2006 AAF National Student Advertising Competition

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WELCOME HOME,MARVIN 2006 AAF CAMPAIGN

We Deliver No other AAF team in the United States has the experience of Circle Advertising.

For our work in our second year competing in the National Student Advertising Competition (Yahoo!) we earned:

•O range County Addy Awards Student Best of Show • Orange County Addy Awards Student Gold After only three years of existence, Circle members are the current recipients of:

•A AF’s W. Pendleton Tudor/ADWEEK Media Internship (one nationwide) • AAF’s Van Stickell Memorial Internship (15 nationwide) • AAF’s Most Promising Minority Student recognition (40 nationwide) Additionally, Circle members have experience at the following international advertising agencies:

• • • • •

TBWA/Chiat/Day Saatchi & Saatchi Young & Rubicam Deutsch Inferno (London)

As well as such regional full service agencies as:

• O’Leary & Partners (Kawasaki) • DGWB (Weinerschnitzel) Circle members have gained hands-on advertising, public relations, and marketing experience in the corporate marketing departments of these companies:

• • • • •

20th Century Fox Toyota Motor Company MTV Networks Warner Bros.

Paramount Pictures

• • • •

Dreamworks Interscope Records House of Blues Focus Features

Circle Advertising resides in Chapman University’s brand new state-of-the-art Dodge College of Film and Media Arts.* That’s a film school, a dang good one too. Every Circle member has been trained to work a camera. Using our cameras and keyboards we are trained to tell stories and craft campaigns as no other school can. We mesh traditional selling and advertising with non-traditional forms through digital media and viral tactics.

Experienced.

State of the art.

Circle Advertising. *Stop reading now unless you like interesting trivia: Chapman University was founded by the Disciples of Christ in 1861 at the hour of Abraham Lincoln’s inauguration in Woodland, California. Our original name was Hesperia College. Fifty-nine years later we moved to Los Angeles where we became California Christian College. Then Mr. Chapman arrived on the scene and helped us grow. With his help we moved to Orange County in 1954. Oh yeah. We changed the name again. Today Chapman University is Orange County’s only private liberal arts program of higher education with a storied history and a magical future. Our school mascot is the panther. We’ve got a ton of Panther Pride. School spirit. The kind of spirit it takes to create “Welcome Home, Marvin.”

table of contents 2. Meet the humanvelopes 4. Executive Summary 6. building the framework 7. Primary Market: Homebuilders 11. Secondary Market: Remodelers 13. Circle breaks down Barriers 14. Tertiary Market: Retailers 16. Creative Strategy 23. Interactive 24. Promotions 25. Positioning Mrs. Cox 26. Media strategy 31. Media Plan 32. Recommendations & Budget

meet the humanvelopes Allow us to introduce Marvin and the Humanvelopes. Before you ask, yes, they’re exactly what you’d think they are, Humans + Envelopes. For them Postal Vault is much more than a home, it’s practically heaven on earth.

Manny Manila

Cynthia

Marvin

Height: 11” Width: 8” Body Type: Jumbo Postage Paid: $3.20

Height: 4.1” Width: 7” Body Type: Window Peel

Height: 4.5” Width: 5.7” Body Type: Pointed Flap Postage Paid: $.39

Contents: Confidential Personal: Manny’s secretive nature and wise ways cause his peers to look at him with great reverence.

& Seel

Postage Paid: Pre-paid Contents: A new credit card, which could be activated by anyone with the right information. Elizabeth Brown is awaiting her arrival with plans to remodel the kitchen.

Personal: Cynthia has a go-out-and-get-it attitude, especially when it comes to shopping. She can’t wait to get in the hands of her owner.

Contents: A birthday card, written from Grandma and Grandpa White to their youngest granddaughter Mary Brown. She’s turning 10 and hopes to find a check inside.

Personal: Marvin is an avid stamp collector with a first class sense of direction.

He can sense the thought, care and love put into him.

He knows the dangers of mail theft, particularly of a personal check. Without a safe home, he is nervous and worried about being stolen.

Patrick the Package Height: 7” Width: 8” Depth: 4” Body Type: Standard RSC Carton

Postage Paid: $5.65 Contents: Daniel Brown’s factory repaired PDA full of important information.

Personal: Patrick is a jovial, if simple, happy young package without a care in the world. Not the brightest package in the Postal Vault, he always means well.

