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Final book

  2. 2. TreeHouse plans on opening a new out-of-state branch. The goal is to successfully launch this brand without impacting the vibe that TreeHouse has already established. The overall strategy is to decide which communication efforts should be shared between Boulder and Austin and which should be unique and stand-alone. At Nueces Creative, we would like to focus on the stand-alone efforts. 50% of those who are aware should be familiar with their general new store location via the same measurement tool BRAND AWARENESS To educate the target(s) about the Tree House store name, location and grand opening by encouraging brand awareness, increasing store front traffic, and inspiring customer engagement and brand participation. 50% of target(s) will be aware of Tree House name when prompted via aided recall after the first 6 weeks STORE FRONT TRAFFIC Monday-Thursday = average of 150 visitors/day Saturday = average of 300 visitors/day CUSTOMER ENGAGEMENT AND BRAND PERCEPTION Customers should be excited to pass along positive TreeHouse reviews across various shared media platforms
  3. 3. THE NUTS AND BOLTS DATES TO NOTE Location: Boulder, Colorado March 1st Earliest date to allocate preAddress: launch/launch 1162 13th Street, Boulder, CO budget (Hill District) March 14th Boulder TreeHouse Time: Eight week launch store front opens period Budget: $45,000 to be spent on 100% media efforts 12th May Early measurements of success will be taken 31st December Latest date to allocate prelaunch/launch budget AFTER THE INTIAL LAUNCH Select and promote a minimum of at least five workshops before the end of the calendar year to be offered at this new location Promote the variety of services that TreeHouse offers on an on-going basis To continue the momentum that we begin in our first 8 weeks of the launch throughout the rest of the calendar year
  4. 4. In comparison to the groundbreaking city of Austin, Texas, the increasingly inventive Colorado city of Boulder embodies a very similar environment. Both cities are home to large universities and embrace the urban lifestyle, but still maintain an intimate “small town” feel. The cities of Austin and Boulder are known as fast paced, forward thinking, and environmentally conscious, aspects which are all carried out by an exceedingly proactive and prideful community. The goal of the Nueces Creative agency is to further enhance the passion that Boulder citizens notably dedicate to community improvement, by promoting and enabling one sustainable lifestyle choice at a time. Our agency wants to ensure that TreeHouse will be known as the local, environmentally responsible hardware store fully committed to improving the city of Boulder. Creating this connotation will be accomplished through creating long lasting and personal relationships with the Boulder community, then introducing those relationships into the world of sustainable home improvement. While researching the Boulder demographic, the growing prominence of “green consumers” within the Boulder market quickly became evident. These consumers consistently maintain healthy lifestyle habits and express great concern about the wellbeing of their treasured Boulder community. The majority of individuals in the specified market are remarkably career driven, in addition to being socially and/or politically liberal. After intensive research of these “green consumers,” our agency decided to further divide the green market into two segments -- the established career person, and the recent college graduate. With regard to the former, the older market contains reputable figures in the community who are likely to serve on committee boards, and possess continuously active voices in the Boulder community. In comparison, the second, more youthful market is predominantly composed of recent college graduates looking to become established members of the Boulder community. As TreeHouse simultaneously pursues the same goal of establishing community presence, the created parallel between desires will naturally encourage the younger green consumers to resonate with our community-based messages. Conclusively, the objective is to establish TreeHouse as a continuously strong local presence, which will lead to reaching both target markets when they are already thinking about their beloved community. At Nueces Creative, we are intently focused on developing the Boulder TreeHouse market by creating brand awareness, driving storefront traffic and inspiring customer engagement, with specific concentration on sustaining a positive brand perception of TreeHouse. Our agency plans to achieve these goals through a pulsed media flight. First, in effort to create brand awareness, a combination of event sponsorship, guerilla marketing and radio underwriting, will be used to inform the Boulder community of their new, eco-friendly hardware store. These efforts will be centrally focused on the company’s readiness and enthusiasm to improve the cherished Boulder community. Next, our agency will drive the specified target markets to the new store location by strategically placing an out-of-home advertisement, in addition to discount coupons offered in through direct mail. Both efforts will include a map of the store location to inform and incentivize consumers to visit the store. Finally, inspiring customer engagement will be accomplished through the sponsorship of local art and athletics events. These efforts will reinforce the focus of TreeHouse being extraordinarily eager to engage with every aspect of the Boulder community. Guerilla marketing tactics and a home makeover-inspired social media contest will be the dominant media used to promote the positive brand perception of TreeHouse. Nueces Creative understands and appreciates the loyalty that the Boulder community constantly exemplifies with respect to their undying commitment to community improvement and sustainability. TreeHouse will become a helpful neighbor, giving the community the tools, knowledge and guidance needed to continue their innovative efforts for a greener world. TreeHouse knows that the commitment is where the community is.
