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Advertising Planning
Document
Rachael Montgomery
Mark Farinholt
Drew Hendricks
Hannah Settlemire
Katie Carter
Garret Voss
Table of Contents
Situation Analysis
Research
Problems & Opportunities
Marketing Objective
Budget
Marketing Strategy
Advertising Creative
Advertising Media
Marketing Communication
Evaluation
Testing
1
6
9
10
12
15
18
24
34
36
38
1
Situation Analysis
Current Users
These are primary users of the nutrition/energy bar category. These same users also include several
products from the nutritional snacks-granola market in their consideration set; Nature Valley, Nutri
Grain, Quaker, Think Thin and Special K. Consumers of these two markets are closely related. We
found the heavy users of nutrition/energy bars to be educated beyond college, have a high household
income ($149,000+), are between the ages of 25-44, have older children in the home and tend to be
physically active in sports and fitness year round. Leading competitors tend to market their products
heavily to the outdoor enthusiast. Data from GfKMRI Plus suggests users have a great deal of variety in
their physical hobbies (GfKMRI Plus, enclosures 1 and 2). Hiking, climbing and other outdoor activities
are reflected against competitors like Clif and Nature Valley, but the general user data reflects fitness
activities like yoga, or running are important to a larger portion of users (Simmons OneView, graph
7.6). These users are also socially active. They host house parties, cook with friends and go out to bars
and nightclubs. Users of nutrition/energy bars share an equal interest in video games and are music
listeners.
The heaviest consumers tend to live in the Pacific and Northeastern regions, clustered heavily in cities
(Table 1.1). There are approximately 28 million nutrition bar consumers. Females outnumber males
15.2 million to 12.4 million (Packaged Facts, 2013).
Table 1.1
Geographical Emphasis
We used SRDS data (See enclosure 7 for examples of SRDS DMA profiles) to find the geographical
location of energy bar users in the U.S. We ranked DMAs based on relevant, available population
2
data. The criteria we used were population 25-44, household income of 150k+, occupation, footwear
sales, and sporting good sales. These criteria were selected based on MRI demographics of energy
bar users. This allowed us to find the top 34 DMAs. They are listed below, ranked by index (Table 1.2).
We then used data from MRI to verify the data obtained through SRDS (Table 1.3). This data, although
less specific, backed up the DMA research showed. The two areas that had indexes over 100 were the
northeast and the pacific. These two areas largely accounted for the top ranked DMAs. (See enclosure
3
Table 1.2
Table 1.3
4
Purchase Cycle of Energy Bar Consumers
Frequency ‘000 Total Bars
7.0 16,098 112,686
3.0 9,128 27,384
1.0 12,855 12,855
Totals 38,081 152,925
Average # of bars purchased/7 days
4.0
Purchase Cycle
The purchase cycle for energy bars is .93 bars over a 7 day period and 4.0 bars over a 30 day period.
The total of energy bar users who consume between 1-7 bars over a 30 day period is 38,081 and the
total amount of bars they consume is 152, 925. Dividing the total number of bars consumed by the
total number of those consuming them yields an average of four bars every seven days, which can be
further broken down into .93 bars per a day. (Table 1.4)
Table 1.4
Seasonality
The category has an uptick in sales starting in January and peaking in July. Sales taper down during
the fall, starting in October. This downward trend does not bottom out as heavy users who are also
physically active continue their outdoor activity into the winter months.
Creative Requirements
Taos Mountain Energy is a high cost product that caters to a fairly specific crowd. To give themselves
credibility for the high price and to appeal to their audience, things like “gluten-free”, “non-GMO”,
and “Vegan” need to appear in the promotional materials. The National Park Foundation logo should
be present on the promotional materials as well. Traditional outdoor media should be avoided because
it works against the credibility of the brand’s “love of nature” angle.
5
Competitive Sales
We were able to find competitive sales of Clif bars, Kind bars and Powerbars by looking at the category
data of snack bars in the U.S. In the category data we found market share and total market unit sales
and were able to find unit sales. We used sales of snack bars by category value in 2014 and LBN brand
shares of snack bars in 2014. (Passport, encolsure 4)
We used the following equation:
Market share = 100 * unit sales / total market unit sales
Table 1.5** sales of competitors in 2014
Table 1.6
Table 1.7
6
Research
Objectives
1. To gauge users’ opinions on the nutrition and energy bar category.
2. To gather information on how users make purchase decisions in same.
3. To determine which criteria for purchase is most important to category users.
4. To discover which brands users choose most.
5. To determine which geographic markets are most suitable for expansion.
Strategies
1. Gain initial information through one-on-one interviews with members of the target audience.
Portions of these interviews will provide raw data for quantitative study
2. Gain initial input via focused group sessions with two key purchaser groups.
3. Gain geographic insight through a DMA analysis
Method
1. The research was conducted using face-to-face interviews with respondents who were found
using the intercept technique in: grocery stores, outdoor lifestyle stores, fitness and climbing
gyms and university campuses. A total of 240 interviews were conducted.
2. Each focus group consisted of 8 participants. Focus group one consisted of semi-pro and
amateur athletes, male and female. Focus group two consisted of generally active users;
predominantly women with children.
3. Created a multivariate index of all 210 DMAs to determine those most suitable for expansion.
The variables chosen included: household income level, population age 25-44, outdoor
recreational equipment sales, footwear sales, and occupation. (see enclosure 3)
7
Graph 2.1
2. Taste is the number one criteria, but respondents’ attitudes about the general taste of
category products is only a little above neutral, average 3.85.
Graph 2.2
Summary of Findings
1. Respondents number one criteria for purchase is taste. Nutrition is just as important, but is
considered a given when purchasing within the category.
8
3. Respondents use the product most often as a snack. The categorical products are mostly considered
a substitute for something else the user would rather have. Respondents were asked to rate their
agreeableness to the following, “When I am hungry I reach for an energy and nutrition bar first.” See
Graph 2.2 above “Reach For,” average.
4. Respondents agreed products from brands like Clif, PowerBar and Nature Valley look and taste too
processed. Expressed a desire for bars that look and taste like real food.
5. Users take and keep products with them throughout the entire day.
6. Respondents expect products in the category to be nutritious. No brand is a clear standout for taste,
ingredients, variety or quality.
7. Respondents use a large variety of products in this crowded category. Some are purely for nutrition
others predominately for taste.
Graph 2.3
9
Problems & Opportunities
Community Kitchen: Kyle Hawari created Taos Mountain Energy bars in a community kitchen with a
buddy of his. Taos Mountain Energy bars has the opportunity to share this story with all consumers.
Uncertain Brand Personality: Taos Mountain Energy bars is still figuring out brand personality. Taos
Mountain Energy bars has the opportunity to reach a different target audience through different brand
personalities.
10
Marketing Objective
Number
To increase share of the market by +2.6 percent, from 5.1 percent to 7.7 percent. By increasing share
of the market by 2.6 percent, Taos Mountain Energy Bars will sell 2,386,384 units.
