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Encyclopædia Britannica presents:


The Power of Mom
   EXAMINING THE PURCHASING POWER
        AND DRIVERS OF TODAY’S MOM




                          ***
Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




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                                                                                                YESTERDAY’S MOMS
Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




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                                                                                                …TODAY’S MOMS
Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                         TODAY’S AGENDA
                                                                     •    Who is Encyclopædia
                                                                          Britannica?

                                                                     •    Taking a Closer Look at
                                                                          Grandma’s Role

                                                                     •    The Three “C's” of Targeting
                                                                          Mom

                                                                     •    Discover Back-to-School

                                                                     •    Targeting Mom at Back-to-
                                                                          School

                                                                     •    Creating Effective Back-to-
                                                                          School Campaigns

                                                                     •    Case Studies

                                                                     •    Summary


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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




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                                                                                                ENCYCLOPÆDIA BRITANNICA?
Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                                              BRITANNICA TODAY!
                                                                    •   The #1 Best-Selling Encyclopedia
                                                                         •   #1 in Print, #1 Online, #1 in Software
                                                                         •   #1 at Schools, #1 at Colleges, #1 at Retail
                                                                         •   #1 Worldwide

                                                                    •   Britannica Digital Media leads the Industry
                                                                         •   Britannica Online – www.britannica.com
                                                                         •   Software – more than 50 SKUs
                                                                         •   DVD/Video – 1000’s of titles
                                                                         •   Audio Books and mp3 files
                                                                         •   Mobile and Wireless Applications
                                                                         •   PDA Applications
                                                                         •   iPod and eBook Applications

                                                                    •   Britannica vs. the Web
                                                                         •   One source for accurate, researched, and authoritative
                                                                             information
                                                                         •   Family-friendly and kid-safe
                                                                         •   Reduces research and homework time


                                                                    •   And we sell to Moms every day!


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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                               THE GRAND/MOM MARKET

                                                                    •   $1.6 TRILLION is spent by Moms in the U.S. each year
                                                                    •   85%+ of household budgets are spent by Moms
                                                                    •   71% of Moms with children are in the work force.
                                                                    •   Single mothers are the fastest growing
                                                                        demographic.
                                                                    •   Grandmothers are increasingly providing
                                                                        primary and secondary child care at their
                                                                        homes.
                                                                    •   Grandmothers are purchasing and serving
                                                                        after-school snacks.
                                                                    •   Grandmothers are helping with Back-to-
                                                                        School shopping.
                                                                    •   Grandma is the #1 influencer of Mom.




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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                     THE THREE C’S OF TARGETING MOM



                                                                    • Compassion
                                                                     •Clarity
                                                                      •Credibility
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                                                                     Back to School
                                                                               is a
                                                                      $54 BILLION
                                                                    Selling Season!




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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                               BACK-TO-SCHOOL MARKET

                                                                                       2006 Consumer Spending on
                                                                                      Top Back-to-School Categories

                                                                                       School                       Electronics &
                                                                                      Supplies                       Computer
                                                                                     $2.9 Billion                    $3.8 Billion



                                                                              Shoes
                                                                            $3.3 Billion
                                                                                                                   Clothing &
                                                                                                                  Accessories
                                                                                                                  $7.6 Billion

                                                                                                               Source: National Retail Federation/BIGresearch




                                                                    *How can you partner with brands in these strong Back-to-School categories?


                                                                                                         Smart promotions begin with Britannica10
Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                                                       BACK-TO-SCHOOL MARKET
                                                                                                        Back-to-School Spending by Year

                                                                                                                                                                                $590
                                                                                             $600                                                               $527
                                                                                                                                  $483
                                                                    Dollars Spent per Year



                                                                                             $500   $442          $451                           $444

                                                                                             $400

                                                                                             $300   2              2               2                2              2                2
                                                                                                    0              0               0                0              0                0
                                                                                             $200   0              0               0                0              0                0
                                                                                                    2              3               4                5              6                7
                                                                                             $100

                                                                                             $-
                                                                                                        Source: National Retail Federation/BIGresearch & Retail Council of Canada



                                                                    *                Electronics/Computers/Peripherals are generally responsible for the
                                                                                     increase in average consumer spending over the last few years.

