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IMC_Campaign

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IMC_Campaign

  1. 1. PRESENTED BY: TERESA M COMPTON IMC 610 EARLY FALL 2015 INTEGRATED MARKETING COMMUNICATION PLAN FOR 2016 GET CONNECTED WITH THE HOME DEPOT AND GET CONNECTED TO YOUR HOME.
  2. 2. The Home Depot Integrated Marketing Campaign 2 TABLE OF CONTENTS Get Connected with The Home Depot and Get Connected to Your Home. ...........................................................................1 Executive Summary.................................................................................................................................................................3 Background Information.........................................................................................................................................................4 Competitors ..........................................................................................................................................................................11 Target Audience....................................................................................................................................................................14 SWOT Analysis.......................................................................................................................................................................17 Marketing Objectives and Strategies....................................................................................................................................20 Creative Strategy Statement.................................................................................................................................................22 Creative Brief ........................................................................................................................................................................24 Sample Creative Content ......................................................................................................................................................25 Media Objectives ..................................................................................................................................................................26 Media Flow Chart..................................................................................................................................................................34 Public Relations.....................................................................................................................................................................35 Direct Marketing...................................................................................................................................................................38 Sales Promotion....................................................................................................................................................................42 Evaluation Plan......................................................................................................................................................................45 Conclusion.............................................................................................................................................................................46
  3. 3. The Home Depot Integrated Marketing Campaign 3 EXECUTIVE SUMMARY The Home Depot, Inc enjoys the top spot among home improvement retailers in the United States. The success the company has seen over the past 37 years has been built on offering quality products and service. The commitment to customer and community service has solidified their place as a household name in America. As a home improvement store, competitive atmosphere for The Home Depot is shifting. The dependence on the housing market is a problem, as over the past 10 years it has been volatile. A shift in homeownership to renting could threaten The Home Depot’s profitability over the next 10 years. That is why this integrated marketing campaign aims to get ahead of the challenge. It aims to develop a relationship with an entirely new type of customer who will become the core customer of our future. Millennials are the next upcoming generation, and they are rejecting the ideals of their parents by delaying childbirth and homeownership. This is the ‘connected’ generation. Acclaimated to technology, impatient, and creative. We will adapt our message to appeal to their lifestyle and start a relationship with them. This plan is a comprehensive Integrated Marketing Communications plan. It not only covers the objectives, execution, and evaluation of the campaign, but encompasses a completely rounded approach to reaching our target market. Traditional and digital media, Public relations, Direct Marketing, and Sales Promotion will all work together to compel our target audience to get connected to The Home Depot.
  4. 4. The Home Depot Integrated Marketing Campaign 4 BACKGROUND INFORMATION BEGINNINGS The Home Depot has been incorporated since June 29th , 1978, and opened the first store in Atlanta, GA in 1979 (The Home Depot, Inc.). It was founded by Bernie Marcus and Arthur Blank (The Home Depot, Inc., n.d.). The company has its roots in do-it-yourself philosophy, and in the early days, emphasis was placed on empowering customers to complete their own home improvement projects. The company’s financial history is also important, the company’s stock went public on September 22, 1981 for $12 a share and is now a publicly traded company on the New York Stock exchange. The company has split its stock 13 times, and the last stock split was on December 30th , 1999 (The Home Depot, Inc.). It was originally traded on the NASDAQ, and moved to the New York Stock Exchange in the late 1980’s. The Home Depot, Inc. has made several important acquisitions throughout its history. They expanded into Canada with the purchase of Aikenhead Hardware in 1994 (The Home Depot Canada, n.d.). In the mid-2000’s they acquired National Waterworks Supply, a supply company for maintaining wastewater systems (Cleary Gottlieb, 2005), and also several closely held construction companies (Cleary Gottlieb, 2005). More recently, The Home Depot acquired the web company Redbeacon, a networking site for consumers to connect with professionals for home maintenance, in 2012 (Cleary Gottlieb, 2012), and also invested in acquiring could-based software company Black Lotus (Cleary Gottlieb, 2013). CORE VALUES & MISSION STATEMENT The Home Depot has 8 value statements that guide the actions of the company, and they also serve as the company’s mission statement. They are quoted as follows: “The Home Depot is in the home improvement business and our goal is to provide the highest level of service, the broadest selection of products and the most competitive prices. We are a values-driven company and our eight core values include the following (The Home Depot, Inc., n.d.):
  5. 5. The Home Depot Integrated Marketing Campaign 5 • Taking care of our people: The key to our success is treating people well. We do this by encouraging associates to speak up and take risks, by recognizing and rewarding good performance and by leading and developing people so they may grow. • Giving back to our communities: An important part of the fabric of The Home Depot is giving our time, talents, energy and resources to worthwhile causes in our communities and society. • Doing the right thing: We exercise good judgment by "doing the right thing" instead of just "doing things right." We strive to understand the impact of our decisions, and we accept responsibility for our actions. • Excellent customer service: Along with our quality products, service, price and selection, we must go the extra mile to give customers knowledgeable advice about merchandise and to help them use those products to their maximum benefit. • Creating shareholder value: The investors who provide the capital necessary to allow our company to grow need and expect a return on their investment. We are committed to providing it. • Building strong relationships: Strong relationships are built on trust, honesty and integrity. We listen and respond to the needs of customers, associates, communities and vendors, treating them as partners. • Entrepreneurial spirit: The Home Depot associates are encouraged to initiate creative and innovative ways of serving our customers and improving the business and to spread best practices throughout the company.
  6. 6. The Home Depot Integrated Marketing Campaign 6 • Respect for all people: In order to remain successful, our associates must work in an environment of mutual respect, free of discrimination and harassment where each associate is regarded as a part of The Home Depot team. (The Home Depot, Inc., n.d.) FIGURE 1 - VIA THE HOME DEPOT The Home Depot’s value statements make it clear that the IMC campaign must be family, community, and relationship oriented. The annual report and investor relations team place a heavy emphasis on highlighting community involvement and charitable giving in reports and communications to investors and stakeholders (The Home Depot, Inc., 2015). FINANCIAL SNAPSHOT As of the Second Quarter of 2015, The Home Depot had reported $24.8 billion in revenue, which was an increase of over 4% from the Second Quarter of 2014. In other comparisons to 2014, gross margin has increased 6 points, and earnings were up by 100 million dollars, to $2.2 billion (The Home Depot, Inc.). Earlier in 2015, The Home Depot, Inc. made a major acquisition they expect to increase their earnings by the end of the fiscal year. The company acquired Interline Brands, a facilities maintenance and repair company. This was a strategic move to take advantage of the increase in renters and decline in homeownership (Reuters, 2015).
