The advertising campaign of Market research

The advertising campaign of

Market research

Broad economic picture Time: 2007 Place: Russian Federation, Moscow Product: Кофе Хауз (Kofe House) There are 2 types of cafes: 1)System of cafes 2)Single cafes The biggest systems have Кофе Хауз and Шоколадница We can divide cafes on : 1) Place where we can eat lunch 2) Place where we can drink a cup of coffee and have a little snack

Competition Name of chain Number of Average bill ($) trade points Кофе Хауз 57 10 -12 Шоколадница 31 10 -15 Мока Лока 14 5 -10 Кофе Тун 9 15 -20 Кофемания 6 20 -25

Competition n Our main competitor is Шоколадница (Shokoladnitca) n But there are hundreds of cafes in Moscow, so we can say that the competition is very high. n In the whole there are no good advertisement of any café now. We must create an outstanding and good advertisement

Problems n Heavy competition n No strong positioning, so our café couldn’t be distinguished. Opportunities n We have many cafes Кофе Хауз around the city (about 60 cafes) we can cover a larger target group. n Our café may be perceived as a place where friends meet and have some fun we can attract students (the most active consumers)

Objectives n There are hundreds of cafes on the market now, but they are similar. We must be distinguished by our advertising campaign from other cafes. We must have a strong positioning and try to occupy about 40% of market during 3 months.

Marketing strategies n Launch advertising campaign on radio and in newspapers and magazines. n Make promo actions in places, where target group is.

Consumer

Market segmentation n Demographic data: - men/women - age – 17 -25 - students or young people with higher education - not married or civil-married - income – medium or low n Psychographic data: - prefer active life - emotional buyers - like everything unusual, modern. - want to underline their individuality - innovators

How consumers are choosing cafe Brand loyalty Location Nice storefront Friend’s opinion

Values of our consumers n Relations with friends Showing their individuality Status in group of friends n Relations with opposite sex We will show their main n n values in our advertisement

Product

Positioning n Place where you can spend some time with your friends, listen to music, have some fun and strike up new acquaintances.

Price n Our café will be for students prices will be rather cheap, but meal will be tasty and high-quality. For example business lunch will cost 100 -150 rubles. A cup of coffee 30 -50 rubles.

Interior We offer to change colors of interior, because beige, brown and yellow are too traditional. We offer to use silver, beige and light-green. In one corner there will be a stage for concerts of young groups or singers, or for some animation programs. All cafes will have something like animation team.

Brand name n We will not change the name «Кофе Хауз» , but we can offer you another variant as “Young House” Logotype n Change colors for light green and beige

Slogan “Meet you in Cofe House” n n n Short and attention getting. Have an appeal Appeals you to go to café and spend time with your friends (one of main values)

Media Planning

Type of media n Our target audience: students print advertising will be the most appropriate media n For café traditionally used media – is outdoor advertising

Reach, frequency and continuity Reach: we suppose 70% of our target audience is exposed to an advertising message at feast once during a month n n Frequency distribution: 35% of audience has 0 -2 exposures 40% has 3 -5 exposures 15% has 5 -7 exposures 10% has 7 -9 exposures

n n Continuity: Our advertising campaign will be continued for 9 month. From August to May – it is the peak buying season First part – the main theme of advertising campaign – the beginning of studying and autumn. 01. 08 - 01. 11 Second part – Happy New Year and frosty winter. 01. 11 – 01. 02 Third part – the beginning of spring. 01. 02 – 01. 05

Theories of media use The media dominance theory. n During the first period (from August to November) – print advertising will dominate + promotion events n The second period – outdoor advertising + promotion events n The third period – dominance of print advertising

Media objectives n Focus advertising on present users n Motivate preference of the product n Reach a market share of 40% by the end of advertising campaign

Media strategies n Direct the effort at students and young adults (ages 17 -25) n Achieve a reach of 80 and average monthly frequency of 5 among target audience. n Use media that reflect the product concept.

Print

Print advertisement n It illustrates relations between friends n It shows one the main values of consumers n A cup of coffee symbolizes a man

Outdoor

Outdoor advertisement n n Copies print advertisement, but has another picture, because print variant will be difficult to see and recognize. It illustrates relations between friends It shows one the main values of consumers A cup of coffee symbolizes a man

Thanks for listening! And Happy New Year! Olga Kostrova