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Lulu feliz marketing communication strategy Lulu feliz marketing communication strategy Document Transcript

  • UNIVERSITY OF GLASGOW MARKETING COMMUNICATIONS BRAND-LULU FELIZ 1104444sWORD COUNT: 3257
  • Table of ContentsEXECUTIVE SUMARY: .............................................................................................................................. 3SITUATIONAL ANALYSIS: ......................................................................................................................... 4 COMPANY, BRAND & PRODUCT ANALYSIS ..................................................................................... 6 CUSTOMER ANALYSIS ..................................................................................................................... 9 COMPETITOR ANALYSIS ................................................................................................................ 11OBJECTIVES: .......................................................................................................................................... 15 MARKETING OBJECTIVES .................................................................................................................. 15 COMMUNICATION OBJECTIVE .......................................................................................................... 17MARKETING COMMUNICATIONS STRATEGY & ACTION PLAN ............................................................. 18 ADVERTISING STRATEGY ................................................................................................................... 18 CREATIVE STRATEGY & EXECUTION .............................................................................................. 19 MESSAGE STRATEGY ..................................................................................................................... 20 MEDIA STRATEGY .......................................................................................................................... 21 SALES PROMOTION STRATEGY ......................................................................................................... 27 DIRECT MARKETING .......................................................................................................................... 30 CONTINUITY MEDIA SCHEDULE ........................................................................................................ 34CAMPAIGN EVALUATION ...................................................................................................................... 35BUDGETING ........................................................................................................................................... 37REFERENCES: ......................................................................................................................................... 39APPENDICES: ......................................................................................................................................... 41 1
  • LIST OF FIGURESFigure 1 CURRENT SITUATIONAL ANALYSIS ............................................................................................ 5Figure 2 PRESENT BRAND ADVANTAGES ................................................................................................ 7Figure 3 DIFFERENT BRAND IDENTITIES (Source: Davies et al. 2003) ..................................................... 8Figure 4 BACKDROPS OF CURRENT MARKETING COMMUNICATION ..................................................... 9Figure 5 COMPARISON OF LULU FELIZ WITH COMPETITORS ............................................................... 13Figure 6 STRENGTHS & WEAKNESSES COMPARISON ........................................................................... 14Figure 7 MARKETING OBJECTIVES FOR LULU FELIZ .............................................................................. 16Figure 8 COMMUNICATION OBJECTIVE SUMMARY ............................................................................. 18Figure 9 ADVERTISING ELEMENTS (O’Guinn et al., 2003). .................................................................... 19Figure 10 MESSAGE STRATGEY GOALS AND METHODS (O’Guinn et al, 2003) ..................................... 21Figure 11 ADVERTISING MEDIA TOOLS ................................................................................................. 22Figure 12 ADVERTISING STRATEGY SUMMARY .................................................................................... 27Figure 13 SALES PROMOTION STRATEGY ............................................................................................. 28Figure 14 SALES PRMOTION STRATEGY SUMMARY.............................................................................. 30Figure 15 DIRECT MARKETING STRATEGY OVERVIEW .......................................................................... 31Figure 16 DATABASE MARKETING PROCESS (O’Guinn et al., 2003) ..................................................... 32Figure 17 DIRECT MARKETING STRATEGY-SUMMARY .......................................................................... 33Figure 18 CONTINUITY SCHEDULE ........................................................................................................ 34Figure 19 MARKETING COMMUNICATION PLAN EVALUATION ............................................................ 37Figure 20 PROPOSED BUDGETS FOR THE COMMUNICATION CAMPAIGN (Source: For poster-Pwauk.com, carry bags-Amazon.co.uk; Flyers-eprinting.co.uk) ........................................................... 38 2 View slide
  • EXECUTIVE SUMARY:Lulu Feliz, a designer clothing boutique dealing in buying and selling of new and nearly new clothes,located at Dumbarton road is selected to suggest a new marketing communication campaign. Thecurrent communication strategies by the brand are posing an undesired brand image to the targetmarket. The brand currently is perceived as an expensive fashion boutique with limited range offemale dresses and accessories. While the desired brand identity is altogether different. The mainbusiness model of Lulu Feliz is to buy pre loved or used, unusual and designer clothes, in a goodcondition, from customers and sell them to new customers who wants to buy, out of the leagueclothes but at cheap prices. But because its locational constraints and emergence of different relatedbusiness models nearby its shop, the business as got affected adversely.The new communication campaign has been suggested to provide the brand a changeover andreposition it with the desired brand identity. With the launch of its new summer collection in June-2012, the campaign will be executed. The prime objective for the campaign has been to achieve 60%awareness among the target audience and establish the new brand image. Three majorcommunication tool of advertising, sales promotion and direct marketing have been used toimplement the new communication strategy.The campaign will be implemented during the whole month of June. Few weeks before the start ofJune, some tools will be used so that to create a strong base for the actual launch of the campaignon 1stJune. A media schedule has also been provided explaining the duration of each media toolused. It is followed by the evaluation process and budgeting for the campaign.The options used and suggestions made in the campaign have been done keeping in mind thecapabilities and limitations of the brand Lulu Feliz. 3 View slide