Gus Height: 4” Width: 6” Body Type: Standard Postage Paid: Pre-paid Contents: A SocialSecurity check containing sensitive numbers and other valuable information intended for Grandpa Samuel Brown.

Personal: Gus, hardened by his many years, is disconcerted with the state of mail, unbelieving that anyone would try to steal or violate him.

Executive Summary Laying the Foundation Circle Advertising knocked on over 800 doors. We conducted surveys with homeowners across the country. We directed two focus groups. We snuck into a members’ only Merrill Lynch identity theft seminar. We interviewed mail theft victims. We read piles of secondary research.

We interviewed senior executives at the nation’s largest residential homebuilders, including the vice president of purchasing for D.R. Horton, the world’s number one homebuilder. We spoke with representatives of The Home Depot and Ace Hardware. We bought a Postal Vault and picked apart the transaction to better understand how to make the best experience for consumers, homebuilders, and retailers.

From all this research we arrived at our first conclusion:

Postal Vault is a high-involvement product stuck in a lowinvolvement category Our primary research found three barriers to consumer involvement: • Consumers don’t think about their mail • They falsely believe their mail is safe • They don’t seek a solution “People who are not in the market for a product have little or no reason to pay attention to an ad. As a result, direct persuasion is also low, and consumers form few if any brand beliefs, attitudes, or purchase intentions. However, these consumers might attend to some peripheral aspects---say, the pictures or colors in the ad or the actors in the commercial---for their entertainment value.”

-William F. Arens, Contemporary Advertising

The Big Idea: Your mail is nervous By personifying mail with the Humanvelopes, our campaign, “Welcome Home, Marvin” delivers three message points:

• Mail is precious • Mail is vulnerable • Postal Vault provides safety and security for mail

Mail Security System: Our product category Our research found no other product like Postal Vault. Partnerships with companies like AIG and IDS make Postal Vault more than a mailbox, but a security system for your mail. We will exploit Postal Vault’s first mover advantage and brand Postal Vault as synonymous with the new category, mail security system.

Strategic Overview “Welcome Home, Marvin” will reach a primary market of Homebuilders and persuade them to include Postal Vault in new home developments. We chose the Postal Vault Top 20, a select group of 20 of the nation’s top Homebuilders. An aggressive program of personal selling supplemented by trade shows and trade advertising featuring the Humanvelopes will generate over $25 million in sales from Homebuilders.

For the consumer market “Welcome Home, Marvin” targets two segments of home Remodelers:

•W ebquisitors: Do-it-yourselfers who seek information online • HirePower: Those who hire professionals for remodeling work “Welcome Home, Marvin” will reach Webquisitors and HirePower through targeted media buys in cable TV, magazines, Internet and out-of-home.

“Welcome Home, Marvin” also targets home improvement centers and hardware stores with a retailing campaign aimed to make Postal Vault the most compelling choice at the point of purchase.

Goals • Establish the Mail Security System category.

• Establish Postal Vault as synonymous with Mail Security System • Position Postal Vault as an investment in “peace of mind” • Achieve wide and deep national distribution • Generate $25 million in sales to Homebuilders • Generate $10 million in sales from Remodelers

Objectives • Raise awareness of mail theft and its impact on credit rating and overall financial and psychological welfare • Establish Postal Vault as the industry leader • Convince Homebuilders to install Postal Vault in new residential developments • Drive Webquisitors to the Postal Vault or Humanvelopes web site for product information and purchase • Convince retailers to stock and promote Postal Vault

Primary Market: Homebuilders “Welcome Home, Marvin,” targets 20 large residential Homebuilders that construct over 300,000 homes a year in areas with the highest identity theft rates. We target them for maximum impact on sales and profits.

Secondary Market: Consumer Remodelers HirePower and Webquisitors make up 79% of the Remodeler market, projected to spend $305.1 billion in 2007. “Welcome Home, Marvin” uses the Humanvelopes to generate awareness of mail theft and to brand Postal Vault as the preeminent solution.

Tertiary Market: Home Improvement Retailers “Welcome Home, Marvin” uses personal selling to home improvement and hardware retail stores to educate those channels on the benefits of a mail security system and Postal Vault’s position as the preeminent solution. With a Retail Sales Manager we will compel Retailers to give Postal Vault premium positioning and maximum exposure.

Additionally, direct mail will be used to excite retail employees to learn about Postal Vault.

