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FAST & FIT
MENU
Eat Better. Live right.
Table of Contents
Executive Summary ....................................................................................................................................... 3
Assumptions .................................................................................................................................................. 4
Segmentation Strategy ................................................................................................................................. 5
Segmentation Variables ................................................................................................................... 5
Target Market Definition and Size ................................................................................................... 7
Positioning Strategy ...................................................................................................................................... 8
Competitive Analysis Grid: The Four P’s .......................................................................................... 9
SWOT Analysis ............................................................................................................................... 12
Perceptual Map .............................................................................................................................. 13
Marketing Objectives .................................................................................................................................. 14
Marketing Mix ............................................................................................................................................. 15
Product Strategy ............................................................................................................................ 15
Pricing Strategy .............................................................................................................................. 16
Distribution Strategy ...................................................................................................................... 16
Advertising .................................................................................................................................................. 17
Communication Objectives ............................................................................................................ 17
First Year Projected Sales ............................................................................................................... 17
Advertising Budget ......................................................................................................................... 17
Advertising Objective ..................................................................................................................... 18
Budgeting Method ......................................................................................................................... 19
Copy Platform ................................................................................................................................ 20
Media Plan .................................................................................................................................................. 23
Media Objectives ........................................................................................................................... 23
Media Strategies ............................................................................................................................ 23
Media Mix ...................................................................................................................................... 23
Media Budget ................................................................................................................................. 28
Competitive Media Assessment .................................................................................................... 28
Media Scheduling and Buying ........................................................................................................ 30
Website ....................................................................................................................................................... 31
Direct Marketing ......................................................................................................................................... 32

~1~
Sales Promotion .......................................................................................................................................... 33
Point-of-Purchase (POP) ............................................................................................................................. 34
POP: Displays ................................................................................................................................. 34
Support Media: Banners ................................................................................................................ 34
Public Relations ........................................................................................................................................... 35
Consumer Public Relations ............................................................................................................ 35
Viral Strategies ............................................................................................................................... 35
Sample Press Release..................................................................................................................... 37
Event Sponsorship....................................................................................................................................... 38
Event Sponsorship and Sales Promotion (samples, coupon)......................................................... 38
Branded Entertainment (Product Placement) ............................................................................... 38
Evaluation of Promotional Plan .................................................................................................................. 39
IMC Budget ................................................................................................................................................. 41
Appendix ..................................................................................................................................................... 43

~2~
Executive Summary
The Wendy’s Fast & Fit menu is a healthy, fast option for people who want to eat right even when
they need to eat fast food. The menu offers soups, salads, hot and cold sandwiches, and wraps that
that emphasize more vegetables and lean meats, and less salt and fat.

All consumers can benefit from healthier food choices; our plan focuses on adults 25-54 who presently
control their diet – which is more than 49 million strong. This group is college educated, employed,
makes a higher than average salary, and has slightly more females than males.

Fast food is not a high involvement decision and is often made on the fly, which is why increasing
awareness to 80% of our target market is so important to achieve our goals of 25% trial use and 10%
repeat purchase rate.

The following integrated marketing communication (IMC) plan introduces the Fast & Fit menu through
multiple media and non-media options. Coordinated television, print, and online advertising will
increase awareness, the first step towards trial use and eventual repeat purchasing. Non-media
strategies include a free sample event, event sponsorship, banners, and updated signage, all
coordinated with advertising to further reinforce awareness and increase trial use. A press release will
be used to attract press coverage of the menu and the free sample event, increasing both awareness
and trial use. Coordinated images, words, themes and colors will reinforce the connection between
Wendy’s and the Fast & Fit menu.

The menu will be launched in November of 2010, timed to coincide with a normally very busy time of
year for most Americans: the upcoming holiday season. Awareness established during this time will
carry over to January of 2011, when the focus on healthier eating is at its peak.

To achieve our awareness, trial, and repeat purchase goals, ____% of our estimated first year sales will
be devoted to the IMC plan resulting in a first year budget of $______________.

~3~
Assumptions
1.
2.
3.
4.
5.

Assume there is demand for healthier fast food options
Market for healthier fast food is growing

Assume there are adequate funds available to promote this plan.
Wendy’s enjoys slightly better perceived quality
Rock N Roll Marathon Series event owners/promoters will not disclose specific
sponsorship costs. Corporate sponsorship cost assumed to be $350,000. Expo booth
space assumed to be $5000 (per city). Cost of materials for booth decorations, etc.
assumed to be $5000.
6. Cost of shipping one banner assumed to be $10.
7. 75% of Rock N Roll Marathon Expo 707,000 attendees will try a free sample.
8. Cost of one sample $1 (product, wrapper, etc.)
9. 6,200 US Locations out of 6,650 total international locations
10. 100 free samples accepted per location during free sample promotion period (not
everyone will want to try it).
11. 20% usage rate of coupon distributed at Rock N Roll Marathon series
12. Average ad production cost for a 30-second spot in 2001 was $358,000 (Appendix). Cost
is assumed at 2% annual inflation today.
13. The Biggest Loser television show is assumed to attract health conscious individuals.
14. Females are more inclined to want healthier options in fast food and have purchasing
influence over others in household.
15. The repeat purchase rate is based on achieving 80% awareness and 25% trial rate.
16. Professionals and business people are the most common occupational demographic
because they are frequently on-the-go and require quick, inexpensive meal options
when away from home or the office.
17. It is possible to produce a unique code for every customer coupon in email that will
allow for tracking of the coupon in a database and prevent multiple use of the same
coupon.
18. Facebook and YouTube will be able draw millions to see the option to join the Facebook
Fanpage, but the percentage of people signing up will be much lower. Based on the 5.5
million fans on Will Smith’s Fanpage, it is assumed that Wendy’s through an effective
and entertaining viral contest on YouTube will be able to attract at least half as many
fans, especially considering how many people would want healthier options in fast food.
19. 2/3 of people have email features enabled on Facebook Fanpages.
20. 1/4 of people receiving emails or downloading coupons directly will redeem the coupon.

~4~
Segmentation Strategy
Segmentation Variables

CUSTOMER
CHARACTERISTICS
Geographic

Demographic

Segmentation
Variable

Typical Breakdowns

Other Info

Region

All Wendy’s locations

Easier to roll out to
the whole company
than try to pick and
choose the best
places

City Size
Density

Main Dimension

Any size with Wendy’s
All

Age

24-54

Sex

Mostly female, specific
male groups
Any
Mostly young married;
also singles, divorced
Child age 6-17
Any
$40,000-$149,999 Annual
Household Income

Family Size
Stage of family cycle
Ages of children
Children under 18
Income

Occupation

Education
Race

Businessmen, Managers,
Salesmen, Professional
and Technical, business
owners, Employed
persons frequently away
and on-the-go
Some college to masters
Any

Home Ownership

Own Home

Dwelling

House or Condo

~5~

44,234,000 Ate at
Wendy’s in past 6m

42,649,000 Wendy’s
Customers in past
6m

Whites make up
78.9% of current
customer base,
blacks account for
12.2%
70.8% of customer
base
Psychographic

Personality

Ambitious, goal-driven,
well-informed, compulsive
Health-conscious, active,
busy, traveling, on-the-go,
prefer healthy living,
athletic, frequents gym,
vegetarian, semivegetarian

Life-style

BUYING SITUATION
Benefits

Product features

Premium ingredients,
wraps, soups, salads,
sandwiches
Economical, fast, on-thego, low calorie
Heart-healthy, smart/right
choice, animal friendly,
compliments active
lifestyle
Healthier choices in fast
food, more options for
people on-the-go with
dietary wants/needs

Advantages
Benefits

Needs

Usage

Rate of use
User states

Medium to heavy user
Regular user, potential
user, converted customer

Awareness and Intentions

Readiness to buy

Desirous buyers, ready to
buy healthy options,
dissatisfied with
competitor offerings
Familiar, recognize brand,
familiar with competitor
offerings

Brand familiarity

Buying Condition

Type of buying activity
Kind of store

~6~

Minimum effort
Wendy’s restaurants
Target Market Definition and Size
The target customer for Wendy’s Fast & Fit menu is male or female, between the ages of 25
and 54, owns their own home and lives in the city. Typically, he or she is married, has a family
with kids and makes between $40,000 and $150,000 annually (Appendix). Professionals and
business people are the most common occupational demographic because they are frequently
on-the-go and require quick, inexpensive meal options when away from home or the office.
(Assumption) They’re tired of the same unhealthy options in most fast food restaurants, but
don’t have time to go to a sit-down restaurant and don’t want to pay sit-down prices on a
regular basis. The Wendy’s Fast & Fit customer wants premium food options that are healthy,
and complement an active, busy lifestyle, and won’t break the pocketbook.

Target Market Size: 49,024,000 (based on MediaMark: American adults that presently control
diet) (Appendix)

~7~
Positioning Strategy
The Wendy’s Fast & Fit menu will utilize a benefit positioning theme that focuses on product
attributes.
Interest in healthy food choices has increased significantly in the last decade and thus creates
an opportunity in the market. Fast food establishments are often criticized (and even blamed)
for contributing to obesity and other health conditions with their large portion, high calorie,
high fat, and high sodium menus. However, consumers still need fast, convenient food options.
Fast food can be healthier, and the recent increased focus on healthy eating means it is an ideal
time to add this product line and create a point of differentiation for Wendy's.
Even though many consumers are interested in improving their diet, they are faced with limited
options when eating out. It is even more difficult for business travelers when they arrive in a
strange city at unusual times and must choose from easily located chain restaurants, many of
which are fast food with limited healthy dining options. The Fast & Fit menu will offer salads,
soups, and hot and cold sandwiches and wraps (including meat-free options) to give healthconscious adults an option for eating better when eating out. This will be the main point of
differentiation between typical fast food menus and Wendy’s Fast & Fit menu.
Strategy:
The Fast & Fit menu is a low-cost, convenient, and healthy option for dining out so busy, healthconscious adults can feel good about their food choices and ultimately improve their quality of
life.

~8~
Competitive Analysis Grid: The Four P’s
Competitors:
By Market Share

Products

Price

Place

1.

Hamburgers
Cheeseburgers
Fish sandwich
Chicken sandwiches
Chicken McNuggets
Chicken Selects
French fries
Premium salads
Milk shakes
McFlurry desserts
Sundaes
Soft serve cones
Pies
Cookies
Soft drinks and other
beverages
Kid’s meals
Egg McMuffin
Sausage McMuffin
Hotcakes
Biscuit
Bagel sandwiches
Muffins
Fried chicken
Mashed potatoes
Corn
Potato
wedges/French fries
Desserts
Pizzas/Breadsticks
Pasta
Salads
Sandwiches
Breads and crusts
Tacos/Burritos
Gorditas
Chalupas
Quesadillas
Snacks
Hot dogs
Burgers/fries
Onion rings
Rootbeer
Hamburgers
Chicken sandwiches

$1-$10

32,500
international
locations

$1-$20

36,000
international
locations

McDonalds
12.7%

2.

YUM! Brands:
KFC, Pizza Hut,
Taco Bell, A&W,
Long John Silver
9.7%

3.

Wendy’s/Arby’s
Group

Promotion
(Advertising
Spending/%
of revenue)
(Millions)
$1201/4.0

Total
Revenue
(2008)
(Millions)

Other Information

$30,025

Currently investing
heavily in McCafe
concept: specialty
coffee beverages,
breakfast pastries,
etc. Has introduced
various healthier
options in last several
years, including salads
and wraps. Now
offering “gourmet”
burger items. Scope of
market share hard to
beat. Many customers
are loyal.

$961/5.2

$18,500

Increase in “colocated” restaurants
to increase options
for customers; for
example, KFC and
A&W in one building.
Limited healthy
options on menu,
depending on the
specific restaurant.
Basic side salads are
available; otherwise
the menus focus on
standard pizza and
fried foods.

$453/4.0

$11,335
(Wendy’s =

Wendy’s was recently
purchased by Arby’s,

U.S. KFC:
5,253
U.S. TacoBell:
5,588
U.S. PizzaHut:
7,564

$1-$10

6,333 mainly
US locations

~9~
6.6%

4.

Burger King
5.1%

5.

Subway
(Doctor’s
Associates, Inc.)
5.0%

6.

Jack in the Box
4.7%

Chicken nuggets
Chili
Baked/French fried
potatoes
Freshly prepared
salads
Soft drinks/Milk
Frosty dessert
Floats
Kids’ meals
Sandwiches
Shakes
Sandwiches
Hamburgers
Cheeseburgers
Salads
Kid’s meals
Breakfast items
Hash browns
Coffee/Juice
Cookies/Pies
Soft drinks/Shakes
Fries
Onion rings

~$3,740M,
or 33% of
total)

$1-$10

11,565
international
(7,207 in U.S.)

$388/4.3

$9,125

Sandwiches
Salads
Pizzas
Breakfast
sandwiches
Soda
Cookies
Chips
Coffee

$3-$10

31,ooo
international
locations

432/4.5%

$9,600

Burgers
Fries
Drinks
Mozzarella cheese
sticks
Specialty sandwiches
Salads
Sauces and dressings
Shakes and desserts
Snacks and extras
Tacos and other
Mexican specialties

$1-10

2,158

n/a

$2,539

~ 10 ~

which should provide
operational
economies of scale.
2009 Zagat Fast Food
Survey rated Wendy’s
Top Food and Top
Facilities among mega
chains.Can use quality
perception to an
advantage when
introducing new
menu.
No radical/major
overhauls in menu.
Recent ad campaign
resurrected the
“Burger King” mascot
from the
1970s/1980s. Little
emphasis on healthy
menu options besides
a basic side salad. Still
promoting “Have it
your way” for custom
orders.
2009 Zagat Fast-Food
Survey rated Subway
as best provider of
“Healthy Options” in
Mega Chain category.
Subway also first in
the "Best Service" and
"Most Popular",
although second
overall behind
[14]
Wendy's.
Highly successful
advertising efforts
with resurrected
mascot “Jack”. Large
selection of burgers
and grilled
sandwiches.
Competition from
newly introduced
teriyaki rice bowls and
grilled sandwiches,
which offer healthier
options, as do several
salad options.
Market Share
Major Player

Market Share
Range

McDonald's Corporation

12.7% (2009)

Yum! Brands, Incorporated

9.7% (2009)

Wendy's/Arby's Group, Inc.

6.6% (2009)

Starbucks Corporation

5.9% (2009)

Burger King Corporation

5.1% (2009)

Doctor's Associates Inc

5.0% (2009)

Domino's Inc

1.9% (2009)

Other

53.1% (2009)

Source: IBIS World Industry Report, 2010

Industry Summary
The fast-food industry is in the mature stage of the product life cycle. The market is reaching saturation
for fast-food locations and price competition is high. Fast food chains focus on location, food quality,
presentation, service, brand differentiation, and feature diversification to maintain or increase market
share. The industry is sensitive to changes in consumer levels of disposable income and thus has seen
reductions in sales during the recent recession. However, because fast food is often low priced, in many
respects the industry has fared reasonably well despite the economic pressures.
McDonald’s is the industry leader, with the highest market share than any other major competitor, even
YUM! Brands with its five different restaurant chains. YUM! Brands has introduced many co-located
dining establishments (for example, a KFC and A&W located together). Wendy’s was recently purchased
by Arby’s. They are in essentially the same market share position with Burger King and Subway. Subway
offers many healthy options for customers and should be seen as a major competitor for Wendy’s new
healthy options product line, even though they have less market share.
Differentiation among major fast food players focuses on the type of product offered (i.e. Taco Bell vs.
Burger King). McDonald’s, Burger King, Wendy’s and Jack in the Box restaurants all focus primarily on
the burger/fries/soft drink menu. However, the market for healthier fast food is growing. (Assumption)
Changing demographics (aging of the population) and increased focus on healthy eating have resulted in
menus in most fast-food establishments that also offer salads, grilled meats, and wraps.
Fast food in general faces significant threats from substitutes, including other fast food restaurants, sitdown restaurants, pre-prepared foods in grocery stores, delis, and cooking at home.