                                                                                                                                       Smart promotions begin with Britannica   11
Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                                 BACK-TO-SCHOOL MARKET
                                                                                            Where Consumers Shop
                                                                                      for Back-to-School Items - 2006 Data
                                                                                        Grocery/Drug


                                                                            Office Supply                                   Discount/Mass



                                                                            Catalog


                                                                            Online

                                                                                                                          Department
                                                                                     Specialty
                                                                                                                Source: National Retail Federation/BIGresearch




                                                                    *Discount/Mass and Department Stores account for more than 50%of total dollars
                                                                     spent. Don’t overlook Office Supply and Grocery/Drug as alt. channels.

                                                                                                          Smart promotions begin with Britannica12
Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                                     BACK-TO-SCHOOL MARKET

                                                                                   When Do Consumer Begin Shopping
                                                                                       for Back-to-School Items?
                                                                                               2006 Data
                                                                                                                                       32.5%
                                                                                                                                  1-2 Weeks Prior
                                                                             41.9%
                                                                        3-4 Weeks Prior
                                                                                                                                                6.6%
                                                                                                                                              Same Week
                                                                                                                                    2.5%
                                                                                          16.5%                                 After School
                                                                                       2 Months Prior                              Starts

                                                                               Source: National Retail Federation/BIGresearch & Retail Council of Canada




                                                                    *It’s imperative your marketing efforts begin immediately after July 1.


                                                                                                                                                           13
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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                        SELLING TO MOM AT BACK-TO-SCHOOL
                                                                    •   Include decision-making data in all marketing efforts
                                                                         - Moms research products and service 4.5x more than dads
                                                                    •   Tell Mom your product is smart, safe, or healthy
                                                                         - These three claims resonate louder than any other
                                                                    •   Facilitate and increase Mom's productivity
                                                                         - Pay at the pump gas stations
                                                                    •   Make shopping convenient and quick
                                                                         - Integrate drive-through windows whenever possible
                                                                    •   Integrate your product into Mom’s everyday life
                                                                         - “Minute Clinics” at local drug stores
                                                                    •   Talk to Moms online
                                                                         - iVillage.com, School Web sites, Pregnancy Planners
                                                                    •   Target Grandma in your advertising and sampling
                                                                         - Consider women’s magazines with an older demographic




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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                          BRITANNICA CASE STUDIES
                                                                    •   Procter & Gamble – Back-to-School Mail-In Software Offer
                                                                    •   Kellogg – Celebrating Black History CD Promotion
                                                                    •   Frito-Lay & Pizza Hut – Back-to-School Online Subscription Coupons
                                                                    •   Sprint & EMBARQ – Back-to-School Teacher Promotions
                                                                    •   Fox Home Entertainment – Grocery Channel BTS Promotion
                                                                    •   Bennigan’s & Sonic – Kids’ Meal Promotions
                                                                    •   JCPenney & Kohl’s – In-Store Back-to-School Promotions




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                                                                                                       Smart promotions begin with Britannica
Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                           Consumer Marketing Solutions

                                                                    CLIENT
                                                                        Procter & Gamble

                                                                    AGENCY
                                                                       Marketing Labs

                                                                    BRITANNICA PRODUCT
                                                                        Student Edition CD-ROM

                                                                    PROGRAM DESCRIPTION
                                                                       Back to School Promotion -
                                                                       Consumers who purchased
                                                                       four or more P&G products
                                                                       during one shopping trip




                                                                                                                                 *
                                                                       could mail in their store
                                                                       receipt and a completed tear-
                                                                       pad sheet for gift
                                                                       redemption.



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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                           Consumer Marketing Solutions




                                                                                                                                           *
                                                                    CLIENT
                                                                       Frito-Lay

                                                                    AGENCY
                                                                       Classmates Marketing

                                                                    BRITANNICA PRODUCT
                                                                       Britannica U.S. Maps

                                                                    PROGRAM DESCRIPTION
                                                                        In-School marketing program
                                                                       aimed at increasing children’s
                                                                       outdoor activities. This
                                                                       poster/map was distributed to
                                                                       one million students and
                                                                       hung in 2,000 school
                                                                       cafeterias.


