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UNIVERSITY OF GLASGOW




           MARKETING
         COMMUNICATIONS
                   BRAND-LULU FELIZ

                        1104444s




WORD COUNT: 3257
Table of Contents
EXECUTIVE SUMARY: .............................................................................................................................. 3
SITUATIONAL ANALYSIS: ......................................................................................................................... 4
       COMPANY, BRAND & PRODUCT ANALYSIS ..................................................................................... 6
       CUSTOMER ANALYSIS ..................................................................................................................... 9
       COMPETITOR ANALYSIS ................................................................................................................ 11
OBJECTIVES: .......................................................................................................................................... 15
   MARKETING OBJECTIVES .................................................................................................................. 15
   COMMUNICATION OBJECTIVE .......................................................................................................... 17
MARKETING COMMUNICATIONS STRATEGY & ACTION PLAN ............................................................. 18
   ADVERTISING STRATEGY ................................................................................................................... 18
       CREATIVE STRATEGY & EXECUTION .............................................................................................. 19
       MESSAGE STRATEGY ..................................................................................................................... 20
       MEDIA STRATEGY .......................................................................................................................... 21
   SALES PROMOTION STRATEGY ......................................................................................................... 27
   DIRECT MARKETING .......................................................................................................................... 30
   CONTINUITY MEDIA SCHEDULE ........................................................................................................ 34
CAMPAIGN EVALUATION ...................................................................................................................... 35
BUDGETING ........................................................................................................................................... 37
REFERENCES: ......................................................................................................................................... 39
APPENDICES: ......................................................................................................................................... 41




                                                                           1
LIST OF FIGURES
Figure 1 CURRENT SITUATIONAL ANALYSIS ............................................................................................ 5

Figure 2 PRESENT BRAND ADVANTAGES ................................................................................................ 7

Figure 3 DIFFERENT BRAND IDENTITIES (Source: Davies et al. 2003) ..................................................... 8

Figure 4 BACKDROPS OF CURRENT MARKETING COMMUNICATION ..................................................... 9

Figure 5 COMPARISON OF LULU FELIZ WITH COMPETITORS ............................................................... 13

Figure 6 STRENGTHS & WEAKNESSES COMPARISON ........................................................................... 14

Figure 7 MARKETING OBJECTIVES FOR LULU FELIZ .............................................................................. 16

Figure 8 COMMUNICATION OBJECTIVE SUMMARY ............................................................................. 18

Figure 9 ADVERTISING ELEMENTS (O’Guinn et al., 2003). .................................................................... 19

Figure 10 MESSAGE STRATGEY GOALS AND METHODS (O’Guinn et al, 2003) ..................................... 21

Figure 11 ADVERTISING MEDIA TOOLS ................................................................................................. 22

Figure 12 ADVERTISING STRATEGY SUMMARY .................................................................................... 27

Figure 13 SALES PROMOTION STRATEGY ............................................................................................. 28

Figure 14 SALES PRMOTION STRATEGY SUMMARY.............................................................................. 30

Figure 15 DIRECT MARKETING STRATEGY OVERVIEW .......................................................................... 31

Figure 16 DATABASE MARKETING PROCESS (O’Guinn et al., 2003) ..................................................... 32

Figure 17 DIRECT MARKETING STRATEGY-SUMMARY .......................................................................... 33

Figure 18 CONTINUITY SCHEDULE ........................................................................................................ 34

Figure 19 MARKETING COMMUNICATION PLAN EVALUATION ............................................................ 37

Figure 20 PROPOSED BUDGETS FOR THE COMMUNICATION CAMPAIGN (Source: For poster-

Pwauk.com, carry bags-Amazon.co.uk; Flyers-eprinting.co.uk) ........................................................... 38




                                                                   2
EXECUTIVE SUMARY:


Lulu Feliz, a designer clothing boutique dealing in buying and selling of new and nearly new clothes,

located at Dumbarton road is selected to suggest a new marketing communication campaign. The

current communication strategies by the brand are posing an undesired brand image to the target

market. The brand currently is perceived as an expensive fashion boutique with limited range of

female dresses and accessories. While the desired brand identity is altogether different. The main

business model of Lulu Feliz is to buy pre loved or used, unusual and designer clothes, in a good

condition, from customers and sell them to new customers who wants to buy, out of the league

clothes but at cheap prices. But because its locational constraints and emergence of different related

business models nearby its shop, the business as got affected adversely.


The new communication campaign has been suggested to provide the brand a changeover and

reposition it with the desired brand identity. With the launch of its new summer collection in June-

2012, the campaign will be executed. The prime objective for the campaign has been to achieve 60%

awareness among the target audience and establish the new brand image. Three major

communication tool of advertising, sales promotion and direct marketing have been used to

implement the new communication strategy.


The campaign will be implemented during the whole month of June. Few weeks before the start of

June, some tools will be used so that to create a strong base for the actual launch of the campaign

on 1stJune. A media schedule has also been provided explaining the duration of each media tool

used. It is followed by the evaluation process and budgeting for the campaign.


The options used and suggestions made in the campaign have been done keeping in mind the

capabilities and limitations of the brand Lulu Feliz.

                                                    3
SITUATIONAL ANALYSIS:
Lulu Feliz is a female’s fashion clothing shop on Dumbarton road in Glasgow, Scotland. The shop was

opened in April 2010 by the owner Audrey Proudfoot. Initially opened as a store to buy fashionable

& expensive clothes selected by the owner herself and bought from different fashion streets of

London and other cities of England, currently the brand is running with a different concept.


Along with selling the fashionable wear selected by the owner, the brand also provides an

opportunity to people to sell their pre loved or used clothes. The only condition is that the clothes

should be unusual. In a sense, the brand does not buy regular stuff from the people who want to sell

their clothes. Their clothes should be different. For example, clothes for a specific occasion, of a

designer brand, vintage clothing wear, etc. Lulu Feliz sets the price and once the cloth gets sold, it

pays the cloth owner 50% of the sale price, while keep the rest 50% as commission. Apart from

clothing, Lulu Feliz also sells accessories like bags, footwear and jewelleries, designed and selected

by the owner only. The information above is an outcome of a lengthy discussion with the owner. The

questionnaire used for the discussion with Lulu Feliz and its competitors is been provided (Appendix

1).


The concept which the brand is following broadens the scope of its target customers as well as

suppliers. In certain situations, its suppliers can be its customers as well and vice versa. Thus, a

common communication strategy has been suggested in this study, applicable on both the

segments, with exception at some places.


                BRAND ELEMENTS                                                 LULU FELIZ

                                               BRAND ANALYSIS

Brand as a product                                      Designer clothes available at cheap prices. Also, people

                                                        can sell their expensive clothes they don’t use anymore


                                                    4
Brand as a symbol                                An independent brand name signifies any outstanding

                                                 or remarkable thing. Also signifies a fashion range of

                                                 female clothing

Brand as a person                                Gives a feel of a sophisticated feminine personality

Brand Positioning                                Positioned as a fashion clothing boutique.

Marketing Efforts                                Limited to using branded carry bags.

Brand Image                                      Limited to a fashion clothing seller restricted to limited

                                                 customers.

Country of Origin                                Scottish origin with an authentic and fashionable feel

                                       CUSTOMER ANALYSIS

Target Market                                    Female Customers and other businesses that can help in

                                                 reaching and thus improve the number of customers at

                                                 Lulu Feliz.

Target Audience                                  Female Students and ladies who like to buy their used

                                                 clothes and also, like to buy designer clothing at cheap

                                                 prices.

                                       COMPETITOR ANALYSIS

Charity Shops                                    More in number. An emotional aspect linked with them.

Cash for Clothes                                 An upcoming concept. Not much big in terms of size.

                                                 Recycling and charity donations done after collection.

Love My Clothes                                  Same communication, price range. Offers male clothing

                                                 as well

Eye candy Boutique                               New Fashionable wear. Targeting female customers

                                                 only

Figure 1CURRENT SITUATIONAL ANALYSIS




                                             5
COMPANY, BRAND & PRODUCT ANALYSIS


Defined by Brown (1992), a Brand is the sum of all the mental connections people have around it.

Lulu Feliz as a brand name depicts the image of a fashion clothing range. The brand name as a

symbol is easy to identify and likeable. Though not transferable as the clothes sold in the shop are

not of the Lulu Feliz brand name. The clothes provided by different customers to sell are also sold

under their own brand name. It is a registered trademark by the owner, which makes it protectable

as well. Hence, the brand as a symbol has some positive elements in it, which can be proven as

useful inputs towards the proposed communication strategy.


A product is anything which the target market potentially value due to the benefits provided by it,

including different elements of it like services, place, people and ideas (Cravens & Piercy, 2006). Lulu

Feliz offers an innovative idea to a customer to sell their pre-loved clothes which they bought after

paying a huge amount of money, but currently is hanged ideal in their wardrobe. It allows the

customer to earn some money though an unused piece of cloth. Donating it in a charity would have

got them nothing and using online retailers like eBay or Amazon to sell them, would have been a

hectic option, which usually middle aged ladies are not comfortable with. It also helps customers in

making some money for their next shopping or some other expenditure.


On the other hand, it makes designer clothes available at a reasonably cheap price. The price range

of the offerings here starts from £5 and goes till a reasonable £50. Apart from the pricing, it also sells

clothes of size 8-24 which is not that easy to get in a regular fashion boutique. The shop also has a

marginally big trial room, which allow customers to try clothes with ease and comfort. By not selling

a pile of same type of clothes, Lulu Feliz,also gives the customer an option to buy clothes for

different occasion at once and at a single place, within the same price range.


Brand personification of Lulu Feliz would be the combination of a sophisticated and smart lady, who

is active towards the fashion trends, while also being cautious towards the price she pays. The



                                                    6
product selection process at the shop is quite strict as the clothes are selected on the basis of not

only their finishing, but the unusualness they have. Regular clothes like t-shirt, jeans, funky tops, etc.

won’t be available in the boutique. The ambience in the shop gives a sophisticated image of it. Use

of bright colours and soft patterns inside the shop creates a suitable environment a female customer

prefers to shop in.


Brand as Symbol                                         Easy identification and likeable. Easy to relate

                                                        with a fashion product

Brand as Product                                        A new and creative concept. Mutual benefits for

                                                        all the related parties.

Brand as Person                                         Sophisticated and price conscious female.

Figure 2PRESENT BRAND ADVANTAGES

Lulu Feliz, however, has an unclear brand positioning. The brand Lulu Feliz wants to be perceived as

a seller of new and nearly new unusual or designer clothing rail and a shop where people can sell

their pre loved clothes. Also, to its customers, it wants to get communicated as a shop to buy nearly

new designer clothes at cheap prices, whereas, the image that the brand currently has in its external

environment is of an expensive fashion boutique. Most of the target customers are not even aware

about this service provided by the brand. The brand is perceived as the seller of expensive designer

clothing range for women.




                                                    7
IDENTITY
                                   Company sees itself as a channel
                                    to sell and buy expensive used
                                                 clothes




                      DESIRED IDENTITY
                                                                       IMAGE
              An oferrer to customers to sell
                                                              a fashion clothing boutique
                their unusual designer pre
                                                             for women, selling expensive
              loved clothes and buy these at
                                                                    designer clothes
                       cheap prices




Figure 3 DIFFERENT BRAND IDENTITIES (Source: Davies et al. 2003)


The reason behind Lulu Feliz’s unclear brand positioning is that it does not do any marketing

communication to communicate the desired brand image. Except the carry bags with brand names

on it and stickers mentioning the brand name, it does not employ any other communication tool by

itself. Though, whatever customer base the brand has, it helps in spreading the word of mouth. Also

mentioned by the owner, Audrey, most of the new customers that she receives, have got to know

about them from an existing customer of hers. It also has a website, but it is not used intensively

and is not maintained on a regular basis.


The brand promise can also be a problem for the communication strategy. The brand may be

perceived by the target customer as a range of expensive designer female clothing. While, on the

other hand, when they would enter the shop they may get dissatisfied with the kind of clothing

available, since the stock of new clothes is quite limited and the main focus of the brand is on the

pre loved clothes dropped by customers to be get sold.




