Running head: MY NATURAL MARKET 1
My Natural Market Advertising Plan
Bonnie Gallea
Concordia University, St. Paul, MN
MY NATURAL MARKET 2
Table of Contents
Executive Summary......................................................................
MY NATURAL MARKET 3
My Natural Market Advertising Plan
Executive Summary
The nutritional supplement market has grown consi...
MY NATURAL MARKET 4
website presents several articles on health related topics as well as an area to sign up for a free e-...
MY NATURAL MARKET 5
slightly but with the rising cost of health care it continues to expand each year. There are
currently...
MY NATURAL MARKET 6
Goals
NON-FINANCIAL GOALS
 One of the goals for this advertising plan is to continue to build relatio...
MY NATURAL MARKET 7
products free of pesticides or dangerous additives should be highlighted. Showing that My
Natural Mark...
MY NATURAL MARKET 8
these methods are designed to reach as many of the target audience as possible with products and
servi...
MY NATURAL MARKET 9
of 2.8 million and is published monthly. (Mazzotta, 2009). Healthy Living Made Simple has a
circulatio...
MY NATURAL MARKET 10
for My Natural Market. Each segment of the infomercial should contain the toll free number and
websit...
MY NATURAL MARKET 11
different gifts for each advertising method, measurement will be easier to track. Pop-up and Pop
unde...
MY NATURAL MARKET 12
References
Belch, G. & Belch, M. (2012). Advertising and Promotion: An Integrated Marketing
Communica...
MY NATURAL MARKET 13
Report Linker. (2013). Vitamin and Supplement Industry: Market Research Reports, Statistics
and Analy...
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Transcript of "Advertising plan"

  1. 1. Running head: MY NATURAL MARKET 1 My Natural Market Advertising Plan Bonnie Gallea Concordia University, St. Paul, MN
  2. 2. MY NATURAL MARKET 2 Table of Contents Executive Summary.................................................................................................................... 3 Product........................................................................................................................................ 3 Target Market.............................................................................................................................. 4 Market Trends............................................................................................................................. 4 Goals ........................................................................................................................................... 6 Key Messages ............................................................................................................................. 6 Marketing Recommendations ..................................................................................................... 7 Media Selection .......................................................................................................................... 8 Measurements ........................................................................................................................... 10 Conclusion ................................................................................................................................ 11 References................................................................................................................................. 12
  3. 3. MY NATURAL MARKET 3 My Natural Market Advertising Plan Executive Summary The nutritional supplement market has grown considerably in the last ten years and shows no signs of slowing. Baby Boomers, Generation X, and Generation Yare all potential consumers. My Natural Market offers quality organic products and services to enhance performance or revitalize health. The current advertising is through the website, catalogue, e- mail newsletter, and social media sites. While the coverage within this arena is substantial, there are areas where improvement and growth should be considered. The main purpose should be helping consumers to keep the brand in mind, building awareness and ultimately creating engagement. My Natural Market is primarily an online retailer so reaching out to potential consumers in ways that are appropriate for them becomes critical. Using a wide variety of advertising that targets people motivated by health related issues will help to create appreciation of the website and the products offered. Enticing consumers into a relationship that builds brand identity and loyalty is a key objective. Some of the techniques highlighted here are direct mail offers, pop-up and pop under advertising, magazine distribution, and infomercial development. Product My Natural Market is an online retailer with a store front in Draper, Utah. It was founded in 2008. Annual revenues have increased 801% in the last three years reaching $6.8 million dollars in 2011. (Inc., 2013). A large array of products are offered including organic vitamins and supplements, pet supplies, snacks, household products, personal care items, and books among other things. The merchandise is free of contamination from pesticides and additives. The post and share recipes strive to get customers vested in the site and in turn the product. The