  7. 7. The Home Depot Integrated Marketing Campaign 7 Right now, The Home Depot is coming off of a very successful summer, with big-ticket items leading the way for high summer earnings. The improving economy and housing market are given some credit, but the decline of competitors and a recent expansion in product offerings is also to be credited (Kell, 2015). The company now owns and operates over 2,200 stores in the US, China, Mexico, and Canada. It also maintains a web presence at www.homedepot.com, and other localized domains (The Home Depot, Inc., n.d.). Currently, the Home Depot is the 5th largest retailer in the world, the 4th largest in the US. They are the largest Home Improvement Retailer globally (The Home Depot, Inc., n.d.). PRODUCTS AND SERVICES The Home Depot views its customers’ homes as not only a financial investment, but an emotional one as well. For this reason, The Home Depot aims to provide all the products and services necessary to create their dream living space, with innovation at the forefront of their product strategy. Each store has an in-store inventory of up to 40,000 products, and The Home Depot is able to special order 250,000 other products not offered in store. The average store is 105,000 square feet, with an outdoor space of 23,000 square feet. (The Home Depot, Inc., n.d.). The Home Depot’s product inventory primarily consists of building materials, home improvement supplies, appliances and lawn and garden products. They also stock exclusive and house brand products that cannot be found anywhere else, such as tools from Ryobi and RIDGID, paint from BEHR, appliances from LG, and lawn equipment from Toro and Cub Cadet (The Home Depot, Inc., n.d.). They have also created brands when no national brand exists, such as Its Hampton Bay brand ceiling fans, and they have also on a limited basis developed licensed branded products such as Thomasville kitchen cabinets (Engal, 2002). Services are also a part of The Home Depot’s offering. These services are broken down into four categories: Home Services, Serving the Pro Customer, Free How-to Clinics, and Kid’s Workshops. Home Services allows access to pre- screened independent contractors to complete jobs for them. The consultations are often free and on-site. On the other side of the equation, Serving the Pro Customer targets the contractors and workers themselves, offering service and support to make them more successful. They enjoy a dedicated service desk, loyalty program, credit, and other
  8. 8. The Home Depot Integrated Marketing Campaign 8 programs. How-To Clinics and Kids’ workshops are demonstrations and interactive classes that train on specific projects. These are offered every Saturday and Sunday (The Home Depot, Inc., n.d.). PRICING STRATEGY The Home Depot has a low-cost strategy, and aims to offer the lowest prices of its competitors. In fact, the Home Depot offers a 10% low-price guarantee, so if a competitor does have a lower price, home Depot can beat it (The Home Depot, Inc., n.d.). Home Depot has both big and small ticket items, and with serving individuals, families, as well as large companies, the amount per ticket must vary widely. CURRENT MARKETING EFFORTS The Home Depot’s current marketing employs the slogan “More Saving. More Doing” and utilizes a consistent orange, white, and black color pallet. PUBLIC RELATIONS The Home Depot, in line with its values, demonstrates a commitment to charity and philanthropy. The Home Depot Foundation provides grants, donates products, and facilitates volunteer projects that build or improve housing for US military veterans. The Home Depot publishes the information about these efforts online (The Home Depot Foundation, 2015). Home Depot sponsors veteran education support program sponsorships, accessibility projects to help disabled people, and the Home Depot can be found helping at nearly every natural disaster nationwide. The most recent were the Sand Springs tornado and the flooding in Texas in Oklahoma. Recently, Home Depot gains publicity for these efforts, as well as when a milestone passes for these disasters. For instance, the tenth anniversary of Hurricane Katrina, so The Home Depot was able to release photos of how they have been involved (The Home Depot, 2015). In other areas of public Relations, Home Depot also is prepared with a crisis management plan. In 2014, the company suffered a massive data breach, and customers’ card information was compromised. The company quickly moved to
  9. 9. The Home Depot Integrated Marketing Campaign 9 create a website section devoted to the breach, send out a press release, and set in motion identity protection for affected customers (The Home Depot, 2014). PRINT Weekly print ads are still utilized by The Home Depot, but they are moving away from it. They are seeing better returns on interconnected retail technology and interactive channels of marketing. This time last year, the company had cut print ad spending by 60% since 2010 (Gara, 2014). TELEVISION The most recent TV spots for The Home Depot featuring the slogan “Let’s Do This” have been released in both English and Spanish, demonstrating commitment to reaching the Hispanic community though the television medium. The ads inform consumers on value added services that The Home Depot offers, such as their mobile paint color app, workshops for home improvement projects, and warranties on carpet. Pricing information or special offers are always presented at the end of the commercial (The Home Depot TV Ads, 2015). SOCIAL MEDIA Home Depot manages multiple social media channels for different aspects of its business. The company’s YouTube channel posts daily short videos with guides, news, and corporate information. The corporate twitter posts information on workshops, charity work, and specials. Home Depot provides customers with inspiration on Pinterest, pinning their own products in styled settings. The company’s Facebook page is only updated every few days, the majority of the effort being funneled into answering customer service complaints and interacting with customers in the comments. WEB Several websites and subdomains are managed by The Home Depot, and they all have their own design, layout, and content structure. A few of their more distinct web properties are:
  10. 10. The Home Depot Integrated Marketing Campaign 10 The Home Depot Foundation (thehomedepotfoundation.org) – dedicated to informing people about the programs offered for veterans. Built from Scratch (builtfromscratch.homedepot.com) – another blog style site that showcases The Home Depot’s disaster relief efforts and other philanthropic efforts and charity work. Red Beacon (http://www.redbeacon.com/) – connects homeowners with licensed and pre-screened professional contractors. Of course, there is also the major main e-commerce sites where the company sells nearly 250,000 products. These are thehomedepot.com, thehomedepot.ca and thehomedepot.com.mx.
  11. 11. The Home Depot Integrated Marketing Campaign 11 COMPETITORS LOWES Lowes is considered the leading competitor to Home Depot, because it is the largest store of similar mission and product offering. However, comparing information for both companies, Lowes has about 400 less stores, and has less square footage for store. The company had $56.2 billion dollars in 2014. The slogan for Lowes is “Never Stop Improving.” (Lowes, n.d.) Financial - Lowes is doing excellent financially. Their Q2 2015 earnings were 8.4% higher than this time last year. They made headlines by declaring a dividend in August because they were doing so well, that dividend will be paid November 5th and should raise their stock price. Earlier in the year, they had an excess of cash and returned $5 billion to shareholders, and declared another dividend. They have purchased 13 old leases from Target this year, meaning they are set on expanding even more (Lowes, 2015). Current Marketing Efforts - One of Lowes biggest strengths is its direct marketing and sales promotion thorough its MyLowes loyalty program. The program connects customers to a database that tracks their instore and online purchases. Lowes has designed several email campaigns based on a user’s purchasing history, and delivers targeted communications based on what they have bought, and actually makes an attempt to predict what they will buy next (Henneberry, 2013). Lowes also has a comprehensive digital and social media marketing strategy. Lowes has made efforts to optimize its ecommerce mobile site for ease of use (eMarketer, 2014). Lowes made headlines by having the first Instagram time- lapse video during the Superbowl in 2014. Lowes continues to advertise on Instagram as well as maintain a presence on other major social networks such as Twitter, Facebook, and Pinterest. They actively respond to mentions and comments, publish original content, and consistently takes risks on new social platforms (Williams, 2014).