Rationale
Sales History
According to a study report by Passport (enclosure 4), Energy and nutrition bars set to continue
its recent boom in 2014, as current value sales predicted to increase by 14% to reach US$2.8
billion
The two graphs (graph 4.1 and graph 4.2) below will illustrate the increase in market share that
the first, second and fifth ranked energy bar brands, and Taos Mountain Energy Bar’s biggest
competitors, have seen over the past 4 years. Between the two brands, there has been an
average increase of 1.3 percent. Over the past five years, the sales of energy and nutrition
bars has experienced 90 percent value growth. Taking this into consideration as well as the
steady and consistently rising increase among top brand energy and nutrition, we expect Taos
Mountain Energy Bars to experience double that percent growth, thus making our objective
double the average increase, which is 2.6 percent.
Graph 4.1 Graph 4.2
Attitudinal Changes
According to the previously mentioned Passport report (enclosure 4), Healthy positioning
continues to be key for consumers in 2014. Many consumers are concerned about the adverse
health effects that may stem from preservatives and GMOs (genetically modified organisms),
11
and believe that
eliminating these can help them live a healthier lifestyle. Consequently, many producers of
snack bars continued to push the health aspects of their products to attract consumers in 2014,
which contributed to the 14 percent increase in value sales witnessed that year. Therefore, since
one of the key components of Taos Mountain’s slogan “rebel with a cause” is that the bars
are ‘real food’ made with all natural, organic, and non-GMO ingredients, these bars have the
ability to champion the movement towards healthier energy and nutrition bars, thus effectively
doubling sales in the process.
Marketing Effort
Our proposed marketing effort will extend across the country, thus making the increase in sales
spread over a broader audience. Therefore, it is reasonable to assume that sales will double, if
not triple, because the market is expanding from a market containing less than quarter of the
210 DMAs that make up the national market.
12
Budget
Substantiation
Taos Mountain Energy Bars is a growing brand. Based on sales figures for the market over the past
four years, not only are sales of energy/nutrition bars expanding at an exponential rate, but also bars
produced with an emphasis on nutrition. Based on our research, energy bar users main criteria when
purchasing bars is nutrition, followed by protein and taste. Therefore, we expect our plan to expand
Taos Mountain Energy Bar’s market base to be highly successful, thus increasing sales. In order to
expand Taos Mountain Energy Bar’s base market and reach a wider target audience it is necessary to
spread advertising efforts across the country past its current centralized region. We have chosen to
focus advertising efforts on areas of the country with highest brand potential indices. We will target
individuals who fit the ideal Taos Mountain Energy Bars user description by using media best suited
to reach them. In order for us to reach our objective of expanding the market enough to gain a 2.6
percent increase of market share, while considering realistically what is within our means, we have
projected a budget of $6.8 million dollars to allocate towards advertising and public relations efforts.
The budget was calculated by multiplying projected advertising to sales to the projected number of
units sold for the following year.
The advertising to sales ratio was determined by averaging the advertising to sales ratios listed in an
article from AdvertisingAge (enclosure 5) for the following categories: Food & Kindred Products (11.5),
Groceries Related PDS-WHSL (.3), Groceries, General Line-WHSL (1.1). The average Advertising:Sales
for these categories was 4.3 percent.
The number of projected units sold was calculated by determining the projected number of units sold
for three brands within the energy and nutrition market with high, average and relatively low market
share in the category. Clif Bar, KIND Bar, and Power Bar had respectively the highest, average and
relatively lowest market shares in the category.
The number of projected units sold for each of these brands was calculated by using the following
formula :
	 Market Share ($) = # of units sold ($) / # units sold in the category ($).
13
Information about market share and number of units sold in the category for all three bands ranging
from 2010-2014 was taken from research Passport (enclosure 4).
After calculating the number of units sold from 2010-2014, units were plotted on a graph and a line of
best fit was used to determined the projected number of units sold for the following year.
The projected units sold for the following year for each brand were then averaged to determine how
many units Taos Mountain Energy Bars would sell the following year.
Budget Allocation
The budget of $6.8 million will be divided across three markets : A, B, and C. The A market, which makes
up 10.44 percent of the population will receive $554,000, while the B market, which makes of 23.92
percent of the population will receive $715,000, and the C market, which comprises the remaining
65 percent of the population will receive $5,700,000. However, $832,000 of the national budget will
be allocated to the A market in the form of experiential advertising, which then can be reflected in
the digital national market. This is justifiable in that the experiential efforts will be published on the
RealSimple.com and Inc.com websites, thus enabling them to have a digital component, which will be
disseminated across the national market. This $832,000 can be considered as being a shared amount
of money used for both experiential and digital marketing in two separate markets.
Since the A and B markets could only comprise 35 percent of the population, they were divided based
on level of index. The first clear break in indices between the A and B market appeared at the DMA
with the 27th highest index. This first market accounted for 10.44 percent of the population, therefore
the B market then accounted for the remaining 23.92 percent.
The budget will be allocated toward digital, print, and public relations strategies. The list below shows
the dispersal of funds according to market.
14
Market A (Budget: $554,000 + $832,200 from national budget)
	 1.Public Relations ($554,000)
	 2.Experiential Advertising ($832,200)
			
Market B (Budget: $715,000)
	 1.Public Relations ($715,000)
Market C/National (Budget: $5,700,000 - $832,200 to be allocated to A market)
	 1.Advertising ($5,700,000)
	 Media:
		 Social Media ($63,908)
		 Website ($2,215,000) + $832,200(digital based on experiential)
		Magazines ($1,694,126)
		 Radio ( $726,966)
Market B
$715,000
Public Relations
$715,000
Market A
$1.4 million
Public Relations
$554,000
Experiential
$832,200
Total Budget
$6.8 million
Market C
$4,867,800
Market B
$715,000
Market A
$1,386,200
Digital
$2,215,000
Social Media
$63,908
Magazines
$1,694,126
Radio
$726,966
Market C
$4.8 million
Graph 5.1
15
Marketing Strategy
Advertising
Creative:
Promotion
To establish a presence and generate top of mind awareness of Taos Mountain Energy Bars
among the target audience in new markets.
Media:
Target Audience: To deliver a target audience of men and women classified as experiencers
of varying ages, 25-44. Many users consider themselves outdoor adventurers, but the bulk
of users are merely physically active; participating in everyday fitness activities: running,
cycling, weightlifting and aerobics.
Geography: To provide a base of advertising nationally, with additional advertising placed
in the market (A) with the greatest opportunity of sales as defined by a brand potential
index.
Seasonality: To deliver a high concentration of advertising messages during Q1, Q2, and
the first four weeks of Q3 in line with peak sales of energy and nutrition bars as evidenced
by historical trends.
Continuous: Implement a continuous media schedule throughout the duration of the
campaign.
Creative Constraints: Visual media should be the primary form of media to show the how
appetizing the bars are. The “all natural” and environmentally conscious aspect of Taos
Mountain Energy makes tradition outdoor media less appealing because it is thought to
obstruct nature.
Reach Versus Frequency: To establish a frequency of at least 7, and a reach of 39 percent
within the budget.
