2012 Media Campaign
Executive Summary Jamba Juice is already the leader in the smoothie market. They have a strong brand image, loyal fans, and locations across the U.S. However, the economy has hurt their sales and they are starting to lose market share to new smoothie shops as well as other chains such as McDonalds who have started offering smoothies. Our strategy focuses on retaining brand loyalty and expanding Jamba Juice in markets where they already exist, but could use a boost. Jamba has a steady fanbase, but has done little in recent years to try and attract new loyal customers. We propose a large campaign to get back lost market shares and gain new customers. We will target females ages18-34. They are active, social women who like to live healthy lifes. Many are still in college and others are just beggining their careers and their families. We have selected 5 major cities to focus our campaign. These are large cities where Jamba already has an established presence. We have divided our campaign into two flights- a Summer flight and a winter flight. Summer is peak smoothie season due to the warmer weather and in effect is the most advatageous season to increase brand loyalty and find new customers. For that reason the summer flight will be more intense with more ads being run. Sales always decrease in the winter due to the cold weather. For that reason we will scale back our efforts during the winter months, running fewer ads with less frequency. During the winter we will highlight our new oatmeal line, which is the only product designed for the cold winter months.
1
Situation Analysis California-based Jamba Juice has 742 locations consisting of 364 company-owned and operated stores and 378 franchise stores. As reported in the October 2010 Jamba Inc. presentation, Jamba Juice holds the largest share of smoothies sold nationally and ranks fourth among top-of-mind healthy food/beverage brands—ahead of brands like Lean Cuisine, Panera, and Weight Watchers. The company is well-known for their healthy, all-fruit smoothies and their fun interesting flavor combinations, however the competition is fast-rising. research used: academic.mintel
Competitors Jamba Juice remains the number one Smoothie chain in the US, but there are a few smoothie chains quickly catching up; most notably The Smoothie King, Maui Wowi, and Planet Smoothie.
Recently, however, our newest competition has been other restaraunts that are not smoothieoriented but now offer smoothies. For example, in 2010 McDonalds sold the most smoothies in the US out of any restaraunt. Though they sell a lot of smoothies we don’t consider restaraunts like McDonalds direct competitors. Rather, we believe that people get smoothies there for convenience, but true smooth afficionados like our customers tend to only get their at smoothies at smoothie chains like Jamba Juice.
2
SWOT Strengths
Strong brand recognition Well known company Variety of different smoothies and fresh squeezed juices Offers a breakfast oatmeal Unique texture makes smoothies stand apart from competition Their smoothies are viewed as a healthy product Strong brand loyalty among their fans
Weaknesses
Cold weather affects sales No strong advertising campaign
Opportunities
Appeals to health conscious audience Continually adding healthy items to their menu. Their ingredients are ahead of the competition in freshness. Opened first international Jamba in Korea last year They launched a line of pre-made smoothie mixes and concentrates available in any grocery store
Threats
The poor economy is affecting sales No strong marketing campaign Transportation and Agricultural costs are going up decreasing access to fresh ingredients Competitors like Smoothie King and Planet Smoothie are quickly rising
4
Target Audience • • • • •
Women Ages 18 - 34 In college or recently graduated Single or Newlywed Interested in Tennis, Yoga Aspiring Business Women
Our Target Audience was chosen based on current customers of Jamba Juice and current customers of related products such as fruit juices and smoothies. These women are active, and enjoy the image of being healthy. They go to Jamba Juice because they feel good about being seen there and feel good about the healthy image of the fruit smoothies. They don’t bother checking the actual calories.
• • • • •
Honolulu, HI Los Angeles, CA Miami, FL Dallas, TX New York, NY
Target Markets
We chose these 5 markets because they all have a decent concentration of Jamba Juice stores already, but could use a little more growth, with the exception of L.A. where there is already a heavy concentration of stores. Most of these areas are warm and sales of smoothies are not affected by the winter months. Most contain colleges and universities where large concentrations of our target market can be found.
5
Media Objectives Objectives
Keep current customers or regain recent customers • Promote new loyalty program. • Use Social Media to target fans of Jamba and give them incentives to come more often
Bring in new customers whilst promoting brand loyalty. • Using Mass Mediums such as TV and magazines will target those who are not current customers but who have similar demographic profiles as frequent customers Speak to very specific audience • Extensive research of our target markets interests and lifestyle. • Advertising on Facebook • Outdoor advertising at gyms and tennis tournaments. • We will advertise in Yoga, Tennis, Personal Finance, and Young Mother magazines. • Cable television advertising on MTV and other programming. Create a Jamba culture • Promote loyalty rewards program • Give out swag to loyalty members • Website contains a social aspect • Users can share their favorite smoothies and show off their rewards
6
Television We will run a more intense campaign during the summer, quarters, 2 & 3, as the summer is peak smoothie season. We will run 9 flights total. Each flight will be two weeks long with a week off in between. Each flight we will shoot for a total of 400 GRP’s. Summer is the most efficient time to increase brand loyalty and attract new customers. We will run our ads during prime time television when our target audience is catching up on their favorite shows.