  5. 5. PRODUCT Striving to improve the sustainability and efficiency of building materials, Treehouse offers an extensive array of environmentally responsible products to assist customers when building, remodeling, and maintaining their home. Each of Treehouse’s products passes through their signature product filter based upon four pillars: health, sustainability, performance, and corporate responsibility. Not only does Treehouse focuses on selling these environmentally friendly products, but service installations and workshops are also offered to supplement customer purchases. PLACE The external façade of TreeHouse located in South Austin shouts efficiency as you approach the towering solar panels overhead. Filling the small, easily navigable store with friendly and approachable employees, the intimate atmosphere of Treehouse is very laid-back and stress-free. PRICE Based on the various products offered at TreeHouse, ranging from light bulbs to water heaters, prices are tremendously skewed. TreeHouse pricing is typically higher than generic home improvement materials found at common hardware stores, due to the greater quality and “green” aspects of the products. PRICE TreeHouse participates in a plethora of social media resources such as Facebook, Twitter, Instagram, YouTube, and an interactive website that concentrates specifically on home design. The workshops and blog tutorials offered by TreeHouse invite prospective customers to join the niche market of “green” builders.
  6. 6. THE RECENT COLLEGE GRADUATE ACTIVE INDIVIDUALS THE ESTABLISHED CAREER PERSON Age: 35-55 Age: 24-35 Career driven Income: $50K- $149.9K Recently graduated from undergraduate or graduate school Healthy lifestyle habits1 Social and active member in the community Recently acquired newly disposable income Socially and/or politically liberal Established in the workplace Looking to become a part of the Boulder community Altruistic Danny Arnold is a 28 year old outgoing business student and an active cyclist. He has recently received his masters degree from The University of Colorado Boulder. He loved the atmosphere of Boulder and is looking to settle into an established Boulder community. His masters degree has earned him a job as a consultant paying $60,000. With this new job he has a large amount of newly disposable income and wants to spend it improving his image in his new community. This includes shopping at the local health foods store, buying a new road bike for his next Triathlon. 1 Home-owners in Hill District neighborhoods Christine Rosemond is a 49 year-old professor at the University of Colorado Boulder. She is the director of the Psychology Department and makes $120,000 annual salary2 . She sits on the board of The University Hill Neighborhood Association and actively promotes Hill District Businesses. She and her husband compost all of their food, recycle more than they throw away, ad enjoy gardening at the community garden. They are avid jazz fans and enjoy hiking together on the weekends. Mintel. “Marketing to Green Consumer.” March. 2013. Mintel. University of Texas Library 5 Oct. 2013. 2 The Chronicle of Higher Education “Table Faculty Salaries” 5 Oct. 2013.
  7. 7. – – – Average age: 28.7 years old Median household income: $57,1121 Various Awards for: • Healthy living • Bike friendly • Authentic food • Recreational sports Boulder Colorado is a city with a younger average population. Part of this young population average is due to the fact that it is home to the University of Colorado Boulder. Boulder is also known as a city that is very healthy and active. “It was named number 1 Sports Town in America by Outside Magazine for offering a large amount of year round recreational sports.”2 – – Surrounding neighborhood regions • University Hill • Flatirons • Grant • Chautauqua and East Chautauqua Average list selling price 500,000-$1.2 million3
  8. 8. – – – – – Median age: 38.343 Marital Status: 58% never married Average Number of People per Household: 2 Career Type: 82% white-collar workers Education: 40% have a graduate degree or higher University Hill is the neighborhood closest to the new TreeHouse location. The neighborhood produces a newsletter and in Spring 2012 the newsletter encourages its neighbors to support Hill District businesses. This median age in this neighborhood is age 38 and most residents hold white-collar type jobs. These residents also have a graduate degree or higher. Over half of the neighborhood residents have never been married. This leads us to conclude that these residents are well educated, and career driven, and value neighborhood and small businesses.