                                                         8
BRAND ELEMENTS                                         LULU FELIZ

Brand Positioning                                      Unclear

Brand Identity                                         Gap between the desired identity and brand

                                                       image

Marketing Communication                                Almost none to communicate the desired brand

                                                       image

Brand Promise                                          Distant brand name and brand promise

Figure 4BACKDROPS OF CURRENT MARKETING COMMUNICATION




CUSTOMER ANALYSIS



Lulu Feliz currently have a very limited customer base which it can refer to as its regular customer.

Again the two types of customers that the brand has are the one who wants to sell their designer

clothes and the other who wants to buy designer clothes at low prices. Since both the categories are

considered as customer segments, the new marketing communication strategy would target both of

them, with different tools in some cases. Female customers aged 25-55 years are currently serviced

by the brand in the first category. While in the second category, it has female customers of age

range of 28-60 years.


Target Market for the brand under the new marketing communication strategy would be female

college students, working and household ladies, most of whom resides within the west part of

Glasgow. These target customers should be within the age range of 20-50 years, follow an active life

style towards fashion, shopping for clothes and price conscious as well. The new communication

strategy would however target unaware/uninformed customer. But aware customers would be also

being a prime target of the new strategy.




                                                   9
Target audience for the brand as per the new communication strategy would be again divided in the

two categories. Target audience in the first category would comprise of college students, working

females and females in their early old age. Describing the age range of the segment would be 20-55

years. College students make a huge contribution to this segment because they have a tendency to

buy new clothes on a regular basis. This phenomenon has a two way implications for the brand.

First, these students always have a pile of clothes lying unused in their wardrobes, and capture space

as well. So they would like to get rid of it. Second, to buy new clothes, students would require

money, which they won’t get by either keeping the ideal clothes with them, or by donating them in

charity.College students nowadays are not shopping less, but shopping smart (Money Management

Works, 2012).Working females and ladies in their early old age would also have range of unused

clothes with them. So if they can make some money out of these, it would be lucrative for them.


The second category would target college students and working females in their early 50s. College

students make a majority of the target audience, in this category as well. 72% of college going girls

are spending more on their clothing (Money Management Works, 2012).A female college student

spends on an average $500-$1000 every month on clothes and need a separate clothing

allowance(Lovetoknow, 2012).Thus, even during a period of recession, shopping clothes is on the

prime list for college girls. Working females on the other hand have a similar tendency of shopping,

with clothes on top of their spending list. But simultaneously, they like to save more while shopping

for themselves (Dailydeal media, 2011). They are also pretty optimistic about using online vouchers

for shopping, within which, 83% likes to use vouchers related to clothing and apparels (Dailydeal

media, 2011).


An additional component of target audience would be the customers at the nearby adjacent shops

of Lulu Feliz. Since the boutique is surrounded by some female beauty salons, dry cleaning shop and

some stylish household materials shops. Due to their clientele, it would be beneficial to target these

shops as well. Though targeting these shops will be restricted to some form of print advertising only.


                                                  10
When talking about buying clothes, it is preferred to do that in person. The owner of the brand,

Audrey Proudfoot, also prefers to buy pre loved clothes in person by asking the seller to come to the

shop. It allows her to choose the right type of clothes suitable for the brand image. Also, the owner

maintains a card-book system to make records of the people who have offered their clothes to be

sold. These cards can be used as a base for an existing customer database.


Thus, the proposed marketing communication strategy would be devised in a way that would bring

customers into the shop. Online means of marketing would also be used, but to a limit of

communicating the brand image and brand concept.




COMPETITOR ANALYSIS



Lulu Feliz, at present, has majorly four competitors, which are, Charity Donation Shops, e.g.,

Emmaus, British heart Foundation, Cancer Research UK; Cash-4-Clothes, Eye Candy Boutique and

Love My Clothes Shop. The biggest competitor for Lulu Feliz, in terms of the brand idea, is Love My

Clothes. To mention here, since all of the charity donation shops have similar brand idea running

behind them and there are also similarities in terms of their marketing strategies and product

portfolio, these shops are categorised under a single name, to avoid complexity.


A 4 stage screening process, proposed by Belch & Belch (2010), will be followed to analyse key

competitors. It starts from identifying competitors, follows through identifying competitor’s strategic

objectives, their strengths and weaknesses and estimating their response patterns to our new

communication strategy.It would be better to mention here that since the new marketing

communication strategy for Lulu Feliz would be targeting its both types of customers, the

competitors are also identified on the basis of their target customers, e.g., seller or buyer of

clothesor both. This can be explained by the table provided below:



                                                   11
ELEMENTS          LULU FELIZ           LOVE MY            CASH 4 CLOTHES       CHARITY SHOPS       EYE CANDY

                                       CLOTHES                                                     BOUTIQUE

Brand Idea        Sale & purchase of   Sale of new or     Purchase of used     Sale of donated     Fashion clothing

                  new or nearly new    nearly new         clothes for          items for charity   boutique

                  designer clothes     designer clothes   recycling purpose    purpose

Brand Image       Expensive fashion    Used Branded       Earn money by        Not for profit      Medium to high

                  boutique             clothes at cheap   selling unused       chain of stores     priced fashion

                                       price              clothes and other                        street products

                                                          household things

Price Range       £5-£50               £5-£70             Money paid on        £2-£50              £10-£80

                                                          weighing basis,

                                                          price offered from

                                                          80p to £1/kg

                                                          maximum

Products          New and Nearly       New and nearly     Used clothing and    All used clothes    New clothes and

                  new unusual          new clothing       household goods      & accessories       accessories

                  clothing &

                  accessories

Supply Source     Mostly customers.    Not disclosed      Customers            General Public      Imported from

                  Few products from                                            donating their      Europe

                  fashion street                                               stuff

Male/Female       Female               Both               Both                 Both                Female

Target customer

Collection        No                   Not Disclosed      Yes                  Yes                 No

Service



                                                          12
Locational            No. At the end of      Nearby Partick      Nearby shopping       Spread across       Outside Partick

Advantage             Dumbarton road         station             complex at crow       Dumbarton           station & Morrison

                                                                 road                  road

Target                Seller & Buyer of      Buyer               Seller                Buyer               Buyer

Customer Type         clothes

Marketing             Branded carry          Flyers              Website, Banners      Websites,           Posters and sale

Communication         bags,                                      and flyers, story     Banners,            discounts

Effort                Website                                    line on website       posters, flyers

                      (Appendices 4)                             (Appendices 2&3)

             Figure 5COMPARISON OF LULU FELIZ WITH COMPETITORS

             Based on the above identified competitors and their respective features and brand positioning, an

             analysis of their strengths and weaknesses can be done, in the next step. The following table

             provides the highlights of Lulu Feliz’s and its competitors strong and weak points:


   ELEMENTS               LULU FELIZ           LOVE MY CLOTHES            CASH 4 CLOTHES-      CHARITY         EYE CANDY

                                                                          I                    SHOPS           BOUTIQUE

   Designer Brand                  √                     X                         X                X                  √

   Image

   Locational                      X                      √                        √                   √               √

   Advantage

   Capital                         X                     X                         √                   √               √

   Expected                        √                      √                        X                X                  √

   external

   response

   Strong Brand                    √                      √                        √                X                  √

   idea


                                                                 13
Emotional                    X                     X                      √                   √                X
Connect

Desired Identity             X                      √                     √                   √                √

among target

customers

       Figure 6STRENGTHS & WEAKNESSES COMPARISON




       Last step would include estimating a competitor response pattern towards a change in the

       marketing communication strategy of Lulu Feliz. Since the closest competitor for Lulu Feliz, in terms

       of brand idea and concept, is Love My Clothes, it is expected that it may try to imply options to

       improve its overall brand image. The already implied word of mouth strategy would be helpful in

       promoting the new communication strategy further.


       Rest of the identified competitors are not expected to respond actively towards the new

       communication strategy. The prime reason for that would their business idea and brand image in

       their target market. Cash for clothes are known only for buying clothes for recycling purpose in

       exchange of money, whereas charity shops have the “doing-good” image connected with their brand

       image. Lastly, Eye Candy boutique may be assumed to getaffected by the change in marketing

       strategy of Lulu Feliz as they may compete on the basis of designer clothing available.




                                                         14
OBJECTIVES:
The main problem faced by Lulu Feliz is currently the wrong and unclear brand image that it has

within its target market. There is a severe need of a brand repositioning strategy so as to

communicate the desired brand identity to its target audience. The new marketing communication

strategy would be implemented during the launch of summer collection by the brand in June-2012.

The media implementation would be done before, during and after the launch of new collection.

This would be discussed in detail in the following sections.


The marketing and communication objectives would be designed keeping brand repositioning as the

ultimate goal. Moreover, separate marketing and communication objectives would be set to achieve

this goal.




MARKETING OBJECTIVES
As discussed above, Lulu Feliz has some established as well as upcoming businesses as its

competitors. Within a very small geographical area, the brand has a strong cluster of competitors.

For a brand who is aiming for repositioning itself, it really gets important to identify and

communicate its strong points in terms of its unique selling propositions. For Lulu Feliz, its USP

would be the concept of Unusual Designer clothing at cheap price.


Marketing objectives for any brand could be interpreted in terms of market share, sales and

profitability (Belch, 2009). The new marketing communication strategy would set objectives to be

achieved in two different time periods. The first would be those which could be measured and

evaluated right after the campaign get over, say after 2-3 months. Second would be objectives which

should be monitored at the end of the financial year. This would help in analysing the effectiveness

of the campaign against the results achieved at the end of the year.




                                                   15
MARKETING OBJECTIVE                       EXPECTED RESULT               MEASURING TOOL

Sales growth                         A growth of an approximate 20-   The accounting figures of the

                                     25% in monthly sales revenue     firm can be analysed at the

                                                                      end

Increase in market share             The brand should capture 25-     Industry sales figures along

                                     30% of the market share in the   with the category sales figures

                                     used clothes segment             in the region can be used to

                                                                      measure the market share

                                                                      captured by the brand

Growth in profitability              By the year end, the brand       Accounting books of the

                                     should be able to score a        business can provide this

                                     growth in profits by 30%,        information

                                     approximately.

Database management                  Post campaign, Lulu Feliz        Database management

                                     should have an extended &        techniques will be adopted.

                                     organised customer database.     The marketing database at the

                                     This will help the brand in      end will be used to for further

                                     smooth achievement of its long   communication strategies.

                                     terms goal of profitability

                                     growth

Figure 7MARKETING OBJECTIVES FOR LULU FELIZ




                                                   16
COMMUNICATION OBJECTIVE
Lulu Feliz, because of the new communication strategy, would undergo a complete brand

repositioning. The prime communication objectives for the new campaign would be to inform the

target audiences about the new brand image and persuade them with the objective of generating

trials. The communication tools to be used in the campaign would aim at spreading the awareness

about the brand and thus, one of the results to be measured by the end of the campaign would be

the change in the number of informed customers. The second objective of persuasion can be

measured by monitoring the number of enquiries, change in the footfall amount and trials

generated within the campaign period.


The communication tools to be used for the campaign, their duration and their respective

communication objectives are being provided through the following table:


COMMUNICATION            COMMUNICATION            DURATION                  EXPECTED RESULT

OBJECTIVE                TACTICS

Advertising                  -   Posters                                    By the end of second

                             -   Flyers                                     week of June,

                             -   Printed Carry        10th may – 30thJune   awareness about the

                                 bags                                       campaign should reach

                             -   Internet                                   to 60-65% target

                                 Advertising                                consumers

Sale Promotion               -   Coupons                                    A growth in sales
                                                      15th may – 30thJune
                             -   Daily Deal                                 revenue by 30-35% by

                                 Websites                                   end of June

Direct Marketing             -   Database         1stJune- post campaign    To convert 40% of total

                                 development      period                    target customers into

                             -   E-mail                                     loyal customers after 3



                                                 17
marketing                                    months of the

                                                                               campaign period

Figure 8COMMUNICATION OBJECTIVE SUMMARY




MARKETING COMMUNICATIONS STRATEGY & ACTION PLAN
This section will include a detailed discussion of the different communication tools to be used for the

new communication campaign. All the tools will be analysed and summarised in a way to point out

the objective, key message and media vehicles to be used, for respective communication tool. The

evaluation process and detailed budgeting for the campaign would be discussed in the following

sections.