  4. 4. MY NATURAL MARKET 4 website presents several articles on health related topics as well as an area to sign up for a free e- mail newsletter or to order a free catalog. This one stop shopping experience is of great value to consumers looking to improve their extremely busy lives. Target Market The use of nutritional supplements has exploded in the last few years. The men and women in the primary market were born between 1946 and 1964. As these Baby Boomers continue to grow older, they are looking for ways to stay vital and healthy for as long as possible. Their motivations include staying healthy, prevention, and treatment of chronic conditions. Generation X and Generation Y consumers born between 1965 and 1995 are interested in the supplements and natural personal care items as well. However, their focus, being slightly different, is on hair care, body shape, and skin care. (Dennis, 2010). The entire demographic is 55% women and 45% men. (The National Academics Press, 2013). They fall into the Believers and Thinkers category with needs for quality and price. These health conscious consumers are attracted to self-care and alternative medicine. They are worldwide and appear to be regular users. Although mostly Caucasian, these shoppers are also comprised of 12% Chinese. They are well educated with slightly higher than average income levels but that does seem to vary depending on the motivations for purchasing. Market Trends The industry for nutritional supplements is enormous; globally it reaches $68 billion dollars annually. (Report Linker, 2013). Americans are a large part of that market with 53% of adults using vitamins, minerals, or supplements. The recession does factor into the market
  5. 5. MY NATURAL MARKET 5 slightly but with the rising cost of health care it continues to expand each year. There are currently very little Food and Drug Administration (FDA) regulations concerning botanical or herbal products. (Natural Products Insider.com, 2012). Continued efforts to improve on quality or to control ingredients are currently underway. My Natural Market’s main competitors for the online market are Puritan’s Pride and Swanson’s Vitamins. Both companies have well established brands and have been in business for many years. Vitamins, minerals, and supplements are also available at other online retailers, co-ops, fitness clubs, health centers, supermarkets, pharmacies, and even retailers like Target and Wal-Mart. The combative aspects of the market are immense making it necessary to differentiate between My Natural Market and its’ competitors. Differentiation What differentiates My Natural Market from its key competitors?  Eco-friendly options: The natural beauty products and the chemical free household cleaners are a unique addition. They offer a clear choice to consumers interested in providing healthier and more environmentally safe options for their homes.  All organic products: The vitamins, minerals, and supplements sold by many of the competitors do not have the organic attributes. This allows consumers to select products that are pure and safe for their families.
  6. 6. MY NATURAL MARKET 6 Goals NON-FINANCIAL GOALS  One of the goals for this advertising plan is to continue to build relationships with consumers. Continuing to offer e-mail newsletters, online articles, and post and share recipes helps to accomplish this. Over the next two years, ask customers through advertising efforts, to register online for free gifts to build a data base that can be used for future advertising endeavors.  Increasing awareness of the products offered and the additional website benefits is extremely important to the company’s identity. Showing current and potential customers the value of the organic products available helps to shape the brand. In the next two years, increase awareness through advertising methods described below. FINANCIAL GOALS  The advertising changes included here should increase profits by a minimum of 15% over the next year especially since the growth in the last three years has been so enormous.  Return on Investment (ROI) using advertising methods such as direct mail, magazine ads, internet pop ups, and even infomercials will increase over the next year as well. These methods target Baby Boomers and older individuals effectively. Key Messages One of the key messages to relate to the customers through the advertising is “Discover the advantages of an organic supplement today.” (My Natural Market, 2013). The benefits of