  12. 12. The Home Depot Integrated Marketing Campaign 12 ACE HARDWARE “Ace is the Place with the Helpful Hardware Folks.” The company is more global than Lowes or Home Depot, and operates more than 4,700 stores. However, the product selection is more limited, as is the average square footage of each store. Ace Hardware stores are locally owned and operated, so a unified marketing effort on their part is perhaps somewhat harder to coordinate (Ackroyd & Venhuizen, n.d.). Financial – Ace Hardware’s earnings are much lower than that of Home Depot or Lowes, because it deals mainly in wholesaling and franchising its retail locations. However, their net income from both aspects of their business has grown over the last 3 years, totaling 131 million in 2014 (Earnst & Young PLLC, 2015). Current Marketing Efforts – As a value-added service to their franchisees, Ace Hardware Corporation provides advertising, marketing, and merchandising services. They heavily rely on their retail partners to deliver on their brand promise of helpful, neighborly service to every customer, every time. To enhance that brand promise, they began testing express delivery from Ace Hardware stores in 2015 (Smith N. , 2015). Ace Hardware provides support to its
  13. 13. The Home Depot Integrated Marketing Campaign 13 franchisees trying to develop their own marketing plan including help with brand development, traditional media, local store marketing, community involvement, public relations, and consumer loyalty programs (Ace Hardware, 2015). They have also secured a multi-year sponsorship deal with the PGA Tour making it the "Official Hardware Store of the PGA Tour and Champions Tour." (Lazare, 2015) OTHER COMPETITORS While not considered direct competitors, Wal-Mart, Best Buy, and similar stores all have product selection overlap with The Home Depot. Wal-Mart has much overlap on smaller ticket items like fixtures, tools, gardening, and basic necessities. Best Buy would be a competitor for the appliances department.
  14. 14. The Home Depot Integrated Marketing Campaign 14 TARGET AUDIENCE CURRENT CUSTOMER BASE The Home Depot currently describes its target market as homeowners, both do it yourself and do-it-for-me. In the US, on average, the home ownership rate increases as age does, and the home ownership rate doesn’t get over 50% until you pass into the above 35 cohort. There are more homeowners over the age of 75 than in their 20’s or 30’s combined. Therefore, we can conclude The Home Depot is getting much of their business from that demographic (Brown, Homeownership Rates by Age Group, 2015). The independent contractor that The Home Depot tries to reach with its Pro program is most likely a male over the age of 35 (TED: The Economics Daily, 2005). POTENTIAL MARKET Millennials have not historically been interested in The Home Depot. This challenging market is characterized by low rates of home ownership and delayed milestones such as having children (Fromm, 2014). However, they can no longer be ignored, they’re the most diverse generation in the US Population, as well as the largest (The Council of Economic Advisors, 2014). In addition, Home Depot has, by the demographic makeup of the construction profession, in the past attracted more male consumers, but more women are involved in the do-it-yourself trend than ever before. In order to increase sales and secure their future, Home Depot needs to gain market share among the new generation of family, and target men and women equally. The specific subsection of millennial we will target is full-time working, college educated men and women ages 25-35. DEMOGRAPHIC According to the US Census, women aged 25-34 with an associate’s degree who work full time earn an average of 36k a year. Women with a bachelor’s degree or higher earn 52k. Men in our target age range are earning a bit more, 48 and 67 thousand a year with associates or Bachelor’s degrees, respectively (US Census Bureau, 2012).
  15. 15. The Home Depot Integrated Marketing Campaign 15 Overall, Millennials are less likely to be homeowners, get married later, and are less likely to be parents. Our specific subset of college educated millennials are flocking to urban areas, and they are more likely to have studied a social science than previous generations. This age group makes up an estimated 13.5% of the US population (United States Census Bureau, 2014). Close to 80 percent of workers in this age group are a part of a dual-income couple in which both parties work full time (Schute, 2015). Millennials number over 80 million in the US and have an estimate 200 billion in buying power per year (Schawbel, 2015). PSYCHOGRAPHIC The great news for Home Depot is that millennials highly value creativity, community, and family. They report that creativity is important both at work and home. They are also highly motivated to make a social impact and make the world a better place (The Council of Economic Advisors, 2014). POTENTIAL CUSTOMER PROFILE This is Jeremy, 29 and Candace, 31. Jeremy and Candace are a married couple renting an apartment in the suburbs of Jacksonville, FL. They met in college on a dating website, and moved in together shortly after graduation. Jeremy earns $48,000 a year, is a veterinary technician at a local animal hospital, and Candace is an executive director of a small nonprofit with a salary of $42,000. They also have a small dog, Albus.
  16. 16. The Home Depot Integrated Marketing Campaign 16 Jeremy and Candace have both considered home ownership, but like many millennials, are still paying off student loans, and are not ready to purchase yet. However, their middle class income with no kids allows them to afford a townhome in the suburbs, with a large yard, garage, and back porch. They like to spend money on travelling and experiences, rather than things. Jeremy and Candace value family, so they like doing things together. They also value community, and on weekends often make elaborate meals for friends that they found on Pinterest. They are extremely creatively, and take pride in their home and decorate as much as possible to reflect their individual personalities. They are gluten-free, love to shop local, and are very socially progressive in comparison to their parents. Jeremy and Candace are still forming attitudes about home improvement and do-it-yourself retailers. There is a huge opportunity for someone to create a relationship with them and earn their loyalty, which they will carry into their home-owning years.
  17. 17. The Home Depot Integrated Marketing Campaign 17 SWOT ANALYSIS Strengths - Exclusive and proprietary products - Currently leading home improvement retailer - Most Locations - Biggest Selection - More Resources - Strategic Acquisitions - Proactive with multilingual communications Weaknesses - Inconsistent/Unresponsive Web Presence - Recent PR Troubles - High level of debt Opportunities - Leverage Tech acquisitions to reach new customers - Flexible interactive channels to engage and teach customers on their time - Willingness of Millennials to share personal information - Renting on the rise Threats - Homeownership in decline among target market - Competition also targeting our target market - Strong financial performance from competitors - Dependent on US economy conditions - Bad weather STRENGTHS Ryobi and RIDGID tools, BEHR paint, LG appliances, and Toro and Cub Cadet lawn tools, and Home Depot’s national brands, all provide them with a competitive advantage, as these products can only be purchased from Home Depot.