We will scale back the campaign during the winter, quarters 1 & 4. We will have thirteen total flights, one week on, one week off. Each flight will only contain a total of 200 GRP’s. It’s cold during the winter and smoothie sales decrease with the falling temperature. We will push our oatmeal during the wintertime. We will split our ads evenly between primetime television and early morning TV; hoping to catch our target audience as they’re getting ready for work or school. Summer Winter
LA 1Q 2Q 3Q 4Q
Miami 1Q 2Q 3Q 4Q NY 1Q 2Q 3Q 4Q
Dallas 1Q 2Q 3Q 4Q
Hawaii 1Q 2Q 3Q 4Q
400 GRP's per flight in Q's 2 & 3. 9 flights total 200 GRP's per flight in Q's 1 & 4. 13 flights total
Early Mor. 639 749 709 831
Prime Time 3,529 4,115 4,009 4,699
Per Flight total
416,800 1,646,000 1,603,600 553,000
182 213 201 236
1,376 1,603 1,562 1,831
155,800 641,200 624,800 206,700
623 731 692 811
2,841 3,314 3,227 3,783
346,400 1,325,600 1,290,800 459,400
289 338 321 376
1,039 1,212 1,181 1,384
132,800 484,800 472,400 176,000
32 38 36 42
82 96 93 109
11,400 38,400 37,200 15,100
7
Television Cont’d LA Winter Ave.
LA grand total
Sum. Tot.
6,303,700
14,623,200
20,926,900
181,250
Win. Tot.
2,356,250
Miami grand total
8,053,250
402,900
Win. Tot.
NY grand total
Sum. Tot.
5,237,700
11,773,800
17,011,500
Dallas Winter Ave
154,400
Win. Tot.
2,007,200
Dallas grand total
6,314,600
Hawaii Winter Ave.
13,250
Win. Tot.
172,250
Hawaii grand total
512,450
484,900
Win. Tot.
Miami Winter Ave
NY Winter Ave
Sum Ave.
Sum. Ave.
Sum. Ave
Sum. Ave
Sum. Ave.
1,624,800
633,000
1,308,200
478,600
37,800
Sum. Tot.
Sum. Tot.
Sum. Tot.
Year GRAND TOTAL
5,697,000
4,307,400
340,200 52,818,700
Year Grand Total for Television -
$52,818,700
8
Magazine We decided to pick Tennis , Finance, Yoga and Family Fun Magazines because it reflects the interest of our target audience. These magazines have the highest circulation number and the lowest CPM. Our research showed that many in our target market subscribed to personal finance magazines because they are young aspiring business women. They are also active and involved in activities such as tennis and yoga. Many are young mothers that subscribe family fun magazines. From April- September, the summer months and peak smoothie season, we’ll run two ads per magazine. We’ll be running these ads in 8 magazines with the best CPM in each of the high-interest areas of our target market. From October-March, slower smoothie months, we recommend just running one ad per magazine. Also we recommend just running the ads in 4 magazines instead of 8.
April - September
Tennis Tennis Magazine: Full page 4 color - $52,500 *2= $105,000 Circulation is 705,778 CPM $74.38 Total per 6 months is $630,000 Personal Finance Black Enterprise: Full page 4 color - $37,500*2=$ 75,000 Circulation is 508,489 CPM $ 73.75 Total per 6 months is $450,000
Business week Full page 4 color - $106,500 *2= $213,000 Circulation is 985,516 CPM $108,06 Total per 6 months is $1,278,000 Business 2.0 Full page 4 color - $ 61,000*2=$ 122,000 Circulation is 564,330 CPM $108,09 Total per 6 months is $732,000
Yoga Journal Full page 4 color - $23,995 *2=$47,990 Circulation is 325,994 CPM $73,60 Total per 6 months is $2,879,40 Family Family circle Full page 4 color - $ 216,400*2=$ 432,800 Circulation is 4,267,535 CPM $ 50,71 Total per 6 months is $2,596,800 Family Fun Full page 4 color $122,230*2=$244,460 Circulation is 1,874,417 CPM $65, 21 Total per 6 months is $1,466,760
Monthly Total: $1,459,250
Summer Total: $8,755,500
Yoga Fitness Full page 4 color - $109,500*2=$ 219,000 Circulation is 1,556,469 CPM $70,35 Total per 6 months is $1,314,000
Year Grand Total for Magazines:
October - March
Tennis Tennis Magaine: Full page 4 color - $52,500 Circulation is 705,778 CPM $74, 38 Total per 6 months is $ 315,000 Personal Finance Black Enterprise: Full page 4 color - $37,500 Circulation is 508,489 CPM $ 73,75 Total per 6 months is 225,000
Yoga Fitness Full page 4 color - $109,500 Circulation is 1,556,469 CPM $70,35 Total per 6 months is $657,000
Family Family circle Full page 4 color - $ 216,400 Circulation is 4,267,535 CPM $ 50,71 Total per 6 months is 1,298,400
Monthly Total: $415,900
Winter Total:$2,495,400
$11,250,900
9
Internet Facebook Advertising allows us to target very specific individuals. The CPC and Reach estimates are based on our target audience in our 5 markets. The Ad is set up so that each click on the ad is a “Like” on the Jamba Facebook page. Those who “like” our page will see the things that are posted on the Jamba page and be exposed to the contests, promotions, and giveaways that we promote there. Some of those fans our our facebook page will translate into regular customers who visit Jamba Juice every day. Some won’t go at all. We are going to assume an average of each fan visiting Jamba twice a month.