  • SITUATIONAL ANALYSIS:Lulu Feliz is a female’s fashion clothing shop on Dumbarton road in Glasgow, Scotland. The shop wasopened in April 2010 by the owner Audrey Proudfoot. Initially opened as a store to buy fashionable& expensive clothes selected by the owner herself and bought from different fashion streets ofLondon and other cities of England, currently the brand is running with a different concept.Along with selling the fashionable wear selected by the owner, the brand also provides anopportunity to people to sell their pre loved or used clothes. The only condition is that the clothesshould be unusual. In a sense, the brand does not buy regular stuff from the people who want to selltheir clothes. Their clothes should be different. For example, clothes for a specific occasion, of adesigner brand, vintage clothing wear, etc. Lulu Feliz sets the price and once the cloth gets sold, itpays the cloth owner 50% of the sale price, while keep the rest 50% as commission. Apart fromclothing, Lulu Feliz also sells accessories like bags, footwear and jewelleries, designed and selectedby the owner only. The information above is an outcome of a lengthy discussion with the owner. Thequestionnaire used for the discussion with Lulu Feliz and its competitors is been provided (Appendix1).The concept which the brand is following broadens the scope of its target customers as well assuppliers. In certain situations, its suppliers can be its customers as well and vice versa. Thus, acommon communication strategy has been suggested in this study, applicable on both thesegments, with exception at some places. BRAND ELEMENTS LULU FELIZ BRAND ANALYSISBrand as a product Designer clothes available at cheap prices. Also, people can sell their expensive clothes they don’t use anymore 4
  • Brand as a symbol An independent brand name signifies any outstanding or remarkable thing. Also signifies a fashion range of female clothingBrand as a person Gives a feel of a sophisticated feminine personalityBrand Positioning Positioned as a fashion clothing boutique.Marketing Efforts Limited to using branded carry bags.Brand Image Limited to a fashion clothing seller restricted to limited customers.Country of Origin Scottish origin with an authentic and fashionable feel CUSTOMER ANALYSISTarget Market Female Customers and other businesses that can help in reaching and thus improve the number of customers at Lulu Feliz.Target Audience Female Students and ladies who like to buy their used clothes and also, like to buy designer clothing at cheap prices. COMPETITOR ANALYSISCharity Shops More in number. An emotional aspect linked with them.Cash for Clothes An upcoming concept. Not much big in terms of size. Recycling and charity donations done after collection.Love My Clothes Same communication, price range. Offers male clothing as wellEye candy Boutique New Fashionable wear. Targeting female customers onlyFigure 1CURRENT SITUATIONAL ANALYSIS 5
  • COMPANY, BRAND & PRODUCT ANALYSISDefined by Brown (1992), a Brand is the sum of all the mental connections people have around it.Lulu Feliz as a brand name depicts the image of a fashion clothing range. The brand name as asymbol is easy to identify and likeable. Though not transferable as the clothes sold in the shop arenot of the Lulu Feliz brand name. The clothes provided by different customers to sell are also soldunder their own brand name. It is a registered trademark by the owner, which makes it protectableas well. Hence, the brand as a symbol has some positive elements in it, which can be proven asuseful inputs towards the proposed communication strategy.A product is anything which the target market potentially value due to the benefits provided by it,including different elements of it like services, place, people and ideas (Cravens & Piercy, 2006). LuluFeliz offers an innovative idea to a customer to sell their pre-loved clothes which they bought afterpaying a huge amount of money, but currently is hanged ideal in their wardrobe. It allows thecustomer to earn some money though an unused piece of cloth. Donating it in a charity would havegot them nothing and using online retailers like eBay or Amazon to sell them, would have been ahectic option, which usually middle aged ladies are not comfortable with. It also helps customers inmaking some money for their next shopping or some other expenditure.On the other hand, it makes designer clothes available at a reasonably cheap price. The price rangeof the offerings here starts from £5 and goes till a reasonable £50. Apart from the pricing, it also sellsclothes of size 8-24 which is not that easy to get in a regular fashion boutique. The shop also has amarginally big trial room, which allow customers to try clothes with ease and comfort. By not sellinga pile of same type of clothes, Lulu Feliz,also gives the customer an option to buy clothes fordifferent occasion at once and at a single place, within the same price range.Brand personification of Lulu Feliz would be the combination of a sophisticated and smart lady, whois active towards the fashion trends, while also being cautious towards the price she pays. The 6
  • product selection process at the shop is quite strict as the clothes are selected on the basis of notonly their finishing, but the unusualness they have. Regular clothes like t-shirt, jeans, funky tops, etc.won’t be available in the boutique. The ambience in the shop gives a sophisticated image of it. Useof bright colours and soft patterns inside the shop creates a suitable environment a female customerprefers to shop in.Brand as Symbol Easy identification and likeable. Easy to relate with a fashion productBrand as Product A new and creative concept. Mutual benefits for all the related parties.Brand as Person Sophisticated and price conscious female.Figure 2PRESENT BRAND ADVANTAGESLulu Feliz, however, has an unclear brand positioning. The brand Lulu Feliz wants to be perceived asa seller of new and nearly new unusual or designer clothing rail and a shop where people can selltheir pre loved clothes. Also, to its customers, it wants to get communicated as a shop to buy nearlynew designer clothes at cheap prices, whereas, the image that the brand currently has in its externalenvironment is of an expensive fashion boutique. Most of the target customers are not even awareabout this service provided by the brand. The brand is perceived as the seller of expensive designerclothing range for women. 7