~ 11 ~
SWOT Analysis
Strengths
Large scale operation
Diversified products
Value menu

Weaknesses
Operational efficiency
Not diversified internationally
Brand awareness
Lack of differentiation

Opportunities
Can grow in international markets
Can differentiate with new product lines
Can differentiate with improved
service/quality

Threats
Economic recession
Increased price and product competition

Wendy’s has considerable penetration in the U.S. fast-food industry. The recent purchase by
Arby’s group should result in improved operational efficiencies and greater resources (for
advertising, for example). Wendy’s (as all fast food restaurants) must differentiate itself with
new menu items. The ongoing and growing concern about the effects of fast food offer an
opportunity to capitalize on changing consumer demands. Introducing a “radically” different
product line has good prospects for Wendy’s. Healthier food options can also be seen as higher
quality, which is important to consumers.
Wendy’s must remain competitive on price and quality. Wendy’s enjoys slightly better
perceived quality, which should help in the long run. (Assumption) Brand awareness must be
maintained and improved if they expect to remain strong in such a highly competitive industry.

~ 12 ~
Perceptual Map
Prices across fast food establishments do not vary enough to be the main determining
factor for consumers. When consumers get to the point of choosing between fast food options,
quality of the food and convenience are the main drivers. Quality includes freshness and taste
and the variety of options available (including healthier options). Convenience includes
location, speed of service, and restaurant amenities.

*YUM! Brands restaurants have been separated out into individual establishments for easier comparison.

~ 13 ~
Marketing Objectives
Marketing Objective
In the first 12 months of introduction of the Wendy's Fast & Fit product line, total sales will rise
by 5% (based on first year Fast & Fit sales of $208M divided by total sales of $3740M = 5.5%)
through use of trials, advertising, and repeat monthly sales by 10% of the target market buying
at least once per month.

~ 14 ~
Marketing Mix
Product Strategy
•

•

•

The Wendy’s Fast & Fit Menu is a healthy alternative to ordinary fast food. It is intended
for individuals who are already making health-conscious decisions in their lifestyle,
whether it is being active or watching their diet. The current fast food industry heavily is
focused on being fast and inexpensive, which means good healthy options are limited.
Today, Subway is often seen as the healthiest choice for fast food. But with so many
options and decisions to be made by the buyer, Subway can barely claim the label of
being fast. In fact, Subway menu options are so complex that it is almost impossible for
them to incorporate a drive-thru lane into their business model. Without the option of a
drive-thru, this will limit the number of people that will be willing to buy due to time
crunches and busy schedules. Customers in a hurry do not want to park their cars, stand
in lines, and wait for their food among complex choices.
Wendy’s Fast & Fit Menu seeks to resolve this issue by offering healthy choices that are
fast, simple, affordable, and drive-thru ready. The options include varieties of soups,
salads, wraps, and hot and cold sandwiches that feature many vegetable varieties and
lean meats such as turkey and chicken. Condiments will include low-fat herb spreads
and dressings, salsa, and gourmet mustard. There are even meatless options that will
entice vegetarian preferences as well.
The menu is appealing and delicious and will target those with busy lifestyles that want
healthier options of food, faster and at low fast-food prices. That includes fitness
conscious, on-the-go professionals, and those seeking to manage their diet.

Items:
•
•
•
•

Soups
Salads
Wraps
Sandwiches

Key Features:
•

Vegetable varieties:
o Tomatoes
o Spinach
o Peppers
o Sprouts

~ 15 ~
•

•

o Lettuce
Lean meats:
o Chicken
o Turkey
o Fish
Low-fat condiments
o Herb spreads and dressings
o Salsa
o Gourmet mustard

Key Benefits:
•
•
•
•
•
•
•

Fast
Affordable
Healthy
Low-calorie
Simple
Drive-thru ready
Customizable to different needs and tastes

Pricing Strategy
•
•

Average Menu Item Price: $4-6
Fast & Fit Menu items will be competitively priced based on common pricing structures
of other fast food chains. That way it will achieve perceived value by not being
underpriced, yet affordable in comparison to other fast food options.

Distribution Strategy
Distribution will take place in Wendy’s restaurants nationwide, including large metro and urban
cities such as San Francisco, Los Angeles, San Diego, Seattle, Chicago, East Coast, Southern
States, and Alaska (Based on Lifestyle Analysis Report of People Who Like Trend Towards
Healthier Fast Food). (Appendix)
Pending a successful launch, international locations will be considered.

~ 16 ~
Advertising
Communication Objectives
1.
2.
3.
4.
5.
6.

Increase awareness and demand for the menu and the brand as a whole
Encourage brand switching while maintaining brand loyalty with current users
Increase trial use and convert one-time users to repeat purchasers
Curb market perceptions towards Wendy’s being a healthy alternative in fast food
Use of a competitive positioning strategy
Rely on primary advertising, sales promotions, and publicity in introduction phase

First Year Projected Sales
Assumptions:
•
•
•

Total target market: 49,024,000
25% trial in first 6 months
10% of original TM will become repeat purchasers, once per month, during second 6
months (Assumption 16)

49,024,000 (target market size) x 25% (trial) = 12,256,000 x $5 (average menu price) =
$61,280,000
$49,024,000 x 10% (repeat customers) = 4,902,400 x $5 (average menu price) x 6 (# of times
returning) = $147,072,000
Sum for first year = $61,280,000 + $147,072,000 = $208,352,000

Advertising Budget
Wendy’s currently spends approximately 4% of sales on advertising. (Appendix 4)
Floor: $208,352,000 x 4% = $8,334,080
Ceiling: $208,352,000 x 20% = $41,670,400

~ 17 ~
Advertising Objective

Target Market Size: 49,024,000
•
•

Awareness (80%): 39,219,200
Knowledge (70%): 34,316,800
o Awareness and knowledge will be affected primarily by Wendy’s current market
standing, targeted ad campaigns, and product promotions.

•
•

Liking (40%): 19,609,600
Preference (30%): 14,707,200
o Liking and preference will be impacted by customer enthusiasm towards healthy
fast-food alternatives. There are limited on-the-go healthy options in fast-food
today. Subway will, no doubt, remain a popular favorite for healthy fast-food,
but Wendy’s will control a different market niche by providing a variety of
options that differentiate their menu from others.

•
•

Trial (25%): 12,256,000
Use (10%): 4,902,400
o

Trial and use will be influenced by trials and promotions, advertising, word-ofmouth, returning customers, and converted customers.

~ 18 ~
Budgeting Method
Share of Voice

SOURCE: AdAge, 2009

According to AdAge, the top five brands are spending $3,435M on advertising:
Share of Voice (dollars in millions):
• McDonald’s = $1,201/$3,435 = 35%
• YUM! Brands = $961/$3,435 = 28%
• Wendy’s = $453/$3,435 = 13%
• Subway = $432/$3,435 = 13%
• Burger King = $388/$3,435 = 11%
• Advertising as a percent of sales (dollars in millions):
• McDonald’s = $1201/$30,025 = 4%
• YUM! Brands = $961/$18,481 = 5.2%
• Wendy’s = $453/$11,325 = 4%
• Subway = $432/$9,600 = 4.5%
• Burger King = $388/$9,023 = 4.3%
Online advertising data (below) show Wendy’s has a significantly lower share of online ad
presence.

~ 19 ~
Top online ad campaigns by fast food chains
Fact recorded on: July 17, 2008. Categories: Advertising, Internet usage, WWW, Web traffic.

Advertiser
McDonald’s
Quiznos.com
KFC.com
PapaJohns.com
Subway
Dunkin’ Brands
PizzaHut.com
SonicDriveIn.com
Wendy’s
Burger King
Source: comScore

Ad views,
000
295,884
98,041
84,974
82,298
8,150
71,713
60,327
45,064
43,344
21,493

Share of
ads
33.6%
11.1%
9.6%
9.3%
8.9%
8.1%
6.8%
5.1%
4.9%
2.4%

Unique ad viewers,
000
51,897
16,390
12,620
17,115
15,478
23,240
15,366
7,070
11,280
3,494

Frequency
5.7
6.0
6.7
4.8
5.0
3.1
3.9
6.4
3.8
6.2

http://www.itfacts.biz/top-online-ad-campaigns-by-fast-food-chains/10841

Copy Platform
A. Target Market (Appendix)
Demographic Dimensions
o
o
o
o
o
o

Age: 25-54
Sex: Female/Male
Income: $40,000-$149,000
Occupation: Businessmen, Managers, Salesmen, Professional and Technical,
business owners, Employed persons frequently away and on-the-go
Education: Some college; college graduates
Stage of Family Cycle: Young married, singles, divorced

Geographic Dimensions (first 12 months)
o
o
o

USA
Urban
Suburban

Psychographic Dimensions
o

Personality
o Ambitious
o Goal-driven

~ 20 ~
Well-informed
Compulsive
Technical
Lifestyle
o Health-conscious
o Active
o Busy
o Traveling
o On-the-go
o Affluent
o Prefer healthy living
o Athletic
o Frequents gym
o Vegetarian
o Semi-vegetarian
o
o
o

o

Target Market Benefits Sought:
o
o
o
o
o
o
o
o
o
o

Low-fat alternatives
Fast and healthy food
Low-calorie options
Meatless options
Low cost meals that are healthy
Meals that meet a fit lifestyle
Meals that fit a busy lifestyle
Meals that won't break to diet that a both fast and inexpensive
Healthy variety
Ability to choose

B. Objective:
- The goal is to increase target market awareness and demand so that customers notice
Wendy's efforts to bring healthier option fast-food into the market. Wendy's customers
will choose the Fast & Fit menu over those of its competitors because it is inexpensive,
healthier, quicker, easier, better tasting, and offers a better variety.
- The message objective is to link "healthier" fast-food to Wendy's (link a key attribute
to the brand name) to appeal to the target market, which is interested in making
healthier food choices even when they need to eat fast food.
C. Key Benefits:
•

The most important benefit to buyers is that the menu is healthy, fast, and
inexpensive.

~ 21 ~
•

The menu will solve the problem that there aren't enough healthy fast-food options
on the market today.

D. Key Product Attributes:
•
•
•
•
•
•
•

Low-calorie
Low in sodium
Several meat-free options/uses more vegetables
Heart-healthy
High in fiber
Nutrient rich (nutritious)
Whole wheat selection

E. Campaign Theme:
•
•
•
•
•
•
•
•
•

"The Fast & Fit Menu at Wendy's: Eat better. Live right."
And, “Fast food . . . without the guilt.”
The message conveys healthy eating without degrading the rest of Wendy's menu.
The message speaks to those that often feel guilty after eating fast-food.
Not feeling guilty carries a double-meaning with it being inexpensive.
The message speaks to the person who is on-the-go.
The message resonates with health-conscious people.
It also carries a social message that encourages people to not only eat healthier, but
to live right, or make better lifestyle choices.
Wendy's Fast & Fit menu is low calorie, low sodium, uses more fresh vegetables, and
is fast, fresh, inexpensive, and convenient.

Message Strategy (Message Objective and Type of Appeal):
-

The message objective of linking the key attribute (healthier fast food choices) to
Wendy's to persuade the target market to eat at Wendy's will be done through use
of unique selling proposition ads, high repetition, and increased awareness.

-

To increase impact of the message strategy, an integrated approach will be used for
all ad materials with regards to use of the logo, taglines, inclusion of the Wendy’s
URL, colors, and images. Cross promotion will be used in all materials, highlighting
applicable references to the web site, Facebook fan page, etc.

Print Ad Layout (Appendix)
TV Ad Storyboard (Appendix)

~ 22 ~
Media Plan
Timeline: The media plan covers the 12-month period from November 1, 2010 to October 31,
2011.

Media Objectives
1. Increase awareness, trial use, and repeat purchase of the Wendy's Fast & Fit menu to
men and women age 25-54 with income between $40,000 and $150,000 per year, who
presently control their diet.
2. Geographic scope of the media plan is national, but heavier in urban areas.
3. Message weight (gross impressions) – Through a 12-month advertising effort that
includes TV, print, and Internet advertising, the gross total of impressions will be
1,509,304,000 (Appendix). It is assumed that most of these impressions will be of
duplicated frequency, but the percentage of duplication is not known.

Media Strategies
1. Reach: Reach is 80 percent of the target market three to five times over an average fourweek period during the 12 months of the media plan, which is consistent with the
advertising objective of achieving 80 percent awareness.
2. Continuity: Pulsing. Higher levels of advertising in the first 8 weeks to increase
awareness and encourage first trial use. Ads will continue at lower levels for the
remainder of the plan.
3. Length/size of advertisements:
a. 30 second TV spots
b. Full color magazine ads (full page, 2/3 page, ½ page)
c. Facebook ads, online banner ads

Media Mix
A. TV
a. Television ads will be aired during primetime slots during TV shows
b. Television ads will be used for both reach and frequency.
The Biggest Loser
This show was chosen because it is assumed to attract health conscious individuals. The
reach for the show is large, and the viewer demographics match up very well to the
intended target market for Wendy’s, namely those people interested in controlling their
diet and finding ways to be healthy in a time-crunched lifestyle. The show has even been
known to sponsor certain products on the show and explain why they are effective. It

~ 23 ~
would be very beneficial to acquire a partnership with the show, if at all possible to have
the menu sponsored.
•
•

•
•

Frequency: Weekly (6 episodes in season 10; 18 episodes in season 11; 24 total
episodes)
Reach: 8.42 million viewers per episode
o 8.42 million TM view/49.024 million in TM
o = 17.2% of TM
CPM: $113,218 cost for 30 second ad/8.42 million x 1000
o = $13.45 cost per thousand in TM
Total Cost: $2,717,232

Grey's Anatomy
This show has a large audience consisting of a female majority. Females are more
inclined to want healthier options in fast food and are more influential in promoting it
via word-of-mouth. The show also has a very loyal audience and a huge reach. The
viewer ages also match up well with the Fast & Fit target audience.
•
•

•
•

Frequency: Weekly in first month, then monthly after that due to high cost (9
total episodes)
Reach: 10.9 million viewers per episode
o 10.9 million TM view/49.024 million in TM
o = 22.2% of TM
CPM: $326,685/10.9 million x 1000
o = $29.97
Total Cost: $2,940,165

Dr. Oz
Dr. Oz, like Biggest Loser, attracts an audience that is interested in health issues and
controlling their diet. Many viewers who watch the show are tuned in for advice on how
to live healthier, especially in the daily rush of life. The show also has a strong female
audience and a loyal viewership that will help in both frequency and word-of-mouth
promotion.
•
•

•
•

Frequency: Dr. Oz runs daily from fall through spring. We will advertise weekly (27
episodes)
Reach: 3.5 million viewers per episode
o 3.5 million TM view/49.024 million in TM
o = 7.1% of TM
CPM: $133,774/3.5 million x 1000
o = $38.22
Total Cost: $3,611,898

~ 24 ~
Extreme Makeover Home Edition
This show draws in viewers with families who own their own homes. These are some of
the key demographic qualities of our target market. MediaMark index numbers were
statistically significant for people that control their diet when paired with variables of
family size, home ownership, and household income (moderate to high). All of these
qualities are assumed prevalent in typical audiences of the show.
•

Frequency: Weekly for the first 6 episodes, then bi-weekly after that (16 total
episodes)
Reach: 9.71 million viewers per episode
o 9.71 million TM view/49.024 million in TM
o = 19.8% of TM
CPM: $200,347/9.71 million x 1000
o = $20.63
Total Cost: $3,205,552

•

•
•

B. Print
-

Print media were chosen based on index numbers above 100 for our chosen
demographic (male and female adults age 25-54 who currently control their diet),
which is assumed to be more receptive to the idea of healthy fast food, and ultimately
more likely to purchase from the Fast & Fit menu. Index values were balanced with the
total circulation of each vehicle, frequency, and cost. Though CPM is high (especially
for in-flight magazines), it is assumed the likelihood of purchase is higher with readers
of these publications because they may be weary of the poor fast food choices usually
available to travelers, or because they practice a healthy lifestyle in general. Print
media reach is lower than broadcast media, but increasing awareness is an important
part of our plan (because “healthy” fast food is not very common). To increase reach
we are using vehicles with a high pass along readership (especially in-flight magazines).

-

Airline magazines were chosen because they reach business travelers. Weight
Watchers magazine is highly targeted to people who are trying to lose weight by
eating better and living a healthier lifestyle. Time and Business Week reach business
people, who are assumed to be somewhat busy and may need to eat fast food on a
regular basis. USA Weekend was chosen to reach a wider scope of potential Wendy’s
customers.