                                                                                                                                        17
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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                          Consumer Marketing Solutions

                                                                    CLIENT
                                                                       FOX Home Entertainment
                                                                    AGENCY
                                                                       In-House
                                                                    BRITANNICA PRODUCT
                                                                       Homework Essentials Plus CD-ROM
                                                                    PROGRAM DESCRIPTION
                                                                       Back-to-School 2006 gift with
                                                                       purchase program, grocery channel.
                                                                       Buy a FOX DVD and get the
                                                                       Britannica CD-ROM free of charge.




                                                                                  *                                                     18
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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                         Consumer Marketing Solutions

                                                                    CLIENT
                                                                       Kellogg Company
                                                                    AGENCY

                                                                       Brigandi & Associates
                                                                    BRITANNICA PRODUCT

                                                                       Custom CD-ROM titled,
                                                                       “Kellogg proudly presents A
                                                                       Celebration of Black History”
                                                                    PROGRAM DESCRIPTION
                                                                       Mail-In Offer: Consumers
                                                                       purchasing three Kellogg
                                                                       “qualifying” products can mail-




                                                                                                                                         *
                                                                       in a completed form to receive
                                                                       this CD-ROM free of charge.




                                                                                                                                         19
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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                                                                   SUMMARY


                                                                    *   Make Back-to-School a critical
                                                                           part of your marketing plan.



                                                                    *   Deliver value as it relates to
                                                                            Mom’s life - offer increased
                                                                            productivity and convenience.



                                                                    *   Tell Mom what makes your
                                                                            product/brand different –
                                                                            demonstrate key strengths.



                                                                    *   Deliver on your brand promise –
                                                                            she’ll be a repeat customer
                                                                            and tell all of her friends.


                                                                    *   Include education, child safety or
                                                                            nutrition in your messaging.



                                                                    *   Don't forget Grandma!                     Start Planning Now for
                                                                                                                   Back-to-School 2009!



                                                                                                                                             20
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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                                                                                 CREDITS
                                                                    •   U.S. Bureau of the Census, Census 2000
                                                                        (www.census.gov)
                                                                    •   Retail Council of Canada (www.retailcouncil.org)
                                                                    •   Center for Women’s Business Research
                                                                        (www.cfwbr.org)
                                                                    •   National Retail Federation/BIGresearch
                                                                        (www.nrf.com)
                                                                    •   MarketingProfs (www.marketingprofs.com)
                                                                    •   Winning the Toughest Customer, Delia Passi with
                                                                        A.B. Aronson
                                                                    •   Trillion Dollar Moms, Marketing to a New
                                                                        Generation of Mothers, Maria T. Bailey and
                                                                        Bonnie W. Ulman
                                                                    •   Entrepreneur Magazine, Working Woman



                                                                                                   *
                                                                        Magazine, Business Week
                                                                    •   Judy Frank, the #1 Mom




                                                                                                                                         21
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Encyclopædia Britannica | 5th Annual Marketing to Moms Conference




                                                                       *    PARTNER WITH BRITANNICA TODAY


                                                                    Steve Gilberg
                                                                    Director, Promotions & Licensing
                                                                    312-347-7237 - direct
                                                                    sgilberg@eb.com

                                                                    Encyclopædia Britannica
                                                                    World Headquarters
                                                                    331 N. LaSalle Drive
                                                                    Chicago, IL 60610

                                                                    www.britannica.com




                                                                                                                                  22
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The Power of Mom: Examining the Purchasing Power and Drivers of Today's Mom