  7. 7. MY NATURAL MARKET 7 products free of pesticides or dangerous additives should be highlighted. Showing that My Natural Market offers inexpensive vitamins and supplements to enhance performance and promote good health will be important to communicate to customers as well. Consumers will appreciate the convenience of a one stop shopping experience, offering them the added benefit of time for their extremely busy lives. The post and share recipes, e-mail newsletters, and articles available to read online are essential to the relationship building needed. To gain the attention of perspective customers the key messages need to be communicated in a way that attracts, that suggests a difference to consumers. Marketing Recommendations Advertising in magazines such as Prevention, Healthy Living Made Simple, and Mother Earth News allows for targeting of the demographic. Self-care and alternative medicine as well as staying healthy, prevention of diseases, and treatment of chronic illnesses are motivations for the target market. The circulation for these magazines is upward of 10 million. Mailing out direct mail pieces that highlight the low cost of the products and the other benefits of the website reminds current customers to order and builds awareness and engagement within the target market. Use pop-ups and pop-unders when potential customers are searching other informational websites on health related topics, beauty products, or even pet care sites. This will put the website in front of customers when they are interested in obtaining information. Finally, the most expensive but highly effective technique is an infomercial leading viewers to the website. “This advertising medium is indeed effective with a broad demographic base.” (Belch, 2012). The infomercial should be viewed early in the morning (5 am) and shown on stations that aim their broadcasting toward the 50+ crowd. In considering promotion, place strategy, price, and product
  8. 8. MY NATURAL MARKET 8 these methods are designed to reach as many of the target audience as possible with products and services that benefit them. Current New Markets Selling products online through the website, Amazon, and at the store front in Draper, UT. Selling products through direct mail and infomercials. Increasing awareness of products through e-mail newsletters, catalogues, and social media sites. Building brand through magazine ads, direct mail, pop-ups and pop- unders, and infomercials. Media Selection Direct Mail The direct mail piece should be sent out quarterly. This would not be so much that it would ultimately annoy customers and not too little that they completely forget. This would also allow for seasonal preparation of the piece, offering vitamins to increase the immune system during the winter or specials on spring cleaning products. It should be mailed to existing customers to remind them to purchase needed products and to new customers to bring awareness of the products and services available. A list of potential customers can be purchased initially. In the future, that list should come from data bases created from pop-ups, pop-unders, requests for catalogs, and e-mail newsletters. The direct mail piece should also ask customers to register online for a free gift allowing for more information to be added to the data base. Offering a special not available on the website or in other media allows for easy tracking. Magazines The magazine ads should be tailored to the individual magazines chosen. An example is using an ad in Prevention Magazine highlighting the health benefits of the vitamins and minerals and an ad in Mother Earth News that highlights the organic aspects. Prevention has a circulation
  9. 9. MY NATURAL MARKET 9 of 2.8 million and is published monthly. (Mazzotta, 2009). Healthy Living Made Simple has a circulation of 8 million and is published bi-monthly. (Sam’s Club, 2013). Mother Earth News has the smallest circulation of 500 thousand but has a very specialized audience and is published bi-monthly. (Mother Earth News, 2013). Special rates can be negotiated for yearly placements. The ad within each magazine should offer separate deals not available in other advertising to facilitate measurement. Pop-ups and Pop-unders Pop-ups and pop-unders should be used when potential customers search for information on chronic illnesses, disease prevention, beauty products, pet supplies, and merchandise for eco- friendly non-toxic home cleaning. Using pop-ups or pop-unders appropriately is extremely important. Not wanting to alienate customers, do not place pop-ups and pop-unders on each page of a website, and use them only when customers perform a particular action. They need to be relevant. The pop-up and pop-under designs should be eye catching and entice the customer to sign up for the e-mail newsletter or catalog, or have a link directly to the website. Giving away another gift to sign up for the newsletter or catalogue will help to attract attention also. Infomercials A half-hour infomercial should be targeted to Baby Boomers. It should air early in the morning at around 4 to 5 AM during the week on networks that target that demographic. Bright House Media Strategies should be used to create and distribute the infomercial. They have expertise in production as well as measurement. (Bright House Media Strategies, 2013). The networks chosen are A & E, AMC, and Hallmark. They deliver to audiences that are appropriate