* All data taken from MediaMark (Appendix)
US Airways Magazine (monthly)
•

Frequency = 1 per month (full page/full color)

~ 25 ~
•
•
•

Reach = 1.383 million view/49.024 million TM = 2.8%
CPM: $22,980 /1.383 million x 1000 = $16.61
Total cost = $275,760

Delta Sky Magazine (monthly)
•
•
•
•

Frequency = 1 per month (full page/full color)
Reach = 1.712 million view/49.024 million TM = 3.5%
CPM: $43,130/1.712 million x 1000 = $25.19
Total Cost = $517,560

Weight Watchers Magazine (6x's per year) (index = 141)
•
•
•
•

Frequency = Every other month, full page/full color
Reach = 6.087 million view/49.024 million TM = 12.4%
CPM: $66,420/6.087 million x 1000 = $10.91
Total cost = $398,520

Time (weekly)
•
•
•
•

Frequency = weekly for first 8 weeks, 2x's/month for next 4 months, monthly for
next 6 months (all full page/full color)
Reach = 9.158 million view/49.024 million TM = 18.7%
CPM: $287,440/9.150 million x 1000 = $31.41
Total cost = $287,440 x (8 + 8 + 6) = $6,323,680

USA Weekend (weekly)
•
•
•
•

Frequency = weekly for first 8 weeks, magazine size; 2x's/month for next 4 months,
3/5 page; monthly for next 6 months, 1/2 page (all ads full color)
Reach = 22.573 million view/49.024 million TM = 46%
CPM: $461,348 (average)/22.573 million x 1000 = $20.44
Total Cost = ($499460 x 8) + ($480250 x 2 x 4) +($385330 x 6) = $10,149,660

Business Week (weekly)
•
•
•
•

Freq = weekly for first 8 weeks, full page/full color; 2x's/month for next 4 months,
2/3 page/full color; monthly for next 6 months, 2/3 page/full color
Reach = 2.175 million view/49.024 million TM = 4.4%
CPM: $101,150 (average)/2.175 million x 1000 = $46.51
Total cost = $2,225,300

C. Internet choices

~ 26 ~
Facebook was chosen because it is practically a staple of daily online use.
Facebook also allows targeting to certain demographics. (Appendix) Online
banner ads were chosen for sites that reach travelers, business people, and
people who are interested in their health. Facebook index is not above 100, but
it can’t be ignored as an option for increasing awareness. All other online sites
have index above 100. (Appendix)
Facebook Ad:
•
•
•
•
•

Reach: 2.1M
Impressions: $100/$0.41 x 1,000 = 244,000 impressions per day
Frequency: 244,000 impressions per $100 ($0.41 CPM)
Budget: Max. $500/day for first 8 weeks, $300/day for next 16 weeks, $200/day for
next 28 weeks
Total cost: $100,800
o $500 x 8 weeks x 7 days/week = $28,000
o $300 x 16 weeks x 7 days/week = $33,600
o $200 x 28 weeks x 7 days/week = $39,200

Online Banner Ads:
•
•
•
•

WebMD.com
Reach: 7,197 million/49,024 million= 14.7%
Mapquest.com
Reach: 22,024 million /49,024 million = 44.9%
Expedia.com
Reach: 9,164 million /49,024 million = 18.7%
Msnbc.com
Reach: 8,051 million /49,024 million = 16.4%
•
•
•

Average CPM for food ads = $7.00 (Appendix)
Impressions per day per $1,000 = $1,000/$7.00 x 1,000 = 142,850 impressions
per day Budget: Max. $5,000/day for first 8 weeks, $3000/day for next 16 weeks,
$2000/day for next 28 weeks
Total Cost: $1,008,000
o $5000 x 8 weeks x 7 days/week = $280,000
o $3000 x 16 weeks x 7 days/week = $336,000
o $2000 x 28 weeks x 7 days/week = $392,000

~ 27 ~
Integration assessment
Media choices support reaching a target market of people who are presently controlling
their diet. All chosen media have index numbers above 100. All media serve to increase
awareness in the target market. Higher levels of advertising across all media in the first
two months will increase awareness and trial. We chose to focus on two major
demographic groups (business people, people who are active/healthy) and selected
media that would reach them in several ways: TV ads, magazines, and online. Use of
similar themes, words, colors, images, and references to wendys.com across all ads
reinforce our message through repetition, to create a strong association between
Wendy’s and the new menu.

Media Budget
•
•
•
•
•

Advertising Cost (TV/Print): $32,365,327
Media Production Cost (10% TV/Print cost): $3,236,532
Total Cost of Media: $35,601,859
Internet Advertising: $1,108,800
Total Cost of Advertising: $36,710,659

Competitive Media Assessment
Advertising to Sales Ratio:
•
•
•

Total Cost of Advertising: $36,710,659
Year One Forecasted Wholesale Sales: $208,352,000
A/S Ratio: 17.6%

Competitors Overall Advertising to Sales Ratio:
•
•
•
•
•
•
•

McDonald's: 4.0%
Burger King: 4.3%
Wendy's: 4.0%
Subway: 4.5%
YUM! Brands: 5.2%
Jack in the Box: n/a
Industry average: 4.4%

Wendy's is spending approximately the same overall percentage of sales as major
competitors. Introducing a new product will require higher percentage of sales in the first
year, both to increase awareness and to encourage trial use.

~ 28 ~
Share of Voice:
Wendy's has a much smaller share of voice than McDonald's and YUM! Brands. However,
Wendy’s has and equivalent share of voice with Subway, the strongest competitor based on
healthy options. Increasing share of voice will improve awareness, trial, and eventual repeat
purchasers. Increasing share of voice over Subway, which offers the "best known" healthy
menu, increases potential for brand switching to Wendy's for healthy fast food.

~ 29 ~
Media

~ 30 ~
Scheduling and Buying

Website
Objective: The Wendy’s corporate website will function mainly as a background support vehicle
in the overall IMC plan. Fast food decisions are very low involvement and thus do not require
significant website support. There will be no online sales. The website will be used primarily to
increase awareness by promoting the new menu, providing nutritional information, and
providing information/contacts for media inquiries.
Site Layout: The Fast & Fit menu will be featured as a new product on the home page in
November, nutritional information will be added to the “Nutrition” section, and the press
release will be posted in the “News” section. (Appendix) No major changes need to be made to
the Wendy’s website to support the introduction of the Fast & Fit menu. No additional websites
are needed to promote the menu.
Integration with IMC: A corporate website is necessary in today’s market, but it serves as
mainly a support function for this product. It will support media inquiries and provide
nutritional information, and thus support efforts to increase awareness.

~ 31 ~
Direct Marketing
Wendy’s Fast & Fit Menu promotion will entail a consumer direct marketing plan. Due to the
nature of Wendy’s business, there will be no trade marketing involved. Direct mail would be
too expensive for the budget. However, email is a nice option that could be done effectively
and inexpensively.
Objective: The objective is to increase awareness of Wendy’s Fast & Fit Menu and encourage
trial use by way of coupons via email to targeted customers within the target market.
Strategy: Utilize emailing list generated through Fanpage members on Wendy’s Facebook
Fanpage and through viral videos on YouTube (see Viral Strategies section under Public
Relations). When customers visit the Wendy’s YouTube channel, they will have a link
encouraging them to become a fan of Wendy’s Fast & Fit Menu on Facebook. Everyone that
becomes a fan on Facebook will be able to download a coupon redeemable at any Wendy’s
location for $1 off of any Fast & Fit menu item (Appendix). Emails will be sent to fans that have
email from Facebook enabled in their settings. These emails will be sent to fans at the
beginning of the month for the first 6 months of the program’s introduction. The coupons will
have a unique code that allows Wendy’s to track usage and restrict multiple usage of the same
coupon (Assumption 17).
Reach: 3 million through Facebook recommendations and YouTube viral video sign-ups on the
Facebook Fanpage (Assuption 18). Of those 3 million, 2 million will have email options enabled
to receive the coupon or download it directly from the page (Assumption 19). Of those 2
million, only one quarter of them will redeem the coupon each month over the 6-month period
(Assumption 20). Therefore it is projected that 500,000 coupons will be used per month from
the direct marketing campaign, totaling 3 million coupons redeemed over the course of the
promotional time.
Cost: 3 million coupons redeemed x $1 per coupon = $3 million. Production and distribution
costs are zero.
Total: $3 million
Integration to IMC: This will continue to bring enthusiasm and positive word-of-mouth to
Wendy’s. People will tell their friends and recommend that they become members and view
the videos submitted on the YouTube page (see Viral Strategies). By using coupons, it will
encourage both trial and repeat purchasing of the product, while allowing Wendy’s a way to
physically track its effectiveness.

~ 32 ~
Sales Promotion
Objective: Encourage trial use by offering free samples from the Fast & Fit menu for a one-week
period in November.
Cost: 6,200 locations x 100 free samples accepted per restaurant x $1 per sample = $620,000
(Assumption)
Integration with IMC: Getting people to try the new menu is essential to future, repeat
purchases. A free sample overcomes barriers to trial use, such as cost and being unsure if the
food will actually taste good. Once people try it and see that it is good (and good for them), it
will increase trial and repeat purchases. Free samples specifically address our trial use goal of
25%. It will also create a specific event in consumers’ minds tying the new menu specifically to
Wendy’s and reinforce TV, print, and online advertising running during this period.

~ 33 ~
Point-of-Purchase (POP)
POP: Displays
Objective: The current Wendy’s in-restaurant/drive-thru menu signage will be utilized for
promoting the Fast & Fit menu to increase awareness and trial purchase (Appendix). Cost is
folded into corporate-wide budget for normal operating expenses incurred for updating
signage, etc. Updated signage will be provided for November 2010 launch.

Support Media: Banners
Objective: Hung outside individual Wendy’s restaurants from November through January to
increase awareness and encourage trial use. People would see the banners driving by
restaurants and when entering. Assume 6,200 U.S. locations.
Cost for 3’ x 8’ banner = $32 (Appendix) + $10 shipping (Assumption) = $42 each x 6,200 =
$260,400
Reach and frequency are dependent on number of drive-bys and customers visiting restaurant;
no data is available. However, it is safe to assume there would be millions of impressions across
the nation.
Integration with IMC: Direct target marketing through certain publications and TV shows is
advantageous, but there are also people who don’t realize they would like to have healthier
options when it comes to fast food choices. Increasing general awareness will increase the
likelihood that we will generate good trial use numbers, and ultimately good repeat purchase
numbers. Banners will directly link the Fast & Fit menu to Wendy’s and will use similar images,
colors, and words to reinforce other advertising. In addition, where to grab a quick fast food
meal is often made “on the fly” based on what presents itself at the moment (i.e. driving
around and realizing they are hungry, then seeing a Wendy’s). People may also be enticed to try
something on the Fast & Fit menu even if they had not intended to when they initially chose to
eat at Wendy’s.

~ 34 ~
Public Relations
Consumer Public Relations
Objective and strategy: Increase awareness of new menu with a press release, which will
introduce the new menu and encourage trial use with the announcement of a free sample
promotion. (Appendix)
Timing: Issue press release in November when ad campaign is launched.
Cost: Negligible cost for press release; see cost for sales promotion, above.
Integration with IMC: The press release is intended to increase awareness through free media
coverage of the new menu. The sales promotion event is to encourage trial use. It is an
effective way to build on the print and television advertising running in November and create a
sense of urgency to try it for free. Being able to sample the product for free decreases barriers
to trial use (cost, not sure if it will taste good) and (assuming customers like what they try)
increases chances for future, repeat purchases.

Viral Strategies
Objective: Increase product awareness of Wendy’s Fast & Fit menu by the use of a viral
YouTube video.
Strategy: At the introduction of Wendy’s new menu in November 2010, Wendy’s will introduce
a contest for college-aged students to create a YouTube video that will be uploaded directly to
the Wendy’s YouTube channel. This video should have a two and half minute limit, and should
be used only in the promotion of the new Wendy’s Fast & Fit Menu. All contestants must be
currently enrolled in a college or university, and they must be 18 years of age or older to be
eligible.
Timing: The video must be submitted by January 7, 2011. The winner will be announced on
January 31, 2011. The YouTube video will be featured on the frontpage of Wendy’s YouTube
channel and Facebook Fanpage on that date. It will then be available for all people to view and
share with their friends.
Grand Prize Award: A grand prize award will be awarded to the winner of the competition in
the amount of $75,000. The second place prize will be a choice of a $25,000 scholarship or a
brand new 2011 Ford Mustang car.

~ 35 ~
Cost: Costs for introducing the competition will be negligible. Emails will be sent announcing
the competition to all major universities colleges and their marketing departments. Reminder
emails will be sent out one month later. Since students will be producing the videos at their
own expense, there will be no production costs to Wend’y. The only major costs will be
incurred in the grand prize and second place prize awards.
Total costs: $100,000
Other details: The winner will be chosen by way of popular vote from those that visit the site
from January 16 through January 30, 2011. Prior to that time, the videos will be narrowed down
to the top 10, based on an algorithm that weights total viewership and ratings, along with the
date submitted. From these final 10, viewers can place up to 14 votes a piece (limit of one vote
per video per day for each voter) for the best video. Then, based on total votes received, the
first and second place winners will be determined.
Integration with IMC: YouTube is most popular among young adults, so it will most likely be
affective for the lower half of the targeted age demographic. The nature of any competition is
to encourage as many participants as possible. Bringing the attention of the Fast & Fit menu to
college students will greatly strengthen word-of-mouth PR and viral communication. With a
large number of video submissions and more than two months to produce the video, the
number of good videos to choose from should be large, ensuring that the winning video will be
one that will have great entertainment value.
With college-aged students producing the videos, there will be a high likelihood that this will
excite media sharing and viewership among younger audiences. College-aged young adults are
also a great demographic source for creativity and humor, which will be essential for a
successful viral campaign.
Having people vote for the winner will enhance excitement and ensure that the video is the
most popular. People are happier when they have the power to choose, and they will be more
likely to tell their friends. Giving people the power of one vote per day creates better
enthusiasm and return frequency to the site. The people who care the most will want an impact
on the outcome so they will keep coming back, while encouraging others to participate.
Another potential result of the viral campaign is the possibility that network TV news shows
might pick up on the campaign and want to run a story featuring the winner and bring added
potential publicity to the viral video and Wendy’s Fast & Fit Menu. Overall, the program should
generate lots of excitement and media sharing among peers. This will greatly strengthen
product awareness and should achieve a positive emotional response for most viewers and
participants. Total reach is unknown. Although a number of views to each video will be known.

~ 36 ~
Sample Press Release

Wendy’s launches Fast & Fit menu with free samples Nov. 25-30

Anywhere, U.S.A. – Eat well when you’re on-the-go with Wendy’s new Fast & Fit menu.
Soups, salads, wraps, and hot and cold sandwiches offer healthier options for people who need
to eat fast, but want to eat well. New menu items feature vegetables such as tomatoes,
spinach, peppers, and sprouts and lean meats such as turkey and chicken. Condiments include
low-fat herb spreads and dressings, salsa, and gourmet mustard.
Customers can receive one free sample November 25-30 at all Wendy’s locations nationwide;
no purchase necessary.
“We all enjoy a double-bacon cheeseburger and french fries,” said Wendy’s International, Inc.
President J. David Karam. “The Fast & Fit menu doesn’t take away from that. We’re offering
healthier options that fit into the American lifestyle. Our menu recognizes that people
everywhere are paying more attention to their diet and want the option to make good food
choices, especially when they need something fast and convenient.”
The launch of Wendy's Fast & Fit menu continues the brand's history of fresh-tasting,
innovative firsts. For example, Wendy's was first in the industry to offer ComboChoices –
allowing customers to substitute a small chili, baked potato or one of two side salads, instead of
fries, in the combo meals at no extra charge (2004).
Wendy's International Overview
Wendy's International is one of the world's most successful restaurant operating and
franchising companies with more than 6,600 restaurants worldwide. Wendy's is a member of
Wendy's/Arby's Group Inc. (NYSE: WEN). More information is available at www.wendys.com, or
www.wendysarbys.com.
Contacts:
Kitty Munger
Wendy's International
(614) 764-3241
Kitty.Munger@Wendys.com

~ 37 ~
Event Sponsorship
Event Sponsorship and Sales Promotion (samples, coupon)
Objective: Increase awareness and trial use at Rock n Roll Marathon series (14 major cities
nationwide), which includes the race and an expo event at each city. (Appendix) Wendy’s
would be identified as a corporate sponsor and included on all promotions. Booth at the expo
event would offer free samples. Goody bags for racers would include a $1 off coupon.
Frequency: 14 races between November 2010 and January 2011.
Reach (annual): 312,000 participants, 1 million spectators, 707,000 at 2-day Health and Fitness
Expo
Sponsorship Cost: $500,000 (Assumption)
Booth at Expo: $75,000 ($5000 fee per city x 14, plus $5000 for booth decor)(Assumption)
Cost of samples: 75% (Assumption) x 707,000 attendees x $1 each = $530,250 (Appendix)
Cost of $1 off coupon in goody bags for participants: $1 x 312,000 participants x 10% usage rate
= $31,200 (Assumption)
Coupon print cost: $1080/100,000 x 3.5 = $3,780 (Appendix)
Integration with IMC: The Rock N Roll Marathon series is a large event that draws thousands of
people specifically interested in a healthy lifestyle through physical activity. This is a prime
venue to entice people to sample the product risk-free and will increase the likelihood of trial
use after the event (coupon). The demographics lean slightly more female with above average
incomes, which falls in line with demographic data for our target market of adults who
presently control their diet. Presence at an event that promotes a healthy lifestyle supports the
message we are using in our other advertising and promotions to “Eat Better. Live Right.”.