ADVERTISING STRATEGY
Advertising as a communication process is a tool for mass mediated communication. It’s a process

where people, institute and messages interact (O’Guinn et al., 2003).And this happens through a

medium, not face-to-face. Advertising is also an effective tool while it comes to informing and

persuading the target audience about a brand or a product.


The strategy implemented for advertising for this campaign will include the discussion of a creative

strategy, a message strategy and media strategy for this tool, apart from the objectives. An

overview of the above mentioned elements can be found in the following figure:




                                                  18
ADVERTISING
            OBJECTIVE                           MESSAGE                                MEDIA
  •to inform potential customers      •the message would be tagreting      •Print
   about the campaign or the           the two categories of potential     •Flyers
   launch of new summer                customers of Lulu feliz             •Carry bags
   collection                         •the central message behind the      •Internet advertising
  •by the end of second week of        different media to be used
   june, atleast 60%-65% of target     would be positioning Lulu Feliz
   audience should be aware of         as the only place to buy and sell
   the new campaign                    unusaul designer clothings for
                                       summers




Figure9 ADVERTISING ELEMENTS (O’Guinn et al., 2003).


As mentioned above, the key objective of the advertising strategy would be to spread the word

about the new campaign and it should make 60%-65% of the potential customers aware. The

advertising campaign would start from the third week of May and should be able to achieve the

desired numbers by second week of June. Also, the schedule for the message execution for the two

types of target audience would be different. The message for the customers interested in selling

their clothes will start from the third week of May. On the other hand, communication actions for

customers who want to buy clothes from Lulu Feliz will start from last week of May. Although, some

media tools for advertising would continue even after the campaign gets over.




CREATIVE STRATEGY & EXECUTION
The key objective behind most of the marketing efforts is to establish a brand relationship and

creating and maintaining a brand image. Advertising helps in building brand relationships and image.

Creativity in this becomes important as it makes advertising strong enough to communicate the

desired brand image, in a different way, though effective (O’Guinn et al, 2003). For Lulu Feliz, as a


                                                       19
part of the creative strategy, a tag line can be “Looking for a designer wardrobe changeover this

summer without paying much??? Hop into LULU FELIZ now and we’ll give you the money for

that!!!!”Taglines and words emphasising around this tagline will be used in the different

communication media to be used. Different taglines can also be made while designing advertising

message for the two types of customers.


BRAND                              DETAILS
ELEMENTS
Styles          USP                Ladies do want to shop and save money at
                                   the same time. College students are more
                                   frequent in terms of shopping since they
                                   attend lots of events like parties, etc.
                Brand image        The tagline reflects all the different
                                   communication the brand wants to tell its
                                   audience about
                Emotional          Not emotional but it strikes on the
                                   communicating message of buying designer
                                   clothes along with saving money
                Pre-emptive        Customer reception is based on the quality
                                   of the final products and services.
                Resonance          The tone of the tagline is both sophisticated
                                   yet casual. So that to connect with the
                                   target audience of different age-groups
Figure 10 CREATIVE STRATEGY ANALYSES




MESSAGE STRATEGY
Another important part of the advertising strategy is the message strategy. It defines the goals which

are expected to be achieved through the advertising strategy and the methods which will be helpful

in doing so (O’Guinn et al, 2003).The following figure discusses the goal this advertising strategy

wants to achieve and the method used for that:


                                                  20
ADVERTISING MESSAGE GOAL                               METHOD USED

Link a key attribute to the brand name- the                 -   USP

brand name LULU FELIZ has to be associated

with the seller of unusual designer clothes at

cheap prices

Persuade the potential consumer- to convince                -   Reason-why Ads

potential customer to sell through or buy pre

loved designer clothes from Lulu Feliz

Instil brand preference- make potential                     -   Feel good ads

customers prefer Lulu Feliz over its

competitorswhen planning to shop for used

clothing

Figure 11MESSAGE STRATGEY GOALS AND METHODS (O’Guinn et al, 2003)




MEDIA STRATEGY
Media strategy is one of the most important components of any communication plan. The objective

of every communication strategy is to reach most of its target audience as strongly as possible. To do

so, it becomes a basic requirement to use a combination of most of the media tools available. But

along with considering the key objectives that the campaign wants to achieve, while selecting media

tools to be used, it is also important to keep in mind the limitations of the brand or rather the firm

for whom the campaign is to designed and executed.


For Lulu Feliz as well, the case is not different. It has its own financial and other internal limitations.

Hence it becomes necessary to screen out those tools which are best suitable for Lulu Feliz. The

following table depicts the tools selected in the advertising strategy, along with listing the reasons:




                                                     21
MEDIA TYPE                REASON                                  FREQUENCY

POSTERS              -   Low cost               - From 15th may to end of June. If found effective,

                     -   Easily visible to by      it can be continued even after the campaign as

                         passers                   well

FLYERS               -   Low cost               - Flyers distribution to be start from 15th may and

                     -   Customised reach          continue till 14thJune, thrice a week



CARRY BAGS           -   Medium cost            - New printed bags to be supplied during the

                     -   Longer life cycle         month of June

                                                - If found economical, can be continued after the

                                                   campaign as well

INTERNET             -   Low cost               - Updating website in early may

ADVERTISING          -   Maximum reach,         - Profile creation on social networking websites in

                         if used effectively       early may

                                                - Integrating the above options

Figure 12ADVERTISING MEDIA TOOLS




POSTERS


Lulu Feliz has used the posters for advertising purposes in the past as well which proved to be quite

effective for the business. The 2 large glass windows are the optimum space for putting the posters.

One thing to note here would be that 2 different posters will be designed for the 2 types of

customers the brand is targeting. Being on the main Dumbarton Street, although on the dark side,

proves some good for the boutique. Posters on the windows would be easily visible to the by




                                                  22
passers. It’s a low cost option as much quantity of posters won’t be required and per unit cost of the

posters is very low as well.


Things to be taken care of while using this tool as advertising strategy is that posters should be of

suitable size, i.e., not too big and not too small. The print should be taken on a high quality photo

paper which has a high a colour reflecting features and longer life. The poster for customers who

wants to sell their pre loved clothes should be put between 15th may-14thJune. After that, posters for

customers wanting to buy pre loved clothes should be put on both the windows. Once the campaign

gets over, these posters can be used alternatively as per the need of the business situation.Their

effectiveness can be monitored though observing the stop rates and hopping in the shop by people

after watching the posters.


FLYERS


Flyers are one of the cheapest modes of spreading the word about any business. For Lulu Feliz, a

both side printed flyer will be used and distributed in different area of west end and nearby city

centre. One side of the flyer will have information about the customers planning to sell their pre

loved clothes and the other side will target the customers planning to buy preloved designer clothes

at cheap prices. The distribution will be done thrice a week starting from 15th may and will end in the

week starting from 14thJune. Part time resources will be hired for this,which will be paid on the basis

of number of flyers distributed, for example, £25 for 1000 flyers. Also, different regions will be

selected for each day so that maximum coverage can be achieved during these 4 weeks.


Again, the thing to be kept in mind while using flyers as a communication tool is the quality of the

flyer. Good quality flyers would be required as they will have to face the transportation wear & tear.

Also, once distributed, a longer life can be expected from them and so will be the communication

effect.




                                                   23
CARRY BAGS


The carry bags currently used have only the brand name on it. The owner also uses stickers with the

Lulu Feliz brand name on it. But this option has a shorter life cycle and this does not match the

desired brand image as well. While the new bags to be used during the campaign will have the key

message of the brand. Again, different messages will be printed on either side so that to be useful

for both types of target customers. The message used on the bags will be in consistence with those

on the posters. A significant amount of carry bags will be printed and purchased in bulk. This will

provide a dual benefit. One, it will cost low and second, the leftover bags, if any, can be used after

the campaign gets over.


The purpose of using carry bags is an advertising tool is that these bags travel a lot once they go out

of the shop and reach potential customers in a way unknown to the brand itself. Therefore, even

after being a tool of promoting the brand, it can be used as an effective tool for advertising as well.

The effectiveness of this media can be monitored through the number of customers coming again to

the boutique. New customers coming with previous ones can also be due to the message carried out

through these bags. Thus, if any such instance happens, that can also be referred to as an effective

use of carry bags.




INTERNET ADVERTISING


This tool is one of the most important ones as it has the most effective reach in terms of both quality

and quantity. Lulu Feliz should update its website by early may. Different element from the

campaign should be updated on the website and if possible, product information and pictures



                                                   24
should also be put on the website. Although, no transaction opportunity to be provided on the

website.


Moving further in the World Wide Web, social networking websites should be used to create the

business profile for the brand and connecting with its target audience, mainly college students,

through this media. Facebook and twitter only should be used for this purpose initially. Some group

selling websites will also be used, which will be discussed in the following sections.


Internet will be a cost effective tool for the brand. Also, it can be measured by using cheap

software’s to monitor the number of total and unique visits on the website. Also, the numbers of

posts, tweets, likes, subscribers, followers, etc. aresome of the ways to measure this tool’s

effectiveness. Not to miss out, the above mentioned webpages will be linked to each other so that

to imply an integrated effect. This monitoring will be done on weekly basis and analyses will be

made every week. Suggestive actions will be taken in terms to modify next week’s strategy

depending on last 2 week’s result. On Lulu Feliz’s website, links to its social networking profile pages

will also be added.


A summary of the different advertising tools to be used is provided below:


Advertisin    Flow                  Resources              Scheduling             Monitoring

g Media                             Involved

Posters           -   To be put         -    Can be            -    15th may             -   People

                      on the                 done by                to 30thJune              stopping

                      shop                   the owner                                       outside to

                      windows                herself                                         read the

                                                                                             poster and

                                                                                             popping in to

                                                                                             enquire or



                                                   25
shop

Flyers       -   to be         -   Part time    -   15thmay to    -   Customers

                 distributed       resources        20thJune          arriving from

                 thrice a          can be                             the areas

                 week              hired                              where flyer

                                                                      distribution

                                                                      has been

                                                                      done

Carry Bags   -   New brand     -   Matter to    -   1stJune to    -   Customer

                 message           be               30thJune          repetition

                 to be             provided                       -   old

                 printed on        to the                             customers

                 the carry         carry bag                          bringing in

                 bags used         suppliers                          new

                                                                      customers

                                                                  -   new

                                                                      customers

                                                                      coming with

                                                                      reference of

                                                                      existing

                                                                      customers

Internet     -   website       -   external     -   10th may to   -   Click rates

                 updating          technical        30thJune          and page

             -   social            support                            visits

                 networkin         will be                        -   Posts,




                                           26
g profile              required                                      comments

                       creation                                                             and followers

                                                                                            on social

                                                                                            networking

                                                                                            profiles

Figure 13 ADVERTISING STRATEGY SUMMARY




SALES PROMOTION STRATEGY
Sales promotion techniques are also an important part of a marketing communication strategy for

any brand. While mass media advertising aims at building a brand image, sales promotion have a

straightforward objective of inducing purchase behaviour. Sales promotion is the use of incentive

techniques to persuade potential customer to make a trial. These can result in repeat purchases if

found effective (O’Guinn et al., 2003).