  10. 10. MY NATURAL MARKET 10 for My Natural Market. Each segment of the infomercial should contain the toll free number and website URL. It should showcase products that Baby Boomers will relate to. Costs can range from $20,000 to $250,000 depending on the production factors involved. ( Kobliski, 2006). It should be kept simple to begin with in order to test station, time, and contents. Testing in markets such as Florida and Arizona where Baby Boomers are concentrated will also provide needed feedback on its success. Infomercials often have to be recreated every 9 to 12 months. The infomercial needs to highlight the organic products and the website itself, illustrating the benefits of the recipes, e-mail newsletter, books, and articles. While many times the budget for advertising is a percentage of the revenues, in this case it should be commensurate with the selection. The quick and enormous growth over the last three years makes it necessary to budget advertising in a way that continues its upward swing. Pop-up and pop-unders are inexpensive and ads in magazines such as Prevention run monthly (half page cost approximately $36,000) or bi-monthly. A deal should be made for yearly placement in each magazine. Direct mail is more expensive but if only sending quarterly and possibly using in- house staff to create additional funds can be saved. The infomercial would be the most expensive but has the largest audiences and offers much higher return on investment. Measurements Offering unique specials or free products in different advertising will allow for measurement of each. A free gift should be included with the direct mail piece along with another offered when registering online. A special deal only shown on the direct mail piece itself is another option. A code of some kind will be needed in order to keep them straight. Magazine ads should also offer a free book or product in order to measure effectiveness. If you offer
  11. 11. MY NATURAL MARKET 11 different gifts for each advertising method, measurement will be easier to track. Pop-up and Pop unders can be measured using the times people divert from their current site to view yours or by how many people order catalogs or sign up for e-mail newsletters. You should test out different versions of this as well to see which ones work best. Infomercials often offer special deals that end soon after viewing which helps to measure activity. Samplings in markets where the demographic is concentrated should also be used to test market and message for infomercial before full roll-out. Conclusion My Natural Market has found some unique ways to fill a need for consumers wanting to stay healthy. Offering a wide variety of products as well as services that engage and inform will help to differentiate from some of the competitors. The main difference is in the organic products offered. The eco-friendly options available for household cleaners are another distinctive aspect. Illustrating the benefits of the website and the organic and eco-friendly products that are advertised as well as targeting the Baby Boomers effectively will increase consumer awareness and confidence. My Natural Market will need to continue building relationships with consumers that enhances brand loyalty. Using direct mail, magazine ads, pop-ups and pop-unders, and infomercials to magnify the already substantial social media presence will increase return on investment, profits, and market share.
  12. 12. MY NATURAL MARKET 12 References Belch, G. & Belch, M. (2012). Advertising and Promotion: An Integrated Marketing Communications Perspective. McGraw-Hill. New York, NY. Bright House Media Strategies. (2013). Smart Solution for Advertisers. Retrieved from http://bhmediastrategies.com/WhatWeOffer/TVAdvertising.aspx. Dennise, J. (2010, April 1). Despite globalization issues, scientific validation concerns, potentially restrictive regulations, rocky economics and an uneasy healthcare system, the dietary supplement market continues to grow. Nutraceuticals World. Retrieved from http://www.nutraceuticalsworld.com/issues/2010-04/view_features/dietary-supplements- 2010/. Inc. (2012). Retrieved January 31, 2013 from http://www.inc.com/profile/mynaturalmarket. Kobliski, K. (2006, January 17). Infomercials. Entrepreneur. Retrieved from http://www.entrepreneur.com/arti.cle/83092. Mazzotta, K. (2009, March 27). Prevention Adjusts Circulation Rate Base. Rodale Inc. Retrieved from http://www.rodaleinc.com/newsroom/empreventionem-adjusts-circulation-rate-base Mother Earth News. (2013). Media Kit. Retrieved from http://www.ogdenpubs.com/uploadedfiles/advertising/Mother_Earth_News_Media_Kit.p df. My Natural Market (2013). Retrieved January 31, 2013 from http://www.mynaturalmarket.com/. Natural Products Insider. (2012, December 28). Botanical Drug Market Hampered by Regulations. Retrieved from http://www.naturalproductsinsider.com/news/2012/12/botanical-drug-market-hampered- by-regulations.aspx.
  13. 13. MY NATURAL MARKET 13 Report Linker. (2013). Vitamin and Supplement Industry: Market Research Reports, Statistics and Analysis. Retrieved from: http://www.reportlinker.com/ci02037/Vitamin-and- Supplement.html. Sam’s Club. (2013). Sam’s Club commits to Healthy Living Made Simple in 2013. Retrieved from http://www3.samsclub.com/newsroom/Press/1327. The National Academics Press (2013). Vitamin and Mineral Supplements. Retrieved on January 31, 2013 from: http://www.nap.edu/openbook.php?record_id=1365&page=119.

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