Branded Entertainment (Product Placement)
Wendy’s will not use product placement due to budgetary constraints. Also, it would be difficult
to see distinguishable difference in the Wendy’s Fast & Fit Menu versus other parts of the
menu based on product placement alone. More demonstration of the product differences and
benefits is required.

~ 38 ~
Evaluation of Promotional Plan
All components in the IMC will be measured for effectiveness on reaching the objective of
increasing awareness. This will allow for a comprehensive understanding of how the elements
work together while also identifying specific areas that demonstrate success or may need
improvement.
Advertisements will be pre and post-tested using Gallop & Robinson’s Impact System
(Appendix). The InTeleTest component is used for television ads; the Magazine Impact
Research Service (MIRS) is used for magazine ads. The Impact System compiles information on
day-after-recall (DAR), idea communication, persuasion, brand rating, and ad liking.

Media Advertising
Media advertising evaluation is to determine how well objectives have been met in regards to
increasing awareness, and thus encouraging trial use and repeat purchases.
• Television
Pre-test and post-test DAR and other measures using Gallup and Robinson Impact System:
InTeleTest
Total Cost to test television ad effectiveness for 2 TV ads: $20,000 (Assumption)
• Magazines
Pre-test and post-test DAR and other measures using Gallup and Robinson Impact System: MIRS
Total Cost to Test Magazine Effectiveness for four different sized ads: $40,000 (Assumption)
Other Promotional Elements
A range of different metrics will be used to assess how effective each promotional element
achieves the objective of increasing awareness. Assume pre-testing was done as part of the inhouse development process of the overall IMC plan, and that all elements were deemed
appropriate based on pre-testing results.
Internet-related elements will be evaluated using Google Analytics, a powerful tool for
analyzing onlne advertising and web site traffic. Direct marketing, sales promotions, point-ofpurchase, public relations, and event sponsorship effectiveness will be evaluated using
straightforward measurements such as increases in sales, number of samples distributed, and
number of coupons redeemed, among others. Effectiveness can be difficult to evaluate because
of the qualitative nature of the promotional elements and the long-term effect on awareness,
but the data gathered can be utilized to develop a useful picture of trends over time that will

~ 39 ~
ultimately provide a valid, reliable, and meaningful understanding of effectiveness to the
overall marketing communications plan.
Internet Advertising
Posttest using click-through rate (available through Google Analytics)
No added cost
Website
Posttest using Google Analytics data on hits, pages viewed, unique visitors, etc.
No added cost
Direct Marketing: Email coupon
Posttest using number of emails sent through Facebook, number registered through YouTube
link, and by tracking number of coupons redeemed
No added cost
Consumer Sales Promotion: Free samples and coupons
Posttest by tracking number of free sample tried during promotion and coupons redeemed
No added cost
POP
In-Store Display (menu boards) and exterior banners
Posttest using exit poll and tracking sales in restaurants
No added cost
Public Relations: Press Release
Posttest by tracking total number of press clippings, where did the coverage appear, positive vs.
negative media coverage, and accuracy of information
No added cost
Event Sponsorship: Rock N Roll Marathon Series and Expo
Posttest by tracking redemption rate of coupon in goodie bag and exit survey following expo
No added cost

~ 40 ~
IMC Budget
Budgeting Method:
• Objective and task method
• Percent of sales
o 4% floor
• $208,352,000 x 4% = $8,334,080
o 20% ceiling
• $208,352,000 sales x 20% = $41,670,400
Costs:
Advertising Costs
• Television: $12,474,847
• Print: $19,890,480
• Production: $3,236,532 (10% TV/Print Costs)
• Internet: $1,108,000
• Total: $36,710,659
Website Costs
• No further web development is needed, since Wendy’s current website is
sufficient
• Total: $0
Direct Marketing Costs
• Consumer: $3,000,000
• Trade: $0
• Total: $3,000,000
Sales Promotion Costs
• Consumer Sampling: $620,000
• Trade: $0
• Total: $620,000
Point-of-Purchase Costs
• Displays: $0 (normal corporate budget expense)
• Banners: $260,400
• Total: $260,400

~ 41 ~
Public Relations Costs
• Consumer PR: ~ $0 (Press Release – cost is negligible)
• Viral Strategies: $100,000
• Total: $100,000
Event Sponsorship Costs
• Event Sponsorship and Sales Promotion: $1,140,230
• Branded Entertainment (Product Placement): $0
• Total: $1,140,230
Promotional Plan Evaluation Costs
• TV Testing: $20,000
• Print Testing: $40,000
• Total: $60,000
Total IMC Budget = $41,891,289
Forecasted Sales: $208,352,000
Total IMC Budget as a Percentage of Forecasted Sales = 20.1%
• 41,891,289 IMC Budget/$208,352,000 Total Projected Sales = 20.1%
Industry advertising to sales ratios:
• McDonald’s: 4.0%
• Burger King: 4.3%
• Subway: 4.5%
• Yum! Brands: 5.2%
• Industry average: 4.4%
Comparison of Wendy’s IMC budget to sales and the industry average

~ 42 ~
Appendix

~ 43 ~
~ 44 ~
Appendix 1: Adults that bought Wendy’s in the past 6 months
Fall 2008 Product: Leisure/Sports
Fast Food & Drive-In Restaurants
Bought At Last 6 Months Wendy's
Adults
Total
Proj
Pct
Pct
Index
'000
'000 Across Down
Total
Educ: graduated college plus
Educ: attended college
Educ: graduated high school
Educ: did not graduate HS
Educ: post graduate
Educ: no college
Adults 25-54
Occupation: : Professional and Related Occupation: s
Occupation: Management, Business and Financial Operations
Occupation: Sales and Office Occupation: s
Occupation: Natural Resources, Construction and Maintenance
Occupation: s
Occupation: Other Employed
HHI150,000+
HHI$75,000-$149,999
HHI$60,000-$74,999
HHI$50,000-$59,999
HHI$40,000-$49,999
HHI$30,000-$39,999
HHI$20,000-$29,999
HHI<$20,000
Marital Status: Never Married
Marital Status: Now Married
Marital Status: Engaged
Marital Status: Widowed/Divorced/Legally Separated
Child age: <12 months
Child age: 12-23 months
Child age: <2 years
Child age: <6 years
Child age: 2-5 years
Child age: 6-11 years
Child age: 12-17 years
Home: Owned
Race: White
Race: Black/African American

~ 45 ~

223672
58543
60791
70385
33953
19136
104338
126601
30625
21586
35653

71458
19581
21275
22000
8601
5947
30602
44234
10770
7601
12951

31.9
33.4
35
31.3
25.3
31.1
29.3
34.9
35.2
35.2
36.3

100
27.4
29.8
30.8
12
8.3
42.8
61.9
15.1
10.6
18.1

100
105
110
98
79
97
92
109
110
110
114

15303
41255
22601
60271
24590
19110
20909
22797
22199
31197
56390
125359
10911
41922
10440
8780
18764
44047
33622
41841
44714
156971
171775
25755

5087
14394
7240
20934
8562
6334
6819
6811
6435
8323
19485
41137
3766
10836
3830
3341
6918
16069
12170
14760
15163
50579
56378
8714

33.2
34.9
32
34.7
34.8
33.1
32.6
29.9
29
26.7
34.6
32.8
34.5
25.8
36.7
38.1
36.9
36.5
36.2
35.3
33.9
32.2
32.8
33.8

7.1
20.1
10.1
29.3
12
8.9
9.5
9.5
9
11.6
27.3
57.6
5.3
15.2
5.4
4.7
9.7
22.5
17
20.7
21.2
70.8
78.9
12.2

104
109
100
109
109
104
102
94
91
84
108
103
108
81
115
119
115
114
113
110
106
101
103
106
Appendix 2: Adults that presently control diet
Fall 2008 Product: Health & Beauty Aids
Diet Control/Eating Habits
Presently I control my diet
Adults
Total
'000

Proj
'000

Pct
Across

Pct
Down

Index

223672

92925

41.5

100

100

Educ: graduated college plus

58543

28171

48.1

30.3

116

Educ: attended college

60791

26209

43.1

28.2

104

Educ: graduated high school

70385

26909

38.2

29

92

Educ: did not graduate HS

33953

11636

34.3

12.5

82

Educ: post graduate

19136

9699

50.7

10.4

122

Total

Educ: no college

104338

38545

36.9

41.5

89

Adults 25-54

126601

49024

38.7

52.8

93

Occupation: : Professional and Related Occupation: s

30625

14204

46.4

15.3

112

Occupation: Management, Business and Financial Operations

21586

9404

43.6

10.1

105

Occupation: Sales and Office Occupation: s

35653

14896

41.8

16

101

Occupation: Natural Resources, Construction and Maintenance Occupation: s

15303

3678

24

4

58

Occupation: Other Employed

41255

14054

34.1

15.1

82

HHI150,000+

22601

10689

47.3

11.5

114

HHI$75,000-$149,999

60271

26026

43.2

28

104

HHI$60,000-$74,999

24590

9461

38.5

10.2

93

HHI$50,000-$59,999

19110

8006

41.9

8.6

101

HHI$40,000-$49,999

20909

8469

40.5

9.1

97

HHI$30,000-$39,999

22797

8837

38.8

9.5

93

HHI$20,000-$29,999

22199

8888

40

9.6

96

HHI<$20,000

31197

12550

40.2

13.5

97

Marital Status: Never Married

56390

19351

34.3

20.8

83

Marital Status: Now Married

125359

55303

44.1

59.5

106

Marital Status: Engaged

10911

3979

36.5

4.3

88

Marital Status: Widowed/Divorced/Legally Separated

41922

18271

43.6

19.7

105

Child age: <12 months

10440

3110

29.8

3.3

72

Child age: 12-23 months

8780

2843

32.4

3.1

78

Child age: <2 years

18764

5864

31.3

6.3

75

Child age: <6 years

44047

15159

34.4

16.3

83

Child age: 2-5 years

33622

11857

35.3

12.8

85

Child age: 6-11 years

41841

15581

37.2

16.8

90

Child age: 12-17 years

44714

17369

38.8

18.7

94

Home: Owned

156971

69398

44.2

74.7

106

Race: White

171775

74322

43.3

80

104

25755

9570

37.2

10.3

89

2039

625

30.7

0.7

74

Race: Black/African American
Race: American Indian or Alaska Native

~ 46 ~
Appendix 2: Adults that presently control diet
Fall 2008 Product: Health & Beauty Aids
Diet Control/Eating Habits
Presently I control my diet
Adults
Total
'000

Proj
'000

Pct
Across

Pct
Down

Index

223672

92925

41.5

100

100

Educ: graduated college plus

58543

28171

48.1

30.3

116

Educ: attended college

60791

26209

43.1

28.2

104

Educ: graduated high school

70385

26909

38.2

29

92

Educ: did not graduate HS

33953

11636

34.3

12.5

82

Educ: post graduate

19136

9699

50.7

10.4

122

Total

Educ: no college

104338

38545

36.9

41.5

89

Adults 25-54

126601

49024

38.7

52.8

93

Occupation: : Professional and Related Occupation: s

30625

14204

46.4

15.3

112

Occupation: Management, Business and Financial Operations

21586

9404

43.6

10.1

105

Occupation: Sales and Office Occupation: s

35653

14896

41.8

16

101

Occupation: Natural Resources, Construction and Maintenance Occupation: s

15303

3678

24

4

58

Occupation: Other Employed

41255

14054

34.1

15.1

82

HHI150,000+

22601

10689

47.3

11.5

114

HHI$75,000-$149,999

60271

26026

43.2

28

104

HHI$60,000-$74,999

24590

9461

38.5

10.2

93

HHI$50,000-$59,999

19110

8006

41.9

8.6

101

HHI$40,000-$49,999

20909

8469

40.5

9.1

97

HHI$30,000-$39,999

22797

8837

38.8

9.5

93

HHI$20,000-$29,999

22199

8888

40

9.6

96

HHI<$20,000

31197

12550

40.2

13.5

97

Marital Status: Never Married

56390

19351

34.3

20.8

83

Marital Status: Now Married

125359

55303

44.1

59.5

106

Marital Status: Engaged

10911

3979

36.5

4.3

88

Marital Status: Widowed/Divorced/Legally Separated

41922

18271

43.6

19.7

105

Child age: <12 months

10440

3110

29.8

3.3

72

Child age: 12-23 months

8780

2843

32.4

3.1

78

Child age: <2 years

18764

5864

31.3

6.3

75

Child age: <6 years

44047

15159

34.4

16.3

83

Child age: 2-5 years

33622

11857

35.3

12.8

85

Child age: 6-11 years

41841

15581

37.2

16.8

90

Child age: 12-17 years

44714

17369

38.8

18.7

94

Home: Owned

156971

69398

44.2

74.7

106

Race: White

171775

74322

43.3

80

104

25755

9570

37.2

10.3

89

2039

625

30.7

0.7

74

Race: Black/African American
Race: American Indian or Alaska Native

~ 47 ~
Appendix: Average Production Costs

~ 48 ~
Appendix: TV Ad #1

Scene 1:

Businessmen at the airport waiting for their
flight discuss what food options there are.
One man says to the other, “Man, I just wish
there was something better to eat. I’m starving, but I
can’t stand the junk that they serve at these places.”
The other man responds, “Yeah, I know what
you mean.”

Scene 2:

Third businessman approaches
carrying delicious healthy Wendy’s food.

Scene 3:

Camera focuses in on food

~ 49 ~
Scene 4

Other businessmen look at food in bewilderment.
It is obvious that they are jealous of what third
businessman has.

Scene 5:

Third businessman boasts, “What? It’s
Wendy’s new Fast & Fit Menu! . . . So, are you
guys ready to go?”

Scene 6:

Previous two businessmen
are shown running away from
terminal to get food.

~ 50 ~
Scene 7:
Voice over (male voice with enthusiasm): “Introducing the new Fast & Fit menu, only at
Wendy’s! Great meals that won’t break the budget, or your diet.”

Fast food . . . without the guilt!

Scene 8:
Voice over continued: “Eat better. Live Right . . .

Eat better. Live right.

~ 51 ~

www.wendys.com
Appendix: TV Ad #2

Scene 1:

Jogger shown running.

Scene 2”

Businessman in a hurry decides to get some food
before the meeting. Standing outside Wendy’s, he appears
uncertain if he has time or wants to go in.

~ 52 ~
Scene 3:

Jogger sees Wendy’s and decides to stop in.

Scene 4:
Businessman recognizes jogger.
Businessman to person on phone: “Hey, hang on a sec.”
Businessman to jogger: “I didn’t expect to see you here!?”
Jogger responds: “It’s the new Fast & Fit menu at Wendy’s."
Businessman to person on phone: “Listen, I gotta run!”
Businessman hangs up phone.
Businessman now appears convinced of eating at Wendy’s and
now appears to have more time.
Both enter Wendy’s together, flirtatiously smiling

Scene 5:
Voice over (male voice
with enthusiasm): “Introducing
the new Fast & Fit menu, only at
Wendy’s! Great meals that won’t
break the budget, or
your diet.”

Fast food . . . without the guilt!
~ 53 ~
Scene 6:
Voice over continued: “Eat better. Live Right . . .

Eat better. Live right.

www.wendys.com

Radio Ad Script
Wendy’s has elected not to do radio ads for this campaign because of the difficulty in
contract negotiations with radio stations. They will leave it up to individual franchises to decide
whether they want to advertise on the radio in their local areas. Wendy’s instead will focus on
TV and magazine advertising.

