. They have an income of at least $30,000 and are more likely to be single. They are able to experience the convenience of proximity as they live in a 10-mile radius from at least one store location. This new target market varies greatly from TireSource’s previous one. Only 15% of the customers were under age 30. By shifting focus to younger generations, TireSource has access to at least 26,800 individuals.

Campaign/Media

Our campaign is focusing on the theme of “Smooth. Ride.” This idea reflects on both the consumers vehicle maintenance and their life in general. Everything will be running smoothly. This concept will be embodied through the use of iPhone applications, radio, Internet, and outdoor advertisements. These mediums are ones in which our target market come in frequent contact with, and will thus be the most effective in increasing their awareness of TireSource.

Sales Promotions/Public Relations

Through the use of sales promotions and public relations, we will increase the number of consumers who come into the TireSource locations. For both, we will alter our original theme of “Smooth. Ride” to “Smooth. Future,” with the goal of informing consumers of the environmental concern that TireSource portrays.

Budget

The budget we were given to work with was $140,000. After we have implemented our campaign we will have used all but $4,790.03. The majority of our budget was spent on the iPhone Application. Radio was the next most extensive use of the budget, followed by Internet, outdoor, public relations expenditures, and finally, in-store banners.

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Strengths

● TireSource consists of five locations, so the local residents have the convenience

of proximity. No matter where they are, between Medina and Canton, there is

always a TireSource nearby.

● TireSource offers many different services for all of your car needs, at competitive

prices. From checking your tire pressure, to minor engine repair, TireSource can

do it all in one convenient stop.

● Their website is easy to use, informative, and organized, so all of their information

is readily available to their customers.

● TireSource is clean and organized, with comfortable sitting areas, clean bathrooms,

and places for children to play.

Weaknesses

● Although there are five centers, the centers in Belden Village and North Canton are

relatively close to each other. Therefore, these stores can be competing for the

same customers.

● TireSource is not addressing the young adult target market in the right media.

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Opportunities

● TireSource could expand to other areas around the highway, such as Hudson and

Stow. These areas will allow them to reach new customers.

● Another opportunity would be to expand the target market, to include people under

the age of 30. This will expand their target market to a segment that they have not

reached very well, and potentially bring more people into the store.

● TireSource is not currently pursuing Facebook followers. Therefore, they are

missing out on a large, and easy to hit, target market.

Threats

● Some of TireSource's competition have stores nationwide. This allows their

competition to have a larger advertising budget, and possibly be more well known,

thus, take away competition from TireSource.

● Some competitors have lower prices than TireSource, causing “switchers/variety

seekers” to go elsewhere.

● Technology is increasing price competition. There is some technology that will tell

you where to go for the lowest priced item. This could cause customers to try and

bargain with TireSource for a lower price.

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Young Adults

Age Range: 18-30

Both Genders

Financial: $30,000+

Marital Status: Single

10 Mile Radius from

each store

The current target market of TireSource does not

include the younger generation, so that is who

we are trying to target. Only about 15 percent

of TireSource's current customers are under

the age of 30, so there is a large opportunity

for customer growth. It does not matter what

gender they are, because both men and

women drive vehicles. We would prefer that

the target audience has an annual income of

$30,000 or more, because this will allow them

to have some disposable income. The same

can be said about their marital status. If they

are single, or married with no kids, they are

more likely to have more disposable income.

We decided to keep the distance from each

store low, at ten miles. This will allow

TireSource to keep their strength of proximity.

We have found this target audience to be a

size of approximately 26,800 people or larger.

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Increase the average number of tires sold

TireSource is currently selling seventeen tires a day, per store, and we want to increase the number of tires sold per day, per store to 21.

Increase the average number of customers TireSource currently services 26 customers per day, per store, and we want to increase the number of customers per day, per store to 30.

Increase the number of young adult users

Only about 15% of TireSource's customers are under the age of 30. We want to increase this percentage to 20%.

Increase the number of people on Facebook

Currently, only about 90 people like the TireSource Facebook page. We want to triple the number of Facebook users, to 270.