For Lulu Feliz, consumer sales promotion techniques of coupons and sales promotion using daily

deals websites like groupon, living social, etc. will be used. Before discussing the tools in details, the

following figure provides an overview of the sales promotion strategy:




                                                    27
SALES PROMOTION
        OBJECTIVE                          MESSAGE                             MEDIA
  • to generate trials and • message behind                           • Coupon
    create a hype            using this would be                      • daily deal websites
  • to increase sale by      to make the
    30%-35% by the end       customers coming
    of june                  during the campaign
                             some extra benefits




Figure 14 SALES PROMOTION STRATEGY




COUPONS


Coupons will be used in a twofold manner for Lulu Feliz. The flyers to be used in the advertising

strategy will have price-off coupon information printed on it. The customers bringing these flyers

with them will be eligible to use the offer. For the customer planning to sell their used clothes will be

provided an extra amount of money once their clothes get sold and those planning to buy clothes

from Lulu Feliz will be provided extra 10% discount on their purchase.


The duration of these coupons will be the same as of that of the flyers. By doing it this way, it won’t

cost anything extra for Lulu Feliz as well. It will also be easy to monitor the effectiveness of these

coupons.




DAILY DEAL WEBSITES



                                                   28
Daily deal market has grown at an enormous rate in the past six months. According to CBRonline

(2012),UK consumers have spent over £290m through daily deal websites. In a daily deal summit in

Europe, it was revealed that between July-December 2011, consumers saved an average of £375m

by shopping through daily deal websites.


In the new marketing communication strategy, daily deal websites will be used as a sales promotion

strategy for Lulu Feliz. Consumers bringing their daily deal vouchers with them will be provided the

offer. This strategy is aimed at those female who are using daily deal websites on regularly basis.

Lulu Feliz will be using Groupon and Living Social, for this campaign. These are the top 2 ranked daily

deal websites in terms of the number of daily visitors these websites receive(dailydealmedia,

2011).Also, both of these websites have college and working females as their majority audience

(Alexa, 2012). This strategy will be used for the month of June 2012. Number of deals reimbursed at

the shop will be used for monitoring its effectiveness.




Sale promotion strategy for Lulu Feliz can be summarised as follows:


                                         COUPONS                         DAILY DEAL WEBSITES

Flow                         - To be used along with the flyers      - To provide price off or

                                                                       transaction based deals

                                                                       through Groupon and

                                                                       Livingsocial websites

Resources Involved           - Common as in the flyer                - An account with the two daily

                              distribution with no extra cost          deal websites would be

                                                                       needed

Scheduling                   - 15th may to 20thJune                  - 1stJune to 30thJune

Monitoring                   - Number of Customers bringing          - Number of customers using



                                                  29
flyers and redeeming the offer         groupon or living social to

                                                                     transact at the shop

Figure 15SALES PRMOTION STRATEGY SUMMARY




DIRECT MARKETING
Direct marketing involves an attempt to create a dialogue between the marketer/firm and the

customer. The objective of a direct marketing strategy is to establish a communication process

between the concerned parties, in a way to build a long term relationship. The effectiveness of a

direct marketing strategy can be measure through the speed of availability of a measurable response

(O’Guinn et al., 2003).


The new campaign for Lulu Feliz will implement database marketing and e-mail marketing as its

direct marketing strategy. An overview of the direct marketing strategy for the brand can be found

in the following figure:




                                                 30
DIRECT MARKETING
        OBJECTIVE                         MESSAGE                           MEDIA
  • by the end of the             • Motivating loyal         • Database marketing
    campaign, atleast 40%           customers by providing • e-mail marketing
    of customers should             regular updates and
    become loyal                    information on future
    customers                       clothing collections and
  • to increase the                 promotional offers
    customer database




Figure 16 DIRECT MARKETING STRATEGY OVERVIEW




DATABASE MARKETING


The new campaign will develop a customer database for Lulu Feliz. Once developed, this database

can be updated and further modified in future. The database will be useful in starting and

maintaining a continues dialogue with its best customers. Though there are 4 different types of

databases which can be maintained by a firm. The campaign will start with the most basic one and

by the end of the campaign, a customised marketing database will be provided to Lulu Feliz. The

implementation of database marketing, as a process, can be explained by the following figure:




                                                 31
MAILING LIST
                                    LIST ENHANCEMENT
 - a file with names and
 addresses of exisiting                                             MARKETING DATABASE
 customers will be developed        - additional information will
                                    be incorporated into the
 - purchasing information                                           - as the campaign will go
                                    existing databse
 databses can be a costly                                           on, information rlelated to
 option for the brand.              - this information will include
                                                                    customer's personal
 hence, not used                    the demographic and             preferences and behavioural
                                    behavioural data about the      patterns will be recorded
                                    customers
                                                                    - this can be done by
                                                                    engaging customers in a
                                                                    dialogue




Figure 17 DATABASE MARKETING PROCESS(O’Guinn et al., 2003)




E-MAIL MARKETING


Once the marketing database has been developed for Lulu Feliz, this can be used time by time to

contact customers with a purpose of receiving feedbacks, informing about upcoming collections and

events, and promotional techniques. This tool can be used even after the campaign gets over, as it

will be useful for the brand in keep those customers with itself, who shifted to Lulu Feliz during the

campaign, and thus can have long term implications


Although, the quality of response reception depends on the level of satisfaction a consumer have

gained after interacting with the brand. It gets important for Lulu Feliz to provide a world class range

of products and services to its customers, both during and after the campaign.




                                                     32
The summary of the direct marketing strategy can be presented as follows:


                                     DATABASE MARKETING                    E-MAIL MARKETING

Flow                                 -   A customer database           -    The customer database

                                         will be developed                  developed will be used

                                     -   Starting from the most             to send informational

                                         basic one of mailing list,         and promotional e-

                                         it will be organised into          mails

                                         a customised marketing        -    Feedback collection will

                                         database                           also be done through

                                                                            this

Resources Involved                   -   External resource             -    No external resources

                                         required till the                  required.

                                         development of the

                                         marketing database

Scheduling                           -   Starts from the very          -    Post campaign

                                         beginning of the              -    Should be pursued

                                         campaign, i.e., 1stJune            regularly

Monitoring                           -   Involvement of                -    Quality and quantity of

                                         customers                          response received

Figure 18DIRECT MARKETING STRATEGY-SUMMARY




                                                33
CONTINUITY MEDIA SCHEDULE
                                                                        CAMPAIGN MEDIA SCHEDULE
                                       WEEK-1   WEEK-2   WEEK-3   WEEK-4          WEEK-1          WEEK-2   WEEK-3   WEEK-4      POST
                       MEDIA TOOL
                                        MAY      MAY      MAY      MAY             JUNE            JUNE     JUNE     JUNE    CAMPAIGN
                                        2012     2012     2012     2012            2012            2012     2012     2012      PERIOD


                      ADVERTISING
       Poster

       Flyers

       Carry Bags

       Internet Advertising


                    SALES PROMOTION
       Coupons

       Daily deal websites


                    DIRECT MARKETING

       Database Marketing

       E-mail marketing




Figure 19 CONTINUITY SCHEDULE




                                                                   34
CAMPAIGN EVALUATION
A marketing communication campaign is very important for any firm in terms of mainly two things.

First, important objectives are linked with the campaign. If successfully launched and implemented,

a campaign can bring a turnaround for the firm. Second, significant amount of cost is involved in the

campaign, which captures a strong space in the company’s balance sheet in the liabilities side.

Hence, it becomes important for any campaign to help the brand generate sufficient amount of

money, not just to cover up the expenses, but earn a lucrative profit over it.


A communication campaign should be evaluated as it helps in improving future decision making. It

provides an opportunity to reduce risks for future strategies. If the same firm goes for a new

campaign with new objectives and media, it will be able to use its past experience and can work out

an improved campaign. In simple words, the basic objective behind evaluating a communication

campaign is to identify the mistakes and shortcomings, and to eliminate them in the future. If so

done,it will ultimately save costs(Belch & Belch, 2010).


The campaign for Lulu Feliz involved three major communication tools to be used, i.e., advertising,

sales promotion and direct marketing. Out of the three, advertising has options for a pre-testing as

well. But due to the limitations of the owner, Audrey Proudfoot, all the tools will be evaluated in

terms of their post launch scenario. However, a brainstorming session with the owner will be held to

devise out a desired advertising message and action plan. A post launch evaluation plan for the

communication tools is provided below:


COMMUNICATION TOOL              EVALUATION METHOD                                 DETAILS

                                  Thought Listing                Random selection of customers

                                  (O’Guinn et al., 2003)         Recording the attitude and judgement of

       Advertising                                               customers towards a promotion or the

                                                                 overall brand image

                                                                 Comparison can be made between the



                                                    35
desired and the actual response received

                             Recognition Test         Customers selected on a random basis to be

                             (O’Guinn et al., 2003)   asked about an ad

                                                      Evaluation can be done on the basis of how

                                                      well the advertisement is recognised

     Brand Website           Number of visits         Number of total and unique visits received

                             Number of enquiries      during the campaign

                                                      Number of enquiries received through the

                                                      website

Social Networking Profiles   Profile Analysis         Number of followers at the beginning and at

                                                      the end of the campaign

                                                      Number of comments, tweets, posts and

                                                      shares at the beginning and the end of the

                                                      campaign

    Sales Promotion          Sales analysis           A check can be made at the end of the

                             Cost Vs revenue          campaign as well as the financial year, that

                             comparison               whether the sales objectives set before the

                                                      campaign have been achieved or not

                                                      A cost analysis can also be done to analyse

                                                      the expenses incurred versus the revenue

                                                      generated by the campaign, at the end of

                                                      the campaign

                                                      Financial methods like break even analysis

                                                      can also be used to measure the time it took

                                                      to cover up the cost and it started making

                                                      profits for the brand (Hillier & Clacher,

                                                      2011)



                                                36
Direct Marketing          Cost per order                    The effectiveness of direct marketing can

                                    Measuring Response                evaluated by measuring the number of calls

                                                                      generated by the advertisement

                                                                      The quality and quantity of the responses

                                                                      received through direct marketing can also

                                                                      be helpful in evaluating its performance

    Figure 20 MARKETING COMMUNICATION PLAN EVALUATION




    BUDGETING

                                                            PER UNIT
COMMUNICATION MEDIA                 SERIVCE                               QUANTITY               TOTAL COST
                                                              PRICE

                                            ADVERTISING BUDGET

Poster                       -   Shop window size           £18.4          6            £110.4

                                 poster

Flyers                                                      13p            5000         £50

Carry Bags                                                  14p            500          £67

                                           INTERNET ADVERTISING

Website management &         -   8 page website             £75            1            £75

Social Networking                development and

integration                      management

                             -   Social networking

                                 profile management

                             -   SEO optimization

                                          SALES PROMOTION BUDGET

Coupons                      Flyers include coupons.

                             Hence, no additional

                             budget required

Daily deal websites          Depends on the deals


                                                       37
provided on daily basis

                                           DIRECT MARKETING BUDGET

Database Marketing              Developing and organising      £500                      £500

                                customer database

E-mail marketing                Done by the owner.

                                Hence, no additional

                                budget required

Total Budget                                                                             £802

     Figure 21PROPOSED BUDGETS FOR THE COMMUNICATION CAMPAIGN (Source: For poster-Pwauk.com, carry bags-
     Amazon.co.uk; Flyers-eprinting.co.uk)




                                                          38
REFERENCES:
  Alexa.com (2012) groupon.co.uk - Information from Alexa Internet. [online] Available at:
  http://www.alexa.com/search?q=groupon.co.uk&r=home_home&p=bigtop [Accessed: 20 Apr
  2012].



  Alexa.com (2012) livingsocial.co.uk - Information from Alexa Internet. [online] Available at:
  http://www.alexa.com/search?q=livingsocial.co.uk&r=site_screener&p=bigtop [Accessed: 20
  Apr 2012].



  Belch, G. and Belch, M. (2010) Advertising and Promotion-An Integrated Marketing
  Communications Perspective. 8th ed. Irwin McGraw-Hill.



  Cbronline.com (2012) UK spends nearly £300m on daily deal websites - Computer Business
  Review. [online] Available at: http://www.cbronline.com/news/uk-spends-nearly-300-million-
  on-daily-deal-websites-080312 [Accessed: 18 Apr 2012].



  Cravens, D. and Piercy, N. (2006) Strategic Marketing. 8th ed. McGraw Hill.