  18. 18. The Home Depot Integrated Marketing Campaign 18 With 2200 locations, and over 250,000 products available in-store and for special order, The Home Depot is the leader in its industry. Q2 2015 revenues are already over 4% more than in 2014. It is clear they are poised for a successful year (The Home Depot, Inc., n.d.). The Home Depot has also made strategic acquisitions in tech recently, including website RedBeacon (Cleary Gottlieb, 2012), and software company Black Lotus (Cleary Gottlieb, 2013). Since 25% of our target age range speak a language other than English at home (Egan, 2015), the Home Depot’s proactive approach to multilingual signage and communications puts them ahead. WEAKNESSES The Home Depot, Inc. operates a plethora of web sites, including thehomedepot.com, thehomedepotfoundation.org, and builtfromscratch.com. In addition to an inconsistent design, most of the sites have limited responsiveness to mobile and tablet devices: Image via Google Consistent design throughout corporate web communication can make our target market feel at home no matter which The Home Depot site they find themselves on. Less clicks to get to what they need is crucial to converting to sales (Smith T. , 2010). Responsiveness is important now more than ever, with Google penalizing sites that are considered “Not Mobile Friendly” (Google, Inc., 2015). In 2014, The Home Depot had a data breach, and millions of customers had their data compromised. The fallout of that left customers questioning their security shopping there (The Home Depot, 2014). Consumers need to have confidence that their data is safe at The Home Depot. Another public relations problem emerged this year from confusion about its Veteran’s discount policy (Cipriani, 2015). They changed the policy to include only certain types of veterans. Despite their efforts with The Home Depot Foundation, the company still faces backlash on social media, and articles emerge as The Home Depot becomes an easy target for the media.
  19. 19. The Home Depot Integrated Marketing Campaign 19 The Home Depot is in a disproportionate amount of debt, and could negatively impact The Home Depots ash flow in future years. They currently carry 16.9 billion dollars in debt versus Lowe’s 10 billion (Trefis Team, 2015). OPPORTUNITIES The Home Depot’s recent acquisitions could possibly position them to lead the way in bringing home improvement and technology together, therefore reaching tech-savvy customers. To suit the millennial attitude of “do-it-for-me,” RedBeacon could be the new go-to site for hiring professionals. With a massive library and backlog of instructional materials and DIY tutorials, Home Depot could expand their interactive trainings to beyond the weekends and reach customers on their own schedule. After all, technology use, especially mobile, is prevalent among our target market (Egan, 2015). Our target market is more willing to give up their personal information, making a Customer Relationship Management program more effective. Also, nearly 87% of our target market is on Facebook, so we can gather information abd interact with them that way as well (Egan, 2015). Also, as homeownership declines in the target market (Brown, Homeownership Rates by Age Group, 2015), Home Depot has the opportunity to also target landlords and property maintenance staff, and cater products and services to make loyal customers. THREATS As mentioned before, homeownership in our target market is low, and so they may not have the power to make large home renovations, a major source of The Home Depot’s business. Lowes has joined Pinterest and Vine, so it can be concluded that they also have their sights set on gaining a following with millennials on social media. The Home Depot faces strong financial performance from its competitor Lowes. Lately Lowes has been gaining press and more investors since they have declared a dividend twice this year, and bought back an excess of $5 billion in stock. Bad weather can also have an effect on The Home Depot’s sales since weather generally has to be nice to build and do work outdoors. January is normally the worst month for The Home Depot (Caplinger, 2014).
  20. 20. The Home Depot Integrated Marketing Campaign 20 MARKETING OBJECTIVES AND STRATEGIES In order to guide The Home Depot’s Integrated Marketing Campaign over a year’s time, a set of measurable marketing objectives have been set. INCREASE THE PERCENTAGE OF SALES COMING FROM THEHOMEDEPOT.COM FROM 4.5% IN 2014 TO 7% BY TARGETING A YOUNGER GENERATION (25-35) THAT PREFERS SHOPPING ONLINE.  To increase online sales, we will drive traffic to our site with a well-rounded and targeted digital strategy.  We will leverage our website and new interconnected retail business and logistics model and create awareness of our BOPUS (Buy Online, Pick Up in Store) and BOSS (Buy Online, Ship to Store) shopping options.  Integrate all of our creative content across owned media to easily drive the customer to purchase the products featured. Measurement: Use our internal accounting to determine the percentage of sale generated from our online store. Use loyalty program and geographical data to estimate percentage of age group. INCREASE THE PERCENTAGE OF THEHOMEDEPOT.COM SALES ORIGINATING ON MOBILE DEVICES BY 10% IN 12 MONTHS BY TARGETING MILLENNIALS 25-35 WHO ARE ALREADY FAMILIAR WITH MULTI-DEVICE SHOPPING.  To increase sales on mobile devices, we will highlight its usability and show that it is an organic part of the in- store shopping process.  Multi-device shopping will be a central idea around which our marketing communications will be centered. Measurement: Online analytics focused on our checkout process can tell us how many sales originated from mobile and tablet devices using media queries. Use loyalty program and geographical data to estimate percentage of age group. INCREASE EXPOSURE TO OUR INTERACTIVE TRAINING BY 25% AMONG TARGET AUDIENCE IN 12 MONTHS BY BROADENING OUR CHANNELS OF DELIVERING THAT CONTENT, AND GEARING IT TOWARDS RENTERS AND HOMEOWNERS ALIKE.  To increase exposure to interactive trainings and tutorials, we will create a content strategy to disperse this information across multiple channels where our target audience will be most receptive.
  21. 21. The Home Depot Integrated Marketing Campaign 21  By broadening our definition of training, we can treat the creative content we produce to inspire and instruct our audience as a chance to earn their trust and loyalty, just like our in-store training.  To relate this content to our target audience of millennials 25-35, we will shift from major renovation projects to projects that a renter would be allowed and equipped to do. Measurement: Compare attendance numbers from 2014 in-store training workshops and online tutorial views with the same numbers from 2015, but include blog traffic (where most of our creative content will live.) INCREASE THE RATE OF ENROLLMENT IN OUR LOYALTY PROGRAM BY 5%.  To grow the enrollment in our loyalty program among our target market, we use exclusive discounts, and make synonymous with registration to purchase from the Home Depot online channels. Measurement: Compare the number of checkouts vs. checkouts that resulted in loyalty enrollment in the last year, and do the same at the end of our campaign. INCREASE SALES FROM OUR TARGET AUDIENCE BY 15% IN 12 MONTHS.  To increase sales, online and in-store with our target market, we will specifically cater an advertising and promotion strategy to highlight projects appropriate for renters, the selection of everyday essentials available, and ease of shopping in store with the mobile app. Measurement – Conduct study at the beginning of campaign using survey methods at 5 different Home Depot stores across the country as well as after-checkout surveys on thehomedepot.com. This is in addition to loyalty program data that can compare purchases and captures age data as well.
  22. 22. The Home Depot Integrated Marketing Campaign 22 CREATIVE STRATEGY STATEMENT RATIONAL BENEFITS - Consistent access to The Home Depot on all our devices - Products that are useful for renters - Education on our time - Lowest Prices - Largest Selection - Ease of Shopping in Store EMOTIONAL BENEFITS - Making our space our own - Creative Expression - Personally connected to our space - Pride in the things we create ourselves ACCEPTED STATEMENT “Get connected with The Home Depot, and get creative with your home.”