  9. 9. Competition in Boulder, Colorado starts with McGuckin Hardware. It is located in the heart of the city and only 1.3 miles away from the University of Colorado. The store encompasses over 60,000 square feet, leaving room for an extensive inventory and a wide variety of choices. McGuckin Hardware employs an average of 250 people across 18 different departments. The home improvement store abides by the beliefs of its founder Bill McGuckin: to provide personalized service, selection, and first-hand experience. Due to the size of the store, the customer-employee relationship does not compare in strength to TreeHouse’s comfortable intimacy. However, McGuckin Hardware has served the community of Boulder since 1955, and established a well-known, well-loved named among residents. McGuckin’s long-time standing in the Boulder market has created a highly trusted brand with a great emphasis on community. TreeHouse’s other main competitor is the large conglomerate, The Home Depot. Compared to TreeHouse’s small environment and green focus, this national chain can offer voluminous inventory and cheaper prices than the Treehouse store is able to provide. Although The Home Depot offers a handful of sustainable products, the corporation’s aim is to offer a multitude of home improvement supplies at the cheapest price. The Home Depot is open from 6am until 10pm, and employs hundreds. However, TreeHouse can offer one-on-one customer support that is virtually impossible at any Home Depot, due to its size and the many employees that move in and out of its doors on a daily basis. Unfortunately, shopping at The Home Depot is instinct to price-conscious consumers, large contractors, and loyal customers of the brand; therefore, posing a major threat to TreeHouse. Mintel’s consumer research confirms the dominant position of home centers, with more than half of consumers reporting that all or most of their spending was through Home Depot and Lowe’s. Lastly, TreeHouse faces competition from Boulder’s own mom-and-pop shop, Table Mesa Hardware. This small store’s mission lies in improving store inventory, organization and customer service. Table Mesa Hardware boasts a mere four departments: lawn and garden, paint services, tool services, and special services. Although, Table Mesa lacks the sustainability distinction and knowledge of TreeHouse employees, the small store could potentially detract from TreeHouse’s customers looking for a small, intimate experience.
  10. 10. OPPORTUNITIES NEAR COLORADO UNIVERSITY BUILD ON UNIVERSITY HILL’S COMMUNITY COMMITMENT REINVIGORATE THE GREEN MOVEMENT University Hill of Boulder, CO values community improvement, and this value can be easily observed in the Neighborhood Association’s website and newsletter.1 Here lies a perfect opportunity for TreeHouse to emphasize its own attention to the sentiment that “communities matter.” Additionally, TreeHouse’s new location is situated conveniently near Colorado University. Considering Mintel cites 18-34 year olds as most likely to be “super greens” and “true greens,” defined as the most committed green consumers and those that buy green products regularly, respectively.2 Although this same segment is seen as the most susceptible to green fatigue, the movement has lost its momentum due to a loss of relevancy and a lackluster “cool factor.”2 Here, we are challenged to bring the “cool” back into green. 1 THREATS LOCAL AND CORPORATE HOME IMPROVEMENT COMPETITORS ECONOMIC RECESSION GREEN FATIGUE Due to TreeHouse’s emergence into an unfamiliar market, the store faces heavy competition from established home improvement stores that offer wider product selections with more reasonable prices. Moreover, America’s economy continues to suffer through recession; since larger, more immediate issues of staying within budget take precedence over green issues, green products like TreeHouse’s have suffered in sales. Following the green movement in the early 2000s, green purchasing has decreased since 2007, and with it has followed a decrease in the momentum of the green movement. Mintel reports that many people, especially Millennials, are experiencing a phenomenon known as green fatigue, or disinterest in the green agenda.2 University Hill Neighborhood Association (UHNA). Web. 3 Oct. 2013 2 Mintel. (2013) Meat Alternatives – US. 3 Compilation from: TreeHouse. Web. 5 Oct. 2013.
  11. 11. STRENGTHS WEAKNESSES COMMUNITY ORIENTED AND PEOPLE FRIENDLY PRICE UNIQUE, SUSTAINABLE PRODUCTS LIMITED SELECTION OF PRODUCTS ONLINE STORE NEW TO BOULDER MARKET EXCELLENT LOCATION TreeHouse of Austin, Texas focuses its efforts on the basis of four pillars that “matter”: people, communities, nature, excelle nce, and dreams.3 The community improvement environment that the people of TreeHouse uphold and maintain fosters a sense of accessibility and friendliness among happy customers in Central Texas. TreeHouse only offers products that past through their product filter, educating their customers on the materials they’re using to better their home and their world. The product filter contains four elements: health, sustainability, performance, a nd corporate responsibility.3 Additionally, these environmentally conscious materials can also be purchased and delivered directly to your door via their online store. TreeHouse’s location in the University Hill neighborhood positions itself in an area where 82% of people are white-collar workers with a median age of 38.4.4 1 Although TreeHouse offers unique and sustainable products, their label as “environmentally-friendly” also means a significantly increased price, especially when compared to the run-of-the-mill products that lack this distinction found at large home improvement stores. Additionally, due to TreeHouse’s strict product filter and commitment to sustainability particularly, the selection of products is limited. Furthermore, because TreeHouse touts green living through the purchase of their expensive merchandise, the consumers that are targeted belong to a smaller niche market. Lastly, despite TreeHouse’s success and established position in Austin’s market, the home improvement store is completely unknown to the Boulder market. University Hill Neighborhood Association (UHNA). Web. 3 Oct. 2013 2 Mintel. (2013) Meat Alternatives – US. 3 Compilation from: TreeHouse. Web. 5 Oct. 2013.