16
Public Relations
To enhance public opinion of Taos Mountain Energy as a brand for all users, not just athletes.
Experiential Marketing
To establish Taos Mountain Energy as a brand that understands the struggles of everyday
adventurers.
Digital Social Media
To establish brand engagement with the target audience by creating platform-specific content
accessible through mobile applications as well as Taos Mountain’s social media pages that
encourage users to interact with the brand.
Product
Packaging: To create packaging that is easier for use by children and active people on the go.
Pricing
The brand will maintain current pricing, however is actively seeking means in which to reduce the
price. A lowering of the price will help expand the target audience, thus allowing more sales of the
product, thus raising the share of the market.
Distribution
To expand distribution of the product into markets located across the country, this will aid to increasing
volume of sales, thus raising the share of the market.
People
The target audience for Taos Mountain Energy Bar’s expansion are everyday adventurers. They are
experiencers of varying ages, 25-44. Many users consider themselves outdoor adventurers, but the
bulk of users are merely physically active; participating in everyday fitness activities: running, cycling,
weightlifting and aerobics. Women make up 55 percent of the target audience with men making up 10
percent less. Taos Mountain Energy Bar users are post graduates who work in professional and related
fields. We classify the target audience as the VALS consumer group Experiencers. These people are
physically active, sensation seekers.
17
Rationale
Creative:
Advertising messages will be delivered to the target audience via a variety of vehicles on a national
basis, thus generating greater awareness of the product and increasing sales. With the increase
of sales spreading across the United States and not just in one centralized region, Taos Mountain
Energy Bar will be able to increase its share of the market.
Media:
Target Audience: Age 35-44 and 45-54 had the highest indices on MRI for energy/nutrition bar
users. We decided to include 25-34 year olds because of the indices for education and household
income. The highest indices for education were graduated college plus and post graduate and the
highest index for household income is $150K+.
Geography: The base of the campaign will be national because the majority of our advertising will
be online and available for anyone in the United States to be exposed to.
Seasonality: Kyle Hawari informed us that Taos Mountain Energy Bar witnessed the biggest growth
in sales beginning in January 2015 with $75,000 in sales and peaking in July 2015 with $130,000
in sales. He also mentioned that there was a downturn in sales after July and during the fourth
quarter. Advertising messages should be disseminated in Q1 and Q2 with an emphasis on the first
four weeks of Q3 (the month of July) because this month witnesses the highest increase in sales.
Continuous: Implement a continuous media schedule throughout the duration of the campaign.
Creative Constraints: Keeping the campaign largely visual will emphasize the appetizing nature
of Taos Mountain Energy Bars. It will also show the audience that each bar is different in terms of
texture and flavor, which will differentiate it from competitors. Not using traditional outdoor media
highlights the “love of nature” characteristic that Taos Mountain Energy has formed.
Reach Versus Frequency: Reach and Frequency were calculated using the following steps:
	
	 1. Impressions= (Budget/CPM)*1000
	 2. Frequency= Impressions/ population 25-44 of the vehicle
	 3. Reach= population 25-44 of the vehicle/ National population 25-44
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Advertising Creative
Target Audience
1. The target audience for Taos Mountain Energy Bar’s expansion are everyday adventurers. They are
experiencers of varying ages, 25-44. Many users consider themselves outdoor adventurers, but the
bulk of users are merely physically active; participating in everyday fitness activities: running, cycling,
weightlifting and aerobics.
2. Demographics:
%45 %55
Table 7.1
Table 7.2
Table 7.3
19
Criteria For Purchase
Consideration Set
Graph 7.4
Graph 7.5
2. Psychographics: We classify the target audience as the VALS consumer group Experiencers. These
people are physically active, sensation seekers. Simmons One View data describes this audience
through the following segmentation profiles:
20
Graph 7.6
Graph 7.7
21
Graph 7.8
Graph 7.10
22
Rachel is 32-year-old professional dancer. She is married and planning to have a child. She is
concerned about how much her life and body will change when she has one. She has taken an
increased interest in fitness and nutrition in order to stay in shape. She may even make a second
career out of it.
Christian is 25-year-old student. He cycles for fitness and stress reduction while he studies for
his economics degree. He is a quiet adventurer, often spending time with his friends outdoors.
Schoolwork is what brings him the most stress. Everything else is an escape to help him get
through this final semester.
Cara is a 39-year-old mother of three. She is busy all day chasing her children around the house.
The children get the first fruits of everything: her time, her energy, her food and beverages. Very
few things are hers and hers alone and she seldom splurges, but works to give her children and
herself the best she can.
Penny, age 44, is an exceptional public affairs executive and semi-professional marathoner. She
is always on the move. More so than when both of her children were in the house. Her fitness
activities are more than a passing hobby. It is as much a part of her everyday as running her
department.
4. Mini Sagas:
Simple Strategy
To convince everyday adventurers
To buy Taos Mountain Energy Bars
Instead of leading category competitors
Because Taos Mountain Energy Bars have the great taste they want with the nutrition
they need
Insight
Nutrition is as useful as it tastes.
23
Support
Taos Mountain Energy Bars has superior taste with the same nutritional standards as its competitors.
This statement is backed up with user testimonies and taste tests.
Considerations
There is potential for Taos Mountain Energy bars to be positioned as the bar for the whole family. The
creative should show parents sharing or giving the bars to their children.
Everyday adventurers are still adventurers. The creative should show the target audience using Taos
Mountain Energy Bars during adventurous activities of varying intensity.
Tone
Supportive and encouraging. Taos Mountain Energy Bars is here to help and encourage people to
conquer their mountain.
Rationale
The target audience are everyday adventurers who use products from this category every day.
Respondents “always have one with [them]” (see enclosure 11). Their criteria for distinguishing between
brands is taste. Nutrition and energy bars taste relatively good, but they are most often a substitute
for something else the respondent would rather have (see enclosure 12). Nutrition is nearly equal to
taste, but is considered a given for the category. They are willing to pay for a bar that has the great
taste they want and the nutrition they need. As a focus group respondent said, “if my kids will eat it,
I will buy that bar” (see exhibit FocusGroup.2). The category is crowded so a product needs to stand
out. We want to position Taos Mountain Energy Bars as a tasty nutritious snack they always have with
them to help get them through today’s challenges. – The every day bar for everyday adventurers.
Tactics
Pursue endorsements from and sponsorships for users other than professional outdoor enthusiasts
and athletes, i.e. active mothers and business professionals.
24
Advertising Media
Objective
Target Audience: To deliver effective messages to everyday adventurers. They are
experiencers of varying ages, 25-44. Many users consider themselves outdoor adventurers, but the
bulk of users are merely physically active; participating in everyday fitness activities: running, cycling,
weightlifting and aerobics.
Geography: To provide a base of advertising nationally, with additional advertising placed in the
market (A) with the greatest opportunity of sales as defined by a brand potential index.
Seasonality: To deliver a high concentration of advertising messages during Q1,Q2,and the first four
weeks of Q3 in line with peak sales of energy and nutrition bars as evidenced by historical trends.