  Davies, G. et al. (2003) Corporate Communication and Competitiveness. Routledge.



  E-printing.co.uk (2011) Flyer Printing, full colour flyers printing, leaflets printing. [online]
  Available at: http://e-printing.co.uk/flyer_printing/price.asp?hd=130&size=A6 [Accessed: 18 Apr
  2012].



  Frazier, K. (2006) Amount of Spending Money a College Student Needs. [online] Available at:
  http://college.lovetoknow.com/Amount_of_Spending_Money_a_College_Student_Needs
  [Accessed: 18 Apr 2012].



  Hillier, D. and Clacher, I. (2011) Fundamentals of Corporate Finance: European Edition. McGraw
  Hill.




                                               39
Media, K. (2011) New Eversave Survey Reveals Women’s Shopping Habits – It’s Not Guilt Free |
Daily Deal Media. [online] Available at: http://www.dailydealmedia.com/278new-eversave-
survey-reveals-womens-shopping-habits-its-not-guilt-free/ [Accessed: 19 Apr 2012].



Media, K. (2011) Top Ten Daily Deal Sites | Daily Deal Media. [online] Available at:
http://www.dailydealmedia.com/top-ten-daily-deal-sites165/ [Accessed: 19 Apr 2012].



Money-management-works.com (2009) Teen Spending, Teen Spending Habits, Teen Consumer
Spending Habits. [online] Available at: http://www.money-management-works.com/teen-
spending.html [Accessed: 18 Apr 2012].



O’Guinn, T. et al. (2003) Advertising and Integrated Brand Promotion. 3rd ed. Thomson South-
Western.




                                            40
APPENDICES:




1. QUESTIONNAIRE:

Q.1 Please tell us something about the background of Lulu Feliz.

Ans.



Q.2. What are the key products/services that you are offering?

Ans.



Q.3 Who are you target customers?

Ans.



Q.4 Currently, which all marketing tools are you using to promote Lulu Feliz?

Ans.



Q.5 According to you, what are your:

Strengths:



Weaknesses:



Opportunities:



Threats:



Q.6 Who are you key competitors that you think are a threat to your brand?

Ans.




                                                 41
Q.7 What do you think are the key strengths and weaknesses of your competitors against Lulu Feliz?

Ans.



Q.8 What are the key differentiating factors of your offerings?

Ans.



Q.9 Do you often introduce come up with new launches?

Ans.



Q.10 If yes, do you use any marketing tool to promote the launch?

Ans.



Q.11 What is the monthly budget that you set for marketing on a monthly or annual basis?

Ans.




                                                  42
2. WEBSITE 1




3. WEBSITE-2




               43
4. WEBSITE-3




               44

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Lulu feliz marketing communication strategy

