Ashley by Eddie Schneider

media plan INNOVATIVE VISUALS

whatâ&#x20AC;&#x2122;s the market like? Recently, furniture companies have started to adapt. As technology progresses, so does the way consumers purchase goods. A shift from traditional to digital advertising has been made, and companies are beginning to sell their good not only in storefronts, but online as well. While companies like IKEA have had an online presence for some time, as the millennial generation continues to age, the demand for companies to enable online shopping has become greater. A common feature in the furniture industry is the assistance of customers in design. Ethan Allenâ&#x20AC;&#x2122;s website offers a 2-dimensional room planner, and IKEA has recently released an iPhone/Android application that allows users to take a photo of their space, and virtually place IKEA furniture in it to test different colors and styles. Ethan Allen also offers free interior designers available to not only speak with customers, but who will also visit the homes of potential buyers to create a unique design plan. Pottery Barn offers a program for new movers, which includes free interior design help and savings on paint. Their website includes room ideas and inspiration for consumers.

who’s the competition? Ashley Furniture is preparing to launch their online site, allowing users to complete transactions online. This will bring the company up to speed with competitors like IKEA and Rooms To Go. IKEA has recently partnered with Marriott to launch a hotel chain called Moxy, with the specific goal of catering to millennials. Arne Sorenson, the CEO of Marriott International reported in April that “every aspect of the hotel was thoughtfully researched and crafted to reflect and deliver on the changing lifestyles and expectations of this fast-growing customer segment.” Interestingly enough, the hotels will not incorporate IKEA furniture, but they will feature new technological advancements like mobile check-in and free wi-fi throughout the building. The chain plans on being an affordable solution for the traveling millenial. The hotels will be run with a business model similar to IKEA’s DIY strategy in mind; the hotel will have less staff than a traditional hotel, and guests are expected to be more self-sufficient. IKEA has long since had a relationship online with consumers, and they have newly unveiled a phone application that allows users to virtually place furniture in a room to test different colors and styles. Rooms To Go is a unique competitor because they offer large discounts on whole sets of furniture. It is a simple, quick way to furnish a room for those who are not as concerned about interior design or do not have the time or means to design a lavish setup. Rooms To Go offers low-priced furniture that is easily ordered offline and delivered quickly and fully assembled. One flaw, however, is that Rooms To Go only delivers to the eastern half of the continental US. They offer many different styles and do provide the option to purchase pieces separately. The simplicity and affordability of Rooms To Go renders them popular throughout college students and recent graduates who typically have a low-income. In an attempt to give their furniture a more luxurious, high-end appeal, Sofia Vergara has created a line with the company. Cindy Crawford Home is also distributed through Rooms To Go.

what is the consumer decision process? Problem or Need of Recognition This occurs when the consumer experiences a significant life change, such as graduating from college and moving into his/her first new home, getting married, or having children.

+ Ashley wants to be their go-to company

Information Search Women are more likely to have an interest in the decision process. They research furniture that reflects their personality and gain information primarily through peer recomendation, the Internet, traditional and social media. Consumers want benefits (realistically) to be low in price yet high in quality. Most women 18-34 conduct research through Internet search. + Ashleyâ&#x20AC;&#x2122;s new website is what they want to see. Our SEM and Digital plan drive them there.

Alternative Evaluation These buyers evaluate furniture depending on which product reflects their personality and lifestyle. After the information search, consumers evaluate the criteria, or features of the furniture that work for them. They see the features they want their furniture to possess. Quality of the furniture is a strong criterion. + Your affordable pricing and new approach will attract the Gen Y consumer. They will be less likely to seek out the competition. Our strategic plan will take Ashley from the middle to the front of the conversation.

Outlet Selection and Purchase Factors that may influence consumers are specific attitudes and behaviors concerning purchasing furniture, including brand loyalty, store loyalty, and online purchasing. Many people select their furniture based on current design trends. Most consumers purchase furniture online since it is more convenient and easier for them. + Ashleyâ&#x20AC;&#x2122;s new website showcases a variety of high quality and stylish furniture at affordable cost. Our plan crates an awareness of this.

Post-Purchase Evaluation A website that does not allow online sales is frustrating. Newer, younger buyers are familiar with and enjoy online shopping and the ease with which it can be done. Millennial consumers will always check the website before going to the store, so through restricting online access to the product, likelihood of a sale is lessened. + From the time they check the website, go to the store and complete the purchase, Ashley must operate in the best interest of the costomer. Our plan gets them there, itâ&#x20AC;&#x2122;s up to Ashley to deliver quality customer service. A smooth purchasing process would transfrom the consumer into a loyal customer.