Continuity: To deliver advertising in a continuous fashion throughout Q1,Q2, during the first four
weeks of Q3, in line with past sales.
Creative Constraints: To use digital media that allows for the visual representation of the appetite
appeal of Taos Mountain Energy Bars.
Reach vs. Frequency: To maintain a frequency of at least 7, and a reach of 39 percent within the
budget.
Strategies
Media Mix and Types: To use a media mix of digital, print and radio.
Media Format: To use outdoor recreation magazines. To use online radio and a news/video streaming
websites. To use nationally syndicated radio programs such as Delilah and Ryan Seacrest.
Geographic Use of Media: To allocate money on a market-by-market basis, using brand
development index and the summation of CPPs for each DMA in the respective markets to
25
determine individual market advertising weights.
Seasonal Use of Media: To advertise during peak months of energy/nutrition bar sales, with emphasis
on the first four weeks of Q3, evidenced historically by the highest peak in sales.
Flighting versus Continuity: To maintain a continuous schedule on all platforms throughout Q1,Q2
and the first four weeks of Q3.
Rationale
Support of Strategy: Using a media mix of digital and print will effectively reach all ages within the
target audience as well as expose more of the target audience to advertising messages by reaching
them via different vehicles. By using specific types of magazines, radio stations and websites, we are
able to directly reach our target audience because these are the specific places they frequent and take
interest in. Lastly, by focusing on disseminating messages across these platforms with an emphasis on
a parts of the country with the highest BPI, we are able to reach more of our target audience with a
larger frequency, thus expanding our current market while meeting our objective of increasing Taos
Mountain Energy Bar’s share of the market.
Support of Delivery and Efficiency: The original media plan (A) relied heavily on billboard advertising,
however, since the budget for the market in which this form of advertising was most desirable, was
75 percent under the necessary funds needed, and would potentially reach only 10 percent of the
national population, we chose to form a new digitally based strategy. The digitally based strategy (B)
was not only cost efficient, but also allowed for a wider reach and frequently, thus resulting in higher
campaign GRPs. Traditional media such as Radio and magazine advertising will be used in plan A
order to reach the older segment of the target demographic. In order to reach the younger segment
of the demographic, we will rely on social media advertising and the online radio streaming website,
Pandora. Social media and digital advertising is expected to yield an average GRP of 103.875, which
combined with traditional advertising vehicles, radio and magazine, results in a total of 275.73 GRPs
for the overall campaign. This high number of GRPs results in a higher number of users being exposed
to our advertising messages, thus expanding the market and leading to an increase in sales and
ultimately share of the market.
26
Reach, Frequency and GRP Summary
Table 8.2
Table 8.3
Table 8.1
Tactics
Media Vehicles
Table 8.3
27
Cost Summary
Table 8.4* Percent of total budget by medium
28
Flowchart
29
Table 8.5
30
Competitive Media and Sales Review
	 Category Sales History
Table 8.6
Target Group/User Analysis
Table 8.7
31
Table 8.8
32
Detail on Planned Medium
Table 8.9
Table 8.10
33
Table 8.11
Buying
Constraints: Experiential advertising will not include sampling. The client is not interested in using any
social media that is newer than Facebook.
Rationale: The client has used sampling in retail stores in the past so we do not think it would be
beneficial to continue using that tactic. The allocated budget for sampling could be better put to use
elsewhere. The client does not want to use social media that is newer than Facebook because newer
social media is reaching a younger generation and is too far out of the target market.
34
Marketing Communication
Public Relations
Current Situation: Taos Mountain Energy partners with Angel Fire Mountain Bike Park, local athletes
and sharing their information with local news sources. Sampling has been successful for Taos Mountin
Energy in the past.
Objective: To enhance public opinion of Taos Mountain Energy as a brand for all users, not just athletes.
Strategy: To influence consumers to purchase Taos Mountain Energy instead of Clif bars because Taos
Mountain Energy has every consumer in mind, not just the athlete.
Target Audience: Understand all of the publics. Although the head of Taos Mountain Energy will
be making decisions, the athletes and other supports are the ones engaging and reaching out to
the target publics. Make sure all groups know the reasoning behind Taos Mountain Energy and the
changes we are trying to reach.
Rationale: The strategy is correct because Taos Mountain Energy focuses on the individual consumer
and their needs rather than an entire audience. The media will run stories because Taos Mountain
Energy is focused on changing the way consumers use energy bars and the opinion that all energy
bars are the same.
Experiential
Current Situation: It is unknown whether Taos Mountain Energy has utilized any experiential marketing.
Objective: To establish Taos Mountain Energy as a brand that understands the struggles of everyday
adventurers.
Strategy: To involve the target audience with health and wellness events that showcase Taos Mountain
Energy Bar’s dedication to matching the tastes and nutritional needs of the everyday adventurer.
Target Audience: To deliver the event to Men and Women 25+
35
Rationale: Sponsoring health and wellness fairs will help teach consumers about nutrition, exercise,
and other healthy habits. The everyday adventurers that we are targeting will get the chance to learn
how to overcome life’s struggles from experts and Taos Mountain Energy. This will position the brand
as the energy bar that is not just for athletes, but also everyday people.
36
Evaluation
Current Situation
We are continuing our qualitative research with additional questionnaires, focus groups and
ethnographies. We adjust these to reflect the most recent findings to fine tune the data.
Objective
1. To determine the attitudes towards Taos Mountain Energy Bar and its advertising.
2. To determine target audience response to campaign creative.
Strategy
Objective 1:
To gain insight on why and where the target audience uses energy bars generally and what they think
of Taos Mountain Energy Bars specifically.
Objective 2:
Determine how Taos Mountain Energy bars taste compares to top competitors.
Objective 3:
To conduct a quantitative attitude, usage and awareness study in the middle and end of the campaign
to verify or refute the findings of the qualitative study
Tactics
Objective 1:
Conduct 500 additional surveys. Questions will focus on why and where the target audience uses
energy bars. Conduct two focus groups in the first quarter to gain insight further regarding survey data.
Objective 2:
Conduct a taste test to quantitatively measure Taos Mountain Energy Bars against their category
leaders.
37
Objective 3:
Conduct the following:
	 1. An attitude measurement for the brand in the middle of quarter two.
	 2. A brand and advertising awareness measurement at the end of quarter two.
	 3. A purchase motivation assessment at the end of quarter three.
38
Testing
Objective
To determine the sales impact of a 15 percent increase in advertising impressions against an expanded
target audience including 18 to 24-year olds.
Strategy
To use an additional digital media distribution channel to target the expanded age demographic.
Tactics
1. Use Vice Media Inc.’s digital targeting capabilities to extend the current reach of the campaign to
the 18 to 24-year-old and increase the frequency for the large 25 to 35-year-old age segment of the
target audience.
2. Work with Vice Media Inc. and current influencers to produce online video creative.
Distribute this creative through the Vice owned website, Munchies; aligning Taos Mountain Energy bar
with this segment’s epicurean pillar.