“Welcome Home, Marvin” is about Personal Selling Our campaign to brand the Mail Security System category as synonymous with Postal Vault calls for hiring four national salespeople to penetrate Homebuilders and Retailers: • National accounts manager (3): Homebuilders • National accounts manager (1): Retailers The persuasive, interactive nature of “Welcome Home, Marvin’s” personal selling will have the most impact on Homebuilders and Retailers as these sales professionals establish and nurture crucial long-term B-2-B relationships.

Introducing Mrs. Cox: The Closer Mrs. Cox is “Welcome Home, Marvin’s” secret weapon. In addition to positioning Mrs. Cox as a spokesperson for mail security, “Welcome Home, Marvin” depends upon her attendance at key meetings with Homebuilders and to close big deals. In terms of visionary leadership, “Welcome Home, Marvin” positions Mrs. Cox to the Humanvelopes as Walt Disney is to Mickey Mouse.

we will Own Homebuilder Trade Shows The nation’s top Homebuilders told us that trade shows are the most effective way to introduce a new product and meet Homebuilders. Thus, “Welcome Home, Marvin” will be the talk of trade shows throughout the year.

Beginning with a premier sponsorship of the nation’s largest Homebuilder trade show, the International Builders’ Show, in Orlando, Fla., “Welcome Home, Marvin” will own 12 Homebuilder trade shows throughout the year.

Promotions Three distinct promotions in “Welcome Home, Marvin” utilize a partnership with Netflix and promote the appearance of Mrs. Cox and the Humanvelopes at Homebuilder trade shows.

Half Billion impressions “Welcome Home, Marvin” will generate 487 million media impressions.

Calendar We will launch “Welcome Home, Marvin” in February 2007 to coincide with the debut of the Humanvelopes at the International Builders’ Show. “Welcome Home, Marvin” continues through November 2007. We will use phased Push and Pull marketing strategies that will push Postal Vault into proper distribution channels from March through May and then allow Remodelers to pull Postal Vault through those channels from June through November.

Welcome Home, Marvin With research as the foundation, creative as the frame, and strategy as the cornerstone, Circle Advertising presents an all-inclusive campaign, “Welcome Home, Marvin.”

building the framework Postal Vault, a high-involvement product stuck in a low-involvement category.

Consumer Initial Research Attitudes on Mail* We found out how consumers feel about mail theft. We asked hundreds of homeowners questions about mail, mail “Having a neighborhood that is quiet and closely knit helps me feel safe” “... My mailbox??”

“At most, I would spend $100 on a mailbox” * Circle Advertising Survey, Oct. 2005

theft, identity theft, security and the overall value they place on these issues. We found people concerned about identity theft, but the last thing on their mind was their mail, let alone their mailboxes. They simply do not care. We learned that consumers are open to learning about mail theft but it is not on the top of their mind. So we dug deeper.

Homebuilder Insight

Homes Closed by Top 50 Homebuilders**

A $175-$350 Postal Vault can be worked in seamlessly to the overall cost of a luxury or move-up home. Luxury home buyers won’t compromise anything in their homes.

Not their stoves, their refrigerators, nor their security.

Postal Vaults will become an essential addition to a luxury home.

309,362 79.18%

81,350 20.82%

TOTAL HOMES BUILT: 390,712 By studying the numbers of homes built by the top 10 Homebuilders in America and 10 remaining “move up” and “luxury” Homebuilders, we developed the Postal Vault Top 20.

Homes closed by The Postal Vault Top 20 Homes closed by remaining 50 homebuilders

The Postal Vault Top 20 provides a consistent primary market, as they comprise over 80% of the homes sold by the top 50 Homebuilders in America.

Consumer Insight

consumer sales projection***

Don’t worry! We haven’t forgotten the consumer. Despite their apathetic perceptions of mail theft, Postal Vault is a product that can be valuable to many segments in the consumer market.

71,537,290

We didn’t want to spend all of our energy trying to reverse the consumer’s current perception of mail theft. Instead, we targeted a select group of consumers with whom Postal Vault will most likely resonate: Remodelers, those consumers actively engaged in home improvement projects.

23% of Remodelers are renovating their front yard and in the market to purchase front yard products. By selling to 10% of this group we will reach our consumer sales objectives of $10 million.

Total # of homeowners in the U.S.