  23. 23. The Home Depot Integrated Marketing Campaign 23
  24. 24. The Home Depot Integrated Marketing Campaign 24 CREATIVE BRIEF Why are we advertising? The Home Depot enables us to easily access what we need to be creative with our home. Whom are we talking to? Millennials, who work full time, and may rent their home. What do they currently think? The Home Depot isn’t easily accessible or consistent on all my devices, ordering is cumbersome, and they only have products for people who own their homes anyway. What would we like them to think? The Home Depot is easily accessible from wherever I am, and they sell what I need to make my home my own, whether I rent or own. What is the single most persuasive idea we can convey? The Home Depot fits perfectly into their lifestyle, and so does home improvement. Why should they believe it? Shopping from The Home Depot will be easy from anywhere, and we will show them projects for renters and homeowners alike. Are there any creative guidelines?  Logo must be in the corner with no border around it.  Design according to flat design principles, minimal drop shadows, minimal beveling, and simplicity. Less is more.  Any solid background behind the logo must extend outward from it and use color PMS 165 (orange)
  25. 25. The Home Depot Integrated Marketing Campaign 25 SAMPLE CREATIVE CONTENT  Shows The Home Depot is available on a mobile device  Showcases simple, lightweight design  Article that is featured is applicable to renter or homeowner  Woman featured appears to be in our target age range  She is engaging with the page she is on  She is with friends, appealing to the Millennials that value community. (Zoomed in picture of Website Mock Up below with example content.)
  26. 26. The Home Depot Integrated Marketing Campaign 26 MEDIA OBJECTIVES It is the job of our paid media plan to accomplish several objectives related to meeting our overall goals for the IMC campaign. The goals of this campaign center on our e-commerce and digital solutions, so in large part the campaign is digital and social in nature. OBJECTIVE 1: REACH 60% OF THE TARGET MARKET 12 OR MORE TIMES OVER A 12 MONTH PERIOD VIA DIGITAL MEDIA, SOCIAL MEDIA, AND MOBILE. MEASURED IN CLICKS, IMPRESSIONS, LIKES, AND FOLLOWS. STRATEGY A: CONTENT MARKETING A paid content marketing plan that include DIY How-To’s and Tips that are relevant to our target market and can apply to renters or homeowners. This content lives on The Home Depot owned media channels. Tactics We will produce listicles and how-to’s to empower the renting DIYer. These posts will spark inspiration into our target market and be achievable and relatable. The content marketing strategy also includes promotion of this content by millennial influencers. This content is the driving force behind our message that by connecting with The Home Depot, millennial renters are getting more intimate with their space and making it theirs. While our other marketing efforts push that idea, this content must be there in order to live up to that promise. Listicles Examples: 13 DIY Projects To Make The Most of Your Small Porch, 10 Cool Birdhouses That Adults Will Actually Want To Build Listicles should be concise and subject matter catchy and different. They can be novel, but still mostly relevant and realistic. The actual projects can be sourced from other sites and DIY influencers, with a call to action at the end that purchasing everything for these projects is easy at The Home Depot, Inc. These should be relevant to renters especially.
  27. 27. The Home Depot Integrated Marketing Campaign 27 Timing: 12 throughout the year. These shareable listicles must have sufficient time to be produced and be shared before we introduce another one. The hope is to create a list digestable and catchy enough for it to go ‘viral’ and a month between posts gives us time to evaluate that. Budget: $25,000 for photography and materials needed for the production of these listicles. How-To’s The marketing team should brainstorm and come up with 12 safe, easy Do-It-Yourself projects that will make millennials lives easier. These should be functional furniture pieces, storage solutions, or enhance the social spaces in their home. These projects should be made into blog posts with step by step instructions, as well as tutorial videos. Timing: 12 throughout year, second week of every month. Once again, these require time to be produced, and we want to give everyone a chance to try the how-to, ask questions, or share the how-to before we introduce another. The second week of every month staggers it with the listicle so we are not putting out content on the same day. Budget: $75,000 for videography, photography, and materials for production of this content. Blog Posts Examples: Must-Have Products For Protecting Your Floors, This Storage Hack is Life Changing! These posts shouldn’t be projects, but more tips and tricks for everyday efficiency and protection. The Home Depot stocks essentials like cleaning supplies, furniture pads, adhesive hooks, that renters can use to protect their apartment from damage. They also have storage solutions, cooking gear, and other products that are useful. These blog posts should be presented as ‘hacks’ that our target audience can implement right away. These posts will be promoted both by our paid media and PR tactics. Timing: Every other week throughout the campaign. This is to allow significant time to pass between posts to maximize engagement and reply to comments and questions. Budget: $25,000 for photography and supplies for content creation.
  28. 28. The Home Depot Integrated Marketing Campaign 28 Promotion Several of the listicles should be ‘partner’ or ‘sponsored’ posts on sites like Buzzfeed, Refinery29, HelloGiggles, and anywhere else our target audience gets their inspiration from. Timing: Approx $100,000 gets us 5 articles promoted on sites like these, since you have to sign a contract for multiple articles. We will do two contracts, for 10 total promoted articles. These will be placed strategically throughout the year before our big social media sponsorships such as our youtube front page promotion, out sponsored hashtag, and our sponsored snapchat day. Budget: $500,000 (Shafer, 2013). Evaluation This content will live on The Home Depot’s owned media channels where we can easily have analytics tell us the unique page views and where traffic came from. However, it will not tell us ages or occupations of these people, so a pre- and post- focus group should be conducted every 4 months. (3 Times) Budget: $38,400 (iTracks, 2015) Total Budget For Strategy A: $663,400 STRATEGY B: PAID SOCIAL MEDIA MARKETING A paid social media marketing plan that promotes our content and also drives likes and follows for the various company pages. Budget: 25% for Facebook Ads, Twitter for Business, Instagram Ads, Snapchat Advertising, YouTube, as well as paying millennial influencers to promote our content. Our paid social media marketing plan promotes both our content and the idea that connecting with The Home Depot, Inc. is easy and useful. Tactics Instagram Instagram has over 400 million users, and more than 60% of them fall into our target market. Therefore, we should spend advertising dollars here to promote ads. Instagram ads are rare and cut through clutter, doing 7x better with ad recall than other mediums according to Neilson (Giustino, 2015). Our Instagram ads should have a ‘story’ feel to them. We should aim to leave an impression and aim to get them to follow our account, which will be what our call to action links to. Example: A scrollable ad
  29. 29. The Home Depot Integrated Marketing Campaign 29 that has projects and pictures “Get Inspired.” “Do More” “Customize Your Space” “Follow Us for Inspiration” Timing: Two Instagram ads spaced evenly throughout the year, after TV ads have run for the first one and after the snapchat feature and youtube home page promotion for the other. Budget: $700,000 for production and sponsorship (Hejny, 2015) (Giustino, 2015). Twitter We should have our account promoted among the Twitter accounts in our target market. We should also specifically target those interested in interior design or home décor. Promoted tweets should reinforce the idea that our account is useful for getting inspired, and should use twitter’s targeting ability based on keywords and interests (no age targeting is available). In addition, we should also promote tweets about our mobile app with direct links to it in the iOS and Android App Stores, because 60% of Twitter’s 200 million users log in from mobile devices (Raehsler, 2014). We are also going to sponsor the hashtag #HomeDepotDIYChallenge when our contest begins (talks about in the Direct Marketing section). Timing: Sponsored Tweets will change out every 2 weeks, this is to keep promoting new content produced by our content marketing strategy, and also to adjust our strategy as we go along. Budget: $500,000 Facebook Facebook Ads should be the most specifically targeted, due to Facebook’s ability to break accounts down beyond demographic information and into interests and income. Our targeted ads should be tailored to different interests. Example, we segment our target market even further by having higher income audience see ads for more luxurious and expensive projects, and lower income could see an ad for our listicle for DIY’s to save them money. The content of the ads should be sales promotion such as a coupon, or promoting a cool DIY project we have on our owned media channels.