  12. 12. “The Commitment Is Where The Community Is” • Our Goals • To become a neighbor in the Boulder, Colorado community. • To be seen as tool to help in the mission for community improvement. • To be seen as an everyday part of our target markets local media consumption.
  13. 13. At Nueces Creative, our goal is for at least 50% of our target market to be aware of the TreeHouse name when prompted via aided recall. In addition, 50% of those who are aware of the TreeHouse name should be familiar with the new store location. To achieve these goals, our agency proposes a pulsed media mix composed of search engine marketing, radio underwriting and community-event sponsorship complimented by guerilla marketing. Event Sponsorship 1-University Hill Picnic: Create Unique Contact Points Our vision ultimately establishes TreeHouse as a member of the Boulder community. In order to make this vision successful, promotional efforts will start small and focus specifically on the University Hill Neighborhood. During the summer months of June, July, and August, TreeHouse will sponsor the annual University Hill Neighborhood picnic to generate a quantifiable number of durable, personal relationships within the community. Guerilla- Community Improvement Starter Kit Seeking to simultaneously raise awareness and enhance brand recognition, free “community improvement” starter kits will be provided at the TreeHouse sponsored picnic. These kits will contain one promotional tape measure and pen with the TreeHouse logo printed on each item. By measuring the number of starter kits distributed, we can accurately gauge the number of individuals that were exposed to the TreeHouse name.
  14. 14. Radio Underwriting: Message Dominance Both of the well educated target markets are fiercely dedicated to community awareness. Not only are they well-informed on community issues, but they are outstandingly loyal advocates for local businesses. What better way to inform the Boulder citizens of the TreeHouse presence and resonate with the intimately loyal market than through supporting their community radio station? For $50 a day, Boulder’s community-supported radio station, KGNU, will inform listeners M-F from 6:30-9:30 about the TreeHouse name and mission. Announcements will promote TreeHouse as a supporter of KGNU and educate citizens about the TreeHouse location, products, and services. By creating continuous presence through this medium, target markets will become familiar and comfortable with the ongoing support and commitment TreeHouse offers to improving the Boulder community. Arbitron will be used to measure the reach and frequency of the radio efforts, ultimately providing an estimate of the increasing brand awareness. Search Engine Marketing: Direct Interaction In order to promote the TreeHouse website and direct online traffic to the page containing address of the new location, search engine marketing will be a necessary medium. Ad space for the terms “Hardware Stores Boulder” and “Hardware Stores Near Me,” should be purchased through Google AdWords to ensure a good balance of breadth and depth. Due to the specific geographic detail of the term “Hardware Stores Boulder”, the number of generated clicks-per-day will be lower than average. To supplement the lower click average, the search term “Hardware Stores Near Me” will be utilized to encourage click-throughs, at the expense of a less accurate target market measurement. TreeHouse would ultimately be able to measure frequency of click-throughs to the website, and further measure the number of clicks on the “Contact Us” link (which lists the addresses and hours). These would be cross examined to determine the prominence of familiarity of the new store location.
  15. 15. In order for TreeHouse to be seen as a trustworthy member of the community, customers must most importantly feel comfortable in the store, but also using the products, and seeking knowledge with respect to both. Striving to emphasize the importance of becoming familiar with the TreeHouse culture, direct mail and out-of-home advertisements will be used to drive store front traffic and encourage submersion into the TreeHouse lifestyle. Our agency projects an average of 150 visitors per day on Monday-Thursday. In contrast, as the most popular day for the home improvement industry, Saturdays will reach 300 visitors per day. Direct Mail: Encourage Support and Participation in Promotions Flyers introducing TreeHouse as a new neighbor will be mailed out in University Hill, exclusively offering a 30% off coupon to University Hill residents. Employing the usage of direct mail promote the image of TreeHouse as the “Local Hardware Store” among the University Hill Neighborhood population, since the message should reach every single house. The coupon will allow our agency to track the success of the direct mail efforts through redemption tracking.