2,861,492

Total # of Remodelers (4% of total)

658,143

Remodelers renovating front yard (23% of Remodelers)

$11,517,450

Revenue from 10% of front yard Remodelers****

**builderonline.com, Builder 100 *** based on Simmons Research, Harvard Business Review, and Yankelovich Monitor **** ($658,143 x 10%) x $175 = $11,517,450

homebuilders

Primary target market Over one million homes are constructed annually. More than 30% of those are built by the Postal Vault Top 20, a group of Homebuilders we have profiled specifically for you. By targeting the Postal Vault Top 20 and capturing 50% of this market, we will reach our sales goals and successfully brand Postal Vault.

welcome home, builders What We Did Circle Advertising interviewed: • CEOs, VPs and other influential decision makers at the top Homebuilders in America.

Then we spoke to: • Land developers • Move up and luxury Homebuilders • National and local Homebuilders.

The most important aspect of personal selling is creating relationships.

We’ve initiated these relationships for you. More importantly, we know specific buyers, personally. We developed a strategy that utilizes extensive research and meshes Homebuilders’ buyer personalities.

What we learned: The Buying Process Penetrating the Homebuilders market is no easy task. Current vendors have earned loyalty and repeat business. The most effective way to penetrate the Homebuilder market is with personal selling.

We found that the buying process often begins by exposing Purchasing Agents to products at trade shows. Once initial contact has been made, a formal pitch to the Homebuilder is required to demonstrate that their product is “hands down” better than the current vendor’s.

Generally not more than one or two new vendors are put in the same master planned communities at a time. Therefore, it is crucial that National Account Managers convince Homebuilders of the added value Postal Vault brings to their community.

Before a contract is signed, most Purchasing Agents require a face-to-face meeting with the CEO of the vendor to establish trust. We will leverage Mrs. Cox’s negotiating skill and experience in landing contracts for Frito-Lay to close contracts with our Homebuilders.

What we’ll do

Postal Vault Top 20 Rank 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 (21)* 19 (23)* 20 (25)*

Name D. R. Horton Pulte Homes Lennar Corp.

Centex Corp.

KB Home Beazer Homes USA The Ryland Group Hovnanian Enterprises M.D.C. Holdings NVR Standard Pacific Corp.

Technical Olympic USA Meritage Homes Corp.

Toll Brothers Shea Homes Weyerhaeuser Real Estate Co. Mercedes Homes The Villages of Lake-Sumter Choice Homes Taylor Woodrow Homes Total

Units Closed** 44,005 38,612 36,204 32,896 26,937 16,417 15,101 14,586 13,876 12,749 9,091 7,337 7,254 6,627 6,405 5,274 4,579 3,955 3,822 3,635 309,362

*Builder Online Top 100 Rank **Source: Builder Online (2004)

Through Homebuilder trade shows and personal selling we will build key relationships. Postal Vault will introduce the Humanvelopes as a premiere sponsor of the International Builders’ Show, the nation’s largest Homebuilder trade show. Throughout the year the Humanvelopes will own a piece of 12 Homebuilder trade shows.

To cultivate personal selling relationships we will hire three National Account Managers in charge of three regions in the United States (West, Midwest, East). They will establish and build relationships with the Postal Vault Top 20.

Our primary research told us that purchasing decisions are made at the divisional level. Divisional Purchasing Agents do not respond well to products being filtered down by regional or national offices. To effectively sell Postal Vault, we will create relationships at the national and regional offices, and sell to divisional offices of the Postal Vault Top 20 Homebuilders.

Our primary research revealed that like all good business people, Purchasing Agents are very concerned with their bottom line. Thus, coop billboard advertising will make Postal Vault more appealing. We will also buy media in trade publications and distribute interactive collateral material at trade shows and through direct mail.

Job Description Title: National Accounts Manager Qualifications: • 10-15 years of experience in sales and marketing in the homebuilding industry • Degree in related field Job Description: • Cultivate and maintain relationships with Postal Vault Top 20 homebuilders • Research and become expert on each account’s products, target market, and values • Develop customized co-op campaigns as necessary with Postal Vault Top 20 • Travel: Visit each homebuilder quarterly • Use expense account to nurture relationships with Postal Vault Top 20 • Introduce Mrs. Cox to senior management

homebuilder

Buyer Profile Our primary research discovered two participants in the buying process for new housing developments: Purchasing Agents and Project Managers.

Purchasing Agents make the ultimate purchase decisions.

They are the daily contact person and they negotiate contracts. Typically, the Vice President of Purchasing acts on the suggestions of the lower-level Purchasing Agent.