  • IDENTITY Company sees itself as a channel to sell and buy expensive used clothes DESIRED IDENTITY IMAGE An oferrer to customers to sell a fashion clothing boutique their unusual designer pre for women, selling expensive loved clothes and buy these at designer clothes cheap pricesFigure 3 DIFFERENT BRAND IDENTITIES (Source: Davies et al. 2003)The reason behind Lulu Feliz’s unclear brand positioning is that it does not do any marketingcommunication to communicate the desired brand image. Except the carry bags with brand nameson it and stickers mentioning the brand name, it does not employ any other communication tool byitself. Though, whatever customer base the brand has, it helps in spreading the word of mouth. Alsomentioned by the owner, Audrey, most of the new customers that she receives, have got to knowabout them from an existing customer of hers. It also has a website, but it is not used intensivelyand is not maintained on a regular basis.The brand promise can also be a problem for the communication strategy. The brand may beperceived by the target customer as a range of expensive designer female clothing. While, on theother hand, when they would enter the shop they may get dissatisfied with the kind of clothingavailable, since the stock of new clothes is quite limited and the main focus of the brand is on thepre loved clothes dropped by customers to be get sold. 8
  • BRAND ELEMENTS LULU FELIZBrand Positioning UnclearBrand Identity Gap between the desired identity and brand imageMarketing Communication Almost none to communicate the desired brand imageBrand Promise Distant brand name and brand promiseFigure 4BACKDROPS OF CURRENT MARKETING COMMUNICATIONCUSTOMER ANALYSISLulu Feliz currently have a very limited customer base which it can refer to as its regular customer.Again the two types of customers that the brand has are the one who wants to sell their designerclothes and the other who wants to buy designer clothes at low prices. Since both the categories areconsidered as customer segments, the new marketing communication strategy would target both ofthem, with different tools in some cases. Female customers aged 25-55 years are currently servicedby the brand in the first category. While in the second category, it has female customers of agerange of 28-60 years.Target Market for the brand under the new marketing communication strategy would be femalecollege students, working and household ladies, most of whom resides within the west part ofGlasgow. These target customers should be within the age range of 20-50 years, follow an active lifestyle towards fashion, shopping for clothes and price conscious as well. The new communicationstrategy would however target unaware/uninformed customer. But aware customers would be alsobeing a prime target of the new strategy. 9
  • Target audience for the brand as per the new communication strategy would be again divided in thetwo categories. Target audience in the first category would comprise of college students, workingfemales and females in their early old age. Describing the age range of the segment would be 20-55years. College students make a huge contribution to this segment because they have a tendency tobuy new clothes on a regular basis. This phenomenon has a two way implications for the brand.First, these students always have a pile of clothes lying unused in their wardrobes, and capture spaceas well. So they would like to get rid of it. Second, to buy new clothes, students would requiremoney, which they won’t get by either keeping the ideal clothes with them, or by donating them incharity.College students nowadays are not shopping less, but shopping smart (Money ManagementWorks, 2012).Working females and ladies in their early old age would also have range of unusedclothes with them. So if they can make some money out of these, it would be lucrative for them.The second category would target college students and working females in their early 50s. Collegestudents make a majority of the target audience, in this category as well. 72% of college going girlsare spending more on their clothing (Money Management Works, 2012).A female college studentspends on an average $500-$1000 every month on clothes and need a separate clothingallowance(Lovetoknow, 2012).Thus, even during a period of recession, shopping clothes is on theprime list for college girls. Working females on the other hand have a similar tendency of shopping,with clothes on top of their spending list. But simultaneously, they like to save more while shoppingfor themselves (Dailydeal media, 2011). They are also pretty optimistic about using online vouchersfor shopping, within which, 83% likes to use vouchers related to clothing and apparels (Dailydealmedia, 2011).An additional component of target audience would be the customers at the nearby adjacent shopsof Lulu Feliz. Since the boutique is surrounded by some female beauty salons, dry cleaning shop andsome stylish household materials shops. Due to their clientele, it would be beneficial to target theseshops as well. Though targeting these shops will be restricted to some form of print advertising only. 10
  • When talking about buying clothes, it is preferred to do that in person. The owner of the brand,Audrey Proudfoot, also prefers to buy pre loved clothes in person by asking the seller to come to theshop. It allows her to choose the right type of clothes suitable for the brand image. Also, the ownermaintains a card-book system to make records of the people who have offered their clothes to besold. These cards can be used as a base for an existing customer database.Thus, the proposed marketing communication strategy would be devised in a way that would bringcustomers into the shop. Online means of marketing would also be used, but to a limit ofcommunicating the brand image and brand concept.COMPETITOR ANALYSISLulu Feliz, at present, has majorly four competitors, which are, Charity Donation Shops, e.g.,Emmaus, British heart Foundation, Cancer Research UK; Cash-4-Clothes, Eye Candy Boutique andLove My Clothes Shop. The biggest competitor for Lulu Feliz, in terms of the brand idea, is Love MyClothes. To mention here, since all of the charity donation shops have similar brand idea runningbehind them and there are also similarities in terms of their marketing strategies and productportfolio, these shops are categorised under a single name, to avoid complexity.A 4 stage screening process, proposed by Belch & Belch (2010), will be followed to analyse keycompetitors. It starts from identifying competitors, follows through identifying competitor’s strategicobjectives, their strengths and weaknesses and estimating their response patterns to our newcommunication strategy.It would be better to mention here that since the new marketingcommunication strategy for Lulu Feliz would be targeting its both types of customers, thecompetitors are also identified on the basis of their target customers, e.g., seller or buyer ofclothesor both. This can be explained by the table provided below: 11