~ 54 ~
Appendix: Print Ad Layout

~ 55 ~
Appendix: Gross Impression (12 Months)
# of
Runs
Gross
Viewership Impressions
(per 12
months) (millions)
(millions)
TV:
The Biggest Loser
Grey's Anatomy
Dr. Oz
Extreme Makover
Print Media:
Business Week
USA Weekend
Time
US Airways Mag
Delta Sky Mag
Weight Watchers
Internet:
Facebook ads
Online banner
ads
Total Gross Impressions

24
12
27
11

8.4
10.9
3.5
9.7

202.1
130.8
94.5
106.7

22
22
22
12
12
6

2.2
22.6
9.2
1.4
1.7
6.1

47.9
496.6
201.5
16.6
20.5
36.5

52

2.1

109.2

52

46.4

46.4
1509.304

~ 56 ~
Appendix: Dr. Oz TV Show Ratings

~ 57 ~
Appendix: TV Ad Costs (Extreme Makeover: Home Edition, The Biggest Loser, Grey’s Anatomy)

~ 58 ~
Appendix: TV Ad Spot Average on ABC

~ 59 ~
Appendix: Wendy’s Menu Images (point of Purchase display)

~ 60 ~
Appendix: 3’x8’ Banner

Appendix: Wendy’s Coupon

~ 61 ~
Appendix: Wendy’s Online Banner

Embedded link to www.wendys.com, which will link to nutritional information, etc.

Appendix: Wendy’s Current Homepage

~ 62 ~

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Mktg483 imc plan-anderson_sanders_final