  16. 16. Out of Home- Billboard: Direct Offensive Placed on a billboard next to the competing Home Depot, TreeHouse will reinforce the idea of the company being extremely proud of the community and all of its members. The advertisement will remind customers of the importance of shopping at a home improvement store (conveniently located less than 3 miles away) that shares their personal community commitment and environmental sustainability efforts. Displayed during the three months of the initial store launch (March, April and May), the out-of-home advertisement should encourage customers to prioritize their community over store familiarity. Print- Boulder Camera: Direct Purchase Our agency wants to create a strong newspaper presence in the local Boulder newspaper for the summer months. To measure this medium, we will be placing “Summer Sale” coupons in the Boulder Camera journal on the first Saturday of June, July and August. We will measure the success of this objective by tracking the number of coupons redeemed. In doing so, our main focus driving store front traffic, but it will also enhance brand perception and increase brand awareness.
  17. 17. As previously stated, TreeHouse should be recognized as more than a “green” hardware store – it should be a part of the Boulder neighborhood. TreeHouse will align with the Boulder community in their mission to create a more environmentally sustainable society. Looking to secure customer loyalty and trust, TreeHouse wants potential consumers to be excited about promoting the eco-friendly hardware store. In order to establish the desired consumer generated content, our agency plans to use sponsorship and a social media contest. Integrating these two medium into our strategies will enhance audience engagement and create excitement about the TreeHouse brand. Social Media Contest: Foster Buzz and Word of Mouth In order to increase community engagement in Boulder, with a specific focus on workshop attendance, Social media platforms will be extensively promoted. Our target market will be asked to post pictures demonstrating how they personally interact with TreeHouse products and services, captioned with the hash tag #TreeHouse4Boulder. For example, a citizen could post a photo exposing a part of the community that could benefit from more environmentally sustainable materials, such as more durable park benches. Over the span of 5 months, one weekly winner will be chosen to receive a free workshop of their choice. Conclusively, TreeHouse will assist one grand prize winner in accomplishing a community improvement project of their choice. By continuously measuring the number of hash tags used, our agency will be able to forecast the increase in positive brand promotion at play during Event Sponsorship 2-Open Arts Event Sponsorship Focusing on well-educated markets who are either currently, or striving to become established members of the community, these individuals enjoy attending intimate, locally sponsored celebrations such as festivals, art shows, or athletic events. By sponsoring the Open Arts Festival, our target markets will develop a heightened receptivity to the TreeHouse name. As the direct correlation between the showcased priorities becomes transparent, target markets will learn to identify with TreeHouse as a neighbor, instead of just a company. At this event, there will be a TreeHouse booth with an American Clay demonstration. The demo will allow our customers to interact with one of the many products TreeHouse offered. By measuring the number of active participants in the demonstration, customer engagement can be quantified.
  18. 18. By Objective 18% 28% Brand Awareness Store Front Traffic Customer Engagement 54% By Flight 23% 41% Flight 1 Flight 2 Continuous 37%
  19. 19. By Objective Brand Awareness 7% Store Front Traffic Event and Guerilla 53% Radio 40% 20% 59% Engage and Excite Direct Mail 26% Print 21% 74% Open Arts Event OOH SEM Social Media By Flight Flight 1: March-May Flight 2: June-July Continuous Flight 10% OOH 26% 74% Direct Mail 46% 30% 24% Print Guerilla 21% 69% SEM Social Media Radio Events
  20. 20. TreeHouse prides itself on the personal and interactive workshops hosted inside the store. Over a span of five months, Nueces Creative will promote a social media competition that highlights the workshops offered by TreeHouse. Each week of the five months, the winner of the social media contest will win a free workshop voucher. This will produce buzz about the TreeHouse name and bring people into the store. Nueces Creative has hired a Social Media Intern to actively and continuously promote everything TreeHouse has to offer through Facebook, Twitter, Instagram, and Pinterest. In each post and picture, there will be updates on new products, sales and discounts, and a consistent schedule of workshop classes offered in store. Momentum is something Nueces Creative focuses on as we continue our many media objectives throughout the entire campaign. This approach was not heavily focused on the launch, but had a steady media approach during the campaign. Nueces Creative has the thorough passion and vision to take TreeHouse to the next level in Boulder, Colorado. Using eight different media to create an extremely effective strategy, we have exemplified our ability to enhance the TreeHouse brand name and generate continuous business for the newest store location. Our campaign will last a total of seven months from March 1st through September 30th, implementing heavy spurts of media during the store launch, and then continues into the summer months. Nueces Creative will establish TreeHouse as not only the reliable, local hardware store, but as a trustworthy member of the Boulder community that consistently demonstrates love and care for the improvement and wellbeing of the area.