  • 1. UNIVERSITY OF GLASGOW MARKETING COMMUNICATIONS BRAND-LULU FELIZ 1104444s WORD COUNT: 3257
  • 2. Table of Contents EXECUTIVE SUMARY: .............................................................................................................................. 3 SITUATIONAL ANALYSIS: ......................................................................................................................... 4 COMPANY, BRAND & PRODUCT ANALYSIS ..................................................................................... 6 CUSTOMER ANALYSIS ..................................................................................................................... 9 COMPETITOR ANALYSIS ................................................................................................................ 11 OBJECTIVES: .......................................................................................................................................... 15 MARKETING OBJECTIVES .................................................................................................................. 15 COMMUNICATION OBJECTIVE .......................................................................................................... 17 MARKETING COMMUNICATIONS STRATEGY & ACTION PLAN ............................................................. 18 ADVERTISING STRATEGY ................................................................................................................... 18 CREATIVE STRATEGY & EXECUTION .............................................................................................. 19 MESSAGE STRATEGY ..................................................................................................................... 20 MEDIA STRATEGY .......................................................................................................................... 21 SALES PROMOTION STRATEGY ......................................................................................................... 27 DIRECT MARKETING .......................................................................................................................... 30 CONTINUITY MEDIA SCHEDULE ........................................................................................................ 34 CAMPAIGN EVALUATION ...................................................................................................................... 35 BUDGETING ........................................................................................................................................... 37 REFERENCES: ......................................................................................................................................... 39 APPENDICES: ......................................................................................................................................... 41 1
  • 3. LIST OF FIGURES Figure 1 CURRENT SITUATIONAL ANALYSIS ............................................................................................ 5 Figure 2 PRESENT BRAND ADVANTAGES ................................................................................................ 7 Figure 3 DIFFERENT BRAND IDENTITIES (Source: Davies et al. 2003) ..................................................... 8 Figure 4 BACKDROPS OF CURRENT MARKETING COMMUNICATION ..................................................... 9 Figure 5 COMPARISON OF LULU FELIZ WITH COMPETITORS ............................................................... 13 Figure 6 STRENGTHS & WEAKNESSES COMPARISON ........................................................................... 14 Figure 7 MARKETING OBJECTIVES FOR LULU FELIZ .............................................................................. 16 Figure 8 COMMUNICATION OBJECTIVE SUMMARY ............................................................................. 18 Figure 9 ADVERTISING ELEMENTS (O’Guinn et al., 2003). .................................................................... 19 Figure 10 MESSAGE STRATGEY GOALS AND METHODS (O’Guinn et al, 2003) ..................................... 21 Figure 11 ADVERTISING MEDIA TOOLS ................................................................................................. 22 Figure 12 ADVERTISING STRATEGY SUMMARY .................................................................................... 27 Figure 13 SALES PROMOTION STRATEGY ............................................................................................. 28 Figure 14 SALES PRMOTION STRATEGY SUMMARY.............................................................................. 30 Figure 15 DIRECT MARKETING STRATEGY OVERVIEW .......................................................................... 31 Figure 16 DATABASE MARKETING PROCESS (O’Guinn et al., 2003) ..................................................... 32 Figure 17 DIRECT MARKETING STRATEGY-SUMMARY .......................................................................... 33 Figure 18 CONTINUITY SCHEDULE ........................................................................................................ 34 Figure 19 MARKETING COMMUNICATION PLAN EVALUATION ............................................................ 37 Figure 20 PROPOSED BUDGETS FOR THE COMMUNICATION CAMPAIGN (Source: For poster- Pwauk.com, carry bags-Amazon.co.uk; Flyers-eprinting.co.uk) ........................................................... 38 2
  • 4. EXECUTIVE SUMARY: Lulu Feliz, a designer clothing boutique dealing in buying and selling of new and nearly new clothes, located at Dumbarton road is selected to suggest a new marketing communication campaign. The current communication strategies by the brand are posing an undesired brand image to the target market. The brand currently is perceived as an expensive fashion boutique with limited range of female dresses and accessories. While the desired brand identity is altogether different. The main business model of Lulu Feliz is to buy pre loved or used, unusual and designer clothes, in a good condition, from customers and sell them to new customers who wants to buy, out of the league clothes but at cheap prices. But because its locational constraints and emergence of different related business models nearby its shop, the business as got affected adversely. The new communication campaign has been suggested to provide the brand a changeover and reposition it with the desired brand identity. With the launch of its new summer collection in June- 2012, the campaign will be executed. The prime objective for the campaign has been to achieve 60% awareness among the target audience and establish the new brand image. Three major communication tool of advertising, sales promotion and direct marketing have been used to implement the new communication strategy. The campaign will be implemented during the whole month of June. Few weeks before the start of June, some tools will be used so that to create a strong base for the actual launch of the campaign on 1stJune. A media schedule has also been provided explaining the duration of each media tool used. It is followed by the evaluation process and budgeting for the campaign. The options used and suggestions made in the campaign have been done keeping in mind the capabilities and limitations of the brand Lulu Feliz. 3
  • 5. SITUATIONAL ANALYSIS: Lulu Feliz is a female’s fashion clothing shop on Dumbarton road in Glasgow, Scotland. The shop was opened in April 2010 by the owner Audrey Proudfoot. Initially opened as a store to buy fashionable & expensive clothes selected by the owner herself and bought from different fashion streets of London and other cities of England, currently the brand is running with a different concept. Along with selling the fashionable wear selected by the owner, the brand also provides an opportunity to people to sell their pre loved or used clothes. The only condition is that the clothes should be unusual. In a sense, the brand does not buy regular stuff from the people who want to sell their clothes. Their clothes should be different. For example, clothes for a specific occasion, of a designer brand, vintage clothing wear, etc. Lulu Feliz sets the price and once the cloth gets sold, it pays the cloth owner 50% of the sale price, while keep the rest 50% as commission. Apart from clothing, Lulu Feliz also sells accessories like bags, footwear and jewelleries, designed and selected by the owner only. The information above is an outcome of a lengthy discussion with the owner. The questionnaire used for the discussion with Lulu Feliz and its competitors is been provided (Appendix 1). The concept which the brand is following broadens the scope of its target customers as well as suppliers. In certain situations, its suppliers can be its customers as well and vice versa. Thus, a common communication strategy has been suggested in this study, applicable on both the segments, with exception at some places. BRAND ELEMENTS LULU FELIZ BRAND ANALYSIS Brand as a product Designer clothes available at cheap prices. Also, people can sell their expensive clothes they don’t use anymore 4
  • 6. Brand as a symbol An independent brand name signifies any outstanding or remarkable thing. Also signifies a fashion range of female clothing Brand as a person Gives a feel of a sophisticated feminine personality Brand Positioning Positioned as a fashion clothing boutique. Marketing Efforts Limited to using branded carry bags. Brand Image Limited to a fashion clothing seller restricted to limited customers. Country of Origin Scottish origin with an authentic and fashionable feel CUSTOMER ANALYSIS Target Market Female Customers and other businesses that can help in reaching and thus improve the number of customers at Lulu Feliz. Target Audience Female Students and ladies who like to buy their used clothes and also, like to buy designer clothing at cheap prices. COMPETITOR ANALYSIS Charity Shops More in number. An emotional aspect linked with them. Cash for Clothes An upcoming concept. Not much big in terms of size. Recycling and charity donations done after collection. Love My Clothes Same communication, price range. Offers male clothing as well Eye candy Boutique New Fashionable wear. Targeting female customers only Figure 1CURRENT SITUATIONAL ANALYSIS 5
  • 7. COMPANY, BRAND & PRODUCT ANALYSIS Defined by Brown (1992), a Brand is the sum of all the mental connections people have around it. Lulu Feliz as a brand name depicts the image of a fashion clothing range. The brand name as a symbol is easy to identify and likeable. Though not transferable as the clothes sold in the shop are not of the Lulu Feliz brand name. The clothes provided by different customers to sell are also sold under their own brand name. It is a registered trademark by the owner, which makes it protectable as well. Hence, the brand as a symbol has some positive elements in it, which can be proven as useful inputs towards the proposed communication strategy. A product is anything which the target market potentially value due to the benefits provided by it, including different elements of it like services, place, people and ideas (Cravens & Piercy, 2006). Lulu Feliz offers an innovative idea to a customer to sell their pre-loved clothes which they bought after paying a huge amount of money, but currently is hanged ideal in their wardrobe. It allows the customer to earn some money though an unused piece of cloth. Donating it in a charity would have got them nothing and using online retailers like eBay or Amazon to sell them, would have been a hectic option, which usually middle aged ladies are not comfortable with. It also helps customers in making some money for their next shopping or some other expenditure. On the other hand, it makes designer clothes available at a reasonably cheap price. The price range of the offerings here starts from £5 and goes till a reasonable £50. Apart from the pricing, it also sells clothes of size 8-24 which is not that easy to get in a regular fashion boutique. The shop also has a marginally big trial room, which allow customers to try clothes with ease and comfort. By not selling a pile of same type of clothes, Lulu Feliz,also gives the customer an option to buy clothes for different occasion at once and at a single place, within the same price range. Brand personification of Lulu Feliz would be the combination of a sophisticated and smart lady, who is active towards the fashion trends, while also being cautious towards the price she pays. The 6
  • 8. product selection process at the shop is quite strict as the clothes are selected on the basis of not only their finishing, but the unusualness they have. Regular clothes like t-shirt, jeans, funky tops, etc. won’t be available in the boutique. The ambience in the shop gives a sophisticated image of it. Use of bright colours and soft patterns inside the shop creates a suitable environment a female customer prefers to shop in. Brand as Symbol Easy identification and likeable. Easy to relate with a fashion product Brand as Product A new and creative concept. Mutual benefits for all the related parties. Brand as Person Sophisticated and price conscious female. Figure 2PRESENT BRAND ADVANTAGES Lulu Feliz, however, has an unclear brand positioning. The brand Lulu Feliz wants to be perceived as a seller of new and nearly new unusual or designer clothing rail and a shop where people can sell their pre loved clothes. Also, to its customers, it wants to get communicated as a shop to buy nearly new designer clothes at cheap prices, whereas, the image that the brand currently has in its external environment is of an expensive fashion boutique. Most of the target customers are not even aware about this service provided by the brand. The brand is perceived as the seller of expensive designer clothing range for women. 7
  • 9. IDENTITY Company sees itself as a channel to sell and buy expensive used clothes DESIRED IDENTITY IMAGE An oferrer to customers to sell a fashion clothing boutique their unusual designer pre for women, selling expensive loved clothes and buy these at designer clothes cheap prices Figure 3 DIFFERENT BRAND IDENTITIES (Source: Davies et al. 2003) The reason behind Lulu Feliz’s unclear brand positioning is that it does not do any marketing communication to communicate the desired brand image. Except the carry bags with brand names on it and stickers mentioning the brand name, it does not employ any other communication tool by itself. Though, whatever customer base the brand has, it helps in spreading the word of mouth. Also mentioned by the owner, Audrey, most of the new customers that she receives, have got to know about them from an existing customer of hers. It also has a website, but it is not used intensively and is not maintained on a regular basis. The brand promise can also be a problem for the communication strategy. The brand may be perceived by the target customer as a range of expensive designer female clothing. While, on the other hand, when they would enter the shop they may get dissatisfied with the kind of clothing available, since the stock of new clothes is quite limited and the main focus of the brand is on the pre loved clothes dropped by customers to be get sold. 8
  • 10. BRAND ELEMENTS LULU FELIZ Brand Positioning Unclear Brand Identity Gap between the desired identity and brand image Marketing Communication Almost none to communicate the desired brand image Brand Promise Distant brand name and brand promise Figure 4BACKDROPS OF CURRENT MARKETING COMMUNICATION CUSTOMER ANALYSIS Lulu Feliz currently have a very limited customer base which it can refer to as its regular customer. Again the two types of customers that the brand has are the one who wants to sell their designer clothes and the other who wants to buy designer clothes at low prices. Since both the categories are considered as customer segments, the new marketing communication strategy would target both of them, with different tools in some cases. Female customers aged 25-55 years are currently serviced by the brand in the first category. While in the second category, it has female customers of age range of 28-60 years. Target Market for the brand under the new marketing communication strategy would be female college students, working and household ladies, most of whom resides within the west part of Glasgow. These target customers should be within the age range of 20-50 years, follow an active life style towards fashion, shopping for clothes and price conscious as well. The new communication strategy would however target unaware/uninformed customer. But aware customers would be also being a prime target of the new strategy. 9
  • 11. Target audience for the brand as per the new communication strategy would be again divided in the two categories. Target audience in the first category would comprise of college students, working females and females in their early old age. Describing the age range of the segment would be 20-55 years. College students make a huge contribution to this segment because they have a tendency to buy new clothes on a regular basis. This phenomenon has a two way implications for the brand. First, these students always have a pile of clothes lying unused in their wardrobes, and capture space as well. So they would like to get rid of it. Second, to buy new clothes, students would require money, which they won’t get by either keeping the ideal clothes with them, or by donating them in charity.College students nowadays are not shopping less, but shopping smart (Money Management Works, 2012).Working females and ladies in their early old age would also have range of unused clothes with them. So if they can make some money out of these, it would be lucrative for them. The second category would target college students and working females in their early 50s. College students make a majority of the target audience, in this category as well. 72% of college going girls are spending more on their clothing (Money Management Works, 2012).A female college student spends on an average $500-$1000 every month on clothes and need a separate clothing allowance(Lovetoknow, 2012).Thus, even during a period of recession, shopping clothes is on the prime list for college girls. Working females on the other hand have a similar tendency of shopping, with clothes on top of their spending list. But simultaneously, they like to save more while shopping for themselves (Dailydeal media, 2011). They are also pretty optimistic about using online vouchers for shopping, within which, 83% likes to use vouchers related to clothing and apparels (Dailydeal media, 2011). An additional component of target audience would be the customers at the nearby adjacent shops of Lulu Feliz. Since the boutique is surrounded by some female beauty salons, dry cleaning shop and some stylish household materials shops. Due to their clientele, it would be beneficial to target these shops as well. Though targeting these shops will be restricted to some form of print advertising only. 10