CPC Budget/Day Clicks/Day New "Likes"/Month total new fans over the campaign New Revenue/Month
Social Media Management/Month Social Media Management Total Ad Cost per Month Full Campaign Cost Ad and Management Total
Year Grand Total for Internet:
$0.69 $30 43 1304 7826 $ 78,260.87 $750 $9,000 $900 $5,400 $14,400
$14,400
10
Outdoor We will place billboards throughout our major markets to remind our target audience how much they love Jamba as they commute to work or school. We will also place some at the locations of different sporting events; like tennis matches LA 60 boards cost per board $475 $28,500 for one month
MIAMI 60 boards cost per board $400 $24,000 for one month NY 60 boards cost per board $500 $30,000 for one month DALLAS 60 boards cost per board $450 $27,000 for one month HONOLULU 60 boards cost per board $375 $22,512 for one month
Year Grand Total for Outdoor:
$792,072
11
1
$ 722,512.50
$ 2,890,050.00
Wekly Total
Monthly Total
TOTAL
1
1
1
1
$ 2,890,050.00
$ 722,512.50
$ 103,975.00
1
-
$ 103,975.00
1
$
187.50
$ 415,900.00
1
Month week
-
$
$ 415,900.00
Magazines
week
$
187.50
$
Month
Outdoor
week
$
$
$
$
1
$
$
$
1
1
1
4,126,750.00
825,387.50
83,180.00
415,900.00
-
187.50
750.00
2
2
364,812.50
$
7,716,512.00
$ 1,929,128.00
$
$ 1,459,250.00
2
33,003.00
$
2
132,012.00
412.50
1,650.00
1,530,900.00
$
$
$
$
1
1
1
412.50
1,650.00
2
2
2
2
33,003.00
2
$
$
$
$
$
2
2
2
26,402.40
132,012.00
330.00
1,650.00
1,224,720.00
364,812.50
$
291,850.00
$ 7,716,512.00
$
7,716,512.00
########### $ 1,543,302.40
$
########### $ 1,459,250.00
$
$ 132,012.00
$
$
$ 1,530,900.00
########### $ 6,123,600.00
1
1
412.50
$
2
2
2
33,003.00
364,812.50
$ 7,716,512.00
###########
$
###########
2
$
$ 132,012.00
1,650.00
$ 412.50
1,650.00
2
2
2
2
33,003.00
2
$
$
$
$
2
2
2
26,402.40
132,012.00
330.00
1,650.00
1,632,960.00
364,812.50
$
291,850.00
$ 5,675,312.00
$
9,757,712.00
########### $ 1,951,542.40
$
########### $ 1,459,250.00
$
$ 132,012.00
$
$
$
$ 1,020,600.00
1
$ 1,530,900.00
1 ########### $ 8,164,800.00
1 ###########
1
1
1
1
-
1
187.50
750.00
$ 2,890,050.00
$ 722,512.50
$ 103,975.00
$ 415,900.00
1
$
$
$
$ 618,350.00
##########
1
1
1
1
-
1
187.50
750.00
$ 2,890,050.00
$ 722,512.50
$ 103,975.00
$ 415,900.00
1
$
$
$
$ 618,350.00
##########
$
$
$
$
1
$
$
$
$
$
1 1
1
1
1
2,890,050.00
701,717.50
83,180.00
415,900.00
-
187.50
750.00
618,350.00
2,473,400.00
$ $
$
$
$ $
$ $
$
750.00
1 $ 6,123,600.00
$
750.00
$
$
742,020.00
1
$
1 3,710,100.00
1 $
Month
$ 618,350.00
1
$ 618,350.00
1
##########
1
##########
1
Online
Month week
TV
Jamba Juice Recommended Media Plan Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Week 1 2 3 4 1 2 3 4 1 2 3 4 5 1 2 3 4 1 2 3 4 1 2 3 4 5 1 2 3 4 1 2 3 4 1 2 3 4 5 1 2 3 4 1 2 3 4 1 2 3 4 5
64,876,072.00
64,876,072.00
11,250,900.00 11,250,900.00
791,072.00 792,072.00
14,400.00
14,400.00
52,818,700.00 52,818,700.00
Flow Chart
12
Proposed Budget Television
Magazine
Internet Outdoor
Year Grand Total for all Mediums:
$52,818,700 $11,250,900 $14,400
$792,072
64,876,072
13