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Jimmy John's Market Communications Research Project

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Subject to Change Graduate Agency Research Project for Jimmy John's Marketing Communications

Subject to Change Graduate Agency Research Project for Jimmy John's Marketing Communications

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  • 1. JIMMY JOHN’S SUBJECT TO CHANGE AGENCY PROJECT SPRING 2014 Katrina Cotton ★ Jasmine Hale ★ Chloe Igiametse ★ Kerri Martin ★ Jackie Richardson
  • 2. • Executive Summary • History • Background • Promise • Social Media Review • SWOT – Strengths – Weaknesses – Opportunities – Threats • Qualitative Research – Intro of Focus group – Important Factors – Ads and Suggestions • Quantitative Research – Competitive Analysis – Targets – Word Associations – Necessities – Nonessential – Speed? – Advertising – Why Jimmy John’s? • Recommendations • Creative Brief • Repositioning • Project Summary • Future Research TABLE OF CONTENTS
  • 3. The Subject to Change Agency will help Jimmy John’s to connect with active individuals between the ages of 18-35 and expand the target to appeal to more women in the “Quick Service sandwich restaurant” category. The brand operates around a simple menu of 8” subs and club sandwiches which leverage fresh, quality ingredients and competitive price points. Along the way, the brand has created a hip, funny identity that resonates with their loyal customer base. When it comes to marketing communications, Jimmy John’s advertisements have a strong emphasis on “Freaky Fast Delivery”, which is relatively unimportant to the customer as it pertains to quick service sandwich shops. The most important factors to the customer when selecting a quick service sandwich shop are: taste, quality & price; variety of menu options; and customization. Keeping in mind our goal to connect with our target audience we recommend that Jimmy John’s displays more visual advertisements as well as sandwich preparation, featured menu items, and include special promotions. EXECUTIVE SUMMARY
  • 4. • According to Linda’s Stradleys “What’s Cooking America,” the submarine sandwich is a sandwich on Italian bread comprised of various meats, cheeses, and vegetables. • The concept of the submarine sandwich comes from Italian immigrants. • In 1926 the sub sandwich was served in New London, Connecticut to WWII soldiers. Stradley, Linda. "History Hoagie Sandwich, History Submarine Sandwich, History Po' Boys Sandwich, Poor Boy Sandwich, History Dagwood Sandwich, History Italian Sandwich." What's Cooking America. N.p., n.d. Web. Apr. 2014. CATEGORY HISTORY
  • 5. At only 18, Jimmy John Liautaud’s dad said he could join the Army or open a business. JJ wanted to open a hot dog stand, but it cost more than his dad’s loan; so he decided to open a sandwich shop. “He baked bread in his mom's kitchen, bought meats from Dominick's, and created his first [four] sandwiches.” (Jimmy John’s Pinterest History) JIMMY JOHN’S HISTORY
  • 6. • Found in Charleston, Illinois, in 1983 • Jimmy John Liautaud started his business paying $200 a month on rent with used equipment, a refrigerator, one meat slicer, a freezer and an oven. • Without a posted menu or an outdoor sign, Jimmy offered four sandwich varieties and 25-cent soft drinks. • Later added delivery service, tables, outdoor signs, menu boards and an expanded menu. • Opened several more stores and developed a prototype before franchising began in 1993. • Jimmy John's franchisees bake bread at each store every day, and every sandwich is made fresh to order in 30 seconds. • Jimmy John’s currently has over 1600 stores open. JIMMY JOHN’S HISTORY
  • 7. • It was not an easy beginning • JJ took armfuls of free sandwiches to pass out on the streets of Charleston – College kids loved the new tactics and sandwiches! – JJ’s famous Guerilla Marketing style was born JIMMY JOHN’S BACKGROUND
  • 8. • Cheeky attitude • Low price • Great food • Delivery with a smile PROMISE
  • 9. SOCIAL MEDIA: FACEBOOK JJ’s Facebook appears to be geared towards targeting men through partnering with NASCAR racing as well as the XGames Aspen 2014.