Rationale
18 to 35-year-olds are heavy users of the category, with an index of 115. They account for 7.8 percent
of purchases. The primary campaign positions Taos Mountain Energy Bars as an everyday product
for the whole family. We believe there is an opportunity to secure this position by reaching the family
members who are in transition out of the home or starting homes of their own. Reaching this segment
would associate Taos Mountain Energy Bar with additional types of adventures and adventurers and
create opportunities to expand into additional markets.

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Copy of Planning Document Final

  • 1. 1 Advertising Planning Document Rachael Montgomery Mark Farinholt Drew Hendricks Hannah Settlemire Katie Carter Garret Voss
  • 2. Table of Contents Situation Analysis Research Problems & Opportunities Marketing Objective Budget Marketing Strategy Advertising Creative Advertising Media Marketing Communication Evaluation Testing 1 6 9 10 12 15 18 24 34 36 38
  • 3. 1 Situation Analysis Current Users These are primary users of the nutrition/energy bar category. These same users also include several products from the nutritional snacks-granola market in their consideration set; Nature Valley, Nutri Grain, Quaker, Think Thin and Special K. Consumers of these two markets are closely related. We found the heavy users of nutrition/energy bars to be educated beyond college, have a high household income ($149,000+), are between the ages of 25-44, have older children in the home and tend to be physically active in sports and fitness year round. Leading competitors tend to market their products heavily to the outdoor enthusiast. Data from GfKMRI Plus suggests users have a great deal of variety in their physical hobbies (GfKMRI Plus, enclosures 1 and 2). Hiking, climbing and other outdoor activities are reflected against competitors like Clif and Nature Valley, but the general user data reflects fitness activities like yoga, or running are important to a larger portion of users (Simmons OneView, graph 7.6). These users are also socially active. They host house parties, cook with friends and go out to bars and nightclubs. Users of nutrition/energy bars share an equal interest in video games and are music listeners. The heaviest consumers tend to live in the Pacific and Northeastern regions, clustered heavily in cities (Table 1.1). There are approximately 28 million nutrition bar consumers. Females outnumber males 15.2 million to 12.4 million (Packaged Facts, 2013). Table 1.1 Geographical Emphasis We used SRDS data (See enclosure 7 for examples of SRDS DMA profiles) to find the geographical location of energy bar users in the U.S. We ranked DMAs based on relevant, available population
  • 4. 2 data. The criteria we used were population 25-44, household income of 150k+, occupation, footwear sales, and sporting good sales. These criteria were selected based on MRI demographics of energy bar users. This allowed us to find the top 34 DMAs. They are listed below, ranked by index (Table 1.2). We then used data from MRI to verify the data obtained through SRDS (Table 1.3). This data, although less specific, backed up the DMA research showed. The two areas that had indexes over 100 were the northeast and the pacific. These two areas largely accounted for the top ranked DMAs. (See enclosure
  • 6. 4 Purchase Cycle of Energy Bar Consumers Frequency ‘000 Total Bars 7.0 16,098 112,686 3.0 9,128 27,384 1.0 12,855 12,855 Totals 38,081 152,925 Average # of bars purchased/7 days 4.0 Purchase Cycle The purchase cycle for energy bars is .93 bars over a 7 day period and 4.0 bars over a 30 day period. The total of energy bar users who consume between 1-7 bars over a 30 day period is 38,081 and the total amount of bars they consume is 152, 925. Dividing the total number of bars consumed by the total number of those consuming them yields an average of four bars every seven days, which can be further broken down into .93 bars per a day. (Table 1.4) Table 1.4 Seasonality The category has an uptick in sales starting in January and peaking in July. Sales taper down during the fall, starting in October. This downward trend does not bottom out as heavy users who are also physically active continue their outdoor activity into the winter months. Creative Requirements Taos Mountain Energy is a high cost product that caters to a fairly specific crowd. To give themselves credibility for the high price and to appeal to their audience, things like “gluten-free”, “non-GMO”, and “Vegan” need to appear in the promotional materials. The National Park Foundation logo should be present on the promotional materials as well. Traditional outdoor media should be avoided because it works against the credibility of the brand’s “love of nature” angle.
  • 7. 5 Competitive Sales We were able to find competitive sales of Clif bars, Kind bars and Powerbars by looking at the category data of snack bars in the U.S. In the category data we found market share and total market unit sales and were able to find unit sales. We used sales of snack bars by category value in 2014 and LBN brand shares of snack bars in 2014. (Passport, encolsure 4) We used the following equation: Market share = 100 * unit sales / total market unit sales Table 1.5** sales of competitors in 2014 Table 1.6 Table 1.7
  • 8. 6 Research Objectives 1. To gauge users’ opinions on the nutrition and energy bar category. 2. To gather information on how users make purchase decisions in same. 3. To determine which criteria for purchase is most important to category users. 4. To discover which brands users choose most. 5. To determine which geographic markets are most suitable for expansion. Strategies 1. Gain initial information through one-on-one interviews with members of the target audience. Portions of these interviews will provide raw data for quantitative study 2. Gain initial input via focused group sessions with two key purchaser groups. 3. Gain geographic insight through a DMA analysis Method 1. The research was conducted using face-to-face interviews with respondents who were found using the intercept technique in: grocery stores, outdoor lifestyle stores, fitness and climbing gyms and university campuses. A total of 240 interviews were conducted. 2. Each focus group consisted of 8 participants. Focus group one consisted of semi-pro and amateur athletes, male and female. Focus group two consisted of generally active users; predominantly women with children. 3. Created a multivariate index of all 210 DMAs to determine those most suitable for expansion. The variables chosen included: household income level, population age 25-44, outdoor recreational equipment sales, footwear sales, and occupation. (see enclosure 3)
  • 9. 7 Graph 2.1 2. Taste is the number one criteria, but respondents’ attitudes about the general taste of category products is only a little above neutral, average 3.85. Graph 2.2 Summary of Findings 1. Respondents number one criteria for purchase is taste. Nutrition is just as important, but is considered a given when purchasing within the category.
  • 10. 8 3. Respondents use the product most often as a snack. The categorical products are mostly considered a substitute for something else the user would rather have. Respondents were asked to rate their agreeableness to the following, “When I am hungry I reach for an energy and nutrition bar first.” See Graph 2.2 above “Reach For,” average. 4. Respondents agreed products from brands like Clif, PowerBar and Nature Valley look and taste too processed. Expressed a desire for bars that look and taste like real food. 5. Users take and keep products with them throughout the entire day. 6. Respondents expect products in the category to be nutritious. No brand is a clear standout for taste, ingredients, variety or quality. 7. Respondents use a large variety of products in this crowded category. Some are purely for nutrition others predominately for taste. Graph 2.3
  • 11. 9 Problems & Opportunities Community Kitchen: Kyle Hawari created Taos Mountain Energy bars in a community kitchen with a buddy of his. Taos Mountain Energy bars has the opportunity to share this story with all consumers. Uncertain Brand Personality: Taos Mountain Energy bars is still figuring out brand personality. Taos Mountain Energy bars has the opportunity to reach a different target audience through different brand personalities.