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Smooth. Ride.

Our creative recommendation, for TireSource, is “Smooth. Ride.” We chose

this theme because of a couple reasons. We want the customers to have

the feeling that once they leave TireSource, their car will drive smoothly,

and there will not be any problems. Also, while they are at any of the

TireSource centers, their experience will be a smooth one.

In our theme, “Ride” can be substituted, during some marketing strategies, to

create “Smooth. Future.” This will make customers think that once they

leave TireSource, they will have a smooth ride for years to come. Also, on

some of the advertisements, it will make people think that that TireSource

is trying to help the future, to make it better for everyone.

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Choosing the right

media, to reach your

target market, is

important to any

marketing campaign.

We have chosen

different media choices

that we believe will

reach the younger

generation, and catch

their attention.

iPhone Applications

iPhone applications are used by much of the younger

generation. An application will keep TireSource

fresh in the memory of their younger customers.

Radio

Radio advertising will reach a large number of

students, multiple times. It is relatively

inexpensive, and easy to create.

Internet

The younger generation is very fluent with the internet,

so the internet would be an easy way to reach

them.

Outdoor

Outdoor advertisements will reach a large amount of

people, and will be available for people to see,

24/7.

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The application will be used to increase the number of young customers in

each store, and increase the awareness of TireSource. The iPhone

application will show the contact information and locations of each of the

TireSource locations.

To help promote the iPhone application, TireSource can use banners at their

locations, and they can advertise on their website and Facebook.

There will be a large initial cost of $20,000, but after that, it will be relatively

inexpensive. The iPhone application will make it easy to measure how

effective it is. TireSource will be able to know how many downloads there

are, so a good goal would be 50 downloads a month, for a total of 600

downloads for the first year.

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The iPhone application can use “Smooth. Ride.” to make its users think that

they will have a smooth ride after they visit TireSource. iPhone's are used

primarily by the younger generation, and if they download the application,

the users will have TireSource anywhere they go.

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The radio advertisements can be used to promote car repair and car service while our target audience is in the vehicle. The ads will make people aware that TireSource is a fast, yet quality location to have car repair and services done. Advertising will be done during the first and third quarter of the year, during the evening drive time.

If TireSource advertises on 96.5 and 88.1, they are likely to hit our target market, since these stations cater to our target market. If you place nine ads a week – one during evening drive time during the week, and two each day on the weekends – you will hit people while they have some spare time and are in their car.

Station 96.5 will cost around $58,000, and 88.1 will cost about $3,500, for a total of about $62,000. The radio advertisement can be measured when the customers come into any of the stores. When the customer comes to the store, TireSource can ask them how they heard about TireSource.

In the radio advertisement, “Smooth. Ride.” or “Smooth. Future.” can be used, since it is easy to change and edit radio advertisements. Both will give the listeners a sense that if they visit TireSource, their rides will be improved.

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Client: TireSource Product: Tire and Automotive Services Title: Brake Monster Length: 30 seconds Writer: Zip Ad Agency Medium: Radio Sound: Sound of grinding brakes every time the mother stops. GIRL: Why is the car growling? Sound: Sound of grinding brakes every time the mother stops. MOM: It's the brake monster, reminding me it's time for new brakes. Time to go to TireSource! Sound: Sound of grinding brakes every time the mother stops. ANNCR: Tired of the brake monster in your car? Visit TireSource! TireSource, a company that strives to obtain customer satisfaction through trained professionals. TireSource stays grounded by helping our community, environment, and you. Visit our website to see what TireSource can do for you. www.TireSource.com. Smooth. Ride. Smooth. Future.

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The internet will help to increase the awareness of TireSource and bring more

people to the different stores. Using Facebook, and Groupon, more people

will learn about the professionalism of TireSource, and then go to one of

the centers for their car needs.

Facebook will cost around $10,000. Groupon will cost around $10,125. The

total cost will be around $20,125. The effectiveness of these procedures

can be measured by the number of clicks on Facebook, and the number of

Groupons redeemed.