  • 10. JJ’s Twitter provides a great place for fan interactions and conversations. Questions and comments receive “freaky fast” responses, and fan photos get shared along with original content. SOCIAL MEDIA: TWITTER
  • 11. JJ’s primarily uses YouTube as a place to share their ads. There are a few videos of original or fan generated content, but this channel seems underutilized. SOCIAL MEDIA: YOUTUBE
  • 12. Instagram is used as a great customer connection point where JJ’s shares customers photos and experiences. SOCIAL MEDIA: INSTAGRAM
  • 13. JJ’s has several boards where fans can share their love for JJ’s, view JJ's quirky signs, and even get recipes using JJ's day old bread! SOCIAL MEDIA: PINTEREST
  • 14. • Specific target marker of college students and professionals with active lives • Technology friendly website and apps with easy navigation for menu options and delivery • Interactive social media (Facebook, Twitter, Instagram, and Pinterest) that allow Jimmy John’s fans to connect and share their experiences • Convenient locations (offices and schools) • Reliable service • Fresh products • Overall brand essence • Brand recognition • Loyal customers STRENGTHS
  • 15. • Lack of actual product being seen in advertisements • Focus is on the quality of the service instead of the quality of the product • Lack of options in the ability to customize orders • Limited variety • Preparation of food not visual to customers • Majority of advertisements are geared toward male customers • Advertisements neglect to show the elements of quality and freshness that attract female customers. WEAKNESSES
  • 16. • To expand the target market to appeal more to women • Expand the variety of options and showcase the product • Create better print advertisements • To generate coupons and create rewards points • To expand the product line to offer more than sandwiches, cookies, and chips. • To expand inside of larger businesses and college campuses (cafeteria) to influence the lunch time decision in meals. OPPORTUNITIES
  • 17. • Local competitors increasing speed time in service • Duplication in product • Lack of vision • Increasing competition in the industry • Diminishing female customers THREATS
  • 18. • When the focus group started we wanted to get to know the participants better, so we asked for names, ages, and occupation. This gave us an idea of a new target market that Jimmy John’s does not target often: women. • We are looking for why this segment wasn’t targeted and what they think about Jimmy John’s overall. Some don’t even think of Jimmy John’s as an option and skip over it for their favorite restaurants (Panera, Subway, and Chipotle). Some have never tried it before. • The determining factors for what to eat depends on price, price, speed, quality, and how close the consumer is to the restaurant. When talking about compromises when going out to eat, participants say that it depends on the situation. When going out with friends, clubbing, or drinking, they usually go for something cheap and fast. They don't want to take the time to plan to go out and wait for their food. If they are planning something in advance, then they don't mind sacrificing speed for great quality and taste. INTRO OF FOCUS GROUP
  • 19. • We then had participants rank quality, taste, and price in order of importance when getting something to eat. Taste was ranked first, after that was quality and price. This showed that participants are willing to pay extra to satisfy a craving, but understand they have limits. Ranking can change based on if they are in company of friends or colleagues and the time they have to eat lunch or dinner. • One important feature that many of the participants love is options and customization. Jimmy John’s has limited options and customizations seem non- existent due to the set menu. Many of the participants had Jimmy John’s when in college or during corporate events. • Delivery is not important for most of them since they eat inside or somewhere else. • The atmosphere of store drives away the female demographic. For some, the store is "boring, loud, and [they] are uncomfortable of the workers constantly looking at them." They describe the store as "trying to be fun/hip." IMPORTANT FACTORS
  • 20. • We showed some recent ads from Jimmy John’s. Most describe the ads as annoying, but they got their attention. Capturing attention is important, but retaining and keeping the information is what brings customers to the store. The ads talked about the speed of the delivery, and some participants suggested showing more of the food in commercial. • Suggestions from the focus group include: more advertising and coupons, more options other than sandwiches and wraps, and more of a focus on the food. • Speed is an important, especially for the young professional on the go. Lunch is the only time where some can unwind, while others need something quick to eat. • Jimmy John’s has a reputation for being fast, but they can also focus more on the food they offer, giving variety to their regular customers and also opening themselves up for different segments to try their food. ADS AND SUGGESTIONS
  • 21. COMPETITIVE ANALYSIS 0 50 100 150 200 250 300 350 Jimmy John's Subway Quiznos Potbelly Panera Bread Au Bon Pain Corner Bakery Pret a Manger Families College students Mature adults Guys Women Working people Groups Couples Senior citizens Moms Teens Who do you think the following restaurant choices appeal to?
  • 22. COMPETITIVE ANALYSIS Fun & Youthful Mature & Sophisticated Masculine Feminine Based on analysis of the target data in the previous chart, we found that the sandwich shops fell into groupings along two continuums: Masculine vs. Feminine and Fun & Youthful vs. Mature & Sophisticated.
  • 23. TARGETS Out of our sandwich shop choices, 40% of people picked Jimmy John’s as the #1 place for guys. While a popular choice for men, JJ’s came in second to last for the women, with only 15% of respondents picking it. Men seemed more concerned with convenience and location, while women were more concerned with quality of the food. When asked to rank their top three sandwich shop choices, 59% of men listed JJ's while only 34% of women did.
  • 24. TARGETS Professionals – 34% College Students – 74%Teens – 36% Overall, Jimmy John’s is in the middle of pack for professionals, in second place for teens, and completely dominates the college market.
  • 25. WORD ASSOCIATIONS
  • 26. NECESSITIES Receiving food quickly 81% Cleanliness 84% Quality/freshness of food 89% CANNOT DIFFERENTIATE ON THESE FACTORS! MUST HAVE ALL 3 IN ORDER TO COMPETE!
  • 27. NONESSENTIAL Ability to watch my food being prepared 27% Speed of food delivery 29% Ability to have food delivered 33% Jimmy John’s is differentiating on top two aspects that consumers think are unimportant!