  30. 30. The Home Depot Integrated Marketing Campaign 30 The average cost per click for retail stores on Facebook is $0.31, which is why this and other social media demand such a large portion of the budget. However, they also have the most robust reporting tools regarding impressions and clicks, so we can very early on adjust our strategy if something isn’t working. Timing: Facebook ads should be changed bi-monthly to coincide with holidays, seasons, and other milestones that could possibly prompt a DIY project and to keep the content posted fresh. Budget: $500,000 Snapchat Feature One Snapchat feature post will invite users who attend a Home Depot Workshop on one Saturday during the year nationwide to post snapchats to their featured event. This will be a 24 hour promotion. Since it is our goal to increase sales instore and online, this will give visibility to our target market actively being in our stores and learning. Other category leaders have been using snapchat in similar ways, and with nearly 100 million users, most of them under 35 (Sloane, 2015), we should see a great return on investment. We will promote the day a few weeks in advance with instore signage and through local and national PR. Timing: One snapchat sponsorship Budget: $760,000 (Sloane, 2015) for snapchat sponsorship and signage design You Tube We will have 2 YouTube Front Page Promotions at the beginning of the campaign and half way through. These will promote our tutorials to the front page and generate traffic to the blog and website. According to historical numbers, our video could see as many as 45 million views, 10 million watching to the end, and as many as 100,000 clicking through to the website link (Sacks, 2011).
  31. 31. The Home Depot Integrated Marketing Campaign 31 The front page promotions will showcase the best of our DIY content creation, and be a compelling project that encourages those in our target market not only to watch but to click through and see how they can do it themselves. We will also run targeted ads on DIY Influencer channels that are short versions of our TV Spots that remind viewers to get everything they need for their project on thehomedepot.com. Timing: Two YouTube front page sponsorships, spaced evenly throughout the campaign for maximum effectiveness. Budget: $160,000 for Youtube Front Page Promotion and Ads (Sacks, 2011). Evaluation We will rely on the measurement and targeting tools of these social media channels to evaluate our performance when we can. However, we should still do pre- and post- online surveys to determine the effectiveness of Snapchat sponsorships. Budget: $20,000 Total Budget for Strategy B: $2,620,000 STRATEGY C: PAID DIGITAL MEDIA MARKETING A paid digital media plan that include banner images, and promotional videos on targeted pages with Google Ads. As well as a contextual and targeted search campaign. The main drivers of traffic directly to The Home Depot e-commerce site and app will be through digital media. Tactics AdWords & Search Google AdWords will be utilized to display banner and splash ads on appropriate, targeted pages on the web. The message will be consistent with our TV ads and social media and feature the slogan. These ads will link directly to the Home Depot Website landing pages appropriate for the ad. Examples: Become highest bidder on “Do It Yourself” our ads will appear at the top of search results and on relevant pages that have those keywords. We should also target words like “Apartment” and “Townhouse” Not that we want our ads showing in those search results, but it will cause our ad to be on sites that are returned with those results like Apartments.com and Zillow.com.
  32. 32. The Home Depot Integrated Marketing Campaign 32 In order to support the idea that being connected to The Home Depot means being connected with their home, these ads will not just say “Shop at Home Depot” or “Lighting Fixtures at The Home Depot” we will more to more emotional appeals in our language: “Get inspired by the Pros at The Home Depot” “The Home Depot: For a Stress-Free Move.” All of these ads should go to dedicated landing pages with those products specifically. Timing: This is a constant throughout our entire campaign, starting two weeks into the year. Budget: $500,000 for AdWord bids and landing page design. Evaluation We will be billed per click so we should be getting accurate numbers from google on how many people we are reaching. We should prompt every use who comes to the landing pages to take a quick survey on how old they are and if they work full time. Budget: Included already in Digital Media Strategy Total Budget For Strategy C: $500,000 OBJECTIVE 2: REACH 20% OF THE TARGET MARKET 5 OR MORE TIMES OVER A 12 MONTH PERIOD THROUGH TRADITIONAL PAID MEDIA. MEASURED IN VIEWS BY BROADCAST MONITORING SERVICE NEILSON. STRATEGY A: TV COMMERCIAL A short paid television commercial campaign on shows our target audience watches on cable TV to jumpstart the awareness of the campaign. Due to the digital nature of our goals such as increasing online sales and traffic, we will only be spending a small portion of our budget on traditional media. To get the most of this relatively small budget we must be targeted and specific with our efforts and aim to cut though clutter effectively. Tactics Television We will have a short TV run on shows that are popular in our target market. With a limited budget allocated for this medium, we are going after shows that are popular and primetime, but with costs
  33. 33. The Home Depot Integrated Marketing Campaign 33 that allow us to run multiple ads. Shows like Family Guy which are in the top 18 shows among millennials (Consoli, 2015) but still only charge $150k per ad are ideal (Steinberg, 2014). The content of the ad will be heavily focused on our theme: Get Connected with The Home Depot and Get Connected to Your Home. We should feature couples in our target market beginning DIY projects by finding them on their mobile phone or laptop, then showing snippets of the process with them laughing and having a good time, and then finally the finished product. The call to action should deter away from The Home Depot’s usual strategy of announcing a sale product, and instead ask viewers to visit The Home Depot social channels or blog. Timing: Twice: The very beginning of the campaign to build hype and awareness that the rest of the ads are coming. After Halloween but before black Friday for sharing DIY Christmas gift inspiration. Budget: $8 million (Steinberg, 2014) for 20-25 ads and production. Evaluation Neilson data should give us a good idea of the number and ages of people reached. However to determine the effectiveness of the ad, we should conduct focus groups before and after each run (4 times) Budget: $48,000 Total Budget for Traditional Media: $8,024,000 Total Media Budget: $10,983,000
  34. 34. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 Traditional TV Ads Two runs Content Marketing Blog Post Every other Week Excluding First Week Listicle 12 Throughout Year, not interfering with Blog Post How-To Video Second Week of Every Month Exept First 2 Promotion 5 on 2 channels throughout Social Media Instagram Ads Two Throughout Year Facebook Ads Ongoing Snapchat Feature Once, in summer Twitter Sponsored Hashtag Once, Few weeks before Snapchat Feature Twitter Sponsored Tweets Ongoing Youtube Influencer Only 4 Times, to retain authenticity Youtube Ads Ongoing Youtube Front Page Twice after we have some significant amount of content Digital Media AdWords and Search Ongoing & as soon as we start PR. Total $: August September October November December MEDIA FLOWCHART April May June JulyJanuary February March
  35. 35. The Home Depot Integrated Marketing Campaign 35 PUBLIC RELATIONS OBJECTIVE 1: GENERATE AN AVERAGE OF 3 POSITIVE LOCAL MEDIA MENTIONS PER HOME DEPOT STORE IN THE US THROUGH COMMUNITY INVOLVEMENT. STRATEGY Empower local store management to organize community involvement events with the ‘The Home Depot: Connected to our Community’ theme. Empower them to interact and reach out to local media outlets as well with a PR template “toolbox” developed just for the campaign. Tactics - Charge local and regional store management with the organization of store employee volunteer events using national marketing staff as support and guidance. - Train local and regional store management to deliver a message in line with The Home Depot’s values and also the idea of their store being a central part of the community (i.e. the jobs it creates, ect.) - Develop a toolbox of forms, press releases, logos, graphics, and guidelines for local and regional store management to go by. - Hold small live webinars to train local and regional store management on how to go about the project, and allow them to ask questions. - Encourage a local media presence at volunteer events organized by the local stores. Budget: $2,500 for training and materials for 2,200 stores = $5,500,000 Evaluation Part of the training for “The Home Depot: Connected to our Community” will include a reporting form which the store management will attach their media mentions and send to National HQ.