Internet advertising will reach a large number of people, and it is easy to edit

to meet your needs. If TireSource chooses to promote with water bottles,

the internet ad can be changed to say “Smooth. future.” in accordance with

the bottles.

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With Facebook, you can choose to target your ads towards a specific

demographic. With our demographic, you can hit about 50,000-80,000

people within a 16 to 40 kilometer radius of Akron.

Then you set a budget on how much you would like to spend each day, and

Facebook will do the rest. We spent $25 each day, for a total of about

$9,125 a year.

Google and Facebook will be relatively easy to advertise on, and inexpensive.

Also, both Google and Facebook can easily target specific people. This

will ensure that we reach our target market, and not have too much excess

wasted advertising.

Facebook Image. Digital image. Facebook. Web. 25 Apr. 2011. <www.facebook.com>.

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Google is also relatively easy to advertise on, and inexpensive. With Google,

you set can set a budget that you would like to spend each day, and

Google will do the rest. For both Google, we set a budget of $25 a day,

every day of the year. This means, the budget for Google will be $9,125.

We left a cushion of $875 if something were to happen.

Google can easily target specific people and this will ensure that we reach our

target market, and not have too much excess wasted advertising.

Although TireSource already works with Google, we feel that with the other

advertisements that we have planned, the number of Google searches will

increase.

Google Logo. Digital image. Google. Web. 25 Apr. 2011. <www.google.com>.

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Groupon is another advertising and sales promotion media that would be

easy and simple to use. With Groupon, you can control how many

coupons to sell, and if there is a minimum amount you must sell in order for

the Groupons to be usable.

The average Groupon is for 50% off a product. A Groupon for TireSource

could consist of 50% off of an oil change. If an oil change normally costs

around $27, the Groupon would be for a $13.50 oil change. Out of that

$13.50, Groupon takes about half, TireSource would get the rest and that

is the only expense of Groupon. For the Groupon expense in our budget,

we took the original cost of the oil change, and subtracted the amount that

TireSource would make to get the amount lost. We then decided to only

sell 500 total Groupons, and multiplied the amount lost per oil change by

500, to get $10,125. This is the maximum cost of selling 500 Groupons.

Groupon Logo. Digital image. Groupon. Web. 25 Apr. 2011. <www.groupon.com>.

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The mobile billboards will consist of a truck driving on a specified route,

carrying TireSource billboards. There will be 12 rotating advertisements

that will change every 8 seconds.

We feel that a mobile billboard is better than a regular billboard, because

more people have the chance to see it. Also, it is cheaper, and you can

have more than one advertisement.

The mobile billboard will cost $1,800 a week, for a total of $7,200 a month.

We would like to use the mobile billboard in February and March in order to

pick up sales in the first quarter.

The mobile billboards will reflect both the “Smooth. Ride.” and “Smooth.

Future.” This will put both ideas into the minds of our audience, while the

billboards drive around.

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Has it been 3000 miles already?

Time for an

oil change.

760 North Court Street

Medina, Ohio 44256

330-723-3258

Let the Medina

Team take care

of you.

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Want a Smoother Ride Home?

Time for new Tires.

Call the Canton Team

for an appointment

3115 Cleveland Avenue S.W.

Canton, Ohio 44707

330-484-2800

Smooth. Ride. Smooth. Future.

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Full service tire and auto repair

5 convenient locations near you

Medina 330-723-3258 Montrose 330-670-8000 North Canton 330-494-9600 Belden Village 330-497-8200 Canton 330-484-2800

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Sales promotions are an easy way to get people into your store, but you do

not want people to think that there will always be a sale going on. If people

always think there is a sales promotion going on, they may only visit when

there is a promotion or decrease the quality of TireSource, in their mind.

Either way, TireSource could lose money.

One sales promotion that we came up with, deals with the water bottles that

TireSource already has. The promotion will get the word out about

TireSource, while showing the people that TireSource contributes to the

community, and is environmentally conscientious.