Project Managers design and oversee the aesthetics and layout of housing developments. They have major influence on purchasing agents and often recommend products. Thus, they are our secondary Homebuilder target.

HOMEBUILDERS WE interviewed: Jonathan R. Smith, VP of Purchasing D.R. Horton (#1)* Jeff Huntington, Purchasing Agent Lennar Corporation (#3)* Brian Bencz, VP of Purchasing and Land Development Standard Pacific Homes (#11)* Scott Allen, President Meritage Homes (#13)* Berry Rehm, Director of Purchasing Meritage Homes (#13)* Bill Piestesky, VP of Sales and Marketing Shea Homes (#15)*

The most memorable advertisements among office workers utilize a tactful amount of humor.

Purchasing Agent: Age: 25-35 primarily women Circle meeting with a divisional president of Meritage Homes Salary: $43,000-$50,000 Personal: • Young professional up and comers, promoted from administrative rolls who plan on moving up the corporate ladder • Junior level staff members with considerable influence on senior staff members due to market insight and work ethic • Purchase all materials for new homes Why Postal Vault will appeal to them: • Playful and humorous personality which will respond favorably to the Humanvelopes**

Vice President of Purchasing: Age: 45+ primarily male Salary: $72,000+ Personal: • Senior staff members who are the final decision makers in the buying process • Construction background and have spent time in the field • Concerned with each home’s bottom line, yet they will pay a premium price for higher quality product that has high customer satisfaction ratings Why Postal Vault will appeal to them: • View Postal Vault as a durable and low maintenance luxury, high quality item • Find comfort knowing that Postal Vault brings safety and security to any home

Project Manager:

Gery Wilde, President Wilde Custom Homes

Age: 45+ primarily male Income: $80,000+ Personal: • Design the aesthetic value and lay out of the master plan community • Graduated with engineering degrees • Ensure that all of the elements of each home are consistent throughout the community Why Postal Vault will appeal to them: • Attracted to Postal Vault for its customizability and aesthetic facades

*builderonline.com, Builder 100, 2004 National Ranking

**Source: Jonathan Smith, Vice President of Purchasing, D.R. Horton

Cathy Huff, VP of Human Resources Shea Homes (#15)* Roger Hobbs, Director/President Hobbs Institute/RC Hobbs

understanding the homebuilders “Standard Pacific will pay more for a product, such as Postal Vault, that Chart1 has a higher quality and customer satisfaction rating.”

-Brian Bencz, Standard Pacific Corp.

Filling the need

Identity Theft and Home Development Correlation 60,000

200 180

50,000

160 140

# of Permits

40,000

120 30,000

100 80

20,000 Montana

Minnesota

New York

Jacksonville

Austin Houston

Tampa Florida Orlando Fort Myers

We formed the Postal Vault Top 20 by looking at top Homebuilders who: • Sell the largest volumes of new homes every year • Build homes in areas with the high identity theft rates

Homebuilders Intranet No two Homebuilders are alike. With the development of a Homebuilder Intranet, Our National Accounts Managers can store and access the “ins & outs” of each Homebuilder to align sales pitches with the standards of each Homebuilder positioning statement and core values.

Here is a sample of the type of valuable information that we gained from our interviews with Homebuilders.

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Arizona Phoenix

Kentucky Tennessee

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Washington, D.C. Virginia

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Denver

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Utah

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Idaho South Dakota

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Oregon

Complaints per 100,000

“Welcome Home, Marvin” will assign our National Accounts Managers to one of three regions shown below. We found a strong correlation between identity theft rates and new home growth (see graph on right). This correlation is further proof that Postal Vault fills a growing need for the Postal Vault Top 20.

Region

Page 1

# of Permits Complaints per 100,000

remodelers

secondary target market

“The home improvement industry is far less cyclical than new home construction . . . As the value of their homes rise, homeowners are also seeing their home equity grow and they are willing and more able to increase their spending on renovation and home improvement projects.”

-The Joint Center for Housing Studies of Harvard University Total home improvement product sales in 2005 were estimated at a record of $291 billion* with Do-It-Yourself constituting 51%, or $139.2 billion. 2007 projections place the market at over 305.1 Billion.** *HIRI ** Housing Center’s Remodeling Activity Indicator projects an average annual growth of 5%

Remodeler market share

Consumer Profile

remodeler market

21%

44%

7 out of 10 households are planning a home improvement project in the next six months.**

$291 Billion

44% (up from 33% in 2000), listed home improvements as their number one spending priority in 2006.*** An aggressive consumer outreach program targeting two distinct consumer segments in the Remodeler Market compliments our Homebuilder strategy. Consumers are unaware and uninvolved with mail theft, but that doesn’t mean they shouldn’t become aware. We pinpointed the viable consumer markets to most efficiently focus our efforts.