Who are we talking to?

madi

is a senior in college, scheduled to graduate this May. She has spent her college career living in pre-furnished dorms. She does not know what constitutes as high-quality furniture, and doesn’t know what appropriate prices are. Madi works as a waitress part-time, but does not have a job secured post graduation. She hopes to start a career and new life in Austin, Texas. Always online, either on her phone or computer, she is constantly updating, browsing and blogging. Madi relies on the immediacy of online information to keep herself, her friends and her follwers informed. She frequents music festivals across the US every year, as music is a common bond she shares with her friends; it connects them. The constant search for new artists, festivals and experiences is purposefully budgeted into their lives. She uses Spotify, but not the upgraded service. Madi checks YouTube to connect with her favorite artists through behind the scenes footage, interviews, vlogs and performances. Because of her busy schedule and minimal budget, a cable bill is unrealistic. Instead she watches TV shows online, or at a friends. Her parents subscribe to Comcast, which allows her to access On Demand programming. Live TV is an event, it’s topical and shareworthy. She makes sure she’s in the middle of the conversation on hits like The Bachelor or The Voice. She connects with brands that not only advertise, but engage. Brands that understand their consumer’s desire for simplicity and offer solutions. Brands that go the extra mile,

+ festivals + youtube + online radio + online tv + top programs

allie

brooke

a recent college graduate, is seeking fashionable furniture at a reasonable price. She shops for everything online, and with her new job would like to replace her older and out dated furniture (puchased and handed down). She’s open to Ashely, and would consider a purchase with changes to the website. More financially stable than Madi, Allie wants an easy upgrade for her Boston three bedroom. She splits bills with her two roommates, who both agree cable isn’t a priority. Allie owns a television, and uses Apple TV to access Netflix and Hulu. Like Madi, she makes an effort to watch and post live during hit TV events. Money saved from budget cuts, like a cable subscription, go toward an active social life. She and her friends from college have made it a tradition to attend the Coachella Music Festival. Compared to Madi, Allie casually listens to music. Pandora allows her a blend of her favorite artists to listen to while working, exercising, cleaning and on her daily commute. Allie wants a website that introduces her -like Pandora does with new artists- to new products she isn’t aware of yet, but will probably like.

Brooke is 25 years old. She has been with her advertising agency since graduation, and is settled into a Connecticut suburb with her husband. They are established both financially and professionally. Brooke is aware of Ashley Furniture, but doesn’t know how they compare to the competition. She wants to redecorate without breaking the bank. She has a Facebook account, but only uses it to keep in touch with relatives and college friends. If her husband records the game over her Housewives episode, she’ll yell at him and go watch it on Hulu. Like Allie, she listens to Pandora all throughout the day. Whether to or from the office, stuck in traffic, or crossing things off her to do list, she’s always rocking out. She drives a Volkswagon Passat that syncs her Pandora account. The Passat is affordable and stylish, characteristics she demands in exchange for brand loyalty.

+ top programs + online tv + youtube + festivals + online radio

+ broadcast + online radio + online tv + cable

whatâ&#x20AC;&#x2122;s the plan? objectives Create an effective media mix designed to increase brand awareness of Ashley Furniture Homestore Increase traffic to Ashley Furniture Homestore website

strategy Our strategy focuses on our targets need for high engagement. From creative out of home, to strategic digital tactics, we will reach W18-25 and raise awareness. We want to educate them on Ashley prior to the websites launch. The goal is to inform through our national intergrated media placements. From our innovative plan we will inform the target then drive them to the website and Ashley stores. From social, OOH, broadcast, cable, and digital, we will increase traffic on the new Ashley Furniture website and build a relationship with Gen Y females.

timing Our campaign will run January 2014 into September 2014 (website launch)

JAN

FEB

MAR

APR

SXSW Oscars Golden Globes Bachelor Juan Pablo The Voice Greyâ&#x20AC;&#x2122;s Anatomy Scandal Grammys Late Night with Seth Myers Tonight Show with Jimmy Fallon

MAY

JUNE

Coachella Firefly MTV Music Awards Campaign Evaluation

budget $16 million

JULY

AUG

Lollapalooza I Heart Radio Website Launch

SEPT

W18-‐34 TRPs :

CBS :

CW:

SEM

Festivals

Social

Digital

W18-‐34 TRPs :

5.0

3.5

4.0

7.0

5.0

4.0

15.0

7.0

8.0

7.0

6.0

900

700

700 700

650

750

4.0

7.0

591

750

4.0

7.0

8.0

550

700

4.0

2.4

550

688

4.0

6.0

100

200

100

250

2 2.5

200

5.5

150

300

3.0

6.0

3.0

200

350

6.5

3.0

300

400

7.5

3.5

7.5

800

700

$450,000.00

$50,000.00

400

100

200

1.0

100

200

1.0

200

1.0

1.5

100 144.5

200

1.0

1.1

2.5

1.0

4.0

1.0

400

300

$500,000.00

$50,000.00

250

$450,000.00

394

$2,500,000

Totals:

* Cable flights subject to change pending announced premiere dates

Quarter 2 $6,100,000.00

Quarter 1

$5,450,000.00

$1,000,000.00

Quarter 3 $3,400,000.00

500

4.0

$375,000.00

1.0

$1,125,000.00

1.0

$1,000,000.00

2.0

AUG

2.0

$400,000.00

100

200

$200,000.00 $400,000.00

200 194.5

120 114.7

3.0

Total:

200

180

3.5

3rd Quarter

$200,000.00

400

180

7.0

4.8

JULY

I Heart Radio

800

4.7

7.0

6.0

JUNE

Lollapalooza

800

$400,000.00

700

$5,250,000

13.0 13.0 13.0

$500,000.00

6.5

7.0

13.0 13.0 13.0

$2,750,000.00

8.0

$2,000,000.00

6.0

$200,000.00

650

800

7.0

8.0

7.0

2.4

MAY

2nd Quarter

$200,000.00

7.0 15.0

1.6

APRIL

Firefly

$200,000.00

$1,000,000.00

$100,000.00

800

700

800

$900,000.00

900

$4,250,000.00

$500,000.00

6.0

$2,750,000.00

8.0

2.0

MARCH

Coachella

SXSW

Net Digital Cost

900

1500 1500 1500 900

YouTube

1000 1000 1000

1500 1500 1500 900

NBC Online

1000 1000 1000

1500 1500 1500 900

ABC Online

Twitter

1500 1500 1500 900

Hulu

Facebook

1500 1500 1500 900

iTunes Radio

1500 1500 1500 900

Spotify

$1,000,000.00

5.0

15.0 15.0 15.0 15.0 15.0

15.0 15.0 15.0 15.0

2.0

Pandora

Net Media Cost :

W18-‐34 TRPs :

ABC:

Net Media Cost :

W18-‐24-‐34 TRPs :

NBC:

Network TV

Cable TV

FEB

Week Of (Monday)

1st Quarter

Month

JAN

Quarter

Ashley Furniture Media Breakdown

5.1

SEPT

10.0 10.0

5.1

500 1000 1000

650 1000 1000

6.7

5.1

250

450

7.7

3.0

200

450

6.0

2.5

Total: $15,950,000.00

$1,000,000.00

$1,950,000.00

$200,000.00

$1,750,000.00

$12,000,000.00

$1,375,000.00

$6,625,000.00

$4,000,000.00

Total Net Cost

1,065.4

947.8

186.1

253.9

117.6

Total TRPs

805,441

250,000

36,360

18,180

159,087

22,726.7

320,263

62,878

85,795

39,731

Imps (000)

how will we reach them? cable tv Our cable budget was tailored to specific TV channels that Madi, Allie and Brooke watch. These include but are not limited to: E!, Bravo, Lifetime, MTV, FUSE, AMC, USA, TBS and Nick at Nite. In our flighting, we started heavy to create awareness and inform our target of upcoming improvements to Ashley’s website. For 2Q our budget was doubled to accomodate the spring finale/premiere events that our target will not miss. Cable buys provide an opportunity for Ashley to interact with the target as they discuss the show through second screening. The cable flighting in 3Q is fluid as a result of unannounced premiere dates.

network tv We strategically bought on four major networks: CBS, NBC, ABC and The CW. We chose these networks because of the target’s interest in progams such as The Bachelor, The Voice, Scandal, Vampire Diaries and The Big Bang Theory. These programs generate high ratings within our target demographic. Additionally, these networks host every major awards show like The Golden Globes and The Oscars. Similar to cable flighting, our campaign is heavy in 1Q with premiere and awards season in mind. These events evoke a high interest in our target demographic, and make sure to watch them live. The remaining schedule aims to maintain an awareness of Ashley’s new site until its launch, with flexibility concerning network programming dates.