  • ELEMENTS LULU FELIZ LOVE MY CASH 4 CLOTHES CHARITY SHOPS EYE CANDY CLOTHES BOUTIQUEBrand Idea Sale & purchase of Sale of new or Purchase of used Sale of donated Fashion clothing new or nearly new nearly new clothes for items for charity boutique designer clothes designer clothes recycling purpose purposeBrand Image Expensive fashion Used Branded Earn money by Not for profit Medium to high boutique clothes at cheap selling unused chain of stores priced fashion price clothes and other street products household thingsPrice Range £5-£50 £5-£70 Money paid on £2-£50 £10-£80 weighing basis, price offered from 80p to £1/kg maximumProducts New and Nearly New and nearly Used clothing and All used clothes New clothes and new unusual new clothing household goods & accessories accessories clothing & accessoriesSupply Source Mostly customers. Not disclosed Customers General Public Imported from Few products from donating their Europe fashion street stuffMale/Female Female Both Both Both FemaleTarget customerCollection No Not Disclosed Yes Yes NoService 12
  • Locational No. At the end of Nearby Partick Nearby shopping Spread across Outside PartickAdvantage Dumbarton road station complex at crow Dumbarton station & Morrison road roadTarget Seller & Buyer of Buyer Seller Buyer BuyerCustomer Type clothesMarketing Branded carry Flyers Website, Banners Websites, Posters and saleCommunication bags, and flyers, story Banners, discountsEffort Website line on website posters, flyers (Appendices 4) (Appendices 2&3) Figure 5COMPARISON OF LULU FELIZ WITH COMPETITORS Based on the above identified competitors and their respective features and brand positioning, an analysis of their strengths and weaknesses can be done, in the next step. The following table provides the highlights of Lulu Feliz’s and its competitors strong and weak points: ELEMENTS LULU FELIZ LOVE MY CLOTHES CASH 4 CLOTHES- CHARITY EYE CANDY I SHOPS BOUTIQUE Designer Brand √ X X X √ Image Locational X √ √ √ √ Advantage Capital X X √ √ √ Expected √ √ X X √ external response Strong Brand √ √ √ X √ idea 13
  • Emotional X X √ √ XConnectDesired Identity X √ √ √ √among targetcustomers Figure 6STRENGTHS & WEAKNESSES COMPARISON Last step would include estimating a competitor response pattern towards a change in the marketing communication strategy of Lulu Feliz. Since the closest competitor for Lulu Feliz, in terms of brand idea and concept, is Love My Clothes, it is expected that it may try to imply options to improve its overall brand image. The already implied word of mouth strategy would be helpful in promoting the new communication strategy further. Rest of the identified competitors are not expected to respond actively towards the new communication strategy. The prime reason for that would their business idea and brand image in their target market. Cash for clothes are known only for buying clothes for recycling purpose in exchange of money, whereas charity shops have the “doing-good” image connected with their brand image. Lastly, Eye Candy boutique may be assumed to getaffected by the change in marketing strategy of Lulu Feliz as they may compete on the basis of designer clothing available. 14
  • OBJECTIVES:The main problem faced by Lulu Feliz is currently the wrong and unclear brand image that it haswithin its target market. There is a severe need of a brand repositioning strategy so as tocommunicate the desired brand identity to its target audience. The new marketing communicationstrategy would be implemented during the launch of summer collection by the brand in June-2012.The media implementation would be done before, during and after the launch of new collection.This would be discussed in detail in the following sections.The marketing and communication objectives would be designed keeping brand repositioning as theultimate goal. Moreover, separate marketing and communication objectives would be set to achievethis goal.MARKETING OBJECTIVESAs discussed above, Lulu Feliz has some established as well as upcoming businesses as itscompetitors. Within a very small geographical area, the brand has a strong cluster of competitors.For a brand who is aiming for repositioning itself, it really gets important to identify andcommunicate its strong points in terms of its unique selling propositions. For Lulu Feliz, its USPwould be the concept of Unusual Designer clothing at cheap price.Marketing objectives for any brand could be interpreted in terms of market share, sales andprofitability (Belch, 2009). The new marketing communication strategy would set objectives to beachieved in two different time periods. The first would be those which could be measured andevaluated right after the campaign get over, say after 2-3 months. Second would be objectives whichshould be monitored at the end of the financial year. This would help in analysing the effectivenessof the campaign against the results achieved at the end of the year. 15
  • MARKETING OBJECTIVE EXPECTED RESULT MEASURING TOOLSales growth A growth of an approximate 20- The accounting figures of the 25% in monthly sales revenue firm can be analysed at the endIncrease in market share The brand should capture 25- Industry sales figures along 30% of the market share in the with the category sales figures used clothes segment in the region can be used to measure the market share captured by the brandGrowth in profitability By the year end, the brand Accounting books of the should be able to score a business can provide this growth in profits by 30%, information approximately.Database management Post campaign, Lulu Feliz Database management should have an extended & techniques will be adopted. organised customer database. The marketing database at the This will help the brand in end will be used to for further smooth achievement of its long communication strategies. terms goal of profitability growthFigure 7MARKETING OBJECTIVES FOR LULU FELIZ 16
  • COMMUNICATION OBJECTIVELulu Feliz, because of the new communication strategy, would undergo a complete brandrepositioning. The prime communication objectives for the new campaign would be to inform thetarget audiences about the new brand image and persuade them with the objective of generatingtrials. The communication tools to be used in the campaign would aim at spreading the awarenessabout the brand and thus, one of the results to be measured by the end of the campaign would bethe change in the number of informed customers. The second objective of persuasion can bemeasured by monitoring the number of enquiries, change in the footfall amount and trialsgenerated within the campaign period.The communication tools to be used for the campaign, their duration and their respectivecommunication objectives are being provided through the following table:COMMUNICATION COMMUNICATION DURATION EXPECTED RESULTOBJECTIVE TACTICSAdvertising - Posters By the end of second - Flyers week of June, - Printed Carry 10th may – 30thJune awareness about the bags campaign should reach - Internet to 60-65% target Advertising consumersSale Promotion - Coupons A growth in sales 15th may – 30thJune - Daily Deal revenue by 30-35% by Websites end of JuneDirect Marketing - Database 1stJune- post campaign To convert 40% of total development period target customers into - E-mail loyal customers after 3 17
