What is Cust-a-Cock? A DIY penis cloning dildo kit Target: Gay males Only a few main competitors Premium pricing strategy Diversified promotional mix – Strong online Timeline allows for wider market appeal Personal use, Gift for partner, Gag gift
Cust-a-Cock is a Perfect WebProduct High customization Embarrassing product Relatively low tactility Niche product Doesn‘t require many employees Low cost to ship Little to no in-store experience necessary
Homosexual Males are theTargetHomosexual males aged 18-40, whom are livingin urban areas Ages of men who use dildos or vibrators (at least once): 51.5% ages 23 to 44 15.5 % ages 18 to 22 Gay men use the internet 13 hrs on average per week 52.7% of gay men live in urban areas
Characteristics of a TargetMarket1. Need or want a product2. Have the authority to make the purchase3. Acceptable mechanism to complete theexchange
1. Need or want a product 2011 Internet-based survey from 25,294 gay and bisexually identified men throughout the U.S. found: (78.5%) of gay and bisexual men reported having used at least one type of sex toy, including: dildos (62.1%) vibrators (49.6%) Dildos were commonly inserted into one‘s own anus during masturbation (95.7%) AND Insertion into their partners anus (72.0%) during partnered sexual activities.
2. Have the authority to make thepurchase Dual incomes present significant buying power Approximately 17 million people out of the total U.S. population are homosexual males This market has a buying power of $485 billion Also have resilient buying power Despite economic downturn,a significant number across all age groups made major purchases last year
3. Acceptable mechanism tocomplete the exchange The gay community has disposable incomes well above the national average Average HH income for gay couples = $81,500 nearly 80% above the national U.S. income average of $46, 326 Gay men‘s households earn almost 10% more per year than straight households These households can be found in 99.3% of all United States counties 36.0% of gay men have used an American Express Card in the last month
Competitors: Clone-A-Willy Summary: Produced by Empire Labs, allows one to ―make an exact copy of your penis‖, and ―makes a great gift‖. Caters to couples aged 18+. Price: $24.95 for the basic plaster kit to $44.95 for a ―special edition‖ kit Location: Mainly online – Empire Labs, website, Amazon, sex toy websites, etc. Competitive advantage: First mover advantage – one of the first products to capitalize on making an exact mold of one‘s penis Weaknesses: Slow to mold, the tube for molding is too small (one size doesn‘t fit all), difficult to understand instructions, gel dries too quickly
Competitors: Fleshlight Summary: ―#1 selling male sex toy in the world, over 4 million purchased worldwide‖. Variety of products including ―Original Lady‖ to ―Build Your Own‖, made for both males and females 18+. Price: $65.95 for ―Original Lazy‖ ranging up to $113.30 for kits featuring customized product, lube, and videos. Location: The official Fleshlight website, brick and mortar sex stores, Amazon, various adult toy websites, etc. Featured in Playboy, HBO, Wired, Maxim, etc. Competitive advantage: Marketed as a high quality, realistic sex toy (reflected by quality of website branding and price), very wide press coverage, well known product in general Weaknesses: Requires a lot of effort to use, not something you‘d use on a ―spur of the moment‖ (requires time to heat up, lube, etc)
Competitors: Dildos Summary:A commonplace item in the adult sex toy world, often phallic in appearance. Pricing:Wide range from $5 for cheap, basic product to $100+ for specialty, more individualized product Location: Everywhere – online, brick and mortar stores Competitive Advantage: Well known, ―go to product‖, widely available Weaknesses: Not particularly customizable, ―hyperchoice ― effect makes it difficult to know which product to select
Pricing Strategy Standard pricing for sex toys (dildos and vibrators) can range anywhere from $8 to upwards of $250, depending on size, features, and quality. Our biggest competitors are Clone-A-Willy, priced at $39.95-$45.95 for a standard mold kit, and Fleshlight, priced at $64.95 for customizable product and standard product.
Pricing Strategy Standard product will be priced at $44.95 with a price increase depending on optional product features. For a standard price of $44.95, customers will be able to: Choose one of 5 sizes Choose one of 15 different colors (flesh tones and fun colors)
Pricing for additional options Vibrating bullet- additional $10.00 Light up option (not combinable with vibrating option)- $10.00 Glow in the dark option- $3.00 Pack of glitter to mix into mold- $2.00/packet Confetti option (available in V-day hearts, Winter Snowflakes, and Irish Shamrocks)- $3.00/packet Piercing (needle and ring provided)-$5.00
Sales promotion Creativity Contest Challenge to all Cust-a-Cock customers—the fan who creates the most creative video using the mold of their penis will win VIP treatment at the club event of their choice. Promotion code Customers will receive the promotion code ChristmasCock to receive 25% off products purchased before December 25th.
Personal Selling Erotica expos These events will be a mix of personal selling and publicity/ promotion. We will have representatives at expos selling and explaining the product to potential customers QR Codes- 68% of gay men surveyed by Community Marketing Inc. own a smart phone (http://www.business.com/guides/marketing-to- gay-and-lesbian-consumers-1224/) ―Cocktails with Cust-a-Cock‖ Based off the idea of ―Passion Parties‖ We will have a sales rep travel to people‘s homes and sell the product to groups of friends. The host is asked to bring 10-15 friends to share in a night of fun.
