1. Retail – Dick Smith Electronics – BSBADV512A Develop an Advertising Strategy and Brief & BSBADV507B Develop a Media Plan
Advertising Brief: Dick Smith Electronics Ltd
Background
Dick Smith commenced operations as “Dick Smith Electronics” in 1968 in Artarmon, Sydney,
specialising in electronics components for home hobbyists. Growth came during the ‘70s from the
profitability of their electronics components & kits, amateur radio & CB radio; and during the ‘80s
from personal computers and telephone deregulation.
During this phase the store’s popularity came from its responsiveness to what was new & novel, and
making it available to consumers as quickly as possible, and from taking risks in retailing new
products.
Woolworths Limited took full ownership of the chain 28 years ago, and has progressively shifted the
stores and their stocked lines away from the niche electronics home-hobbyist style of retailer to a
more mainstream electrical retailer with a broader range of product lines, with the “electronics-
geek” image of their typical customer of the ‘80s now projected as the image of their typical retail
store assistant, making the store a comfortable environment for people who may be technologically-
challenged to go for genuine and reliable advice about increasingly complex home devices, and to
make their purchase, knowing they can pop back and discuss any set-up issues after the sale, call the
store/service line, or engage the value-added home set-up and installation service for more
complicated products (the “Mobile Techxperts” service is tasked with ‘simplifying technology in
everyday life’ and, since launching in July 2009 has materially impacted sales growth). Dick Smith
invests continuously in the training of staff to achieve the high level of knowledge consumers expect
in-store.
Dick Smith also retails a range of its own store-branded “DSE” products (from memory cards to TV
and DVD players), often rebranded from manufacturers whose own product is alongside it on the
shelf.
From its early beginnings Dick Smith has relied heavily on the usefulness of mail-order catalogues to
increase awareness, boost sales and foster engagement with consumers. Dick Smith continues to
engage with their consumer in their ‘in-home’ environment through the content and services
available through their website, and from the range of products able to be purchased online. In late
2009 the Dick Smith website was relaunched, with online sales in the 12 months since double that of
the previous comparative period.
As a subsidiary of Woolworths Limited, the loyalty card “Everyday Rewards” is operational in Dick
Smith stores. The program facilitates accumulation of points relative to in-store purchase, for
transfer and redemption as Qantas Frequent Flyer Points (where consumers independently choose
to become a member of the Qantas Frequent Flyer program). The Everyday Rewards program has
5.1 million registered members (in addition to Woolworths and Dick Smith, the card is also used at
Big W and BWS). The loyalty card proposition has been beneficial in developing a better
understanding of our consumers, and it is anticipated that more efficient methods of data
interpreting and matching will increase the Group’s future ability to target our customers with
compelling offers, communicating more effectively with consumers, and developing predictive
expertise (and associated long-range comparative merchandise forecasting capabilities) based on
consumers’ past shopping activity. The loyalty card program will also be launched as a branded
affinity credit card financial product, increasing the Group’s volume of consumer and retail
transaction data. This direction needs to be support by the ongoing & consistent encouragement of
customer membership of the scheme, and a request to scan the card at every transaction, even
where the purchase value is below the minimum required to “earn” points.
JADDAN BRUHN Page 1

2. Retail – Dick Smith Electronics – BSBADV512A Develop an Advertising Strategy and Brief & BSBADV507B Develop a Media Plan
In recent years Woolworths has experimented with Dick Smith store layouts, in-store customer
service, branding and product offering; the role of its other wholly owned chain electronics store
“Tandy”; and the role BIG W plays in complimenting vs competing with aspects of Dick Smith. Some
of these issues have disappointed long-term loyal customers (the hobbyists).
During the last financial year 24 new Dick Smith stores were opened, 19 Dick Smith and 25 Tandy
stores were closed, and 40 Tandy stores were rebranded as Dick Smith. There are currently 394 Dick
Smith stores (the remaining 22 Tandy stores will either not have their leases renewed, or will
gradually be rebranded as Dick Smith by 2012).
The in-store changes and relocations, and associated staffing changes, has caused a considerable
amount of disruption to customers, generated negative consumer sentiment, and disaffected long-
term loyal customers unhappy with the changed focus of the brand, shifts to stocking lower margin
products and the elimination of discontinued product lines deemed inconsistent with the store’s
branding.
Marketing Objectives
Increase sales by 10% during campaign period.
Increase average per customer spend by 7% during campaign period.
Advertising Objectives
Increase perception in target audience that Dick Smith is the electrical retailer they recommend to
family and friends by 35%.
Increase perception in target audience that Dick Smith staff are friendly and authentic by 30%.
Target Audience
Males 25-45, employed, married with children, dwelling in greater suburban Sydney.
Brand History & Positioning
Positioned as the store you go to, to find out more about the high-value electrical products you want
but may not fully understand, where you can make your purchase safe in the knowledge that the
person giving you advice knows what they are talking about. “Dick Smith: Talk to the Techxperts”.
Competitors
• Harvey Norman – 160 stores
• Jaycar Electronics – 58 stores
• Officeworks – 128 stores
• Australia Post – 4,462 outlets (though not all in the POST SHOP format)
• JB Hi-Fi – 131 stores
• Bing Lee (incl Sony Centre concept stores) – 43 (NSW and ACT only)
Competitor’s Advertising
TVC, print (newspaper & magazine), outdoor, online banner ads & store website, social media, radio,
electronic direct mail, direct mail, in-store.
Current Media Strategy
TVC, print, online, in-store, direct mail, social media.
Key Message / USP
Reliable advice at no extra cost.
JADDAN BRUHN Page 2