  • 12. 10 Marketing Objective Number To increase share of the market by +2.6 percent, from 5.1 percent to 7.7 percent. By increasing share of the market by 2.6 percent, Taos Mountain Energy Bars will sell 2,386,384 units. Rationale Sales History According to a study report by Passport (enclosure 4), Energy and nutrition bars set to continue its recent boom in 2014, as current value sales predicted to increase by 14% to reach US$2.8 billion The two graphs (graph 4.1 and graph 4.2) below will illustrate the increase in market share that the first, second and fifth ranked energy bar brands, and Taos Mountain Energy Bar’s biggest competitors, have seen over the past 4 years. Between the two brands, there has been an average increase of 1.3 percent. Over the past five years, the sales of energy and nutrition bars has experienced 90 percent value growth. Taking this into consideration as well as the steady and consistently rising increase among top brand energy and nutrition, we expect Taos Mountain Energy Bars to experience double that percent growth, thus making our objective double the average increase, which is 2.6 percent. Graph 4.1 Graph 4.2 Attitudinal Changes According to the previously mentioned Passport report (enclosure 4), Healthy positioning continues to be key for consumers in 2014. Many consumers are concerned about the adverse health effects that may stem from preservatives and GMOs (genetically modified organisms),
  • 13. 11 and believe that eliminating these can help them live a healthier lifestyle. Consequently, many producers of snack bars continued to push the health aspects of their products to attract consumers in 2014, which contributed to the 14 percent increase in value sales witnessed that year. Therefore, since one of the key components of Taos Mountain’s slogan “rebel with a cause” is that the bars are ‘real food’ made with all natural, organic, and non-GMO ingredients, these bars have the ability to champion the movement towards healthier energy and nutrition bars, thus effectively doubling sales in the process. Marketing Effort Our proposed marketing effort will extend across the country, thus making the increase in sales spread over a broader audience. Therefore, it is reasonable to assume that sales will double, if not triple, because the market is expanding from a market containing less than quarter of the 210 DMAs that make up the national market.
  • 14. 12 Budget Substantiation Taos Mountain Energy Bars is a growing brand. Based on sales figures for the market over the past four years, not only are sales of energy/nutrition bars expanding at an exponential rate, but also bars produced with an emphasis on nutrition. Based on our research, energy bar users main criteria when purchasing bars is nutrition, followed by protein and taste. Therefore, we expect our plan to expand Taos Mountain Energy Bar’s market base to be highly successful, thus increasing sales. In order to expand Taos Mountain Energy Bar’s base market and reach a wider target audience it is necessary to spread advertising efforts across the country past its current centralized region. We have chosen to focus advertising efforts on areas of the country with highest brand potential indices. We will target individuals who fit the ideal Taos Mountain Energy Bars user description by using media best suited to reach them. In order for us to reach our objective of expanding the market enough to gain a 2.6 percent increase of market share, while considering realistically what is within our means, we have projected a budget of $6.8 million dollars to allocate towards advertising and public relations efforts. The budget was calculated by multiplying projected advertising to sales to the projected number of units sold for the following year. The advertising to sales ratio was determined by averaging the advertising to sales ratios listed in an article from AdvertisingAge (enclosure 5) for the following categories: Food & Kindred Products (11.5), Groceries Related PDS-WHSL (.3), Groceries, General Line-WHSL (1.1). The average Advertising:Sales for these categories was 4.3 percent. The number of projected units sold was calculated by determining the projected number of units sold for three brands within the energy and nutrition market with high, average and relatively low market share in the category. Clif Bar, KIND Bar, and Power Bar had respectively the highest, average and relatively lowest market shares in the category. The number of projected units sold for each of these brands was calculated by using the following formula : Market Share ($) = # of units sold ($) / # units sold in the category ($).
  • 15. 13 Information about market share and number of units sold in the category for all three bands ranging from 2010-2014 was taken from research Passport (enclosure 4). After calculating the number of units sold from 2010-2014, units were plotted on a graph and a line of best fit was used to determined the projected number of units sold for the following year. The projected units sold for the following year for each brand were then averaged to determine how many units Taos Mountain Energy Bars would sell the following year. Budget Allocation The budget of $6.8 million will be divided across three markets : A, B, and C. The A market, which makes up 10.44 percent of the population will receive $554,000, while the B market, which makes of 23.92 percent of the population will receive $715,000, and the C market, which comprises the remaining 65 percent of the population will receive $5,700,000. However, $832,000 of the national budget will be allocated to the A market in the form of experiential advertising, which then can be reflected in the digital national market. This is justifiable in that the experiential efforts will be published on the RealSimple.com and Inc.com websites, thus enabling them to have a digital component, which will be disseminated across the national market. This $832,000 can be considered as being a shared amount of money used for both experiential and digital marketing in two separate markets. Since the A and B markets could only comprise 35 percent of the population, they were divided based on level of index. The first clear break in indices between the A and B market appeared at the DMA with the 27th highest index. This first market accounted for 10.44 percent of the population, therefore the B market then accounted for the remaining 23.92 percent. The budget will be allocated toward digital, print, and public relations strategies. The list below shows the dispersal of funds according to market.
  • 16. 14 Market A (Budget: $554,000 + $832,200 from national budget) 1.Public Relations ($554,000) 2.Experiential Advertising ($832,200) Market B (Budget: $715,000) 1.Public Relations ($715,000) Market C/National (Budget: $5,700,000 - $832,200 to be allocated to A market) 1.Advertising ($5,700,000) Media: Social Media ($63,908) Website ($2,215,000) + $832,200(digital based on experiential) Magazines ($1,694,126) Radio ( $726,966) Market B $715,000 Public Relations $715,000 Market A $1.4 million Public Relations $554,000 Experiential $832,200 Total Budget $6.8 million Market C $4,867,800 Market B $715,000 Market A $1,386,200 Digital $2,215,000 Social Media $63,908 Magazines $1,694,126 Radio $726,966 Market C $4.8 million Graph 5.1
  • 17. 15 Marketing Strategy Advertising Creative: Promotion To establish a presence and generate top of mind awareness of Taos Mountain Energy Bars among the target audience in new markets. Media: Target Audience: To deliver a target audience of men and women classified as experiencers of varying ages, 25-44. Many users consider themselves outdoor adventurers, but the bulk of users are merely physically active; participating in everyday fitness activities: running, cycling, weightlifting and aerobics. Geography: To provide a base of advertising nationally, with additional advertising placed in the market (A) with the greatest opportunity of sales as defined by a brand potential index. Seasonality: To deliver a high concentration of advertising messages during Q1, Q2, and the first four weeks of Q3 in line with peak sales of energy and nutrition bars as evidenced by historical trends. Continuous: Implement a continuous media schedule throughout the duration of the campaign. Creative Constraints: Visual media should be the primary form of media to show the how appetizing the bars are. The “all natural” and environmentally conscious aspect of Taos Mountain Energy makes tradition outdoor media less appealing because it is thought to obstruct nature. Reach Versus Frequency: To establish a frequency of at least 7, and a reach of 39 percent within the budget.