  • marketing months of the campaign periodFigure 8COMMUNICATION OBJECTIVE SUMMARYMARKETING COMMUNICATIONS STRATEGY & ACTION PLANThis section will include a detailed discussion of the different communication tools to be used for thenew communication campaign. All the tools will be analysed and summarised in a way to point outthe objective, key message and media vehicles to be used, for respective communication tool. Theevaluation process and detailed budgeting for the campaign would be discussed in the followingsections.ADVERTISING STRATEGYAdvertising as a communication process is a tool for mass mediated communication. It’s a processwhere people, institute and messages interact (O’Guinn et al., 2003).And this happens through amedium, not face-to-face. Advertising is also an effective tool while it comes to informing andpersuading the target audience about a brand or a product.The strategy implemented for advertising for this campaign will include the discussion of a creativestrategy, a message strategy and media strategy for this tool, apart from the objectives. Anoverview of the above mentioned elements can be found in the following figure: 18
  • ADVERTISING OBJECTIVE MESSAGE MEDIA •to inform potential customers •the message would be tagreting •Print about the campaign or the the two categories of potential •Flyers launch of new summer customers of Lulu feliz •Carry bags collection •the central message behind the •Internet advertising •by the end of second week of different media to be used june, atleast 60%-65% of target would be positioning Lulu Feliz audience should be aware of as the only place to buy and sell the new campaign unusaul designer clothings for summersFigure9 ADVERTISING ELEMENTS (O’Guinn et al., 2003).As mentioned above, the key objective of the advertising strategy would be to spread the wordabout the new campaign and it should make 60%-65% of the potential customers aware. Theadvertising campaign would start from the third week of May and should be able to achieve thedesired numbers by second week of June. Also, the schedule for the message execution for the twotypes of target audience would be different. The message for the customers interested in sellingtheir clothes will start from the third week of May. On the other hand, communication actions forcustomers who want to buy clothes from Lulu Feliz will start from last week of May. Although, somemedia tools for advertising would continue even after the campaign gets over.CREATIVE STRATEGY & EXECUTIONThe key objective behind most of the marketing efforts is to establish a brand relationship andcreating and maintaining a brand image. Advertising helps in building brand relationships and image.Creativity in this becomes important as it makes advertising strong enough to communicate thedesired brand image, in a different way, though effective (O’Guinn et al, 2003). For Lulu Feliz, as a 19
  • part of the creative strategy, a tag line can be “Looking for a designer wardrobe changeover thissummer without paying much??? Hop into LULU FELIZ now and we’ll give you the money forthat!!!!”Taglines and words emphasising around this tagline will be used in the differentcommunication media to be used. Different taglines can also be made while designing advertisingmessage for the two types of customers.BRAND DETAILSELEMENTSStyles USP Ladies do want to shop and save money at the same time. College students are more frequent in terms of shopping since they attend lots of events like parties, etc. Brand image The tagline reflects all the different communication the brand wants to tell its audience about Emotional Not emotional but it strikes on the communicating message of buying designer clothes along with saving money Pre-emptive Customer reception is based on the quality of the final products and services. Resonance The tone of the tagline is both sophisticated yet casual. So that to connect with the target audience of different age-groupsFigure 10 CREATIVE STRATEGY ANALYSESMESSAGE STRATEGYAnother important part of the advertising strategy is the message strategy. It defines the goals whichare expected to be achieved through the advertising strategy and the methods which will be helpfulin doing so (O’Guinn et al, 2003).The following figure discusses the goal this advertising strategywants to achieve and the method used for that: 20
  • ADVERTISING MESSAGE GOAL METHOD USEDLink a key attribute to the brand name- the - USPbrand name LULU FELIZ has to be associatedwith the seller of unusual designer clothes atcheap pricesPersuade the potential consumer- to convince - Reason-why Adspotential customer to sell through or buy preloved designer clothes from Lulu FelizInstil brand preference- make potential - Feel good adscustomers prefer Lulu Feliz over itscompetitorswhen planning to shop for usedclothingFigure 11MESSAGE STRATGEY GOALS AND METHODS (O’Guinn et al, 2003)MEDIA STRATEGYMedia strategy is one of the most important components of any communication plan. The objectiveof every communication strategy is to reach most of its target audience as strongly as possible. To doso, it becomes a basic requirement to use a combination of most of the media tools available. Butalong with considering the key objectives that the campaign wants to achieve, while selecting mediatools to be used, it is also important to keep in mind the limitations of the brand or rather the firmfor whom the campaign is to designed and executed.For Lulu Feliz as well, the case is not different. It has its own financial and other internal limitations.Hence it becomes necessary to screen out those tools which are best suitable for Lulu Feliz. Thefollowing table depicts the tools selected in the advertising strategy, along with listing the reasons: 21
  • MEDIA TYPE REASON FREQUENCYPOSTERS - Low cost - From 15th may to end of June. If found effective, - Easily visible to by it can be continued even after the campaign as passers wellFLYERS - Low cost - Flyers distribution to be start from 15th may and - Customised reach continue till 14thJune, thrice a weekCARRY BAGS - Medium cost - New printed bags to be supplied during the - Longer life cycle month of June - If found economical, can be continued after the campaign as wellINTERNET - Low cost - Updating website in early mayADVERTISING - Maximum reach, - Profile creation on social networking websites in if used effectively early may - Integrating the above optionsFigure 12ADVERTISING MEDIA TOOLSPOSTERSLulu Feliz has used the posters for advertising purposes in the past as well which proved to be quiteeffective for the business. The 2 large glass windows are the optimum space for putting the posters.One thing to note here would be that 2 different posters will be designed for the 2 types ofcustomers the brand is targeting. Being on the main Dumbarton Street, although on the dark side,proves some good for the boutique. Posters on the windows would be easily visible to the by 22