3. Retail – Dick Smith Electronics – BSBADV512A Develop an Advertising Strategy and Brief & BSBADV507B Develop a Media Plan
Tone / Manner
Friendly, fun, not overly technical or patronising, inviting, reassuring.
Mandatories
Company logo and branding (Dick Smith: Talk to the Techxperts), everyday rewards loyalty card
image and website details, web address and social media handle, store locator detail.
Budget
$6,000,000
Timing
Mid September to Mid December 2011
JADDAN BRUHN Page 3

4. Retail – Dick Smith Electronics – BSBADV512A Develop an Advertising Strategy and Brief & BSBADV507B Develop a Media Plan
SWOT ANALYSIS – Dick Smith Electronics Ltd
STRENGTHS
• Brand perceived to be authentic & honest
• Program to continuously train staff
• Strong supplier relationships
• Effective online strategy
• Successfully able to leverage reputation for expert advice into
value-added service (Mobile Techxperts in-home service)
• Retail stores well positioned
WEAKNESSES
• Disruptive store location changes irritate customers
• Current & future direction as electrical retailer disaffects loyal
original customers who want electronics components
• House brand retail strategy very poorly executed, with uncertain
future
• Consumer confusion over competition with, and then absorption of
“Tandy”
• Fractured branding
• No in-store affiliated product financing options
OPPORTUNITIES
• Growing consumer interest in complex electrical devices
• Current and future electrical devices provide potential for value-
added products / services (i.e. rebranding & reselling SIM cards,
internet services)
• Growth in development of technologically advanced household
electrical devices continually grows supply of new potential product
lines
• Gradual reduction in cost price of technologically advanced devices
continues to grow their market appeal
THREATS
• Subsidiary of larger retail group – may be rebranded, absorbed,
sold-off, closed down as and where parent deems it appropriate
• Competitors have broader diversity of product categories and are
less sensitive to fluctuations or changes affecting electrical devices
• Consumer confidence and economic fluctuations directly impact
retail activity
• All stock is imported, profit margins sensitive to fluctuations in
currency exchange rates.
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5. Retail – Dick Smith Electronics – BSBADV512A Develop an Advertising Strategy and Brief & BSBADV507B Develop a Media Plan
The Media Brief
Dick Smith Electronics Ltd
Media Objectives
The Media Plan is designed to reach the majority of the target audience with a frequency of
at least four times during the campaign period. Utilising the selected media the campaign
flight pattern is continuous with bursts of activity at key points during the campaign;
familiarising the target with the campaign message and inspiring a call to action as key
events during the campaign promotion approach.
Varying the media utilised and shaping the communication around the target’s media and
lifestyle habits, acting on the target’s creative instincts and interest in finding out more,
reducing wastage and acting to ensure the target is exposed to the campaign message
many times over the campaign period is best achieved through the media selected, avoiding
heavily pushing the campaign message in traditional media only, which may negatively
impact the target’s perception of the advertisement’s focus.
Geographic areas to be covered
The draw area is metropolitan Sydney. Target audience lives and conducts their life in the
greater suburban area of Sydney, with a specific focus on the areas of more notable
population density, and areas where there is a greater propensity for households with two or
more children, i.e. Western Sydney.
When do we talk to them
The store retails items that cover purchase cycles of differing lengths. Campaign period
coincides with tax-return time, during which households are more likely than at any other
time of the year to receive cash lump-sums. To establish a connection with the store &
encourage an in-store visit, the target may be effectively reached through morning radio,
evening television, and through print advertisements (newspapers). Online banner ads on
news/entertainment websites can effective reach the target when they have the time and
capacity to browse the online store.
Creative requirements
Bright and loud to encourage action and generate desire for the products Dick Smith retails,
including functioning sequences of electrical appliances, home theatre devices and
computer technology.
JADDAN BRUHN Page 5