  • 18. 16 Public Relations To enhance public opinion of Taos Mountain Energy as a brand for all users, not just athletes. Experiential Marketing To establish Taos Mountain Energy as a brand that understands the struggles of everyday adventurers. Digital Social Media To establish brand engagement with the target audience by creating platform-specific content accessible through mobile applications as well as Taos Mountain’s social media pages that encourage users to interact with the brand. Product Packaging: To create packaging that is easier for use by children and active people on the go. Pricing The brand will maintain current pricing, however is actively seeking means in which to reduce the price. A lowering of the price will help expand the target audience, thus allowing more sales of the product, thus raising the share of the market. Distribution To expand distribution of the product into markets located across the country, this will aid to increasing volume of sales, thus raising the share of the market. People The target audience for Taos Mountain Energy Bar’s expansion are everyday adventurers. They are experiencers of varying ages, 25-44. Many users consider themselves outdoor adventurers, but the bulk of users are merely physically active; participating in everyday fitness activities: running, cycling, weightlifting and aerobics. Women make up 55 percent of the target audience with men making up 10 percent less. Taos Mountain Energy Bar users are post graduates who work in professional and related fields. We classify the target audience as the VALS consumer group Experiencers. These people are physically active, sensation seekers.
  • 19. 17 Rationale Creative: Advertising messages will be delivered to the target audience via a variety of vehicles on a national basis, thus generating greater awareness of the product and increasing sales. With the increase of sales spreading across the United States and not just in one centralized region, Taos Mountain Energy Bar will be able to increase its share of the market. Media: Target Audience: Age 35-44 and 45-54 had the highest indices on MRI for energy/nutrition bar users. We decided to include 25-34 year olds because of the indices for education and household income. The highest indices for education were graduated college plus and post graduate and the highest index for household income is $150K+. Geography: The base of the campaign will be national because the majority of our advertising will be online and available for anyone in the United States to be exposed to. Seasonality: Kyle Hawari informed us that Taos Mountain Energy Bar witnessed the biggest growth in sales beginning in January 2015 with $75,000 in sales and peaking in July 2015 with $130,000 in sales. He also mentioned that there was a downturn in sales after July and during the fourth quarter. Advertising messages should be disseminated in Q1 and Q2 with an emphasis on the first four weeks of Q3 (the month of July) because this month witnesses the highest increase in sales. Continuous: Implement a continuous media schedule throughout the duration of the campaign. Creative Constraints: Keeping the campaign largely visual will emphasize the appetizing nature of Taos Mountain Energy Bars. It will also show the audience that each bar is different in terms of texture and flavor, which will differentiate it from competitors. Not using traditional outdoor media highlights the “love of nature” characteristic that Taos Mountain Energy has formed. Reach Versus Frequency: Reach and Frequency were calculated using the following steps: 1. Impressions= (Budget/CPM)*1000 2. Frequency= Impressions/ population 25-44 of the vehicle 3. Reach= population 25-44 of the vehicle/ National population 25-44
  • 20. 18 Advertising Creative Target Audience 1. The target audience for Taos Mountain Energy Bar’s expansion are everyday adventurers. They are experiencers of varying ages, 25-44. Many users consider themselves outdoor adventurers, but the bulk of users are merely physically active; participating in everyday fitness activities: running, cycling, weightlifting and aerobics. 2. Demographics: %45 %55 Table 7.1 Table 7.2 Table 7.3
  • 21. 19 Criteria For Purchase Consideration Set Graph 7.4 Graph 7.5 2. Psychographics: We classify the target audience as the VALS consumer group Experiencers. These people are physically active, sensation seekers. Simmons One View data describes this audience through the following segmentation profiles:
  • 24. 22 Rachel is 32-year-old professional dancer. She is married and planning to have a child. She is concerned about how much her life and body will change when she has one. She has taken an increased interest in fitness and nutrition in order to stay in shape. She may even make a second career out of it. Christian is 25-year-old student. He cycles for fitness and stress reduction while he studies for his economics degree. He is a quiet adventurer, often spending time with his friends outdoors. Schoolwork is what brings him the most stress. Everything else is an escape to help him get through this final semester. Cara is a 39-year-old mother of three. She is busy all day chasing her children around the house. The children get the first fruits of everything: her time, her energy, her food and beverages. Very few things are hers and hers alone and she seldom splurges, but works to give her children and herself the best she can. Penny, age 44, is an exceptional public affairs executive and semi-professional marathoner. She is always on the move. More so than when both of her children were in the house. Her fitness activities are more than a passing hobby. It is as much a part of her everyday as running her department. 4. Mini Sagas: Simple Strategy To convince everyday adventurers To buy Taos Mountain Energy Bars Instead of leading category competitors Because Taos Mountain Energy Bars have the great taste they want with the nutrition they need Insight Nutrition is as useful as it tastes.
  • 25. 23 Support Taos Mountain Energy Bars has superior taste with the same nutritional standards as its competitors. This statement is backed up with user testimonies and taste tests. Considerations There is potential for Taos Mountain Energy bars to be positioned as the bar for the whole family. The creative should show parents sharing or giving the bars to their children. Everyday adventurers are still adventurers. The creative should show the target audience using Taos Mountain Energy Bars during adventurous activities of varying intensity. Tone Supportive and encouraging. Taos Mountain Energy Bars is here to help and encourage people to conquer their mountain. Rationale The target audience are everyday adventurers who use products from this category every day. Respondents “always have one with [them]” (see enclosure 11). Their criteria for distinguishing between brands is taste. Nutrition and energy bars taste relatively good, but they are most often a substitute for something else the respondent would rather have (see enclosure 12). Nutrition is nearly equal to taste, but is considered a given for the category. They are willing to pay for a bar that has the great taste they want and the nutrition they need. As a focus group respondent said, “if my kids will eat it, I will buy that bar” (see exhibit FocusGroup.2). The category is crowded so a product needs to stand out. We want to position Taos Mountain Energy Bars as a tasty nutritious snack they always have with them to help get them through today’s challenges. – The every day bar for everyday adventurers. Tactics Pursue endorsements from and sponsorships for users other than professional outdoor enthusiasts and athletes, i.e. active mothers and business professionals.