  • 1. FAST & FIT MENU Eat Better. Live right.
  • 2. Table of Contents Executive Summary ....................................................................................................................................... 3 Assumptions .................................................................................................................................................. 4 Segmentation Strategy ................................................................................................................................. 5 Segmentation Variables ................................................................................................................... 5 Target Market Definition and Size ................................................................................................... 7 Positioning Strategy ...................................................................................................................................... 8 Competitive Analysis Grid: The Four P’s .......................................................................................... 9 SWOT Analysis ............................................................................................................................... 12 Perceptual Map .............................................................................................................................. 13 Marketing Objectives .................................................................................................................................. 14 Marketing Mix ............................................................................................................................................. 15 Product Strategy ............................................................................................................................ 15 Pricing Strategy .............................................................................................................................. 16 Distribution Strategy ...................................................................................................................... 16 Advertising .................................................................................................................................................. 17 Communication Objectives ............................................................................................................ 17 First Year Projected Sales ............................................................................................................... 17 Advertising Budget ......................................................................................................................... 17 Advertising Objective ..................................................................................................................... 18 Budgeting Method ......................................................................................................................... 19 Copy Platform ................................................................................................................................ 20 Media Plan .................................................................................................................................................. 23 Media Objectives ........................................................................................................................... 23 Media Strategies ............................................................................................................................ 23 Media Mix ...................................................................................................................................... 23 Media Budget ................................................................................................................................. 28 Competitive Media Assessment .................................................................................................... 28 Media Scheduling and Buying ........................................................................................................ 30 Website ....................................................................................................................................................... 31 Direct Marketing ......................................................................................................................................... 32 ~1~
  • 3. Sales Promotion .......................................................................................................................................... 33 Point-of-Purchase (POP) ............................................................................................................................. 34 POP: Displays ................................................................................................................................. 34 Support Media: Banners ................................................................................................................ 34 Public Relations ........................................................................................................................................... 35 Consumer Public Relations ............................................................................................................ 35 Viral Strategies ............................................................................................................................... 35 Sample Press Release..................................................................................................................... 37 Event Sponsorship....................................................................................................................................... 38 Event Sponsorship and Sales Promotion (samples, coupon)......................................................... 38 Branded Entertainment (Product Placement) ............................................................................... 38 Evaluation of Promotional Plan .................................................................................................................. 39 IMC Budget ................................................................................................................................................. 41 Appendix ..................................................................................................................................................... 43 ~2~
  • 4. Executive Summary The Wendy’s Fast & Fit menu is a healthy, fast option for people who want to eat right even when they need to eat fast food. The menu offers soups, salads, hot and cold sandwiches, and wraps that that emphasize more vegetables and lean meats, and less salt and fat. All consumers can benefit from healthier food choices; our plan focuses on adults 25-54 who presently control their diet – which is more than 49 million strong. This group is college educated, employed, makes a higher than average salary, and has slightly more females than males. Fast food is not a high involvement decision and is often made on the fly, which is why increasing awareness to 80% of our target market is so important to achieve our goals of 25% trial use and 10% repeat purchase rate. The following integrated marketing communication (IMC) plan introduces the Fast & Fit menu through multiple media and non-media options. Coordinated television, print, and online advertising will increase awareness, the first step towards trial use and eventual repeat purchasing. Non-media strategies include a free sample event, event sponsorship, banners, and updated signage, all coordinated with advertising to further reinforce awareness and increase trial use. A press release will be used to attract press coverage of the menu and the free sample event, increasing both awareness and trial use. Coordinated images, words, themes and colors will reinforce the connection between Wendy’s and the Fast & Fit menu. The menu will be launched in November of 2010, timed to coincide with a normally very busy time of year for most Americans: the upcoming holiday season. Awareness established during this time will carry over to January of 2011, when the focus on healthier eating is at its peak. To achieve our awareness, trial, and repeat purchase goals, ____% of our estimated first year sales will be devoted to the IMC plan resulting in a first year budget of $______________. ~3~
  • 5. Assumptions 1. 2. 3. 4. 5. Assume there is demand for healthier fast food options Market for healthier fast food is growing Assume there are adequate funds available to promote this plan. Wendy’s enjoys slightly better perceived quality Rock N Roll Marathon Series event owners/promoters will not disclose specific sponsorship costs. Corporate sponsorship cost assumed to be $350,000. Expo booth space assumed to be $5000 (per city). Cost of materials for booth decorations, etc. assumed to be $5000. 6. Cost of shipping one banner assumed to be $10. 7. 75% of Rock N Roll Marathon Expo 707,000 attendees will try a free sample. 8. Cost of one sample $1 (product, wrapper, etc.) 9. 6,200 US Locations out of 6,650 total international locations 10. 100 free samples accepted per location during free sample promotion period (not everyone will want to try it). 11. 20% usage rate of coupon distributed at Rock N Roll Marathon series 12. Average ad production cost for a 30-second spot in 2001 was $358,000 (Appendix). Cost is assumed at 2% annual inflation today. 13. The Biggest Loser television show is assumed to attract health conscious individuals. 14. Females are more inclined to want healthier options in fast food and have purchasing influence over others in household. 15. The repeat purchase rate is based on achieving 80% awareness and 25% trial rate. 16. Professionals and business people are the most common occupational demographic because they are frequently on-the-go and require quick, inexpensive meal options when away from home or the office. 17. It is possible to produce a unique code for every customer coupon in email that will allow for tracking of the coupon in a database and prevent multiple use of the same coupon. 18. Facebook and YouTube will be able draw millions to see the option to join the Facebook Fanpage, but the percentage of people signing up will be much lower. Based on the 5.5 million fans on Will Smith’s Fanpage, it is assumed that Wendy’s through an effective and entertaining viral contest on YouTube will be able to attract at least half as many fans, especially considering how many people would want healthier options in fast food. 19. 2/3 of people have email features enabled on Facebook Fanpages. 20. 1/4 of people receiving emails or downloading coupons directly will redeem the coupon. ~4~
  • 6. Segmentation Strategy Segmentation Variables CUSTOMER CHARACTERISTICS Geographic Demographic Segmentation Variable Typical Breakdowns Other Info Region All Wendy’s locations Easier to roll out to the whole company than try to pick and choose the best places City Size Density Main Dimension Any size with Wendy’s All Age 24-54 Sex Mostly female, specific male groups Any Mostly young married; also singles, divorced Child age 6-17 Any $40,000-$149,999 Annual Household Income Family Size Stage of family cycle Ages of children Children under 18 Income Occupation Education Race Businessmen, Managers, Salesmen, Professional and Technical, business owners, Employed persons frequently away and on-the-go Some college to masters Any Home Ownership Own Home Dwelling House or Condo ~5~ 44,234,000 Ate at Wendy’s in past 6m 42,649,000 Wendy’s Customers in past 6m Whites make up 78.9% of current customer base, blacks account for 12.2% 70.8% of customer base
  • 7. Psychographic Personality Ambitious, goal-driven, well-informed, compulsive Health-conscious, active, busy, traveling, on-the-go, prefer healthy living, athletic, frequents gym, vegetarian, semivegetarian Life-style BUYING SITUATION Benefits Product features Premium ingredients, wraps, soups, salads, sandwiches Economical, fast, on-thego, low calorie Heart-healthy, smart/right choice, animal friendly, compliments active lifestyle Healthier choices in fast food, more options for people on-the-go with dietary wants/needs Advantages Benefits Needs Usage Rate of use User states Medium to heavy user Regular user, potential user, converted customer Awareness and Intentions Readiness to buy Desirous buyers, ready to buy healthy options, dissatisfied with competitor offerings Familiar, recognize brand, familiar with competitor offerings Brand familiarity Buying Condition Type of buying activity Kind of store ~6~ Minimum effort Wendy’s restaurants
  • 8. Target Market Definition and Size The target customer for Wendy’s Fast & Fit menu is male or female, between the ages of 25 and 54, owns their own home and lives in the city. Typically, he or she is married, has a family with kids and makes between $40,000 and $150,000 annually (Appendix). Professionals and business people are the most common occupational demographic because they are frequently on-the-go and require quick, inexpensive meal options when away from home or the office. (Assumption) They’re tired of the same unhealthy options in most fast food restaurants, but don’t have time to go to a sit-down restaurant and don’t want to pay sit-down prices on a regular basis. The Wendy’s Fast & Fit customer wants premium food options that are healthy, and complement an active, busy lifestyle, and won’t break the pocketbook. Target Market Size: 49,024,000 (based on MediaMark: American adults that presently control diet) (Appendix) ~7~
  • 9. Positioning Strategy The Wendy’s Fast & Fit menu will utilize a benefit positioning theme that focuses on product attributes. Interest in healthy food choices has increased significantly in the last decade and thus creates an opportunity in the market. Fast food establishments are often criticized (and even blamed) for contributing to obesity and other health conditions with their large portion, high calorie, high fat, and high sodium menus. However, consumers still need fast, convenient food options. Fast food can be healthier, and the recent increased focus on healthy eating means it is an ideal time to add this product line and create a point of differentiation for Wendy's. Even though many consumers are interested in improving their diet, they are faced with limited options when eating out. It is even more difficult for business travelers when they arrive in a strange city at unusual times and must choose from easily located chain restaurants, many of which are fast food with limited healthy dining options. The Fast & Fit menu will offer salads, soups, and hot and cold sandwiches and wraps (including meat-free options) to give healthconscious adults an option for eating better when eating out. This will be the main point of differentiation between typical fast food menus and Wendy’s Fast & Fit menu. Strategy: The Fast & Fit menu is a low-cost, convenient, and healthy option for dining out so busy, healthconscious adults can feel good about their food choices and ultimately improve their quality of life. ~8~
  • 10. Competitive Analysis Grid: The Four P’s Competitors: By Market Share Products Price Place 1. Hamburgers Cheeseburgers Fish sandwich Chicken sandwiches Chicken McNuggets Chicken Selects French fries Premium salads Milk shakes McFlurry desserts Sundaes Soft serve cones Pies Cookies Soft drinks and other beverages Kid’s meals Egg McMuffin Sausage McMuffin Hotcakes Biscuit Bagel sandwiches Muffins Fried chicken Mashed potatoes Corn Potato wedges/French fries Desserts Pizzas/Breadsticks Pasta Salads Sandwiches Breads and crusts Tacos/Burritos Gorditas Chalupas Quesadillas Snacks Hot dogs Burgers/fries Onion rings Rootbeer Hamburgers Chicken sandwiches $1-$10 32,500 international locations $1-$20 36,000 international locations McDonalds 12.7% 2. YUM! Brands: KFC, Pizza Hut, Taco Bell, A&W, Long John Silver 9.7% 3. Wendy’s/Arby’s Group Promotion (Advertising Spending/% of revenue) (Millions) $1201/4.0 Total Revenue (2008) (Millions) Other Information $30,025 Currently investing heavily in McCafe concept: specialty coffee beverages, breakfast pastries, etc. Has introduced various healthier options in last several years, including salads and wraps. Now offering “gourmet” burger items. Scope of market share hard to beat. Many customers are loyal. $961/5.2 $18,500 Increase in “colocated” restaurants to increase options for customers; for example, KFC and A&W in one building. Limited healthy options on menu, depending on the specific restaurant. Basic side salads are available; otherwise the menus focus on standard pizza and fried foods. $453/4.0 $11,335 (Wendy’s = Wendy’s was recently purchased by Arby’s, U.S. KFC: 5,253 U.S. TacoBell: 5,588 U.S. PizzaHut: 7,564 $1-$10 6,333 mainly US locations ~9~
  • 11. 6.6% 4. Burger King 5.1% 5. Subway (Doctor’s Associates, Inc.) 5.0% 6. Jack in the Box 4.7% Chicken nuggets Chili Baked/French fried potatoes Freshly prepared salads Soft drinks/Milk Frosty dessert Floats Kids’ meals Sandwiches Shakes Sandwiches Hamburgers Cheeseburgers Salads Kid’s meals Breakfast items Hash browns Coffee/Juice Cookies/Pies Soft drinks/Shakes Fries Onion rings ~$3,740M, or 33% of total) $1-$10 11,565 international (7,207 in U.S.) $388/4.3 $9,125 Sandwiches Salads Pizzas Breakfast sandwiches Soda Cookies Chips Coffee $3-$10 31,ooo international locations 432/4.5% $9,600 Burgers Fries Drinks Mozzarella cheese sticks Specialty sandwiches Salads Sauces and dressings Shakes and desserts Snacks and extras Tacos and other Mexican specialties $1-10 2,158 n/a $2,539 ~ 10 ~ which should provide operational economies of scale. 2009 Zagat Fast Food Survey rated Wendy’s Top Food and Top Facilities among mega chains.Can use quality perception to an advantage when introducing new menu. No radical/major overhauls in menu. Recent ad campaign resurrected the “Burger King” mascot from the 1970s/1980s. Little emphasis on healthy menu options besides a basic side salad. Still promoting “Have it your way” for custom orders. 2009 Zagat Fast-Food Survey rated Subway as best provider of “Healthy Options” in Mega Chain category. Subway also first in the "Best Service" and "Most Popular", although second overall behind [14] Wendy's. Highly successful advertising efforts with resurrected mascot “Jack”. Large selection of burgers and grilled sandwiches. Competition from newly introduced teriyaki rice bowls and grilled sandwiches, which offer healthier options, as do several salad options.
  • 12. Market Share Major Player Market Share Range McDonald's Corporation 12.7% (2009) Yum! Brands, Incorporated 9.7% (2009) Wendy's/Arby's Group, Inc. 6.6% (2009) Starbucks Corporation 5.9% (2009) Burger King Corporation 5.1% (2009) Doctor's Associates Inc 5.0% (2009) Domino's Inc 1.9% (2009) Other 53.1% (2009) Source: IBIS World Industry Report, 2010 Industry Summary The fast-food industry is in the mature stage of the product life cycle. The market is reaching saturation for fast-food locations and price competition is high. Fast food chains focus on location, food quality, presentation, service, brand differentiation, and feature diversification to maintain or increase market share. The industry is sensitive to changes in consumer levels of disposable income and thus has seen reductions in sales during the recent recession. However, because fast food is often low priced, in many respects the industry has fared reasonably well despite the economic pressures. McDonald’s is the industry leader, with the highest market share than any other major competitor, even YUM! Brands with its five different restaurant chains. YUM! Brands has introduced many co-located dining establishments (for example, a KFC and A&W located together). Wendy’s was recently purchased by Arby’s. They are in essentially the same market share position with Burger King and Subway. Subway offers many healthy options for customers and should be seen as a major competitor for Wendy’s new healthy options product line, even though they have less market share. Differentiation among major fast food players focuses on the type of product offered (i.e. Taco Bell vs. Burger King). McDonald’s, Burger King, Wendy’s and Jack in the Box restaurants all focus primarily on the burger/fries/soft drink menu. However, the market for healthier fast food is growing. (Assumption) Changing demographics (aging of the population) and increased focus on healthy eating have resulted in menus in most fast-food establishments that also offer salads, grilled meats, and wraps. Fast food in general faces significant threats from substitutes, including other fast food restaurants, sitdown restaurants, pre-prepared foods in grocery stores, delis, and cooking at home. ~ 11 ~
  • 13. SWOT Analysis Strengths Large scale operation Diversified products Value menu Weaknesses Operational efficiency Not diversified internationally Brand awareness Lack of differentiation Opportunities Can grow in international markets Can differentiate with new product lines Can differentiate with improved service/quality Threats Economic recession Increased price and product competition Wendy’s has considerable penetration in the U.S. fast-food industry. The recent purchase by Arby’s group should result in improved operational efficiencies and greater resources (for advertising, for example). Wendy’s (as all fast food restaurants) must differentiate itself with new menu items. The ongoing and growing concern about the effects of fast food offer an opportunity to capitalize on changing consumer demands. Introducing a “radically” different product line has good prospects for Wendy’s. Healthier food options can also be seen as higher quality, which is important to consumers. Wendy’s must remain competitive on price and quality. Wendy’s enjoys slightly better perceived quality, which should help in the long run. (Assumption) Brand awareness must be maintained and improved if they expect to remain strong in such a highly competitive industry. ~ 12 ~
  • 14. Perceptual Map Prices across fast food establishments do not vary enough to be the main determining factor for consumers. When consumers get to the point of choosing between fast food options, quality of the food and convenience are the main drivers. Quality includes freshness and taste and the variety of options available (including healthier options). Convenience includes location, speed of service, and restaurant amenities. *YUM! Brands restaurants have been separated out into individual establishments for easier comparison. ~ 13 ~
  • 15. Marketing Objectives Marketing Objective In the first 12 months of introduction of the Wendy's Fast & Fit product line, total sales will rise by 5% (based on first year Fast & Fit sales of $208M divided by total sales of $3740M = 5.5%) through use of trials, advertising, and repeat monthly sales by 10% of the target market buying at least once per month. ~ 14 ~
  • 16. Marketing Mix Product Strategy • • • The Wendy’s Fast & Fit Menu is a healthy alternative to ordinary fast food. It is intended for individuals who are already making health-conscious decisions in their lifestyle, whether it is being active or watching their diet. The current fast food industry heavily is focused on being fast and inexpensive, which means good healthy options are limited. Today, Subway is often seen as the healthiest choice for fast food. But with so many options and decisions to be made by the buyer, Subway can barely claim the label of being fast. In fact, Subway menu options are so complex that it is almost impossible for them to incorporate a drive-thru lane into their business model. Without the option of a drive-thru, this will limit the number of people that will be willing to buy due to time crunches and busy schedules. Customers in a hurry do not want to park their cars, stand in lines, and wait for their food among complex choices. Wendy’s Fast & Fit Menu seeks to resolve this issue by offering healthy choices that are fast, simple, affordable, and drive-thru ready. The options include varieties of soups, salads, wraps, and hot and cold sandwiches that feature many vegetable varieties and lean meats such as turkey and chicken. Condiments will include low-fat herb spreads and dressings, salsa, and gourmet mustard. There are even meatless options that will entice vegetarian preferences as well. The menu is appealing and delicious and will target those with busy lifestyles that want healthier options of food, faster and at low fast-food prices. That includes fitness conscious, on-the-go professionals, and those seeking to manage their diet. Items: • • • • Soups Salads Wraps Sandwiches Key Features: • Vegetable varieties: o Tomatoes o Spinach o Peppers o Sprouts ~ 15 ~