6. Retail – Dick Smith Electronics – BSBADV512A Develop an Advertising Strategy and Brief & BSBADV507B Develop a Media Plan
Media Plan Budget
September to December 2011
Dick Smith Electronics
SEPT SEPT SEPT SEPT OCT OCT OCT OCT NOV NOV NOV NOV NOV DEC DEC DEC DEC TOTAL
4-10 11-17 18-24 25-1 2-8 9-15 16-22 23-29 30-5 6-12 13-19 20-26 27-3 4-10 11-17 18-24 25-31
Radio
NOVA FM (mon-fri
breakfast x 6 per day) 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 9,000.00 $153,000
Newspaper
MX (mon-fri)
1 x Full Page
376mmx262mm per
day 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 49,282 $837,797
Online
dailytelegraph.com.au
Leaderboard
(728x90pixels) -
weekly 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 11,250 $191,250
Sub Total $1,182,047
cost per tarp
Television
Sydney
Channel 7 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 2,500.00 3,000,000.00
Channel 9 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 2,000.00 1,800,000.00
Channel 10 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 2,500.00 3,000,000.00
Sub Total $4,800,000.00
FINAL TOTAL $5,982,047.40
JADDAN BRUHN Page 6

7. Retail – Dick Smith Electronics – BSBADV512A Develop an Advertising Strategy and Brief & BSBADV507B Develop a Media Plan
The Creative Brief
Client: Dick Smith Electronics
Brand: Dick Smith: Talk to the Techxperts
Date: 29/09/2010
Account Director: Jaddan Bruhn
Creative Team: Jaddan Bruhn
Role for Advertising
Increase foot-traffic to Dick Smith retail stores, and visits to online web-store to increase sales by 10% &
average per customer spend by 7% during campaign period. Increase perception in target audience that Dick
Smith is the electrical retailer they recommend to family and friends by 35%. Increase perception in target
audience that Dick Smith staff members are friendly and authentic by 30%.
Target Audience
Demographics – Males 25-45, employed, married with children, dwelling in greater suburban Sydney.
Psychographics – Conventional Family Life, balancing budget between mortgage payments (or strict saving for
home deposit) and competing needs of family, but eager to keep up with contemporary gadgetry and the
latest home technology within what he could afford. While his father may’ve spent his spare time between
the hardware store and the shed, our target likes to keep up with the latest electronic devices and will spend
money on items for the home that will allow him to show off to friends & family, and, even if purchased on
credit, act as a visible symbol of status. He may have had to give up aspects of his old life to settle down and
have kids, but everyone in the family can enjoy a widescreen TV, a Bluray and an Xbox.
Behaviour and usage – Males in this demographic are notorious for not asking for directions, not reading
instructions and for not speaking-up for fear of appearing incapable (emasculated). Unless the person they are
speaking to is an “expert”. The target audience is comfortable going to Dick Smith to ask a few questions &
make a purchase as it is a safe environment to clarify a technical quandary without feeling patronised or
inadequate, and, based on the quality of the in-store experience will likely return to make repeat purchases or
feel confident to translate future transaction events to the on-line store, confident that there is the scope to
have an issue clarified should there be a technical glitch.
Key consumer insight –
When I want to purchase a new component for my home theatre set-up I know I can trust the people at Dick
Smith to give me the advice I need without trying to push me into buying a whole new system.
Key Thought or USP – Reliable advice at no extra cost.
Support
Australia’s largest chain of dedicated electrical retail stores, with in-home installation and advice available, free
home delivery for online purchases, customer loyalty program through “Everyday Rewards” and a
continuously trained sales-force recognised for their expertise and approachability.
Tone and Manner - Informative, fun and friendly.
Desired Mediums - TVC, Print (newspaper), radio, online.
Budget - $6,000,000
Timing - Mid September to Mid December 2011
Mandatories
Company logo and branding (Dick Smith: Talk to the Techxperts), everyday rewards loyalty card image and
website details, web address and social media handle, store locator detail.
JADDAN BRUHN Page 7