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The water bottles will continue to have the phone numbers of the TireSource

centers, but on the back, there will be a coupon for 10-20% off any service.

In order to get the discount, one must bring the water bottle into any

TireSource location, where TireSource will recycle the bottle. This will do a

couple things for TireSource. First, it will get the name out, and people will

not overlook it. If the coupon were given on a piece of paper, it could be

easily thrown away, or put away in a pocket or purse. The bottle does not

allow such a convenience, and makes one look at it closely. Secondly, it

will catch onto the new green movement, and make people feel like they

are helping the environment.

The water bottles can be passed out after sporting events, First Friday's in

Canton, after people leave the Zoo, or at awareness walks during the

summer.

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To help create positive relations with the community, TireSource

can send out press releases to the local newspapers, making

them aware of the recycling that TireSource is doing. 'Going

green' is becoming important to many people, and if they see

that TireSource is going green, then they might choose to visit

one of the stores.

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Tire Source Goes Green

Akron, Ohio, April 25, 2011- TireSource is announcing they are going GREEN, with their recyclable water bottle campaign. The company will be handing out water bottles at local high schools and University games and various events around the community. The way the campaign will work, is that on the label there will be a coupon and when you return the bottle with label attached to recycle, you will receive 10% off any service that day.

In 2009 there was 5.1 billion pounds of plastic bottles that could have been recycled. Of that, only 28 percent were actually recycled. When looking at these statistics, TireSource felt that one way they could help increase the percentage of bottles recycled was to start this recycling campaign. TireSource not only wants to provide great service but to also provide their customers with a clean environment.

Tire Source prides itself on giving back to the community and providing its customers with the best service around town. Tire Source, the people you trust and the service you expect.

Page 27: TireSource

Another set that TireSource can take towards public relations, is working with

Pi Sigma Epsilon. Pi Sigma Epsilon is a professional marketing, sales, and

management fraternity at the University of Akron. They are always looking

for marketing cases, and would be more than glad to work with TireSource.

For just a little bit of money each semester, Pi Sigma Epsilon will pass out

water bottles for TireSource, and even come up with other ideas that have

not been done yet. Pi Sigma Epsilon can promote brand awareness,

brand strength and bring in new customers.

Pi Sigma Epsilon Logo. Digital image. PSE. Www.pse.org. Web. 25 Apr. 2011.

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Cost Budget Left

$140,000

iPhone Application $20,000 $120,000

Radio $62,010 $57,990

Facebook $10,000 $47,990

Google $10,000 $37,990

Groupon $10,125 $27,865

Mobile Billboards $14,400 $13,465

Water Bottles $3,674.97 $9,790.03

Pi Sigma Epsilon $4,000 $5,790.03

Banners $1,000 $4,790.03

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Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec.

iPhone X X X X X X X X X X X X

Radio X X X X X X

Facebook X X X X X X X X X X X X

Google X X X X X X X X X X X X

Groupon X X X X X X X X X X X X

Mobile Billboard

X X

Water Bottle

X X X X X X X X X X X X

PSE X X X X X X X X

Banners X X X X X X X X X X X X

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It may seem that most of the campaign is targeted towards college students. Although this may be true, most of the

students at the University of Akron are commuters. Many come from Canton, North Canton, Media, and other

areas near TireSource centers. If they see ads for TireSource at school, they are likely to visit a TireSource center

near their house.

Overall

The success of our campaign can be measured if TireSource sells four more tires, has four more customers,

increases the number of young customers, and increases the number of Facebook users. These can easily

be measured by looking at the statistics of the stores, or looking on Facebook and Google.

Internet

The success of the internet advertising can be measured by the number of Groupons redeemed, or the number of

clicks on Google or Facebook. Through our campaign, we are trying to increase the total number of people

who visit, especially during the first quarter.

Radio/Mobile billboard

Both the radio and mobile billboards will be used to target the audience while they are in their cars. When

customers go to a TireSource location, a team member can ask them how they heard about TireSource. That

is how the effectiveness of the radio and mobile billboards can be measured.