  • passers. It’s a low cost option as much quantity of posters won’t be required and per unit cost of theposters is very low as well.Things to be taken care of while using this tool as advertising strategy is that posters should be ofsuitable size, i.e., not too big and not too small. The print should be taken on a high quality photopaper which has a high a colour reflecting features and longer life. The poster for customers whowants to sell their pre loved clothes should be put between 15th may-14thJune. After that, posters forcustomers wanting to buy pre loved clothes should be put on both the windows. Once the campaigngets over, these posters can be used alternatively as per the need of the business situation.Theireffectiveness can be monitored though observing the stop rates and hopping in the shop by peopleafter watching the posters.FLYERSFlyers are one of the cheapest modes of spreading the word about any business. For Lulu Feliz, aboth side printed flyer will be used and distributed in different area of west end and nearby citycentre. One side of the flyer will have information about the customers planning to sell their preloved clothes and the other side will target the customers planning to buy preloved designer clothesat cheap prices. The distribution will be done thrice a week starting from 15th may and will end in theweek starting from 14thJune. Part time resources will be hired for this,which will be paid on the basisof number of flyers distributed, for example, £25 for 1000 flyers. Also, different regions will beselected for each day so that maximum coverage can be achieved during these 4 weeks.Again, the thing to be kept in mind while using flyers as a communication tool is the quality of theflyer. Good quality flyers would be required as they will have to face the transportation wear & tear.Also, once distributed, a longer life can be expected from them and so will be the communicationeffect. 23
  • CARRY BAGSThe carry bags currently used have only the brand name on it. The owner also uses stickers with theLulu Feliz brand name on it. But this option has a shorter life cycle and this does not match thedesired brand image as well. While the new bags to be used during the campaign will have the keymessage of the brand. Again, different messages will be printed on either side so that to be usefulfor both types of target customers. The message used on the bags will be in consistence with thoseon the posters. A significant amount of carry bags will be printed and purchased in bulk. This willprovide a dual benefit. One, it will cost low and second, the leftover bags, if any, can be used afterthe campaign gets over.The purpose of using carry bags is an advertising tool is that these bags travel a lot once they go outof the shop and reach potential customers in a way unknown to the brand itself. Therefore, evenafter being a tool of promoting the brand, it can be used as an effective tool for advertising as well.The effectiveness of this media can be monitored through the number of customers coming again tothe boutique. New customers coming with previous ones can also be due to the message carried outthrough these bags. Thus, if any such instance happens, that can also be referred to as an effectiveuse of carry bags.INTERNET ADVERTISINGThis tool is one of the most important ones as it has the most effective reach in terms of both qualityand quantity. Lulu Feliz should update its website by early may. Different element from thecampaign should be updated on the website and if possible, product information and pictures 24
  • should also be put on the website. Although, no transaction opportunity to be provided on thewebsite.Moving further in the World Wide Web, social networking websites should be used to create thebusiness profile for the brand and connecting with its target audience, mainly college students,through this media. Facebook and twitter only should be used for this purpose initially. Some groupselling websites will also be used, which will be discussed in the following sections.Internet will be a cost effective tool for the brand. Also, it can be measured by using cheapsoftware’s to monitor the number of total and unique visits on the website. Also, the numbers ofposts, tweets, likes, subscribers, followers, etc. aresome of the ways to measure this tool’seffectiveness. Not to miss out, the above mentioned webpages will be linked to each other so thatto imply an integrated effect. This monitoring will be done on weekly basis and analyses will bemade every week. Suggestive actions will be taken in terms to modify next week’s strategydepending on last 2 week’s result. On Lulu Feliz’s website, links to its social networking profile pageswill also be added.A summary of the different advertising tools to be used is provided below:Advertisin Flow Resources Scheduling Monitoringg Media InvolvedPosters - To be put - Can be - 15th may - People on the done by to 30thJune stopping shop the owner outside to windows herself read the poster and popping in to enquire or 25
  • shopFlyers - to be - Part time - 15thmay to - Customers distributed resources 20thJune arriving from thrice a can be the areas week hired where flyer distribution has been doneCarry Bags - New brand - Matter to - 1stJune to - Customer message be 30thJune repetition to be provided - old printed on to the customers the carry carry bag bringing in bags used suppliers new customers - new customers coming with reference of existing customersInternet - website - external - 10th may to - Click rates updating technical 30thJune and page - social support visits networkin will be - Posts, 26
  • g profile required comments creation and followers on social networking profilesFigure 13 ADVERTISING STRATEGY SUMMARYSALES PROMOTION STRATEGYSales promotion techniques are also an important part of a marketing communication strategy forany brand. While mass media advertising aims at building a brand image, sales promotion have astraightforward objective of inducing purchase behaviour. Sales promotion is the use of incentivetechniques to persuade potential customer to make a trial. These can result in repeat purchases iffound effective (O’Guinn et al., 2003).For Lulu Feliz, consumer sales promotion techniques of coupons and sales promotion using dailydeals websites like groupon, living social, etc. will be used. Before discussing the tools in details, thefollowing figure provides an overview of the sales promotion strategy: 27