  36. 36. The Home Depot Integrated Marketing Campaign 36 OBJECTIVE 2: INCREASE ORGANIC NON-PAID SOCIAL MEDIA REACH BY 15% IN OUR TARGET MARKET AND INCREASE AWARENESS OF THE “CONNECTED TO HOME DEPOT” CAMPAIGN. Strategy Regularly share our content across social media in an engaging and interesting way, encourage and empower our site visitors and blog readers to do the same. Posts about our created content, sales promotions, direct marketing, and other PR efforts should be included. TACTICS - Cut through social media clutter by delivering original content and using pictures, videos, and gifs. - Post 2-3 times per day on each channel: Twitter, Facebook, and Instagram - Include social media sharing on the blog and encourage sharing of our original content. - Tweet, comment, and ‘like’ posts by DIY influencers to try and strike up conversation and engagement of the top DIY accounts already being followed by our target market. Budget: Content is already budgeted for. Evaluation While social media analytics will give us a good idea of reach and engagement on our non-paid posts, we should conduct online focus groups and research the comments and likes to determine the overall sentiment towards the campaign on social media at the beginning and end of the campaign. Budget: $24,000 OBJECTIVE 3: IMPROVE ATTITUDES TOWARDS THE HOME DEPOT’S TREATMENT OF VETERANS OVER THE NEXT 12 MONTHS. STRATEGY Inform our customers about the efforts of The Home Depot Foundation by increasing positive national, local, and social media mentions of the foundation by 25%. This will reduce distraction and improve the clarity of our message by decreasing the number of negative mentions our brand gets for this confusion. Tactics
  37. 37. The Home Depot Integrated Marketing Campaign 37 - Equip store associates and managers with a script for denying a veterans discount that addresses the specific reasons and is straightforward and thanks them for their service. - Use owned media to release stories on social media in digestible image or post format of veterans we have helped. - Engage influencers, national news analysts, and even our critics with our national PR team to face the issue head on and release a statement about the confusion of our Veterans discount policy. Budget: $15,000 for content creation Evaluation We will have to measure comments, likes, and replys on social media, as well as conduct surveys and focus groups to evaluate whether or not there was an improvement in the attitudes of our customers and the media. Evaluation Budget: $30,000 Total PR Budget: $5,569,000
  38. 38. The Home Depot Integrated Marketing Campaign 38 DIRECT MARKETING Direct Marketing and will be a supporting component of our IMC campaign. Both email and direct mail will be used to reach out to millennials nationwide and call on them to take immediate action. OBJECTIVE 1: ACHIEVE A 12% PERCENT RESPONSE RATE USING A ONE-STEP APPROACH OVER EMAIL ONCE PER MONTH FOR 12 MONTHS, TO A DATABASE OF MORE THAN 50,000 PEOPLE WITHIN OUR TARGET RANGE. STRATEGY By building our email database up and using targeted data to reach our audience when they are ready to buy, we will motivate our target market to visit thehomedepot.com or their local store to get started. We will be able to leverage our creative content to save time and money producing hyper-targeted emails. Tactics Build Email Database – Offer incentives to employees for rewards program signup at checkout. This will also capture age range and gender, allowing us to further segment and customize emails. Combine Direct Marketing with Sales Promotion – Incentivize emails with special offers and discounts based on our sales promotion objectives to compel our recipient to click through. Leverage Creative Content – Cut through the clutter of our recipients’ inbox by leading with content from our design inspiration posts and videos. This is just another way to leverage this content for maximum visibility and return on the investment to create it. Budget $250,000 for employee incentives, $6,000 for email campaign design. Evaluation We will direct clicks from the emails to a special landing page, where analytics will show how many people clicked on our email. We can continue to track purchases based on whether or not the visitor originated on the email landing page, and calculate our CPO. In store tracking will be possible with unique coupon codes for each email.
  39. 39. The Home Depot Integrated Marketing Campaign 39 Example
  40. 40. The Home Depot Integrated Marketing Campaign 40 OBJECTIVE 2: HAVE A 5% INCREASE IN SALES OF MOVING RELATED ITEMS BY PARTNERING WITH USPS WELCOME KIT IN MAJOR COLLEGE-AREA MARKETS THAT THE HOME DEPOT SERVES TO PROMOTE EVERYDAY ESSENTIAL ITEMS FOR MOVERS. STRATEGY By partnering with USPS and getting out material into the hands of movers, we will be reaching our target market at a time when they both need our products and are receptive to trying new things. Tactics Welcome Kit – The welcome kit is delivered after a mail recipient changes their address. Movers spend $8,700 on average during a move, are 4 times more likely to try a new brand, and have a 90% likelihood of repeating business (Imagitas, 2015). As an alternative to every door direct mail, this approach is more targeted. Informational Approach – The theme of the cards will be “Movers Essentials” and it will have a checklist of things people moving should purchase for their new home. Relevant Timing – This partnership will last from July to September, when most leases are up in college towns due to the start of the school year. Target Selectively – Specific locations in 20 major college area cities, with a percentage of 25-35 year old of 25% or more. Avoid Being Invasive – Material delivered will be a simple postcard. Budget $20,000 for printing (55 Printing, 2015), $2,500 for post card design, $250,000 for sponsorship of welcome kit (estimate) (US Postal Service, 2015). Evaluation Compare sales of specific items listed from July-September of 2014 to their sales in 2015.