  • 26. 24 Advertising Media Objective Target Audience: To deliver effective messages to everyday adventurers. They are experiencers of varying ages, 25-44. Many users consider themselves outdoor adventurers, but the bulk of users are merely physically active; participating in everyday fitness activities: running, cycling, weightlifting and aerobics. Geography: To provide a base of advertising nationally, with additional advertising placed in the market (A) with the greatest opportunity of sales as defined by a brand potential index. Seasonality: To deliver a high concentration of advertising messages during Q1,Q2,and the first four weeks of Q3 in line with peak sales of energy and nutrition bars as evidenced by historical trends. Continuity: To deliver advertising in a continuous fashion throughout Q1,Q2, during the first four weeks of Q3, in line with past sales. Creative Constraints: To use digital media that allows for the visual representation of the appetite appeal of Taos Mountain Energy Bars. Reach vs. Frequency: To maintain a frequency of at least 7, and a reach of 39 percent within the budget. Strategies Media Mix and Types: To use a media mix of digital, print and radio. Media Format: To use outdoor recreation magazines. To use online radio and a news/video streaming websites. To use nationally syndicated radio programs such as Delilah and Ryan Seacrest. Geographic Use of Media: To allocate money on a market-by-market basis, using brand development index and the summation of CPPs for each DMA in the respective markets to
  • 27. 25 determine individual market advertising weights. Seasonal Use of Media: To advertise during peak months of energy/nutrition bar sales, with emphasis on the first four weeks of Q3, evidenced historically by the highest peak in sales. Flighting versus Continuity: To maintain a continuous schedule on all platforms throughout Q1,Q2 and the first four weeks of Q3. Rationale Support of Strategy: Using a media mix of digital and print will effectively reach all ages within the target audience as well as expose more of the target audience to advertising messages by reaching them via different vehicles. By using specific types of magazines, radio stations and websites, we are able to directly reach our target audience because these are the specific places they frequent and take interest in. Lastly, by focusing on disseminating messages across these platforms with an emphasis on a parts of the country with the highest BPI, we are able to reach more of our target audience with a larger frequency, thus expanding our current market while meeting our objective of increasing Taos Mountain Energy Bar’s share of the market. Support of Delivery and Efficiency: The original media plan (A) relied heavily on billboard advertising, however, since the budget for the market in which this form of advertising was most desirable, was 75 percent under the necessary funds needed, and would potentially reach only 10 percent of the national population, we chose to form a new digitally based strategy. The digitally based strategy (B) was not only cost efficient, but also allowed for a wider reach and frequently, thus resulting in higher campaign GRPs. Traditional media such as Radio and magazine advertising will be used in plan A order to reach the older segment of the target demographic. In order to reach the younger segment of the demographic, we will rely on social media advertising and the online radio streaming website, Pandora. Social media and digital advertising is expected to yield an average GRP of 103.875, which combined with traditional advertising vehicles, radio and magazine, results in a total of 275.73 GRPs for the overall campaign. This high number of GRPs results in a higher number of users being exposed to our advertising messages, thus expanding the market and leading to an increase in sales and ultimately share of the market.
  • 28. 26 Reach, Frequency and GRP Summary Table 8.2 Table 8.3 Table 8.1 Tactics Media Vehicles Table 8.3
  • 29. 27 Cost Summary Table 8.4* Percent of total budget by medium
  • 32. 30 Competitive Media and Sales Review Category Sales History Table 8.6 Target Group/User Analysis Table 8.7
  • 34. 32 Detail on Planned Medium Table 8.9 Table 8.10
  • 35. 33 Table 8.11 Buying Constraints: Experiential advertising will not include sampling. The client is not interested in using any social media that is newer than Facebook. Rationale: The client has used sampling in retail stores in the past so we do not think it would be beneficial to continue using that tactic. The allocated budget for sampling could be better put to use elsewhere. The client does not want to use social media that is newer than Facebook because newer social media is reaching a younger generation and is too far out of the target market.
  • 36. 34 Marketing Communication Public Relations Current Situation: Taos Mountain Energy partners with Angel Fire Mountain Bike Park, local athletes and sharing their information with local news sources. Sampling has been successful for Taos Mountin Energy in the past. Objective: To enhance public opinion of Taos Mountain Energy as a brand for all users, not just athletes. Strategy: To influence consumers to purchase Taos Mountain Energy instead of Clif bars because Taos Mountain Energy has every consumer in mind, not just the athlete. Target Audience: Understand all of the publics. Although the head of Taos Mountain Energy will be making decisions, the athletes and other supports are the ones engaging and reaching out to the target publics. Make sure all groups know the reasoning behind Taos Mountain Energy and the changes we are trying to reach. Rationale: The strategy is correct because Taos Mountain Energy focuses on the individual consumer and their needs rather than an entire audience. The media will run stories because Taos Mountain Energy is focused on changing the way consumers use energy bars and the opinion that all energy bars are the same. Experiential Current Situation: It is unknown whether Taos Mountain Energy has utilized any experiential marketing. Objective: To establish Taos Mountain Energy as a brand that understands the struggles of everyday adventurers. Strategy: To involve the target audience with health and wellness events that showcase Taos Mountain Energy Bar’s dedication to matching the tastes and nutritional needs of the everyday adventurer. Target Audience: To deliver the event to Men and Women 25+
  • 37. 35 Rationale: Sponsoring health and wellness fairs will help teach consumers about nutrition, exercise, and other healthy habits. The everyday adventurers that we are targeting will get the chance to learn how to overcome life’s struggles from experts and Taos Mountain Energy. This will position the brand as the energy bar that is not just for athletes, but also everyday people.
  • 38. 36 Evaluation Current Situation We are continuing our qualitative research with additional questionnaires, focus groups and ethnographies. We adjust these to reflect the most recent findings to fine tune the data. Objective 1. To determine the attitudes towards Taos Mountain Energy Bar and its advertising. 2. To determine target audience response to campaign creative. Strategy Objective 1: To gain insight on why and where the target audience uses energy bars generally and what they think of Taos Mountain Energy Bars specifically. Objective 2: Determine how Taos Mountain Energy bars taste compares to top competitors. Objective 3: To conduct a quantitative attitude, usage and awareness study in the middle and end of the campaign to verify or refute the findings of the qualitative study Tactics Objective 1: Conduct 500 additional surveys. Questions will focus on why and where the target audience uses energy bars. Conduct two focus groups in the first quarter to gain insight further regarding survey data. Objective 2: Conduct a taste test to quantitatively measure Taos Mountain Energy Bars against their category leaders.
  • 39. 37 Objective 3: Conduct the following: 1. An attitude measurement for the brand in the middle of quarter two. 2. A brand and advertising awareness measurement at the end of quarter two. 3. A purchase motivation assessment at the end of quarter three.
  • 40. 38 Testing Objective To determine the sales impact of a 15 percent increase in advertising impressions against an expanded target audience including 18 to 24-year olds. Strategy To use an additional digital media distribution channel to target the expanded age demographic. Tactics 1. Use Vice Media Inc.’s digital targeting capabilities to extend the current reach of the campaign to the 18 to 24-year-old and increase the frequency for the large 25 to 35-year-old age segment of the target audience. 2. Work with Vice Media Inc. and current influencers to produce online video creative. Distribute this creative through the Vice owned website, Munchies; aligning Taos Mountain Energy bar with this segment’s epicurean pillar. Rationale 18 to 35-year-olds are heavy users of the category, with an index of 115. They account for 7.8 percent of purchases. The primary campaign positions Taos Mountain Energy Bars as an everyday product for the whole family. We believe there is an opportunity to secure this position by reaching the family members who are in transition out of the home or starting homes of their own. Reaching this segment would associate Taos Mountain Energy Bar with additional types of adventures and adventurers and create opportunities to expand into additional markets.