digital

Online Radio Madi, Allie and Brooke are always listening to music, and as a result we bought spots on three major online radio platforms: Spotify, Pandora, iTunes Radio. We have a consistant flighting throughout the campaign. Digital Video We chose Hulu, ABC and NBC to reach our target who doesn’t always watch live tv. ABC and NBC, as opposed to CBS, have a higher majority of content that skews to our target. We can pick and choose with Hulu which shows to place media based on our target’s interest. Social We want our posts in Madi, Allie and Brooke’s newsfeed. Promoted posts/tweets on Facebook and Twitter will increase awareness and lead them to our site to understand the changes upcoming changes. YouTube is the most powerful platform for connecting users to video. It is also the world’s second largest search engine. YouTube is a main part of our target’s online life, therefore we need to meet them there. The view and click traffic data is up to the hour and provides a 20 percent increase in effectiveness compared to only viewing the ad offline. Ashley will target users that are logged into YouTube that match the target demographic.

why music festivals? Music festivals are a great way to reach W18-24. Experiential maketing is an effective way to connect with our audience because millennials prefer more engaging content. W18-24 are more likely to buy a product after interacting with it-- we have planned for the the Ashley Furniture tent to promote heavy engagement with the product by creating a lounge area. Music festivals allow us to strategically reach the audience and build a relationship with the brand. The bandanas (or some kind of promotional gift) will be given out to consumers once they take a picture and provide Ashley with their email to add to their email list-- the picture is then sent to them via email. The goal is to get them to take photos in the Ashley Lounge and share them via social media. We plan on negotiating a deal with the festivals to have some of the talent record interviews in the Ashley Lounge. We selected these 5 festivals because of their strategic geographical locations, the timing of each festival, high millenial attendance, high millenial concentration in the cities, and Ashley store locations. The Music festivals that we are partnering with are spread out and gradually lead up to the website launch.

What is the Ashley Lounge? ++ a relaxing lounge with great view of the festival ++ giveaways ++ photobooth ++ ashley furniture the target will love

For each festival we are estimating: ++ 50-60% will go to the Ashley Lounge ++ $200,000 per festival

Austin, Texas

March 7 - 16, 2014

2013 attendance: 50,000

South by Southwest is located near multiple Universities (University of Texas at Austin, Virginia College in Austin, Austin Community College, Saint Edwards College, Southwestern College). The location of this festival is a prime spot for targeting college students. About 41% of the people in Austin are ages 18-35 and the median age is 29. In 2013 6,953 attendees participated in a study that revealed that 30.9% had graduates degree, 55.5% had bachelors degree and 96% of the attendees use social media. We are confident that our target will be reached here and potentially speak out about the brand.

Indio, California

April 12 - 21, 2014

2013 attendance: 90,000

In 2013 the total number of three day passes sold both weekends was 90,000. Anywhere from 80-85 thousand people attended per day. Coachella is two weekends long, and three days each weekend (a total of 6 days). Because of the number of attendees each year, Coachella is commonly referred to as the â&#x20AC;&#x153;Top Music Festivalâ&#x20AC;?in the United States. It attracts members of our audience including music enthusiasts, adventure seekers, college students, post undergrads, and career kickstarters. It is located near a variety of colleges and there are 32 Ashley Furniture stores in the state of California.

Dover, Delaware

June 19 - 22, 2014

2013 attendance: 30,000 - 40,000

Firefly Music Festival is a new event with a rapidly growing popularity. It is located near the college of Salisbury, University of Delaware, and near the beach. Its location and audience has made it a popular festival for brands to partner with and offers an opportunity to create authentic grass roots connections with W18-25. We selected this festival based on the fact that 58% of attendees were female and roughly 47% of attendees were ages 18-25. In addition, 53% of Firefly-ers attend other music festivals, giving us an opportunity to connect beyond this event. 57% downloaded the Firefly Mobile app, lending us an opportunity to engage through cell phones. We also found that 36% of attendees’ favorite attraction was the hammock hangout where they could lounge and relax. Our Ashley Lounge would be a success because it is a similar idea as the hammock hangout-- it’s a place where people can relax. 5% of attendees also noted that their favorite part was the photo flipbooks. We will have a photobooth at the tent to engage the audience further.