  41. 41. The Home Depot Integrated Marketing Campaign 41 EXAMPLE Direct Marketing Budget Total: $528,500
  42. 42. The Home Depot Integrated Marketing Campaign 42 SALES PROMOTION Sales promotion serves as an accelerator to the other components of our campaign to push our target audience to make a purchase. We will be focusing on consumer oriented sales promotion. Our loyalty program will serve as the avenue for our sales promotion efforts, and digital media will be an important disseminator of promotional offers. OBJECTIVE 1: OBTAIN A TRIAL FROM 10% OF OUR TARGET MARKET USING SALES PROMOTION GEARED TOWARDS BRAND NEW CUSTOMERS, AND HAVE A REPURCHASE RATE OF 50% BEFORE THE END OF THE 12 MONTH CAMPAIGN. STRATEGY Using our rewards program, which also builds our database for direct marketing, we will distribute coupons and sales to our target market with our specific “Connected to Home Depot” theme. While all of our customers will continue to get deals, the message will be geared towards our target market and offered on products renters may need as well. Tactics Unique Discounts for New Rewards Customers – Offer a deep, 15% one-time discount to customers who sign up for our rewards program for the first time. Placing Coupons for Repeat Purchase – Using our database of those registered for the program, send a targeted coupon 30 days after signing up for the program if they have not made a second purchase yet. Promotion – The new offer should be promoted instore by employees and signage, and also with a rotating slider on the home page. This is also the ‘deal’ that should be mentioned in our television spots at the beginning of the campaign. Budget $5,000 for targeted email design, $5,000 for web page collateral design and $5,000 in-store display design. (TV Spots are budgeted for in Traditional Media Section) $110,000 for printing of in-store sign ($50 per store) for a total of $125,000 Evaluation Compare Rewards Enrollment in our target market from the beginning to the end of the campaign.
  43. 43. The Home Depot Integrated Marketing Campaign 43 OBJECTIVE 2: HAVE AN ONLINE COUPON CODE REDEMPTION RATE OF 15% OVER OUR 12 MONTH CAMPAIGN. STRATEGY Focus on smaller peripheral items that renters use and offer deep discounts to motivate our target market to redeem them. Set our coupons up for success by promoting them across our owned media and making them easy to redeem. Tactics Keep Things Fresh – 4 different deals associated with our specific campaign should run for 3 weeks throughout the year. The discount should apply to smaller, peripheral items that are used in DIY projects or by renters. Large-purchase items like appliances and grills can be excluded so as to be able to offer a deeper discount of 15% on purchased of $30 or more. Publicize Deals Across Owned Media – Coupon redemption link, when made available, should be published on all social media and email lists. In addition, a banner on The Home Depot homepage should let visitors know there is a coupon available. “Check Out With Ease” – Enable coupons to be saved in the Home Depot mobile app, and easily bring them up at checkout in store. Coupons should automatically refresh each deal. Budget $2,500 for mobile app modifications made by our developers, and $2,500 for designing of promotional collateral each different deal, for a total of $20,000. Evaluation Rather than display the coupon in our posts and site directly, we will give a link to get the code. The analytics from that page will give us the number of people who took the time to view the coupon, and we will compare the redemption against that number of unique page views.
  44. 44. The Home Depot Integrated Marketing Campaign 44 OBJECTIVE 3: GAIN 500 ELIGIBLE ENTRIES INTO OUR CREATIVE CONTENT BLOGGING CONTEST OVER A 3 MONTH PERIOD. STRATEGY We will hold a “Get Connected” contest for bloggers to contribute their own creative ideas to our marketing campaign, giving us more visibility to those already interested in the DIY Blogosphere and beyond. We will appeal to millennials sense of community that blogging fosters as well as promote original ideas for renters and homeowners alike. Tactics Accessible Contest – The rules should be simple and straightforward. 1 DIY project originally created, with a helpful tutorial to go along with it. 5 winners will be selected for a $4,000 prize, based on creativity, quality of tutorial, and usefulness. Flexible – Entries can be pictures and text, or videos for maximum flexibility. Partner with Influencers in the DIY Blogosphere – Pay 3 influential DIY bloggers to create their own sample entries to promote the contest. Publicize On Owned Media – Announce and promote contest throughout on our own blog, social media channels, and in store signage. Encourage Sharing – Add the ability to share the contest entry page easily to social media or email. Budget $4,000 for 5 winners for a total of $20,000. $5,000 for 3 influencer endorsements for a total of $15,000 (Strugatz & Robinovitz, 2012). $5,000 for collateral and promotional material design. Evaluation Links will be submitted to The Home Depot via electronic form, so we can easily count the entries. Sales Promotion Budget Total: $185,000
  45. 45. The Home Depot Integrated Marketing Campaign 45 EVALUATION PLAN Throughout our campaign certain measurements will need to be taken in order to determine the effectiveness of our IMC campaign. TOOLS AND RESOURCES NEEDED The measurement of the campaign should begin immediately after the end of the year. The metrics should be compiled in the month following in order to assess the success of the campaign. Social Media Reporting - The Home Depot will needs to invest in robust social media reporting tool such as Simply Measured to measure and break down views, impressions, engagement, and mentions. Budget: $2000/mo (Simply Measured, 2015) for 13 months: $26,000 Web Metrics Reporting – We will need another layer on top of google analytics to help us distill information quickly that we need to measure such as InfoTrust so that we can aggregate data across all our web channels and mentions from outside online sources. Budget: $25,000 Focus Group Moderator – With more than 10 focus groups planned for the year, it is a good idea to put one on retainers Budget: $10,000 for retainer, moderating cost included in budgets already METRICS NEEDED These are the metrics and measurements we need before the campaign begins (use the last year) as well as throughout and after. AVG FACEBOOK POST REACH AMONG 25-25 YR OLDS AVG TWITTER IMPRESSIONS AMONG 25-35 YR OLDS AVG INSTAGRAM LIKES/COMMENTS AVG YOUTUBE VIEWS, LIKES, DISLIKES, AND COMMENTS
  46. 46. The Home Depot Integrated Marketing Campaign 46 AVG PINTEREST REPINS AND LIKES PERCENTAGE OF SALES GENERATED FROM ONLINE STORE ESTIMATE THE % OF THEM BEING 25-35 SALES ORIGINATING FROM MOBILE APPS AND ESTIMATE THE % OF THEM BEING 25-35 ATTENDANCE NUMBERS FOR INTERACTIVE WORKSHOPS IN 2014 ONLINE TUTORIAL BLOG POSTS, VIDEOS UNIQUE VIEWS RATE OF LOYALTY PROGRAM JOIN AT CHECKOUT SURVEY DATA FROM 5 HOME DEPOT STORES AND ONLINE REGARDING AGE OF CUSTOMERS AFTER CHECKOUT POSITIVE AND NEGATIVE MEDIA MENTIONS FOR YEAR ATTITUDES OF 25-35 YR OLDS REGARDING HOME DEPOT TREATEMENT OF VETERANS BRAND AWARENESS AMONG 25-35 YR OLDS COUPON REDEMPTION RATES Evaluation Budget $61,000 CONCLUSION This campaign is a start to sustaining the success of The Home Depot for the next generation. By introducing a new ‘connected’ Home Depot with this Integrated Marketing Campaign. Integrated Marketing’s core function is to tie all of the pieces of traditional and nontraditional marketing and put them to work to achieve a common goal. This campaign will be successful because the brand message will be consistently delivered throughout the year across multiple channels, and the message will be clear: Get Connected to Home Depot, and Get Connected to Your Home. TOTAL CAMPAIGN BUDGET: $17,281,000
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