  • 12. When talking about buying clothes, it is preferred to do that in person. The owner of the brand, Audrey Proudfoot, also prefers to buy pre loved clothes in person by asking the seller to come to the shop. It allows her to choose the right type of clothes suitable for the brand image. Also, the owner maintains a card-book system to make records of the people who have offered their clothes to be sold. These cards can be used as a base for an existing customer database. Thus, the proposed marketing communication strategy would be devised in a way that would bring customers into the shop. Online means of marketing would also be used, but to a limit of communicating the brand image and brand concept. COMPETITOR ANALYSIS Lulu Feliz, at present, has majorly four competitors, which are, Charity Donation Shops, e.g., Emmaus, British heart Foundation, Cancer Research UK; Cash-4-Clothes, Eye Candy Boutique and Love My Clothes Shop. The biggest competitor for Lulu Feliz, in terms of the brand idea, is Love My Clothes. To mention here, since all of the charity donation shops have similar brand idea running behind them and there are also similarities in terms of their marketing strategies and product portfolio, these shops are categorised under a single name, to avoid complexity. A 4 stage screening process, proposed by Belch & Belch (2010), will be followed to analyse key competitors. It starts from identifying competitors, follows through identifying competitor’s strategic objectives, their strengths and weaknesses and estimating their response patterns to our new communication strategy.It would be better to mention here that since the new marketing communication strategy for Lulu Feliz would be targeting its both types of customers, the competitors are also identified on the basis of their target customers, e.g., seller or buyer of clothesor both. This can be explained by the table provided below: 11
  • 13. ELEMENTS LULU FELIZ LOVE MY CASH 4 CLOTHES CHARITY SHOPS EYE CANDY CLOTHES BOUTIQUE Brand Idea Sale & purchase of Sale of new or Purchase of used Sale of donated Fashion clothing new or nearly new nearly new clothes for items for charity boutique designer clothes designer clothes recycling purpose purpose Brand Image Expensive fashion Used Branded Earn money by Not for profit Medium to high boutique clothes at cheap selling unused chain of stores priced fashion price clothes and other street products household things Price Range £5-£50 £5-£70 Money paid on £2-£50 £10-£80 weighing basis, price offered from 80p to £1/kg maximum Products New and Nearly New and nearly Used clothing and All used clothes New clothes and new unusual new clothing household goods & accessories accessories clothing & accessories Supply Source Mostly customers. Not disclosed Customers General Public Imported from Few products from donating their Europe fashion street stuff Male/Female Female Both Both Both Female Target customer Collection No Not Disclosed Yes Yes No Service 12
  • 14. Locational No. At the end of Nearby Partick Nearby shopping Spread across Outside Partick Advantage Dumbarton road station complex at crow Dumbarton station & Morrison road road Target Seller & Buyer of Buyer Seller Buyer Buyer Customer Type clothes Marketing Branded carry Flyers Website, Banners Websites, Posters and sale Communication bags, and flyers, story Banners, discounts Effort Website line on website posters, flyers (Appendices 4) (Appendices 2&3) Figure 5COMPARISON OF LULU FELIZ WITH COMPETITORS Based on the above identified competitors and their respective features and brand positioning, an analysis of their strengths and weaknesses can be done, in the next step. The following table provides the highlights of Lulu Feliz’s and its competitors strong and weak points: ELEMENTS LULU FELIZ LOVE MY CLOTHES CASH 4 CLOTHES- CHARITY EYE CANDY I SHOPS BOUTIQUE Designer Brand √ X X X √ Image Locational X √ √ √ √ Advantage Capital X X √ √ √ Expected √ √ X X √ external response Strong Brand √ √ √ X √ idea 13
  • 15. Emotional X X √ √ X Connect Desired Identity X √ √ √ √ among target customers Figure 6STRENGTHS & WEAKNESSES COMPARISON Last step would include estimating a competitor response pattern towards a change in the marketing communication strategy of Lulu Feliz. Since the closest competitor for Lulu Feliz, in terms of brand idea and concept, is Love My Clothes, it is expected that it may try to imply options to improve its overall brand image. The already implied word of mouth strategy would be helpful in promoting the new communication strategy further. Rest of the identified competitors are not expected to respond actively towards the new communication strategy. The prime reason for that would their business idea and brand image in their target market. Cash for clothes are known only for buying clothes for recycling purpose in exchange of money, whereas charity shops have the “doing-good” image connected with their brand image. Lastly, Eye Candy boutique may be assumed to getaffected by the change in marketing strategy of Lulu Feliz as they may compete on the basis of designer clothing available. 14
  • 16. OBJECTIVES: The main problem faced by Lulu Feliz is currently the wrong and unclear brand image that it has within its target market. There is a severe need of a brand repositioning strategy so as to communicate the desired brand identity to its target audience. The new marketing communication strategy would be implemented during the launch of summer collection by the brand in June-2012. The media implementation would be done before, during and after the launch of new collection. This would be discussed in detail in the following sections. The marketing and communication objectives would be designed keeping brand repositioning as the ultimate goal. Moreover, separate marketing and communication objectives would be set to achieve this goal. MARKETING OBJECTIVES As discussed above, Lulu Feliz has some established as well as upcoming businesses as its competitors. Within a very small geographical area, the brand has a strong cluster of competitors. For a brand who is aiming for repositioning itself, it really gets important to identify and communicate its strong points in terms of its unique selling propositions. For Lulu Feliz, its USP would be the concept of Unusual Designer clothing at cheap price. Marketing objectives for any brand could be interpreted in terms of market share, sales and profitability (Belch, 2009). The new marketing communication strategy would set objectives to be achieved in two different time periods. The first would be those which could be measured and evaluated right after the campaign get over, say after 2-3 months. Second would be objectives which should be monitored at the end of the financial year. This would help in analysing the effectiveness of the campaign against the results achieved at the end of the year. 15
  • 17. MARKETING OBJECTIVE EXPECTED RESULT MEASURING TOOL Sales growth A growth of an approximate 20- The accounting figures of the 25% in monthly sales revenue firm can be analysed at the end Increase in market share The brand should capture 25- Industry sales figures along 30% of the market share in the with the category sales figures used clothes segment in the region can be used to measure the market share captured by the brand Growth in profitability By the year end, the brand Accounting books of the should be able to score a business can provide this growth in profits by 30%, information approximately. Database management Post campaign, Lulu Feliz Database management should have an extended & techniques will be adopted. organised customer database. The marketing database at the This will help the brand in end will be used to for further smooth achievement of its long communication strategies. terms goal of profitability growth Figure 7MARKETING OBJECTIVES FOR LULU FELIZ 16
  • 18. COMMUNICATION OBJECTIVE Lulu Feliz, because of the new communication strategy, would undergo a complete brand repositioning. The prime communication objectives for the new campaign would be to inform the target audiences about the new brand image and persuade them with the objective of generating trials. The communication tools to be used in the campaign would aim at spreading the awareness about the brand and thus, one of the results to be measured by the end of the campaign would be the change in the number of informed customers. The second objective of persuasion can be measured by monitoring the number of enquiries, change in the footfall amount and trials generated within the campaign period. The communication tools to be used for the campaign, their duration and their respective communication objectives are being provided through the following table: COMMUNICATION COMMUNICATION DURATION EXPECTED RESULT OBJECTIVE TACTICS Advertising - Posters By the end of second - Flyers week of June, - Printed Carry 10th may – 30thJune awareness about the bags campaign should reach - Internet to 60-65% target Advertising consumers Sale Promotion - Coupons A growth in sales 15th may – 30thJune - Daily Deal revenue by 30-35% by Websites end of June Direct Marketing - Database 1stJune- post campaign To convert 40% of total development period target customers into - E-mail loyal customers after 3 17
  • 19. marketing months of the campaign period Figure 8COMMUNICATION OBJECTIVE SUMMARY MARKETING COMMUNICATIONS STRATEGY & ACTION PLAN This section will include a detailed discussion of the different communication tools to be used for the new communication campaign. All the tools will be analysed and summarised in a way to point out the objective, key message and media vehicles to be used, for respective communication tool. The evaluation process and detailed budgeting for the campaign would be discussed in the following sections. ADVERTISING STRATEGY Advertising as a communication process is a tool for mass mediated communication. It’s a process where people, institute and messages interact (O’Guinn et al., 2003).And this happens through a medium, not face-to-face. Advertising is also an effective tool while it comes to informing and persuading the target audience about a brand or a product. The strategy implemented for advertising for this campaign will include the discussion of a creative strategy, a message strategy and media strategy for this tool, apart from the objectives. An overview of the above mentioned elements can be found in the following figure: 18
  • 20. ADVERTISING OBJECTIVE MESSAGE MEDIA •to inform potential customers •the message would be tagreting •Print about the campaign or the the two categories of potential •Flyers launch of new summer customers of Lulu feliz •Carry bags collection •the central message behind the •Internet advertising •by the end of second week of different media to be used june, atleast 60%-65% of target would be positioning Lulu Feliz audience should be aware of as the only place to buy and sell the new campaign unusaul designer clothings for summers Figure9 ADVERTISING ELEMENTS (O’Guinn et al., 2003). As mentioned above, the key objective of the advertising strategy would be to spread the word about the new campaign and it should make 60%-65% of the potential customers aware. The advertising campaign would start from the third week of May and should be able to achieve the desired numbers by second week of June. Also, the schedule for the message execution for the two types of target audience would be different. The message for the customers interested in selling their clothes will start from the third week of May. On the other hand, communication actions for customers who want to buy clothes from Lulu Feliz will start from last week of May. Although, some media tools for advertising would continue even after the campaign gets over. CREATIVE STRATEGY & EXECUTION The key objective behind most of the marketing efforts is to establish a brand relationship and creating and maintaining a brand image. Advertising helps in building brand relationships and image. Creativity in this becomes important as it makes advertising strong enough to communicate the desired brand image, in a different way, though effective (O’Guinn et al, 2003). For Lulu Feliz, as a 19
  • 21. part of the creative strategy, a tag line can be “Looking for a designer wardrobe changeover this summer without paying much??? Hop into LULU FELIZ now and we’ll give you the money for that!!!!”Taglines and words emphasising around this tagline will be used in the different communication media to be used. Different taglines can also be made while designing advertising message for the two types of customers. BRAND DETAILS ELEMENTS Styles USP Ladies do want to shop and save money at the same time. College students are more frequent in terms of shopping since they attend lots of events like parties, etc. Brand image The tagline reflects all the different communication the brand wants to tell its audience about Emotional Not emotional but it strikes on the communicating message of buying designer clothes along with saving money Pre-emptive Customer reception is based on the quality of the final products and services. Resonance The tone of the tagline is both sophisticated yet casual. So that to connect with the target audience of different age-groups Figure 10 CREATIVE STRATEGY ANALYSES MESSAGE STRATEGY Another important part of the advertising strategy is the message strategy. It defines the goals which are expected to be achieved through the advertising strategy and the methods which will be helpful in doing so (O’Guinn et al, 2003).The following figure discusses the goal this advertising strategy wants to achieve and the method used for that: 20
  • 22. ADVERTISING MESSAGE GOAL METHOD USED Link a key attribute to the brand name- the - USP brand name LULU FELIZ has to be associated with the seller of unusual designer clothes at cheap prices Persuade the potential consumer- to convince - Reason-why Ads potential customer to sell through or buy pre loved designer clothes from Lulu Feliz Instil brand preference- make potential - Feel good ads customers prefer Lulu Feliz over its competitorswhen planning to shop for used clothing Figure 11MESSAGE STRATGEY GOALS AND METHODS (O’Guinn et al, 2003) MEDIA STRATEGY Media strategy is one of the most important components of any communication plan. The objective of every communication strategy is to reach most of its target audience as strongly as possible. To do so, it becomes a basic requirement to use a combination of most of the media tools available. But along with considering the key objectives that the campaign wants to achieve, while selecting media tools to be used, it is also important to keep in mind the limitations of the brand or rather the firm for whom the campaign is to designed and executed. For Lulu Feliz as well, the case is not different. It has its own financial and other internal limitations. Hence it becomes necessary to screen out those tools which are best suitable for Lulu Feliz. The following table depicts the tools selected in the advertising strategy, along with listing the reasons: 21
  • 23. MEDIA TYPE REASON FREQUENCY POSTERS - Low cost - From 15th may to end of June. If found effective, - Easily visible to by it can be continued even after the campaign as passers well FLYERS - Low cost - Flyers distribution to be start from 15th may and - Customised reach continue till 14thJune, thrice a week CARRY BAGS - Medium cost - New printed bags to be supplied during the - Longer life cycle month of June - If found economical, can be continued after the campaign as well INTERNET - Low cost - Updating website in early may ADVERTISING - Maximum reach, - Profile creation on social networking websites in if used effectively early may - Integrating the above options Figure 12ADVERTISING MEDIA TOOLS POSTERS Lulu Feliz has used the posters for advertising purposes in the past as well which proved to be quite effective for the business. The 2 large glass windows are the optimum space for putting the posters. One thing to note here would be that 2 different posters will be designed for the 2 types of customers the brand is targeting. Being on the main Dumbarton Street, although on the dark side, proves some good for the boutique. Posters on the windows would be easily visible to the by 22
  • 24. passers. It’s a low cost option as much quantity of posters won’t be required and per unit cost of the posters is very low as well. Things to be taken care of while using this tool as advertising strategy is that posters should be of suitable size, i.e., not too big and not too small. The print should be taken on a high quality photo paper which has a high a colour reflecting features and longer life. The poster for customers who wants to sell their pre loved clothes should be put between 15th may-14thJune. After that, posters for customers wanting to buy pre loved clothes should be put on both the windows. Once the campaign gets over, these posters can be used alternatively as per the need of the business situation.Their effectiveness can be monitored though observing the stop rates and hopping in the shop by people after watching the posters. FLYERS Flyers are one of the cheapest modes of spreading the word about any business. For Lulu Feliz, a both side printed flyer will be used and distributed in different area of west end and nearby city centre. One side of the flyer will have information about the customers planning to sell their pre loved clothes and the other side will target the customers planning to buy preloved designer clothes at cheap prices. The distribution will be done thrice a week starting from 15th may and will end in the week starting from 14thJune. Part time resources will be hired for this,which will be paid on the basis of number of flyers distributed, for example, £25 for 1000 flyers. Also, different regions will be selected for each day so that maximum coverage can be achieved during these 4 weeks. Again, the thing to be kept in mind while using flyers as a communication tool is the quality of the flyer. Good quality flyers would be required as they will have to face the transportation wear & tear. Also, once distributed, a longer life can be expected from them and so will be the communication effect. 23