PR/Publicity Sponsor events at gay clubs and bars Akbar in Los Angeles, CA (http://www.tripouttravel.com/the-50-best-gay-bars-in-america/) Metropolitan in Brooklyn, NY http://www.tripouttravel.com/the-50-best-gay-bars-in-america/) Cinch in San Francisco (http://www.sfweekly.com/bestof/2009/award/best-gay-bar-1525190/) Colt in Washington, DC (http://www.washingtonpost.com/gog/best-bets/best-gay-lesbian-club,61574.html) Gay/Erotica expos Gay Days expo in Orlando 2012 (http://www.gaydaysexpo.com/) GLBT Expo in NYC (http://www.originalglbtexpo.com/) LGBT Wedding expo in DC AVN Expo in Las Vegas, NV (http://www.bvents.com/event/192612-avn-adult-entertainment-expo) Adultcon in Los Angeles, CA (http://www.bvents.com/event/399958-adultcon-adult-entertainment-show) Inviting gay/ sex toy bloggers to events We will be inviting selected bloggers to attend the club events
Direct marketing Subscribe to website Our online advertisements will lead customers to our site where they can subscribe to receive the e- newsletter and e-mail updates. E-Newsletter Once you subscribe to the Cust-a-Cock site, we will send monthly e-newsletters with promotion events and other company updates E-mail Promotional weekly e-mails before product launch, bi- weekly after launch.
Online ad formats Why are they likely to reach audience? Our audience is a group of early adopters who are very into technology. Drawn to technology because its anonymity Gay men use the internet, on average, 12 hours weekly. (http://www.communitymarketinginc.com/gay- lesbian-market-intelligence/gay-research-gay- lesbian-consumer-index-demographics-2/)
Online ad formats Banner ads- 35% of both younger gay men and older gay men clicked a website banner ad Twice as many younger gay men clicked on a website banner ad than younger straight men (31% vs. 16%) in the past week. (http://www.communitymarketinginc.com/5th-annual-lgbt-community-survey- report-now-available/ Blog ads – we will use some of the top gay blogs to advertise our product via banner ads. 54% of GLBT adults regularly read blogs (https://openlygaymarketing.wordpress.com/tag/gay-internet-usage/) We would also like to have a couple influential gay bloggers write posts about the Cust-a-Cock Blogs we will be advertising on: Rocket Tube blog, Male-Erotika.com and Gayvention. (http://www.bestgayblogs.com/directory/?cat=blogs-for-adults) Mini-movie Create a mini-movie to advertise on pornographic sites. The product will be used and credited in the short video.
Search Engines Paid search is extremely appropriate Niche Market Consumers who search are ready to buy We can bid on specific words & phrases
Search Terms Google AdWords Sex Toys 2,740,000Global Monthly Searches Penis Mold 14,800 Searches Medium Competition Dildos for Men 22,200 Searched Medium Competition Source: GoogleAdWords<https://adwords.google.com/o/Targeting/Explorer?__u=1000000000&__c=1000000000&ideaRequest Type=KEYWORD_IDEAS#search.none>
Launch Timeline: October 2012Roll-Out of Promotion Initiatives Paid Search, Banner Ads, Porn Minimovie, Promotions through other websites, sponsorships Research top gay porn stars in the industry to search
November 2012 Put out a video of people using our product (viral video) Promote the sale of the product in a bundle (i.e with a pornographic movie) Appearances at Porn and Homosexual Expos Cyber Monday Sales Promotions Send porn stars the product and invite them to PR events in December
December 2012 PRODUCT LAUNCH Last week in November/Early December 2012 Sales promotions for the Holidays ―Use code ChristmasCockto get 25% off!‖ PR Events at gay clubs, select a porn star spokesperson Begin to sell product online
Down the Road We want to expand our target market Heterosexuals Long-Distance Relationships Other ages New Website and Marketing Plan for each target market Expand Product offerings Candles Chocolate More customization
Appendix Personal selling QR Codes- According to the CMI survey, ―emerging advertising platforms such as mobil e apps and QR tags are gaining noticeable t raction and will only become more important.‖ (http://communitymarketinginc.com/documents/te mp/LGBTCommunitySurvey2011v2.pdf ) For younger gay men, emerging ad platforms such as ‗QR codes/tags‘ (21%) and mobile app banner ads (19%) are gaining traction for click- throughs.
Appendix Community Marketing, Inc., . ―Gay & Lesbian Consumer Index Study.‖ Green Book. Green Book, 30/07/2009. Web. 30 Nov 2011. <http://www.greenbook.org/marketing ―Community Marketing, Inc. | 5th Annual LGBT Community Survey™ Report Released.‖ Community Marketing Inc. | Gay and Lesbian Market Research | Gay Market Consulting | Gay Demographics. Web. 10 Nov. 2011. <http://www.communitymarketinginc.com/5th-annual-lgbt- community-survey-report-now-available/>. Herbenick, D., Novak, DS., Reece, M., Rosenberger, JG., and V Schick. ―Sex Toy Use by Gay and Bisexual Men in the United States.‖ PubMed.gov. PubMed.gov, 04/01/2011. Web. 30 Nov 2011. ―Gay Demographics.‖ MYGAYWEB | Gay Chat, Gay Cruises, Gay Bars, Gay Accommodations, Gay Entertainment, Gay Travel, Gay Businesses, Gay Interviews, Gay News, Gay Horoscope and More... Web. 10 Nov. 2011. <http://www.mygayweb.com/info/advertising/demographics/>. ―Gay Men Earn Less, But Their Households Earn More - The Daily Stat - August 19, 2011 - Harvard Business Review.‖ Harvard Business Review Case Studies, Articles, Books. Web. 10 Nov. 2011. <http://web.hbr.org/email/archive/dailystat.php?date=081911>. ―STATISTICS.‖ PFLAG Upstate SC. Web. 10 Nov. 2011. <http://www.pflagupstatesc.org/statistics.htm>. Winerip, Michael. ―The Adult Store Goes Mainstream.‖ The New York Times. The New York TImes, 26/06/2009. Web. 30 Nov 2011. <http://www.nytimes.com/2009/06/28/fashion/28generationb.html?pagewanted=all>.