Chicago, Illinois

August 1 - 3, 2014

2013 attendance: 300,000

Lollapalooza is located near Northwestern, Dupage, and any other colleges in Chicago. This is one of the more famous festivals. The 300,000 attendance record from last year and the festival’s history of nine consecutive years selling out may give you a clue as to why. They offer a diverse array of over 130 artists, from hip-hop, electronica, reggae, indie, rock, modern roots, and many more. There is also an opportunity to reach and engage older members of our target here as Lollapalooza’s lineup is so diverse. In addition, there is an Ashley furniture store in Chicago and 20 in Illinios.

The iHeart Radio Music Festival will serve as the “big bang” to the experiential end of the campaign; though this could be extended beyond Ashley’s web launch to include laptop stations showing off the new site. This is a perfect festival to conclude the campaign because of its rapid growth in both attendence and media coverage. Showcasing Ashley to thousand of millenials in Las Vegas, Nevada will only benefit Ashley Furniture. There is an opportunity for a partnership with the CW (a network we plan on buying), and Clear Channel Media and Entertainment.This festival is geared toward millennials and boasts a very young demographic. The iHeart Radio Festival is a widely publicized event promoted by Ryan Seacrest and many other influential celebrities. This is an event Ashley needs to partake in to really connect with influencers. Aside from the fact that it is located in Vegas, it is near the University of Nevada. There is also an Ashley Furniture store in Vegas.

evaluation cable & network tv

Objectives - increase brand awareness of Ashley Furniture Homestore and increase website traffic. KPI - # of impressions, website hits, social mentions on top events & campaign hashtag Pitfalls - programming not delivering Solution- track impressions and adjust scheduling accordingly

digital

Objectives - increase brand awareness of Ashley Furniture Homestore and increase website traffic. KPI - website hits, # of views, per click, bounce rate, web analytics, social mentions and campaign hashtag Pitfalls - programming not delivering, ad skips Solution- track show views and adjust scheduling accordingly, a voluntary watch is better than a forced watch for Gen Y consumers

festivals

Objectives - increase brand awareness, establish a postive perception, and increase website traffic KPI - website hits, web analytics, wristband sales, giveaways, coupon code, social mentions and campaign hashtag Pitfalls - low festival attendance, no interest in interacting with the brand Solution- we chose festivals with historically high attendance rates within our target. The Ashley Lounge will offer a photobooth section with a great backdrop that uniquely identifies the festival in the photo.

additional opportunities TicketFast Market: Choose from over 50 markets within the United States Venue: Choose up to 5 venues from thousands across the country Rates: 4.5- 8 cents each Ticketmaster: TicketBack Intimate one-on-one marketing opportunity Minimum Quantity: 500,000 Rates: 1.8-2.5 cents each per ticketBack, printed and distributed Live Nation Advertising Digital media, consumer promotions, loyalty rewards, social media, brand integration and database marketing Reaches multiple markets internationally #1 ticketing site 15 million unique visitors per month Advertising Space in Music Festivals Full page: $3248 for b&w $5148 for color Â˝ page: $1764 for b&w $3188 for color Inside Front Cover: ONLY COLOR- $7829 Inside Back Cover: ONLY COLOR: $7246 Outside Back Cover: ONLY COLOR- 8288 I Heart Radio Music Festival on The CW Network Monday, Sept. 30 (night one) at 8-10 p.m. EST/PST and Tuesday, Oct. 1 (night two) at 8-10 p.m. EST/PST

concert tickets Ashley Furniture can advertise their store through TicketBack from Ticketmaster. TicketBack assures an intimate one-on-one marketing opportunity with event ticket purchasers. Our main goal is to connect our brand with major concerts and festivals.

New York, New York - Beyonce December 19, 2013 at Barclay Center Capacity 19,000 people December 22, 2013 at Barclays Center Capacity 19,000 people

Chicago, Illinois - Kanye West December 17, 2013 at United Center Capacity 23,500 people December 18, 2013 at United Center Capacity 23,500 people

Boston, Massachusetts - Kings of Leon February 28, 2014 at TD Garden Capacity 20,000 people

Austin, Texas - John Mayer December 6, 2013 at Frank Erwin Center Capacity 17,900 people

Los Angeles, California Justin Timberlake November 26, 2013 at Staples Center Capacity 20,000 people San Francisco, California Macklemore & Ryan Lewis Date: December 7, 2013 at Bill Graham Civic Theatre Capacity 6,000 people

Houston, Texas Miley Cyrus March 16, 2014 at Toyota Center Capacity 19,000 people