  • SALES PROMOTION OBJECTIVE MESSAGE MEDIA • to generate trials and • message behind • Coupon create a hype using this would be • daily deal websites • to increase sale by to make the 30%-35% by the end customers coming of june during the campaign some extra benefitsFigure 14 SALES PROMOTION STRATEGYCOUPONSCoupons will be used in a twofold manner for Lulu Feliz. The flyers to be used in the advertisingstrategy will have price-off coupon information printed on it. The customers bringing these flyerswith them will be eligible to use the offer. For the customer planning to sell their used clothes will beprovided an extra amount of money once their clothes get sold and those planning to buy clothesfrom Lulu Feliz will be provided extra 10% discount on their purchase.The duration of these coupons will be the same as of that of the flyers. By doing it this way, it won’tcost anything extra for Lulu Feliz as well. It will also be easy to monitor the effectiveness of thesecoupons.DAILY DEAL WEBSITES 28
  • Daily deal market has grown at an enormous rate in the past six months. According to CBRonline(2012),UK consumers have spent over £290m through daily deal websites. In a daily deal summit inEurope, it was revealed that between July-December 2011, consumers saved an average of £375mby shopping through daily deal websites.In the new marketing communication strategy, daily deal websites will be used as a sales promotionstrategy for Lulu Feliz. Consumers bringing their daily deal vouchers with them will be provided theoffer. This strategy is aimed at those female who are using daily deal websites on regularly basis.Lulu Feliz will be using Groupon and Living Social, for this campaign. These are the top 2 ranked dailydeal websites in terms of the number of daily visitors these websites receive(dailydealmedia,2011).Also, both of these websites have college and working females as their majority audience(Alexa, 2012). This strategy will be used for the month of June 2012. Number of deals reimbursed atthe shop will be used for monitoring its effectiveness.Sale promotion strategy for Lulu Feliz can be summarised as follows: COUPONS DAILY DEAL WEBSITESFlow - To be used along with the flyers - To provide price off or transaction based deals through Groupon and Livingsocial websitesResources Involved - Common as in the flyer - An account with the two daily distribution with no extra cost deal websites would be neededScheduling - 15th may to 20thJune - 1stJune to 30thJuneMonitoring - Number of Customers bringing - Number of customers using 29
  • flyers and redeeming the offer groupon or living social to transact at the shopFigure 15SALES PRMOTION STRATEGY SUMMARYDIRECT MARKETINGDirect marketing involves an attempt to create a dialogue between the marketer/firm and thecustomer. The objective of a direct marketing strategy is to establish a communication processbetween the concerned parties, in a way to build a long term relationship. The effectiveness of adirect marketing strategy can be measure through the speed of availability of a measurable response(O’Guinn et al., 2003).The new campaign for Lulu Feliz will implement database marketing and e-mail marketing as itsdirect marketing strategy. An overview of the direct marketing strategy for the brand can be foundin the following figure: 30
  • DIRECT MARKETING OBJECTIVE MESSAGE MEDIA • by the end of the • Motivating loyal • Database marketing campaign, atleast 40% customers by providing • e-mail marketing of customers should regular updates and become loyal information on future customers clothing collections and • to increase the promotional offers customer databaseFigure 16 DIRECT MARKETING STRATEGY OVERVIEWDATABASE MARKETINGThe new campaign will develop a customer database for Lulu Feliz. Once developed, this databasecan be updated and further modified in future. The database will be useful in starting andmaintaining a continues dialogue with its best customers. Though there are 4 different types ofdatabases which can be maintained by a firm. The campaign will start with the most basic one andby the end of the campaign, a customised marketing database will be provided to Lulu Feliz. Theimplementation of database marketing, as a process, can be explained by the following figure: 31
  • MAILING LIST LIST ENHANCEMENT - a file with names and addresses of exisiting MARKETING DATABASE customers will be developed - additional information will be incorporated into the - purchasing information - as the campaign will go existing databse databses can be a costly on, information rlelated to option for the brand. - this information will include customers personal hence, not used the demographic and preferences and behavioural behavioural data about the patterns will be recorded customers - this can be done by engaging customers in a dialogueFigure 17 DATABASE MARKETING PROCESS(O’Guinn et al., 2003)E-MAIL MARKETINGOnce the marketing database has been developed for Lulu Feliz, this can be used time by time tocontact customers with a purpose of receiving feedbacks, informing about upcoming collections andevents, and promotional techniques. This tool can be used even after the campaign gets over, as itwill be useful for the brand in keep those customers with itself, who shifted to Lulu Feliz during thecampaign, and thus can have long term implicationsAlthough, the quality of response reception depends on the level of satisfaction a consumer havegained after interacting with the brand. It gets important for Lulu Feliz to provide a world class rangeof products and services to its customers, both during and after the campaign. 32
  • The summary of the direct marketing strategy can be presented as follows: DATABASE MARKETING E-MAIL MARKETINGFlow - A customer database - The customer database will be developed developed will be used - Starting from the most to send informational basic one of mailing list, and promotional e- it will be organised into mails a customised marketing - Feedback collection will database also be done through thisResources Involved - External resource - No external resources required till the required. development of the marketing databaseScheduling - Starts from the very - Post campaign beginning of the - Should be pursued campaign, i.e., 1stJune regularlyMonitoring - Involvement of - Quality and quantity of customers response receivedFigure 18DIRECT MARKETING STRATEGY-SUMMARY 33
  • CONTINUITY MEDIA SCHEDULE CAMPAIGN MEDIA SCHEDULE WEEK-1 WEEK-2 WEEK-3 WEEK-4 WEEK-1 WEEK-2 WEEK-3 WEEK-4 POST MEDIA TOOL MAY MAY MAY MAY JUNE JUNE JUNE JUNE CAMPAIGN 2012 2012 2012 2012 2012 2012 2012 2012 PERIOD ADVERTISING Poster Flyers Carry Bags Internet Advertising SALES PROMOTION Coupons Daily deal websites DIRECT MARKETING Database Marketing E-mail marketingFigure 19 CONTINUITY SCHEDULE 34