  • 1. Encyclopædia Britannica presents: The Power of Mom EXAMINING THE PURCHASING POWER AND DRIVERS OF TODAY’S MOM ***
  • 2. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference 2 Smart promotions begin with Britannica YESTERDAY’S MOMS
  • 3. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference 3 Smart promotions begin with Britannica …TODAY’S MOMS
  • 4. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference TODAY’S AGENDA • Who is Encyclopædia Britannica? • Taking a Closer Look at Grandma’s Role • The Three “C's” of Targeting Mom • Discover Back-to-School • Targeting Mom at Back-to- School • Creating Effective Back-to- School Campaigns • Case Studies • Summary 4 Smart promotions begin with Britannica
  • 5. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference 5 Smart promotions begin with Britannica ENCYCLOPÆDIA BRITANNICA?
  • 6. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference BRITANNICA TODAY! • The #1 Best-Selling Encyclopedia • #1 in Print, #1 Online, #1 in Software • #1 at Schools, #1 at Colleges, #1 at Retail • #1 Worldwide • Britannica Digital Media leads the Industry • Britannica Online – www.britannica.com • Software – more than 50 SKUs • DVD/Video – 1000’s of titles • Audio Books and mp3 files • Mobile and Wireless Applications • PDA Applications • iPod and eBook Applications • Britannica vs. the Web • One source for accurate, researched, and authoritative information • Family-friendly and kid-safe • Reduces research and homework time • And we sell to Moms every day! 6 Smart promotions begin with Britannica
  • 7. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference THE GRAND/MOM MARKET • $1.6 TRILLION is spent by Moms in the U.S. each year • 85%+ of household budgets are spent by Moms • 71% of Moms with children are in the work force. • Single mothers are the fastest growing demographic. • Grandmothers are increasingly providing primary and secondary child care at their homes. • Grandmothers are purchasing and serving after-school snacks. • Grandmothers are helping with Back-to- School shopping. • Grandma is the #1 influencer of Mom. 7 Smart promotions begin with Britannica
  • 8. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference THE THREE C’S OF TARGETING MOM • Compassion •Clarity •Credibility 8 Smart promotions begin with Britannica
  • 9. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference Back to School is a $54 BILLION Selling Season! 9 Smart promotions begin with Britannica
  • 10. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference BACK-TO-SCHOOL MARKET 2006 Consumer Spending on Top Back-to-School Categories School Electronics & Supplies Computer $2.9 Billion $3.8 Billion Shoes $3.3 Billion Clothing & Accessories $7.6 Billion Source: National Retail Federation/BIGresearch *How can you partner with brands in these strong Back-to-School categories? Smart promotions begin with Britannica10
  • 11. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference BACK-TO-SCHOOL MARKET Back-to-School Spending by Year $590 $600 $527 $483 Dollars Spent per Year $500 $442 $451 $444 $400 $300 2 2 2 2 2 2 0 0 0 0 0 0 $200 0 0 0 0 0 0 2 3 4 5 6 7 $100 $- Source: National Retail Federation/BIGresearch & Retail Council of Canada * Electronics/Computers/Peripherals are generally responsible for the increase in average consumer spending over the last few years. Smart promotions begin with Britannica 11
  • 12. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference BACK-TO-SCHOOL MARKET Where Consumers Shop for Back-to-School Items - 2006 Data Grocery/Drug Office Supply Discount/Mass Catalog Online Department Specialty Source: National Retail Federation/BIGresearch *Discount/Mass and Department Stores account for more than 50%of total dollars spent. Don’t overlook Office Supply and Grocery/Drug as alt. channels. Smart promotions begin with Britannica12
  • 13. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference BACK-TO-SCHOOL MARKET When Do Consumer Begin Shopping for Back-to-School Items? 2006 Data 32.5% 1-2 Weeks Prior 41.9% 3-4 Weeks Prior 6.6% Same Week 2.5% 16.5% After School 2 Months Prior Starts Source: National Retail Federation/BIGresearch & Retail Council of Canada *It’s imperative your marketing efforts begin immediately after July 1. 13 Smart promotions begin with Britannica