  • 25. CARRY BAGS The carry bags currently used have only the brand name on it. The owner also uses stickers with the Lulu Feliz brand name on it. But this option has a shorter life cycle and this does not match the desired brand image as well. While the new bags to be used during the campaign will have the key message of the brand. Again, different messages will be printed on either side so that to be useful for both types of target customers. The message used on the bags will be in consistence with those on the posters. A significant amount of carry bags will be printed and purchased in bulk. This will provide a dual benefit. One, it will cost low and second, the leftover bags, if any, can be used after the campaign gets over. The purpose of using carry bags is an advertising tool is that these bags travel a lot once they go out of the shop and reach potential customers in a way unknown to the brand itself. Therefore, even after being a tool of promoting the brand, it can be used as an effective tool for advertising as well. The effectiveness of this media can be monitored through the number of customers coming again to the boutique. New customers coming with previous ones can also be due to the message carried out through these bags. Thus, if any such instance happens, that can also be referred to as an effective use of carry bags. INTERNET ADVERTISING This tool is one of the most important ones as it has the most effective reach in terms of both quality and quantity. Lulu Feliz should update its website by early may. Different element from the campaign should be updated on the website and if possible, product information and pictures 24
  • 26. should also be put on the website. Although, no transaction opportunity to be provided on the website. Moving further in the World Wide Web, social networking websites should be used to create the business profile for the brand and connecting with its target audience, mainly college students, through this media. Facebook and twitter only should be used for this purpose initially. Some group selling websites will also be used, which will be discussed in the following sections. Internet will be a cost effective tool for the brand. Also, it can be measured by using cheap software’s to monitor the number of total and unique visits on the website. Also, the numbers of posts, tweets, likes, subscribers, followers, etc. aresome of the ways to measure this tool’s effectiveness. Not to miss out, the above mentioned webpages will be linked to each other so that to imply an integrated effect. This monitoring will be done on weekly basis and analyses will be made every week. Suggestive actions will be taken in terms to modify next week’s strategy depending on last 2 week’s result. On Lulu Feliz’s website, links to its social networking profile pages will also be added. A summary of the different advertising tools to be used is provided below: Advertisin Flow Resources Scheduling Monitoring g Media Involved Posters - To be put - Can be - 15th may - People on the done by to 30thJune stopping shop the owner outside to windows herself read the poster and popping in to enquire or 25
  • 27. shop Flyers - to be - Part time - 15thmay to - Customers distributed resources 20thJune arriving from thrice a can be the areas week hired where flyer distribution has been done Carry Bags - New brand - Matter to - 1stJune to - Customer message be 30thJune repetition to be provided - old printed on to the customers the carry carry bag bringing in bags used suppliers new customers - new customers coming with reference of existing customers Internet - website - external - 10th may to - Click rates updating technical 30thJune and page - social support visits networkin will be - Posts, 26
  • 28. g profile required comments creation and followers on social networking profiles Figure 13 ADVERTISING STRATEGY SUMMARY SALES PROMOTION STRATEGY Sales promotion techniques are also an important part of a marketing communication strategy for any brand. While mass media advertising aims at building a brand image, sales promotion have a straightforward objective of inducing purchase behaviour. Sales promotion is the use of incentive techniques to persuade potential customer to make a trial. These can result in repeat purchases if found effective (O’Guinn et al., 2003). For Lulu Feliz, consumer sales promotion techniques of coupons and sales promotion using daily deals websites like groupon, living social, etc. will be used. Before discussing the tools in details, the following figure provides an overview of the sales promotion strategy: 27
  • 29. SALES PROMOTION OBJECTIVE MESSAGE MEDIA • to generate trials and • message behind • Coupon create a hype using this would be • daily deal websites • to increase sale by to make the 30%-35% by the end customers coming of june during the campaign some extra benefits Figure 14 SALES PROMOTION STRATEGY COUPONS Coupons will be used in a twofold manner for Lulu Feliz. The flyers to be used in the advertising strategy will have price-off coupon information printed on it. The customers bringing these flyers with them will be eligible to use the offer. For the customer planning to sell their used clothes will be provided an extra amount of money once their clothes get sold and those planning to buy clothes from Lulu Feliz will be provided extra 10% discount on their purchase. The duration of these coupons will be the same as of that of the flyers. By doing it this way, it won’t cost anything extra for Lulu Feliz as well. It will also be easy to monitor the effectiveness of these coupons. DAILY DEAL WEBSITES 28
  • 30. Daily deal market has grown at an enormous rate in the past six months. According to CBRonline (2012),UK consumers have spent over £290m through daily deal websites. In a daily deal summit in Europe, it was revealed that between July-December 2011, consumers saved an average of £375m by shopping through daily deal websites. In the new marketing communication strategy, daily deal websites will be used as a sales promotion strategy for Lulu Feliz. Consumers bringing their daily deal vouchers with them will be provided the offer. This strategy is aimed at those female who are using daily deal websites on regularly basis. Lulu Feliz will be using Groupon and Living Social, for this campaign. These are the top 2 ranked daily deal websites in terms of the number of daily visitors these websites receive(dailydealmedia, 2011).Also, both of these websites have college and working females as their majority audience (Alexa, 2012). This strategy will be used for the month of June 2012. Number of deals reimbursed at the shop will be used for monitoring its effectiveness. Sale promotion strategy for Lulu Feliz can be summarised as follows: COUPONS DAILY DEAL WEBSITES Flow - To be used along with the flyers - To provide price off or transaction based deals through Groupon and Livingsocial websites Resources Involved - Common as in the flyer - An account with the two daily distribution with no extra cost deal websites would be needed Scheduling - 15th may to 20thJune - 1stJune to 30thJune Monitoring - Number of Customers bringing - Number of customers using 29
  • 31. flyers and redeeming the offer groupon or living social to transact at the shop Figure 15SALES PRMOTION STRATEGY SUMMARY DIRECT MARKETING Direct marketing involves an attempt to create a dialogue between the marketer/firm and the customer. The objective of a direct marketing strategy is to establish a communication process between the concerned parties, in a way to build a long term relationship. The effectiveness of a direct marketing strategy can be measure through the speed of availability of a measurable response (O’Guinn et al., 2003). The new campaign for Lulu Feliz will implement database marketing and e-mail marketing as its direct marketing strategy. An overview of the direct marketing strategy for the brand can be found in the following figure: 30
  • 32. DIRECT MARKETING OBJECTIVE MESSAGE MEDIA • by the end of the • Motivating loyal • Database marketing campaign, atleast 40% customers by providing • e-mail marketing of customers should regular updates and become loyal information on future customers clothing collections and • to increase the promotional offers customer database Figure 16 DIRECT MARKETING STRATEGY OVERVIEW DATABASE MARKETING The new campaign will develop a customer database for Lulu Feliz. Once developed, this database can be updated and further modified in future. The database will be useful in starting and maintaining a continues dialogue with its best customers. Though there are 4 different types of databases which can be maintained by a firm. The campaign will start with the most basic one and by the end of the campaign, a customised marketing database will be provided to Lulu Feliz. The implementation of database marketing, as a process, can be explained by the following figure: 31
  • 33. MAILING LIST LIST ENHANCEMENT - a file with names and addresses of exisiting MARKETING DATABASE customers will be developed - additional information will be incorporated into the - purchasing information - as the campaign will go existing databse databses can be a costly on, information rlelated to option for the brand. - this information will include customer's personal hence, not used the demographic and preferences and behavioural behavioural data about the patterns will be recorded customers - this can be done by engaging customers in a dialogue Figure 17 DATABASE MARKETING PROCESS(O’Guinn et al., 2003) E-MAIL MARKETING Once the marketing database has been developed for Lulu Feliz, this can be used time by time to contact customers with a purpose of receiving feedbacks, informing about upcoming collections and events, and promotional techniques. This tool can be used even after the campaign gets over, as it will be useful for the brand in keep those customers with itself, who shifted to Lulu Feliz during the campaign, and thus can have long term implications Although, the quality of response reception depends on the level of satisfaction a consumer have gained after interacting with the brand. It gets important for Lulu Feliz to provide a world class range of products and services to its customers, both during and after the campaign. 32
  • 34. The summary of the direct marketing strategy can be presented as follows: DATABASE MARKETING E-MAIL MARKETING Flow - A customer database - The customer database will be developed developed will be used - Starting from the most to send informational basic one of mailing list, and promotional e- it will be organised into mails a customised marketing - Feedback collection will database also be done through this Resources Involved - External resource - No external resources required till the required. development of the marketing database Scheduling - Starts from the very - Post campaign beginning of the - Should be pursued campaign, i.e., 1stJune regularly Monitoring - Involvement of - Quality and quantity of customers response received Figure 18DIRECT MARKETING STRATEGY-SUMMARY 33
  • 35. CONTINUITY MEDIA SCHEDULE CAMPAIGN MEDIA SCHEDULE WEEK-1 WEEK-2 WEEK-3 WEEK-4 WEEK-1 WEEK-2 WEEK-3 WEEK-4 POST MEDIA TOOL MAY MAY MAY MAY JUNE JUNE JUNE JUNE CAMPAIGN 2012 2012 2012 2012 2012 2012 2012 2012 PERIOD ADVERTISING Poster Flyers Carry Bags Internet Advertising SALES PROMOTION Coupons Daily deal websites DIRECT MARKETING Database Marketing E-mail marketing Figure 19 CONTINUITY SCHEDULE 34
  • 36. CAMPAIGN EVALUATION A marketing communication campaign is very important for any firm in terms of mainly two things. First, important objectives are linked with the campaign. If successfully launched and implemented, a campaign can bring a turnaround for the firm. Second, significant amount of cost is involved in the campaign, which captures a strong space in the company’s balance sheet in the liabilities side. Hence, it becomes important for any campaign to help the brand generate sufficient amount of money, not just to cover up the expenses, but earn a lucrative profit over it. A communication campaign should be evaluated as it helps in improving future decision making. It provides an opportunity to reduce risks for future strategies. If the same firm goes for a new campaign with new objectives and media, it will be able to use its past experience and can work out an improved campaign. In simple words, the basic objective behind evaluating a communication campaign is to identify the mistakes and shortcomings, and to eliminate them in the future. If so done,it will ultimately save costs(Belch & Belch, 2010). The campaign for Lulu Feliz involved three major communication tools to be used, i.e., advertising, sales promotion and direct marketing. Out of the three, advertising has options for a pre-testing as well. But due to the limitations of the owner, Audrey Proudfoot, all the tools will be evaluated in terms of their post launch scenario. However, a brainstorming session with the owner will be held to devise out a desired advertising message and action plan. A post launch evaluation plan for the communication tools is provided below: COMMUNICATION TOOL EVALUATION METHOD DETAILS Thought Listing Random selection of customers (O’Guinn et al., 2003) Recording the attitude and judgement of Advertising customers towards a promotion or the overall brand image Comparison can be made between the 35
  • 37. desired and the actual response received Recognition Test Customers selected on a random basis to be (O’Guinn et al., 2003) asked about an ad Evaluation can be done on the basis of how well the advertisement is recognised Brand Website Number of visits Number of total and unique visits received Number of enquiries during the campaign Number of enquiries received through the website Social Networking Profiles Profile Analysis Number of followers at the beginning and at the end of the campaign Number of comments, tweets, posts and shares at the beginning and the end of the campaign Sales Promotion Sales analysis A check can be made at the end of the Cost Vs revenue campaign as well as the financial year, that comparison whether the sales objectives set before the campaign have been achieved or not A cost analysis can also be done to analyse the expenses incurred versus the revenue generated by the campaign, at the end of the campaign Financial methods like break even analysis can also be used to measure the time it took to cover up the cost and it started making profits for the brand (Hillier & Clacher, 2011) 36
  • 38. Direct Marketing Cost per order The effectiveness of direct marketing can Measuring Response evaluated by measuring the number of calls generated by the advertisement The quality and quantity of the responses received through direct marketing can also be helpful in evaluating its performance Figure 20 MARKETING COMMUNICATION PLAN EVALUATION BUDGETING PER UNIT COMMUNICATION MEDIA SERIVCE QUANTITY TOTAL COST PRICE ADVERTISING BUDGET Poster - Shop window size £18.4 6 £110.4 poster Flyers 13p 5000 £50 Carry Bags 14p 500 £67 INTERNET ADVERTISING Website management & - 8 page website £75 1 £75 Social Networking development and integration management - Social networking profile management - SEO optimization SALES PROMOTION BUDGET Coupons Flyers include coupons. Hence, no additional budget required Daily deal websites Depends on the deals 37
  • 39. provided on daily basis DIRECT MARKETING BUDGET Database Marketing Developing and organising £500 £500 customer database E-mail marketing Done by the owner. Hence, no additional budget required Total Budget £802 Figure 21PROPOSED BUDGETS FOR THE COMMUNICATION CAMPAIGN (Source: For poster-Pwauk.com, carry bags- Amazon.co.uk; Flyers-eprinting.co.uk) 38
  • 40. REFERENCES: Alexa.com (2012) groupon.co.uk - Information from Alexa Internet. [online] Available at: http://www.alexa.com/search?q=groupon.co.uk&r=home_home&p=bigtop [Accessed: 20 Apr 2012]. Alexa.com (2012) livingsocial.co.uk - Information from Alexa Internet. [online] Available at: http://www.alexa.com/search?q=livingsocial.co.uk&r=site_screener&p=bigtop [Accessed: 20 Apr 2012]. Belch, G. and Belch, M. (2010) Advertising and Promotion-An Integrated Marketing Communications Perspective. 8th ed. Irwin McGraw-Hill. Cbronline.com (2012) UK spends nearly £300m on daily deal websites - Computer Business Review. [online] Available at: http://www.cbronline.com/news/uk-spends-nearly-300-million- on-daily-deal-websites-080312 [Accessed: 18 Apr 2012]. Cravens, D. and Piercy, N. (2006) Strategic Marketing. 8th ed. McGraw Hill. Davies, G. et al. (2003) Corporate Communication and Competitiveness. Routledge. E-printing.co.uk (2011) Flyer Printing, full colour flyers printing, leaflets printing. [online] Available at: http://e-printing.co.uk/flyer_printing/price.asp?hd=130&size=A6 [Accessed: 18 Apr 2012]. Frazier, K. (2006) Amount of Spending Money a College Student Needs. [online] Available at: http://college.lovetoknow.com/Amount_of_Spending_Money_a_College_Student_Needs [Accessed: 18 Apr 2012]. Hillier, D. and Clacher, I. (2011) Fundamentals of Corporate Finance: European Edition. McGraw Hill. 39
  • 41. Media, K. (2011) New Eversave Survey Reveals Women’s Shopping Habits – It’s Not Guilt Free | Daily Deal Media. [online] Available at: http://www.dailydealmedia.com/278new-eversave- survey-reveals-womens-shopping-habits-its-not-guilt-free/ [Accessed: 19 Apr 2012]. Media, K. (2011) Top Ten Daily Deal Sites | Daily Deal Media. [online] Available at: http://www.dailydealmedia.com/top-ten-daily-deal-sites165/ [Accessed: 19 Apr 2012]. Money-management-works.com (2009) Teen Spending, Teen Spending Habits, Teen Consumer Spending Habits. [online] Available at: http://www.money-management-works.com/teen- spending.html [Accessed: 18 Apr 2012]. O’Guinn, T. et al. (2003) Advertising and Integrated Brand Promotion. 3rd ed. Thomson South- Western. 40
  • 42. APPENDICES: 1. QUESTIONNAIRE: Q.1 Please tell us something about the background of Lulu Feliz. Ans. Q.2. What are the key products/services that you are offering? Ans. Q.3 Who are you target customers? Ans. Q.4 Currently, which all marketing tools are you using to promote Lulu Feliz? Ans. Q.5 According to you, what are your: Strengths: Weaknesses: Opportunities: Threats: Q.6 Who are you key competitors that you think are a threat to your brand? Ans. 41
  • 43. Q.7 What do you think are the key strengths and weaknesses of your competitors against Lulu Feliz? Ans. Q.8 What are the key differentiating factors of your offerings? Ans. Q.9 Do you often introduce come up with new launches? Ans. Q.10 If yes, do you use any marketing tool to promote the launch? Ans. Q.11 What is the monthly budget that you set for marketing on a monthly or annual basis? Ans. 42
  • 44. 2. WEBSITE 1 3. WEBSITE-2 43