  • 17. • • o Lettuce Lean meats: o Chicken o Turkey o Fish Low-fat condiments o Herb spreads and dressings o Salsa o Gourmet mustard Key Benefits: • • • • • • • Fast Affordable Healthy Low-calorie Simple Drive-thru ready Customizable to different needs and tastes Pricing Strategy • • Average Menu Item Price: $4-6 Fast & Fit Menu items will be competitively priced based on common pricing structures of other fast food chains. That way it will achieve perceived value by not being underpriced, yet affordable in comparison to other fast food options. Distribution Strategy Distribution will take place in Wendy’s restaurants nationwide, including large metro and urban cities such as San Francisco, Los Angeles, San Diego, Seattle, Chicago, East Coast, Southern States, and Alaska (Based on Lifestyle Analysis Report of People Who Like Trend Towards Healthier Fast Food). (Appendix) Pending a successful launch, international locations will be considered. ~ 16 ~
  • 18. Advertising Communication Objectives 1. 2. 3. 4. 5. 6. Increase awareness and demand for the menu and the brand as a whole Encourage brand switching while maintaining brand loyalty with current users Increase trial use and convert one-time users to repeat purchasers Curb market perceptions towards Wendy’s being a healthy alternative in fast food Use of a competitive positioning strategy Rely on primary advertising, sales promotions, and publicity in introduction phase First Year Projected Sales Assumptions: • • • Total target market: 49,024,000 25% trial in first 6 months 10% of original TM will become repeat purchasers, once per month, during second 6 months (Assumption 16) 49,024,000 (target market size) x 25% (trial) = 12,256,000 x $5 (average menu price) = $61,280,000 $49,024,000 x 10% (repeat customers) = 4,902,400 x $5 (average menu price) x 6 (# of times returning) = $147,072,000 Sum for first year = $61,280,000 + $147,072,000 = $208,352,000 Advertising Budget Wendy’s currently spends approximately 4% of sales on advertising. (Appendix 4) Floor: $208,352,000 x 4% = $8,334,080 Ceiling: $208,352,000 x 20% = $41,670,400 ~ 17 ~
  • 19. Advertising Objective Target Market Size: 49,024,000 • • Awareness (80%): 39,219,200 Knowledge (70%): 34,316,800 o Awareness and knowledge will be affected primarily by Wendy’s current market standing, targeted ad campaigns, and product promotions. • • Liking (40%): 19,609,600 Preference (30%): 14,707,200 o Liking and preference will be impacted by customer enthusiasm towards healthy fast-food alternatives. There are limited on-the-go healthy options in fast-food today. Subway will, no doubt, remain a popular favorite for healthy fast-food, but Wendy’s will control a different market niche by providing a variety of options that differentiate their menu from others. • • Trial (25%): 12,256,000 Use (10%): 4,902,400 o Trial and use will be influenced by trials and promotions, advertising, word-ofmouth, returning customers, and converted customers. ~ 18 ~
  • 20. Budgeting Method Share of Voice SOURCE: AdAge, 2009 According to AdAge, the top five brands are spending $3,435M on advertising: Share of Voice (dollars in millions): • McDonald’s = $1,201/$3,435 = 35% • YUM! Brands = $961/$3,435 = 28% • Wendy’s = $453/$3,435 = 13% • Subway = $432/$3,435 = 13% • Burger King = $388/$3,435 = 11% • Advertising as a percent of sales (dollars in millions): • McDonald’s = $1201/$30,025 = 4% • YUM! Brands = $961/$18,481 = 5.2% • Wendy’s = $453/$11,325 = 4% • Subway = $432/$9,600 = 4.5% • Burger King = $388/$9,023 = 4.3% Online advertising data (below) show Wendy’s has a significantly lower share of online ad presence. ~ 19 ~
  • 21. Top online ad campaigns by fast food chains Fact recorded on: July 17, 2008. Categories: Advertising, Internet usage, WWW, Web traffic. Advertiser McDonald’s Quiznos.com KFC.com PapaJohns.com Subway Dunkin’ Brands PizzaHut.com SonicDriveIn.com Wendy’s Burger King Source: comScore Ad views, 000 295,884 98,041 84,974 82,298 8,150 71,713 60,327 45,064 43,344 21,493 Share of ads 33.6% 11.1% 9.6% 9.3% 8.9% 8.1% 6.8% 5.1% 4.9% 2.4% Unique ad viewers, 000 51,897 16,390 12,620 17,115 15,478 23,240 15,366 7,070 11,280 3,494 Frequency 5.7 6.0 6.7 4.8 5.0 3.1 3.9 6.4 3.8 6.2 http://www.itfacts.biz/top-online-ad-campaigns-by-fast-food-chains/10841 Copy Platform A. Target Market (Appendix) Demographic Dimensions o o o o o o Age: 25-54 Sex: Female/Male Income: $40,000-$149,000 Occupation: Businessmen, Managers, Salesmen, Professional and Technical, business owners, Employed persons frequently away and on-the-go Education: Some college; college graduates Stage of Family Cycle: Young married, singles, divorced Geographic Dimensions (first 12 months) o o o USA Urban Suburban Psychographic Dimensions o Personality o Ambitious o Goal-driven ~ 20 ~
  • 22. Well-informed Compulsive Technical Lifestyle o Health-conscious o Active o Busy o Traveling o On-the-go o Affluent o Prefer healthy living o Athletic o Frequents gym o Vegetarian o Semi-vegetarian o o o o Target Market Benefits Sought: o o o o o o o o o o Low-fat alternatives Fast and healthy food Low-calorie options Meatless options Low cost meals that are healthy Meals that meet a fit lifestyle Meals that fit a busy lifestyle Meals that won't break to diet that a both fast and inexpensive Healthy variety Ability to choose B. Objective: - The goal is to increase target market awareness and demand so that customers notice Wendy's efforts to bring healthier option fast-food into the market. Wendy's customers will choose the Fast & Fit menu over those of its competitors because it is inexpensive, healthier, quicker, easier, better tasting, and offers a better variety. - The message objective is to link "healthier" fast-food to Wendy's (link a key attribute to the brand name) to appeal to the target market, which is interested in making healthier food choices even when they need to eat fast food. C. Key Benefits: • The most important benefit to buyers is that the menu is healthy, fast, and inexpensive. ~ 21 ~
  • 23. • The menu will solve the problem that there aren't enough healthy fast-food options on the market today. D. Key Product Attributes: • • • • • • • Low-calorie Low in sodium Several meat-free options/uses more vegetables Heart-healthy High in fiber Nutrient rich (nutritious) Whole wheat selection E. Campaign Theme: • • • • • • • • • "The Fast & Fit Menu at Wendy's: Eat better. Live right." And, “Fast food . . . without the guilt.” The message conveys healthy eating without degrading the rest of Wendy's menu. The message speaks to those that often feel guilty after eating fast-food. Not feeling guilty carries a double-meaning with it being inexpensive. The message speaks to the person who is on-the-go. The message resonates with health-conscious people. It also carries a social message that encourages people to not only eat healthier, but to live right, or make better lifestyle choices. Wendy's Fast & Fit menu is low calorie, low sodium, uses more fresh vegetables, and is fast, fresh, inexpensive, and convenient. Message Strategy (Message Objective and Type of Appeal): - The message objective of linking the key attribute (healthier fast food choices) to Wendy's to persuade the target market to eat at Wendy's will be done through use of unique selling proposition ads, high repetition, and increased awareness. - To increase impact of the message strategy, an integrated approach will be used for all ad materials with regards to use of the logo, taglines, inclusion of the Wendy’s URL, colors, and images. Cross promotion will be used in all materials, highlighting applicable references to the web site, Facebook fan page, etc. Print Ad Layout (Appendix) TV Ad Storyboard (Appendix) ~ 22 ~
  • 24. Media Plan Timeline: The media plan covers the 12-month period from November 1, 2010 to October 31, 2011. Media Objectives 1. Increase awareness, trial use, and repeat purchase of the Wendy's Fast & Fit menu to men and women age 25-54 with income between $40,000 and $150,000 per year, who presently control their diet. 2. Geographic scope of the media plan is national, but heavier in urban areas. 3. Message weight (gross impressions) – Through a 12-month advertising effort that includes TV, print, and Internet advertising, the gross total of impressions will be 1,509,304,000 (Appendix). It is assumed that most of these impressions will be of duplicated frequency, but the percentage of duplication is not known. Media Strategies 1. Reach: Reach is 80 percent of the target market three to five times over an average fourweek period during the 12 months of the media plan, which is consistent with the advertising objective of achieving 80 percent awareness. 2. Continuity: Pulsing. Higher levels of advertising in the first 8 weeks to increase awareness and encourage first trial use. Ads will continue at lower levels for the remainder of the plan. 3. Length/size of advertisements: a. 30 second TV spots b. Full color magazine ads (full page, 2/3 page, ½ page) c. Facebook ads, online banner ads Media Mix A. TV a. Television ads will be aired during primetime slots during TV shows b. Television ads will be used for both reach and frequency. The Biggest Loser This show was chosen because it is assumed to attract health conscious individuals. The reach for the show is large, and the viewer demographics match up very well to the intended target market for Wendy’s, namely those people interested in controlling their diet and finding ways to be healthy in a time-crunched lifestyle. The show has even been known to sponsor certain products on the show and explain why they are effective. It ~ 23 ~
  • 25. would be very beneficial to acquire a partnership with the show, if at all possible to have the menu sponsored. • • • • Frequency: Weekly (6 episodes in season 10; 18 episodes in season 11; 24 total episodes) Reach: 8.42 million viewers per episode o 8.42 million TM view/49.024 million in TM o = 17.2% of TM CPM: $113,218 cost for 30 second ad/8.42 million x 1000 o = $13.45 cost per thousand in TM Total Cost: $2,717,232 Grey's Anatomy This show has a large audience consisting of a female majority. Females are more inclined to want healthier options in fast food and are more influential in promoting it via word-of-mouth. The show also has a very loyal audience and a huge reach. The viewer ages also match up well with the Fast & Fit target audience. • • • • Frequency: Weekly in first month, then monthly after that due to high cost (9 total episodes) Reach: 10.9 million viewers per episode o 10.9 million TM view/49.024 million in TM o = 22.2% of TM CPM: $326,685/10.9 million x 1000 o = $29.97 Total Cost: $2,940,165 Dr. Oz Dr. Oz, like Biggest Loser, attracts an audience that is interested in health issues and controlling their diet. Many viewers who watch the show are tuned in for advice on how to live healthier, especially in the daily rush of life. The show also has a strong female audience and a loyal viewership that will help in both frequency and word-of-mouth promotion. • • • • Frequency: Dr. Oz runs daily from fall through spring. We will advertise weekly (27 episodes) Reach: 3.5 million viewers per episode o 3.5 million TM view/49.024 million in TM o = 7.1% of TM CPM: $133,774/3.5 million x 1000 o = $38.22 Total Cost: $3,611,898 ~ 24 ~
  • 26. Extreme Makeover Home Edition This show draws in viewers with families who own their own homes. These are some of the key demographic qualities of our target market. MediaMark index numbers were statistically significant for people that control their diet when paired with variables of family size, home ownership, and household income (moderate to high). All of these qualities are assumed prevalent in typical audiences of the show. • Frequency: Weekly for the first 6 episodes, then bi-weekly after that (16 total episodes) Reach: 9.71 million viewers per episode o 9.71 million TM view/49.024 million in TM o = 19.8% of TM CPM: $200,347/9.71 million x 1000 o = $20.63 Total Cost: $3,205,552 • • • B. Print - Print media were chosen based on index numbers above 100 for our chosen demographic (male and female adults age 25-54 who currently control their diet), which is assumed to be more receptive to the idea of healthy fast food, and ultimately more likely to purchase from the Fast & Fit menu. Index values were balanced with the total circulation of each vehicle, frequency, and cost. Though CPM is high (especially for in-flight magazines), it is assumed the likelihood of purchase is higher with readers of these publications because they may be weary of the poor fast food choices usually available to travelers, or because they practice a healthy lifestyle in general. Print media reach is lower than broadcast media, but increasing awareness is an important part of our plan (because “healthy” fast food is not very common). To increase reach we are using vehicles with a high pass along readership (especially in-flight magazines). - Airline magazines were chosen because they reach business travelers. Weight Watchers magazine is highly targeted to people who are trying to lose weight by eating better and living a healthier lifestyle. Time and Business Week reach business people, who are assumed to be somewhat busy and may need to eat fast food on a regular basis. USA Weekend was chosen to reach a wider scope of potential Wendy’s customers. * All data taken from MediaMark (Appendix) US Airways Magazine (monthly) • Frequency = 1 per month (full page/full color) ~ 25 ~
  • 27. • • • Reach = 1.383 million view/49.024 million TM = 2.8% CPM: $22,980 /1.383 million x 1000 = $16.61 Total cost = $275,760 Delta Sky Magazine (monthly) • • • • Frequency = 1 per month (full page/full color) Reach = 1.712 million view/49.024 million TM = 3.5% CPM: $43,130/1.712 million x 1000 = $25.19 Total Cost = $517,560 Weight Watchers Magazine (6x's per year) (index = 141) • • • • Frequency = Every other month, full page/full color Reach = 6.087 million view/49.024 million TM = 12.4% CPM: $66,420/6.087 million x 1000 = $10.91 Total cost = $398,520 Time (weekly) • • • • Frequency = weekly for first 8 weeks, 2x's/month for next 4 months, monthly for next 6 months (all full page/full color) Reach = 9.158 million view/49.024 million TM = 18.7% CPM: $287,440/9.150 million x 1000 = $31.41 Total cost = $287,440 x (8 + 8 + 6) = $6,323,680 USA Weekend (weekly) • • • • Frequency = weekly for first 8 weeks, magazine size; 2x's/month for next 4 months, 3/5 page; monthly for next 6 months, 1/2 page (all ads full color) Reach = 22.573 million view/49.024 million TM = 46% CPM: $461,348 (average)/22.573 million x 1000 = $20.44 Total Cost = ($499460 x 8) + ($480250 x 2 x 4) +($385330 x 6) = $10,149,660 Business Week (weekly) • • • • Freq = weekly for first 8 weeks, full page/full color; 2x's/month for next 4 months, 2/3 page/full color; monthly for next 6 months, 2/3 page/full color Reach = 2.175 million view/49.024 million TM = 4.4% CPM: $101,150 (average)/2.175 million x 1000 = $46.51 Total cost = $2,225,300 C. Internet choices ~ 26 ~
  • 28. Facebook was chosen because it is practically a staple of daily online use. Facebook also allows targeting to certain demographics. (Appendix) Online banner ads were chosen for sites that reach travelers, business people, and people who are interested in their health. Facebook index is not above 100, but it can’t be ignored as an option for increasing awareness. All other online sites have index above 100. (Appendix) Facebook Ad: • • • • • Reach: 2.1M Impressions: $100/$0.41 x 1,000 = 244,000 impressions per day Frequency: 244,000 impressions per $100 ($0.41 CPM) Budget: Max. $500/day for first 8 weeks, $300/day for next 16 weeks, $200/day for next 28 weeks Total cost: $100,800 o $500 x 8 weeks x 7 days/week = $28,000 o $300 x 16 weeks x 7 days/week = $33,600 o $200 x 28 weeks x 7 days/week = $39,200 Online Banner Ads: • • • • WebMD.com Reach: 7,197 million/49,024 million= 14.7% Mapquest.com Reach: 22,024 million /49,024 million = 44.9% Expedia.com Reach: 9,164 million /49,024 million = 18.7% Msnbc.com Reach: 8,051 million /49,024 million = 16.4% • • • Average CPM for food ads = $7.00 (Appendix) Impressions per day per $1,000 = $1,000/$7.00 x 1,000 = 142,850 impressions per day Budget: Max. $5,000/day for first 8 weeks, $3000/day for next 16 weeks, $2000/day for next 28 weeks Total Cost: $1,008,000 o $5000 x 8 weeks x 7 days/week = $280,000 o $3000 x 16 weeks x 7 days/week = $336,000 o $2000 x 28 weeks x 7 days/week = $392,000 ~ 27 ~
  • 29. Integration assessment Media choices support reaching a target market of people who are presently controlling their diet. All chosen media have index numbers above 100. All media serve to increase awareness in the target market. Higher levels of advertising across all media in the first two months will increase awareness and trial. We chose to focus on two major demographic groups (business people, people who are active/healthy) and selected media that would reach them in several ways: TV ads, magazines, and online. Use of similar themes, words, colors, images, and references to wendys.com across all ads reinforce our message through repetition, to create a strong association between Wendy’s and the new menu. Media Budget • • • • • Advertising Cost (TV/Print): $32,365,327 Media Production Cost (10% TV/Print cost): $3,236,532 Total Cost of Media: $35,601,859 Internet Advertising: $1,108,800 Total Cost of Advertising: $36,710,659 Competitive Media Assessment Advertising to Sales Ratio: • • • Total Cost of Advertising: $36,710,659 Year One Forecasted Wholesale Sales: $208,352,000 A/S Ratio: 17.6% Competitors Overall Advertising to Sales Ratio: • • • • • • • McDonald's: 4.0% Burger King: 4.3% Wendy's: 4.0% Subway: 4.5% YUM! Brands: 5.2% Jack in the Box: n/a Industry average: 4.4% Wendy's is spending approximately the same overall percentage of sales as major competitors. Introducing a new product will require higher percentage of sales in the first year, both to increase awareness and to encourage trial use. ~ 28 ~
  • 30. Share of Voice: Wendy's has a much smaller share of voice than McDonald's and YUM! Brands. However, Wendy’s has and equivalent share of voice with Subway, the strongest competitor based on healthy options. Increasing share of voice will improve awareness, trial, and eventual repeat purchasers. Increasing share of voice over Subway, which offers the "best known" healthy menu, increases potential for brand switching to Wendy's for healthy fast food. ~ 29 ~
  • 32. Scheduling and Buying Website Objective: The Wendy’s corporate website will function mainly as a background support vehicle in the overall IMC plan. Fast food decisions are very low involvement and thus do not require significant website support. There will be no online sales. The website will be used primarily to increase awareness by promoting the new menu, providing nutritional information, and providing information/contacts for media inquiries. Site Layout: The Fast & Fit menu will be featured as a new product on the home page in November, nutritional information will be added to the “Nutrition” section, and the press release will be posted in the “News” section. (Appendix) No major changes need to be made to the Wendy’s website to support the introduction of the Fast & Fit menu. No additional websites are needed to promote the menu. Integration with IMC: A corporate website is necessary in today’s market, but it serves as mainly a support function for this product. It will support media inquiries and provide nutritional information, and thus support efforts to increase awareness. ~ 31 ~
  • 33. Direct Marketing Wendy’s Fast & Fit Menu promotion will entail a consumer direct marketing plan. Due to the nature of Wendy’s business, there will be no trade marketing involved. Direct mail would be too expensive for the budget. However, email is a nice option that could be done effectively and inexpensively. Objective: The objective is to increase awareness of Wendy’s Fast & Fit Menu and encourage trial use by way of coupons via email to targeted customers within the target market. Strategy: Utilize emailing list generated through Fanpage members on Wendy’s Facebook Fanpage and through viral videos on YouTube (see Viral Strategies section under Public Relations). When customers visit the Wendy’s YouTube channel, they will have a link encouraging them to become a fan of Wendy’s Fast & Fit Menu on Facebook. Everyone that becomes a fan on Facebook will be able to download a coupon redeemable at any Wendy’s location for $1 off of any Fast & Fit menu item (Appendix). Emails will be sent to fans that have email from Facebook enabled in their settings. These emails will be sent to fans at the beginning of the month for the first 6 months of the program’s introduction. The coupons will have a unique code that allows Wendy’s to track usage and restrict multiple usage of the same coupon (Assumption 17). Reach: 3 million through Facebook recommendations and YouTube viral video sign-ups on the Facebook Fanpage (Assuption 18). Of those 3 million, 2 million will have email options enabled to receive the coupon or download it directly from the page (Assumption 19). Of those 2 million, only one quarter of them will redeem the coupon each month over the 6-month period (Assumption 20). Therefore it is projected that 500,000 coupons will be used per month from the direct marketing campaign, totaling 3 million coupons redeemed over the course of the promotional time. Cost: 3 million coupons redeemed x $1 per coupon = $3 million. Production and distribution costs are zero. Total: $3 million Integration to IMC: This will continue to bring enthusiasm and positive word-of-mouth to Wendy’s. People will tell their friends and recommend that they become members and view the videos submitted on the YouTube page (see Viral Strategies). By using coupons, it will encourage both trial and repeat purchasing of the product, while allowing Wendy’s a way to physically track its effectiveness. ~ 32 ~
  • 34. Sales Promotion Objective: Encourage trial use by offering free samples from the Fast & Fit menu for a one-week period in November. Cost: 6,200 locations x 100 free samples accepted per restaurant x $1 per sample = $620,000 (Assumption) Integration with IMC: Getting people to try the new menu is essential to future, repeat purchases. A free sample overcomes barriers to trial use, such as cost and being unsure if the food will actually taste good. Once people try it and see that it is good (and good for them), it will increase trial and repeat purchases. Free samples specifically address our trial use goal of 25%. It will also create a specific event in consumers’ minds tying the new menu specifically to Wendy’s and reinforce TV, print, and online advertising running during this period. ~ 33 ~