  • 14. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference SELLING TO MOM AT BACK-TO-SCHOOL • Include decision-making data in all marketing efforts - Moms research products and service 4.5x more than dads • Tell Mom your product is smart, safe, or healthy - These three claims resonate louder than any other • Facilitate and increase Mom's productivity - Pay at the pump gas stations • Make shopping convenient and quick - Integrate drive-through windows whenever possible • Integrate your product into Mom’s everyday life - “Minute Clinics” at local drug stores • Talk to Moms online - iVillage.com, School Web sites, Pregnancy Planners • Target Grandma in your advertising and sampling - Consider women’s magazines with an older demographic 14 Smart promotions begin with Britannica
  • 15. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference BRITANNICA CASE STUDIES • Procter & Gamble – Back-to-School Mail-In Software Offer • Kellogg – Celebrating Black History CD Promotion • Frito-Lay & Pizza Hut – Back-to-School Online Subscription Coupons • Sprint & EMBARQ – Back-to-School Teacher Promotions • Fox Home Entertainment – Grocery Channel BTS Promotion • Bennigan’s & Sonic – Kids’ Meal Promotions • JCPenney & Kohl’s – In-Store Back-to-School Promotions 15 Smart promotions begin with Britannica
  • 16. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference Consumer Marketing Solutions CLIENT Procter & Gamble AGENCY Marketing Labs BRITANNICA PRODUCT Student Edition CD-ROM PROGRAM DESCRIPTION Back to School Promotion - Consumers who purchased four or more P&G products during one shopping trip * could mail in their store receipt and a completed tear- pad sheet for gift redemption. 16 Smart promotions begin with Britannica
  • 17. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference Consumer Marketing Solutions * CLIENT Frito-Lay AGENCY Classmates Marketing BRITANNICA PRODUCT Britannica U.S. Maps PROGRAM DESCRIPTION In-School marketing program aimed at increasing children’s outdoor activities. This poster/map was distributed to one million students and hung in 2,000 school cafeterias. 17 Smart promotions begin with Britannica
  • 18. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference Consumer Marketing Solutions CLIENT FOX Home Entertainment AGENCY In-House BRITANNICA PRODUCT Homework Essentials Plus CD-ROM PROGRAM DESCRIPTION Back-to-School 2006 gift with purchase program, grocery channel. Buy a FOX DVD and get the Britannica CD-ROM free of charge. * 18 Smart promotions begin with Britannica
  • 19. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference Consumer Marketing Solutions CLIENT Kellogg Company AGENCY Brigandi & Associates BRITANNICA PRODUCT Custom CD-ROM titled, “Kellogg proudly presents A Celebration of Black History” PROGRAM DESCRIPTION Mail-In Offer: Consumers purchasing three Kellogg “qualifying” products can mail- * in a completed form to receive this CD-ROM free of charge. 19 Smart promotions begin with Britannica
  • 20. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference SUMMARY * Make Back-to-School a critical part of your marketing plan. * Deliver value as it relates to Mom’s life - offer increased productivity and convenience. * Tell Mom what makes your product/brand different – demonstrate key strengths. * Deliver on your brand promise – she’ll be a repeat customer and tell all of her friends. * Include education, child safety or nutrition in your messaging. * Don't forget Grandma! Start Planning Now for Back-to-School 2009! 20 Smart promotions begin with Britannica
  • 21. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference CREDITS • U.S. Bureau of the Census, Census 2000 (www.census.gov) • Retail Council of Canada (www.retailcouncil.org) • Center for Women’s Business Research (www.cfwbr.org) • National Retail Federation/BIGresearch (www.nrf.com) • MarketingProfs (www.marketingprofs.com) • Winning the Toughest Customer, Delia Passi with A.B. Aronson • Trillion Dollar Moms, Marketing to a New Generation of Mothers, Maria T. Bailey and Bonnie W. Ulman • Entrepreneur Magazine, Working Woman * Magazine, Business Week • Judy Frank, the #1 Mom 21 Smart promotions begin with Britannica
  • 22. Encyclopædia Britannica | 5th Annual Marketing to Moms Conference * PARTNER WITH BRITANNICA TODAY Steve Gilberg Director, Promotions & Licensing 312-347-7237 - direct sgilberg@eb.com Encyclopædia Britannica World Headquarters 331 N. LaSalle Drive Chicago, IL 60610 www.britannica.com 22 Smart promotions begin with Britannica