  • 28. NONESSENTIAL There’s so much focus on delivery, but 87% of customers Dine in or carry out! Only 15% said speed was a major factor in choosing where to eat!
  • 29. IMPORTANT I multitask while I'm eating. 72% Speed is important in my life. 72% UNIMPORTANT I'll pay more in order to receive something faster. 26% I'd rather have my food faster vs. customized. 13% SPEED? FREAKY FAST! The majority believe that speed is important, and they will multitask and eat while doing other things. While speed is important, most people won’t pay more or give up their ability to customize in order to gain speed.
  • 30. • People are very aware of JJ’s advertising, particularly their television campaign (78%). • Main points recalled: – “Freaky Fast” – Speed emphasis – Delivery – Funny – Annoying ADVERTISING
  • 31. IMPORTANT New or Featured Item 62% Visuals of Food 67% Special Deal or Promotion 71% UNIMPORTANT Mention of Food Delivery Speed 36% Celebrity Endorsers 6% ADVERTISING
  • 32. WHY JIMMY JOHN’S?
  • 33. • Communications that appeal to consumers the most include: – New or Featured Item – Visuals of Food – Special Deal or Promotion – A reason to want to visit (not just “Nearby” or “No other option”) RECOMMENDATIONS Jimmy John’s advertising does not currently have strong food visuals, featured items, special promotions or reasons to visit, and we suggest that they start.
  • 34. • Consumers have received and can recall the “Freaky fast” delivery message, however: – Very few customers get Jimmy John’s via delivery – Consumers see all fast food as being fast – “Freaky fast” ads do not convince consumers to visit RECOMMENDATIONS Therefore, we recommend that Jimmy John’s shift the focus of their ads away from delivery and the notion of “Freaky fast.”
  • 35. Fun & Youthful Mature & Sophisticated Masculine Feminine REPOSITIONING • Work to appeal to men and women equally • Stay in #1 spot for fun and youthful spirit, but gain a little maturity and sophistication to help attract young professionals who’ve aged out of college demographic
  • 36. • Why Are We Doing This Communication? – Jimmy John’s advertisements have hidden its fresh ingredients behind the element of quick service to appeal to a male driven market. By highlighting healthy menu options and viewing more of the product images, Jimmy John’s can expand its target market to generate more female customers. • Primary Target Audience – Active individuals with limited time for a midday meal. College students and professionals, primary women 18-35 looking for something light and healthy to crave their appetite. CREATIVE BRIEF
  • 37. • Behavioral Objective – Don't settle for just fast. Choose Jimmy John’s to be your meal provider during the peak of the day. The combination of healthy products and quality service provides everything needed for that second wind during an intense day. • Key Consumer Insight – “Sometimes there’s the need to settle for either good products or fast service, very few restaurants provide both.” – "As I grew from a child to an adult, so did my taste in sandwiches. Ham and cheese on wheat with mayo became The Italian on a French roll with oil and vinegar." CREATIVE BRIEF
  • 38. • Benefit to Be Communicated – Freshness on the go with healthy options. • Primary Supporting Messages – Fresh healthy options – Quality service – Appreciation of the customers’ time • Brand Character – Time conscious and strategic looking to meets the health needs and satisfies of customers. CREATIVE BRIEF
  • 39. ADEXAMPLE
  • 40. ADEXAMPLE
  • 41. • Objective: To examine the factors consumers find essential when choosing a sandwich shop to dine. • Methods employed: – Qualitative research – Data collected from focus group – Quantitative research – Data collected from online survey • Significance of proposed activity: Currently Jimmy John’s advertising focuses on their freaky fast delivery. The research methods serve to investigate if the current marketing strategy is both relevant and effective. PROJECT SUMMARY
  • 42. • Important insights from qualitative research – Among young adults, price and taste are the most important determining factors when choosing a restaurant. – The participants agree that the JJ’s commercials are annoying. – Participants would prefer to hear about the food being offered. – Most of the participants order online and they rarely call when ordering food. • Important insights from quantitative research – When asked to rank their top three sandwich shop choices, 59% of men listed JJ's while only 34% of women did. – There’s so much focus on delivery, but 87% of customers Dine in or carry out. – Only 15% said speed was a major factor in choosing where to eat. PROJECT SUMMARY
  • 43. • Recommendations for Jimmy John’s marketing communications: – DO NOT focus exclusively on delivery – MOVE AWAY from sole “freaky fast” association – Include more visuals of food – Focus on menu items – Showcase Jimmy John’s healthier items – Feature a new items or featured items – Include special promotions PROJECT SUMMARY
  • 44. Conduct additional research to: • Make sure changes will not alienate current customer base • Gauge interest in customer loyalty program • Test out new couponing / promotional tactics • See if JJ’s should broaden it’s focus from a lunchtime destination FUTURE RESEARCH