  • CAMPAIGN EVALUATIONA marketing communication campaign is very important for any firm in terms of mainly two things.First, important objectives are linked with the campaign. If successfully launched and implemented,a campaign can bring a turnaround for the firm. Second, significant amount of cost is involved in thecampaign, which captures a strong space in the company’s balance sheet in the liabilities side.Hence, it becomes important for any campaign to help the brand generate sufficient amount ofmoney, not just to cover up the expenses, but earn a lucrative profit over it.A communication campaign should be evaluated as it helps in improving future decision making. Itprovides an opportunity to reduce risks for future strategies. If the same firm goes for a newcampaign with new objectives and media, it will be able to use its past experience and can work outan improved campaign. In simple words, the basic objective behind evaluating a communicationcampaign is to identify the mistakes and shortcomings, and to eliminate them in the future. If sodone,it will ultimately save costs(Belch & Belch, 2010).The campaign for Lulu Feliz involved three major communication tools to be used, i.e., advertising,sales promotion and direct marketing. Out of the three, advertising has options for a pre-testing aswell. But due to the limitations of the owner, Audrey Proudfoot, all the tools will be evaluated interms of their post launch scenario. However, a brainstorming session with the owner will be held todevise out a desired advertising message and action plan. A post launch evaluation plan for thecommunication tools is provided below:COMMUNICATION TOOL EVALUATION METHOD DETAILS Thought Listing Random selection of customers (O’Guinn et al., 2003) Recording the attitude and judgement of Advertising customers towards a promotion or the overall brand image Comparison can be made between the 35
  • desired and the actual response received Recognition Test Customers selected on a random basis to be (O’Guinn et al., 2003) asked about an ad Evaluation can be done on the basis of how well the advertisement is recognised Brand Website Number of visits Number of total and unique visits received Number of enquiries during the campaign Number of enquiries received through the websiteSocial Networking Profiles Profile Analysis Number of followers at the beginning and at the end of the campaign Number of comments, tweets, posts and shares at the beginning and the end of the campaign Sales Promotion Sales analysis A check can be made at the end of the Cost Vs revenue campaign as well as the financial year, that comparison whether the sales objectives set before the campaign have been achieved or not A cost analysis can also be done to analyse the expenses incurred versus the revenue generated by the campaign, at the end of the campaign Financial methods like break even analysis can also be used to measure the time it took to cover up the cost and it started making profits for the brand (Hillier & Clacher, 2011) 36
  • Direct Marketing Cost per order The effectiveness of direct marketing can Measuring Response evaluated by measuring the number of calls generated by the advertisement The quality and quantity of the responses received through direct marketing can also be helpful in evaluating its performance Figure 20 MARKETING COMMUNICATION PLAN EVALUATION BUDGETING PER UNITCOMMUNICATION MEDIA SERIVCE QUANTITY TOTAL COST PRICE ADVERTISING BUDGETPoster - Shop window size £18.4 6 £110.4 posterFlyers 13p 5000 £50Carry Bags 14p 500 £67 INTERNET ADVERTISINGWebsite management & - 8 page website £75 1 £75Social Networking development andintegration management - Social networking profile management - SEO optimization SALES PROMOTION BUDGETCoupons Flyers include coupons. Hence, no additional budget requiredDaily deal websites Depends on the deals 37
  • provided on daily basis DIRECT MARKETING BUDGETDatabase Marketing Developing and organising £500 £500 customer databaseE-mail marketing Done by the owner. Hence, no additional budget requiredTotal Budget £802 Figure 21PROPOSED BUDGETS FOR THE COMMUNICATION CAMPAIGN (Source: For poster-Pwauk.com, carry bags- Amazon.co.uk; Flyers-eprinting.co.uk) 38
  • REFERENCES: Alexa.com (2012) groupon.co.uk - Information from Alexa Internet. [online] Available at: http://www.alexa.com/search?q=groupon.co.uk&r=home_home&p=bigtop [Accessed: 20 Apr 2012]. Alexa.com (2012) livingsocial.co.uk - Information from Alexa Internet. [online] Available at: http://www.alexa.com/search?q=livingsocial.co.uk&r=site_screener&p=bigtop [Accessed: 20 Apr 2012]. Belch, G. and Belch, M. (2010) Advertising and Promotion-An Integrated Marketing Communications Perspective. 8th ed. Irwin McGraw-Hill. Cbronline.com (2012) UK spends nearly £300m on daily deal websites - Computer Business Review. [online] Available at: http://www.cbronline.com/news/uk-spends-nearly-300-million- on-daily-deal-websites-080312 [Accessed: 18 Apr 2012]. Cravens, D. and Piercy, N. (2006) Strategic Marketing. 8th ed. McGraw Hill. Davies, G. et al. (2003) Corporate Communication and Competitiveness. Routledge. E-printing.co.uk (2011) Flyer Printing, full colour flyers printing, leaflets printing. [online] Available at: http://e-printing.co.uk/flyer_printing/price.asp?hd=130&size=A6 [Accessed: 18 Apr 2012]. Frazier, K. (2006) Amount of Spending Money a College Student Needs. [online] Available at: http://college.lovetoknow.com/Amount_of_Spending_Money_a_College_Student_Needs [Accessed: 18 Apr 2012]. Hillier, D. and Clacher, I. (2011) Fundamentals of Corporate Finance: European Edition. McGraw Hill. 39
  • Media, K. (2011) New Eversave Survey Reveals Women’s Shopping Habits – It’s Not Guilt Free |Daily Deal Media. [online] Available at: http://www.dailydealmedia.com/278new-eversave-survey-reveals-womens-shopping-habits-its-not-guilt-free/ [Accessed: 19 Apr 2012].Media, K. (2011) Top Ten Daily Deal Sites | Daily Deal Media. [online] Available at:http://www.dailydealmedia.com/top-ten-daily-deal-sites165/ [Accessed: 19 Apr 2012].Money-management-works.com (2009) Teen Spending, Teen Spending Habits, Teen ConsumerSpending Habits. [online] Available at: http://www.money-management-works.com/teen-spending.html [Accessed: 18 Apr 2012].O’Guinn, T. et al. (2003) Advertising and Integrated Brand Promotion. 3rd ed. Thomson South-Western. 40
  • APPENDICES:1. QUESTIONNAIRE:Q.1 Please tell us something about the background of Lulu Feliz.Ans.Q.2. What are the key products/services that you are offering?Ans.Q.3 Who are you target customers?Ans.Q.4 Currently, which all marketing tools are you using to promote Lulu Feliz?Ans.Q.5 According to you, what are your:Strengths:Weaknesses:Opportunities:Threats:Q.6 Who are you key competitors that you think are a threat to your brand?Ans. 41
  • Q.7 What do you think are the key strengths and weaknesses of your competitors against Lulu Feliz?Ans.Q.8 What are the key differentiating factors of your offerings?Ans.Q.9 Do you often introduce come up with new launches?Ans.Q.10 If yes, do you use any marketing tool to promote the launch?Ans.Q.11 What is the monthly budget that you set for marketing on a monthly or annual basis?Ans. 42
  • 2. WEBSITE 13. WEBSITE-2 43
  • 4. WEBSITE-3 44