  • 35. Point-of-Purchase (POP) POP: Displays Objective: The current Wendy’s in-restaurant/drive-thru menu signage will be utilized for promoting the Fast & Fit menu to increase awareness and trial purchase (Appendix). Cost is folded into corporate-wide budget for normal operating expenses incurred for updating signage, etc. Updated signage will be provided for November 2010 launch. Support Media: Banners Objective: Hung outside individual Wendy’s restaurants from November through January to increase awareness and encourage trial use. People would see the banners driving by restaurants and when entering. Assume 6,200 U.S. locations. Cost for 3’ x 8’ banner = $32 (Appendix) + $10 shipping (Assumption) = $42 each x 6,200 = $260,400 Reach and frequency are dependent on number of drive-bys and customers visiting restaurant; no data is available. However, it is safe to assume there would be millions of impressions across the nation. Integration with IMC: Direct target marketing through certain publications and TV shows is advantageous, but there are also people who don’t realize they would like to have healthier options when it comes to fast food choices. Increasing general awareness will increase the likelihood that we will generate good trial use numbers, and ultimately good repeat purchase numbers. Banners will directly link the Fast & Fit menu to Wendy’s and will use similar images, colors, and words to reinforce other advertising. In addition, where to grab a quick fast food meal is often made “on the fly” based on what presents itself at the moment (i.e. driving around and realizing they are hungry, then seeing a Wendy’s). People may also be enticed to try something on the Fast & Fit menu even if they had not intended to when they initially chose to eat at Wendy’s. ~ 34 ~
  • 36. Public Relations Consumer Public Relations Objective and strategy: Increase awareness of new menu with a press release, which will introduce the new menu and encourage trial use with the announcement of a free sample promotion. (Appendix) Timing: Issue press release in November when ad campaign is launched. Cost: Negligible cost for press release; see cost for sales promotion, above. Integration with IMC: The press release is intended to increase awareness through free media coverage of the new menu. The sales promotion event is to encourage trial use. It is an effective way to build on the print and television advertising running in November and create a sense of urgency to try it for free. Being able to sample the product for free decreases barriers to trial use (cost, not sure if it will taste good) and (assuming customers like what they try) increases chances for future, repeat purchases. Viral Strategies Objective: Increase product awareness of Wendy’s Fast & Fit menu by the use of a viral YouTube video. Strategy: At the introduction of Wendy’s new menu in November 2010, Wendy’s will introduce a contest for college-aged students to create a YouTube video that will be uploaded directly to the Wendy’s YouTube channel. This video should have a two and half minute limit, and should be used only in the promotion of the new Wendy’s Fast & Fit Menu. All contestants must be currently enrolled in a college or university, and they must be 18 years of age or older to be eligible. Timing: The video must be submitted by January 7, 2011. The winner will be announced on January 31, 2011. The YouTube video will be featured on the frontpage of Wendy’s YouTube channel and Facebook Fanpage on that date. It will then be available for all people to view and share with their friends. Grand Prize Award: A grand prize award will be awarded to the winner of the competition in the amount of $75,000. The second place prize will be a choice of a $25,000 scholarship or a brand new 2011 Ford Mustang car. ~ 35 ~
  • 37. Cost: Costs for introducing the competition will be negligible. Emails will be sent announcing the competition to all major universities colleges and their marketing departments. Reminder emails will be sent out one month later. Since students will be producing the videos at their own expense, there will be no production costs to Wend’y. The only major costs will be incurred in the grand prize and second place prize awards. Total costs: $100,000 Other details: The winner will be chosen by way of popular vote from those that visit the site from January 16 through January 30, 2011. Prior to that time, the videos will be narrowed down to the top 10, based on an algorithm that weights total viewership and ratings, along with the date submitted. From these final 10, viewers can place up to 14 votes a piece (limit of one vote per video per day for each voter) for the best video. Then, based on total votes received, the first and second place winners will be determined. Integration with IMC: YouTube is most popular among young adults, so it will most likely be affective for the lower half of the targeted age demographic. The nature of any competition is to encourage as many participants as possible. Bringing the attention of the Fast & Fit menu to college students will greatly strengthen word-of-mouth PR and viral communication. With a large number of video submissions and more than two months to produce the video, the number of good videos to choose from should be large, ensuring that the winning video will be one that will have great entertainment value. With college-aged students producing the videos, there will be a high likelihood that this will excite media sharing and viewership among younger audiences. College-aged young adults are also a great demographic source for creativity and humor, which will be essential for a successful viral campaign. Having people vote for the winner will enhance excitement and ensure that the video is the most popular. People are happier when they have the power to choose, and they will be more likely to tell their friends. Giving people the power of one vote per day creates better enthusiasm and return frequency to the site. The people who care the most will want an impact on the outcome so they will keep coming back, while encouraging others to participate. Another potential result of the viral campaign is the possibility that network TV news shows might pick up on the campaign and want to run a story featuring the winner and bring added potential publicity to the viral video and Wendy’s Fast & Fit Menu. Overall, the program should generate lots of excitement and media sharing among peers. This will greatly strengthen product awareness and should achieve a positive emotional response for most viewers and participants. Total reach is unknown. Although a number of views to each video will be known. ~ 36 ~
  • 38. Sample Press Release Wendy’s launches Fast & Fit menu with free samples Nov. 25-30 Anywhere, U.S.A. – Eat well when you’re on-the-go with Wendy’s new Fast & Fit menu. Soups, salads, wraps, and hot and cold sandwiches offer healthier options for people who need to eat fast, but want to eat well. New menu items feature vegetables such as tomatoes, spinach, peppers, and sprouts and lean meats such as turkey and chicken. Condiments include low-fat herb spreads and dressings, salsa, and gourmet mustard. Customers can receive one free sample November 25-30 at all Wendy’s locations nationwide; no purchase necessary. “We all enjoy a double-bacon cheeseburger and french fries,” said Wendy’s International, Inc. President J. David Karam. “The Fast & Fit menu doesn’t take away from that. We’re offering healthier options that fit into the American lifestyle. Our menu recognizes that people everywhere are paying more attention to their diet and want the option to make good food choices, especially when they need something fast and convenient.” The launch of Wendy's Fast & Fit menu continues the brand's history of fresh-tasting, innovative firsts. For example, Wendy's was first in the industry to offer ComboChoices – allowing customers to substitute a small chili, baked potato or one of two side salads, instead of fries, in the combo meals at no extra charge (2004). Wendy's International Overview Wendy's International is one of the world's most successful restaurant operating and franchising companies with more than 6,600 restaurants worldwide. Wendy's is a member of Wendy's/Arby's Group Inc. (NYSE: WEN). More information is available at www.wendys.com, or www.wendysarbys.com. Contacts: Kitty Munger Wendy's International (614) 764-3241 Kitty.Munger@Wendys.com ~ 37 ~
  • 39. Event Sponsorship Event Sponsorship and Sales Promotion (samples, coupon) Objective: Increase awareness and trial use at Rock n Roll Marathon series (14 major cities nationwide), which includes the race and an expo event at each city. (Appendix) Wendy’s would be identified as a corporate sponsor and included on all promotions. Booth at the expo event would offer free samples. Goody bags for racers would include a $1 off coupon. Frequency: 14 races between November 2010 and January 2011. Reach (annual): 312,000 participants, 1 million spectators, 707,000 at 2-day Health and Fitness Expo Sponsorship Cost: $500,000 (Assumption) Booth at Expo: $75,000 ($5000 fee per city x 14, plus $5000 for booth decor)(Assumption) Cost of samples: 75% (Assumption) x 707,000 attendees x $1 each = $530,250 (Appendix) Cost of $1 off coupon in goody bags for participants: $1 x 312,000 participants x 10% usage rate = $31,200 (Assumption) Coupon print cost: $1080/100,000 x 3.5 = $3,780 (Appendix) Integration with IMC: The Rock N Roll Marathon series is a large event that draws thousands of people specifically interested in a healthy lifestyle through physical activity. This is a prime venue to entice people to sample the product risk-free and will increase the likelihood of trial use after the event (coupon). The demographics lean slightly more female with above average incomes, which falls in line with demographic data for our target market of adults who presently control their diet. Presence at an event that promotes a healthy lifestyle supports the message we are using in our other advertising and promotions to “Eat Better. Live Right.”. Branded Entertainment (Product Placement) Wendy’s will not use product placement due to budgetary constraints. Also, it would be difficult to see distinguishable difference in the Wendy’s Fast & Fit Menu versus other parts of the menu based on product placement alone. More demonstration of the product differences and benefits is required. ~ 38 ~
  • 40. Evaluation of Promotional Plan All components in the IMC will be measured for effectiveness on reaching the objective of increasing awareness. This will allow for a comprehensive understanding of how the elements work together while also identifying specific areas that demonstrate success or may need improvement. Advertisements will be pre and post-tested using Gallop & Robinson’s Impact System (Appendix). The InTeleTest component is used for television ads; the Magazine Impact Research Service (MIRS) is used for magazine ads. The Impact System compiles information on day-after-recall (DAR), idea communication, persuasion, brand rating, and ad liking. Media Advertising Media advertising evaluation is to determine how well objectives have been met in regards to increasing awareness, and thus encouraging trial use and repeat purchases. • Television Pre-test and post-test DAR and other measures using Gallup and Robinson Impact System: InTeleTest Total Cost to test television ad effectiveness for 2 TV ads: $20,000 (Assumption) • Magazines Pre-test and post-test DAR and other measures using Gallup and Robinson Impact System: MIRS Total Cost to Test Magazine Effectiveness for four different sized ads: $40,000 (Assumption) Other Promotional Elements A range of different metrics will be used to assess how effective each promotional element achieves the objective of increasing awareness. Assume pre-testing was done as part of the inhouse development process of the overall IMC plan, and that all elements were deemed appropriate based on pre-testing results. Internet-related elements will be evaluated using Google Analytics, a powerful tool for analyzing onlne advertising and web site traffic. Direct marketing, sales promotions, point-ofpurchase, public relations, and event sponsorship effectiveness will be evaluated using straightforward measurements such as increases in sales, number of samples distributed, and number of coupons redeemed, among others. Effectiveness can be difficult to evaluate because of the qualitative nature of the promotional elements and the long-term effect on awareness, but the data gathered can be utilized to develop a useful picture of trends over time that will ~ 39 ~
  • 41. ultimately provide a valid, reliable, and meaningful understanding of effectiveness to the overall marketing communications plan. Internet Advertising Posttest using click-through rate (available through Google Analytics) No added cost Website Posttest using Google Analytics data on hits, pages viewed, unique visitors, etc. No added cost Direct Marketing: Email coupon Posttest using number of emails sent through Facebook, number registered through YouTube link, and by tracking number of coupons redeemed No added cost Consumer Sales Promotion: Free samples and coupons Posttest by tracking number of free sample tried during promotion and coupons redeemed No added cost POP In-Store Display (menu boards) and exterior banners Posttest using exit poll and tracking sales in restaurants No added cost Public Relations: Press Release Posttest by tracking total number of press clippings, where did the coverage appear, positive vs. negative media coverage, and accuracy of information No added cost Event Sponsorship: Rock N Roll Marathon Series and Expo Posttest by tracking redemption rate of coupon in goodie bag and exit survey following expo No added cost ~ 40 ~
  • 42. IMC Budget Budgeting Method: • Objective and task method • Percent of sales o 4% floor • $208,352,000 x 4% = $8,334,080 o 20% ceiling • $208,352,000 sales x 20% = $41,670,400 Costs: Advertising Costs • Television: $12,474,847 • Print: $19,890,480 • Production: $3,236,532 (10% TV/Print Costs) • Internet: $1,108,000 • Total: $36,710,659 Website Costs • No further web development is needed, since Wendy’s current website is sufficient • Total: $0 Direct Marketing Costs • Consumer: $3,000,000 • Trade: $0 • Total: $3,000,000 Sales Promotion Costs • Consumer Sampling: $620,000 • Trade: $0 • Total: $620,000 Point-of-Purchase Costs • Displays: $0 (normal corporate budget expense) • Banners: $260,400 • Total: $260,400 ~ 41 ~
  • 43. Public Relations Costs • Consumer PR: ~ $0 (Press Release – cost is negligible) • Viral Strategies: $100,000 • Total: $100,000 Event Sponsorship Costs • Event Sponsorship and Sales Promotion: $1,140,230 • Branded Entertainment (Product Placement): $0 • Total: $1,140,230 Promotional Plan Evaluation Costs • TV Testing: $20,000 • Print Testing: $40,000 • Total: $60,000 Total IMC Budget = $41,891,289 Forecasted Sales: $208,352,000 Total IMC Budget as a Percentage of Forecasted Sales = 20.1% • 41,891,289 IMC Budget/$208,352,000 Total Projected Sales = 20.1% Industry advertising to sales ratios: • McDonald’s: 4.0% • Burger King: 4.3% • Subway: 4.5% • Yum! Brands: 5.2% • Industry average: 4.4% Comparison of Wendy’s IMC budget to sales and the industry average ~ 42 ~
  • 46. Appendix 1: Adults that bought Wendy’s in the past 6 months Fall 2008 Product: Leisure/Sports Fast Food & Drive-In Restaurants Bought At Last 6 Months Wendy's Adults Total Proj Pct Pct Index '000 '000 Across Down Total Educ: graduated college plus Educ: attended college Educ: graduated high school Educ: did not graduate HS Educ: post graduate Educ: no college Adults 25-54 Occupation: : Professional and Related Occupation: s Occupation: Management, Business and Financial Operations Occupation: Sales and Office Occupation: s Occupation: Natural Resources, Construction and Maintenance Occupation: s Occupation: Other Employed HHI150,000+ HHI$75,000-$149,999 HHI$60,000-$74,999 HHI$50,000-$59,999 HHI$40,000-$49,999 HHI$30,000-$39,999 HHI$20,000-$29,999 HHI<$20,000 Marital Status: Never Married Marital Status: Now Married Marital Status: Engaged Marital Status: Widowed/Divorced/Legally Separated Child age: <12 months Child age: 12-23 months Child age: <2 years Child age: <6 years Child age: 2-5 years Child age: 6-11 years Child age: 12-17 years Home: Owned Race: White Race: Black/African American ~ 45 ~ 223672 58543 60791 70385 33953 19136 104338 126601 30625 21586 35653 71458 19581 21275 22000 8601 5947 30602 44234 10770 7601 12951 31.9 33.4 35 31.3 25.3 31.1 29.3 34.9 35.2 35.2 36.3 100 27.4 29.8 30.8 12 8.3 42.8 61.9 15.1 10.6 18.1 100 105 110 98 79 97 92 109 110 110 114 15303 41255 22601 60271 24590 19110 20909 22797 22199 31197 56390 125359 10911 41922 10440 8780 18764 44047 33622 41841 44714 156971 171775 25755 5087 14394 7240 20934 8562 6334 6819 6811 6435 8323 19485 41137 3766 10836 3830 3341 6918 16069 12170 14760 15163 50579 56378 8714 33.2 34.9 32 34.7 34.8 33.1 32.6 29.9 29 26.7 34.6 32.8 34.5 25.8 36.7 38.1 36.9 36.5 36.2 35.3 33.9 32.2 32.8 33.8 7.1 20.1 10.1 29.3 12 8.9 9.5 9.5 9 11.6 27.3 57.6 5.3 15.2 5.4 4.7 9.7 22.5 17 20.7 21.2 70.8 78.9 12.2 104 109 100 109 109 104 102 94 91 84 108 103 108 81 115 119 115 114 113 110 106 101 103 106
  • 47. Appendix 2: Adults that presently control diet Fall 2008 Product: Health & Beauty Aids Diet Control/Eating Habits Presently I control my diet Adults Total '000 Proj '000 Pct Across Pct Down Index 223672 92925 41.5 100 100 Educ: graduated college plus 58543 28171 48.1 30.3 116 Educ: attended college 60791 26209 43.1 28.2 104 Educ: graduated high school 70385 26909 38.2 29 92 Educ: did not graduate HS 33953 11636 34.3 12.5 82 Educ: post graduate 19136 9699 50.7 10.4 122 Total Educ: no college 104338 38545 36.9 41.5 89 Adults 25-54 126601 49024 38.7 52.8 93 Occupation: : Professional and Related Occupation: s 30625 14204 46.4 15.3 112 Occupation: Management, Business and Financial Operations 21586 9404 43.6 10.1 105 Occupation: Sales and Office Occupation: s 35653 14896 41.8 16 101 Occupation: Natural Resources, Construction and Maintenance Occupation: s 15303 3678 24 4 58 Occupation: Other Employed 41255 14054 34.1 15.1 82 HHI150,000+ 22601 10689 47.3 11.5 114 HHI$75,000-$149,999 60271 26026 43.2 28 104 HHI$60,000-$74,999 24590 9461 38.5 10.2 93 HHI$50,000-$59,999 19110 8006 41.9 8.6 101 HHI$40,000-$49,999 20909 8469 40.5 9.1 97 HHI$30,000-$39,999 22797 8837 38.8 9.5 93 HHI$20,000-$29,999 22199 8888 40 9.6 96 HHI<$20,000 31197 12550 40.2 13.5 97 Marital Status: Never Married 56390 19351 34.3 20.8 83 Marital Status: Now Married 125359 55303 44.1 59.5 106 Marital Status: Engaged 10911 3979 36.5 4.3 88 Marital Status: Widowed/Divorced/Legally Separated 41922 18271 43.6 19.7 105 Child age: <12 months 10440 3110 29.8 3.3 72 Child age: 12-23 months 8780 2843 32.4 3.1 78 Child age: <2 years 18764 5864 31.3 6.3 75 Child age: <6 years 44047 15159 34.4 16.3 83 Child age: 2-5 years 33622 11857 35.3 12.8 85 Child age: 6-11 years 41841 15581 37.2 16.8 90 Child age: 12-17 years 44714 17369 38.8 18.7 94 Home: Owned 156971 69398 44.2 74.7 106 Race: White 171775 74322 43.3 80 104 25755 9570 37.2 10.3 89 2039 625 30.7 0.7 74 Race: Black/African American Race: American Indian or Alaska Native ~ 46 ~
  • 48. Appendix 2: Adults that presently control diet Fall 2008 Product: Health & Beauty Aids Diet Control/Eating Habits Presently I control my diet Adults Total '000 Proj '000 Pct Across Pct Down Index 223672 92925 41.5 100 100 Educ: graduated college plus 58543 28171 48.1 30.3 116 Educ: attended college 60791 26209 43.1 28.2 104 Educ: graduated high school 70385 26909 38.2 29 92 Educ: did not graduate HS 33953 11636 34.3 12.5 82 Educ: post graduate 19136 9699 50.7 10.4 122 Total Educ: no college 104338 38545 36.9 41.5 89 Adults 25-54 126601 49024 38.7 52.8 93 Occupation: : Professional and Related Occupation: s 30625 14204 46.4 15.3 112 Occupation: Management, Business and Financial Operations 21586 9404 43.6 10.1 105 Occupation: Sales and Office Occupation: s 35653 14896 41.8 16 101 Occupation: Natural Resources, Construction and Maintenance Occupation: s 15303 3678 24 4 58 Occupation: Other Employed 41255 14054 34.1 15.1 82 HHI150,000+ 22601 10689 47.3 11.5 114 HHI$75,000-$149,999 60271 26026 43.2 28 104 HHI$60,000-$74,999 24590 9461 38.5 10.2 93 HHI$50,000-$59,999 19110 8006 41.9 8.6 101 HHI$40,000-$49,999 20909 8469 40.5 9.1 97 HHI$30,000-$39,999 22797 8837 38.8 9.5 93 HHI$20,000-$29,999 22199 8888 40 9.6 96 HHI<$20,000 31197 12550 40.2 13.5 97 Marital Status: Never Married 56390 19351 34.3 20.8 83 Marital Status: Now Married 125359 55303 44.1 59.5 106 Marital Status: Engaged 10911 3979 36.5 4.3 88 Marital Status: Widowed/Divorced/Legally Separated 41922 18271 43.6 19.7 105 Child age: <12 months 10440 3110 29.8 3.3 72 Child age: 12-23 months 8780 2843 32.4 3.1 78 Child age: <2 years 18764 5864 31.3 6.3 75 Child age: <6 years 44047 15159 34.4 16.3 83 Child age: 2-5 years 33622 11857 35.3 12.8 85 Child age: 6-11 years 41841 15581 37.2 16.8 90 Child age: 12-17 years 44714 17369 38.8 18.7 94 Home: Owned 156971 69398 44.2 74.7 106 Race: White 171775 74322 43.3 80 104 25755 9570 37.2 10.3 89 2039 625 30.7 0.7 74 Race: Black/African American Race: American Indian or Alaska Native ~ 47 ~
  • 50. Appendix: TV Ad #1 Scene 1: Businessmen at the airport waiting for their flight discuss what food options there are. One man says to the other, “Man, I just wish there was something better to eat. I’m starving, but I can’t stand the junk that they serve at these places.” The other man responds, “Yeah, I know what you mean.” Scene 2: Third businessman approaches carrying delicious healthy Wendy’s food. Scene 3: Camera focuses in on food ~ 49 ~
  • 51. Scene 4 Other businessmen look at food in bewilderment. It is obvious that they are jealous of what third businessman has. Scene 5: Third businessman boasts, “What? It’s Wendy’s new Fast & Fit Menu! . . . So, are you guys ready to go?” Scene 6: Previous two businessmen are shown running away from terminal to get food. ~ 50 ~
  • 52. Scene 7: Voice over (male voice with enthusiasm): “Introducing the new Fast & Fit menu, only at Wendy’s! Great meals that won’t break the budget, or your diet.” Fast food . . . without the guilt! Scene 8: Voice over continued: “Eat better. Live Right . . . Eat better. Live right. ~ 51 ~ www.wendys.com
  • 53. Appendix: TV Ad #2 Scene 1: Jogger shown running. Scene 2” Businessman in a hurry decides to get some food before the meeting. Standing outside Wendy’s, he appears uncertain if he has time or wants to go in. ~ 52 ~
  • 54. Scene 3: Jogger sees Wendy’s and decides to stop in. Scene 4: Businessman recognizes jogger. Businessman to person on phone: “Hey, hang on a sec.” Businessman to jogger: “I didn’t expect to see you here!?” Jogger responds: “It’s the new Fast & Fit menu at Wendy’s." Businessman to person on phone: “Listen, I gotta run!” Businessman hangs up phone. Businessman now appears convinced of eating at Wendy’s and now appears to have more time. Both enter Wendy’s together, flirtatiously smiling Scene 5: Voice over (male voice with enthusiasm): “Introducing the new Fast & Fit menu, only at Wendy’s! Great meals that won’t break the budget, or your diet.” Fast food . . . without the guilt! ~ 53 ~
  • 55. Scene 6: Voice over continued: “Eat better. Live Right . . . Eat better. Live right. www.wendys.com Radio Ad Script Wendy’s has elected not to do radio ads for this campaign because of the difficulty in contract negotiations with radio stations. They will leave it up to individual franchises to decide whether they want to advertise on the radio in their local areas. Wendy’s instead will focus on TV and magazine advertising. ~ 54 ~
  • 56. Appendix: Print Ad Layout ~ 55 ~
  • 57. Appendix: Gross Impression (12 Months) # of Runs Gross Viewership Impressions (per 12 months) (millions) (millions) TV: The Biggest Loser Grey's Anatomy Dr. Oz Extreme Makover Print Media: Business Week USA Weekend Time US Airways Mag Delta Sky Mag Weight Watchers Internet: Facebook ads Online banner ads Total Gross Impressions 24 12 27 11 8.4 10.9 3.5 9.7 202.1 130.8 94.5 106.7 22 22 22 12 12 6 2.2 22.6 9.2 1.4 1.7 6.1 47.9 496.6 201.5 16.6 20.5 36.5 52 2.1 109.2 52 46.4 46.4 1509.304 ~ 56 ~
  • 58. Appendix: Dr. Oz TV Show Ratings ~ 57 ~
  • 59. Appendix: TV Ad Costs (Extreme Makeover: Home Edition, The Biggest Loser, Grey’s Anatomy) ~ 58 ~
  • 60. Appendix: TV Ad Spot Average on ABC ~ 59 ~
  • 61. Appendix: Wendy’s Menu Images (point of Purchase display) ~ 60 ~
  • 62. Appendix: 3’x8’ Banner Appendix: Wendy’s Coupon ~ 61 ~
  • 63. Appendix: Wendy’s Online Banner Embedded link to www.wendys.com, which will link to nutritional information, etc. Appendix: Wendy’s Current Homepage ~ 62 ~