We conducted secondary research through Yankelovich Monitor, Home Improvement Research Institute (HIRI), Roper Reports, Michael Silverstien’s Trading Up and articles from publications such as the LA times, The Wall Street Journal, Media Week and Professional Remodeler.

These sources shed light on our primary research and led us to the home Remodeler market.

Through HIRI’s Product Purchase Tracking Study (PPTS), we learned that not all Remodelers behave the same. We found two distinct behavioral styles: Webquisitors: Remodelers who love to “do-it-yourself” and actively seek out information online and on TV. HirePower: Remodelers, typically older or female, who do very little of their own research but turn to hired help, retailers and contractors to do it for them.

Webquisitors and HirePower hold 79% of the total home remodeling market.*** *21% of home remodelers are budget constrained and not suitable for a premium product (HIRI) **Source: eBrain ***Source: HIRI ****Source: Yankelovich Monitor

Webquisitors

35%

(56% of viable consumer market)* Prefer Do It Yourself: over 52% Demographics: Predominantly Baby Boomers (born 1946 –1962) Household Income: $75,000 Pre-purchase Behavior: Look online and to home improvement TV for research and ideas Remodeling Budget: $2,000-$3,400 How this market relates to Postal Vault: “I’d like to go online and see what other products like it are out there” How “Welcome Home, Marvin” reaches them: • Facilitation of online research and search optimization • TV and online advertising

HirePower

(44% of viable consumer market)* Prefer to hire the work: nearly 100% Demographics: Older than Webquisitors, more female Household Income: $75,000 Pre-purchase Behavior: Consult retail employees, magazines and books for information Remodeling Budget: $1,500 - $3,000 How this market relates to Postal Vault: “I don’t really know how it works but it sounds like I need it.”

How “Welcome Home, Marvin” reaches them: • Knowledgeable employees at retail level excited about Postal Vault • Print advertising and editorial coverage

Research Findings

Circle breaks down barriers Key Psychographic Findings

The 3 Barriers

With door-to-door surveys, personal interviews, and focus groups we asked Remodelers what they value. They told us:

America’s Remodelers don’t realize that the key to all of the things they value most are sitting in an unlocked tin box in their front yard. “Welcome Home, Marvin” does, it is designed specifically to break through all three barriers of consumer involvement.

• The safety of their family and loved ones • Their memories and heirlooms • Things that remind them who they are They do not value their mail.

We asked them what made them feel safe at home: • A safe neighborhood/community • Locks on doors or security systems • Having a man around

The Humanvelopes

My mail is vulnerable

Marvin's Messege

I need a locking mail system

Personal Research

I need a Postal Vault

The Product Humanvelopes' Story

• They don’t think about mail.

• They do worry about identity theft • “ We don’t do anything different then we did 20 years ago, as far as our mail. We haven’t changed a thing, ever.”**

2. I should be nervous

How to break the 3 barriers My mail is precious

1. THINKING ABOUT THEIR MAIL

• Homeowners think their neighborhood is safe. They don’t realize that mail theft reaches into all communities • Many haven’t sat down long enough to realize their mail is in danger. Once they do, they are concerned.

• “It’s always been trust, but that’s kind of scary because you know you can’t rely on that anymore.”**

3. I need a mail security system • At this point, Remodelers realize they need to secure their mail. Webquisitors will go online to research and HirePower will ask the local Home Depot sales associate.

• “ Right now, anyone can open my mailbox and take anything from it so I need one like that (Postal Vault).” ** Once the first two barriers are broken a product decision must be made. “Welcome Home, Marvin” will raise Remodeler awareness as it breaks the first two barriers and simultaneously brand and convince them to purchase a Postal Vault and . . .

Welcome Home, Marvin. *Source: Therma-Tru Home Valuation Study ** Circle Focus Group: March 2, 2006

“I know I should be worried about mail, but that sort of thing doesn’t happen in my area, we live in a pretty nice place.”

- Circle Advertising survey respondent Oct. 2005

“If you’re trying to sell me a Postal Vault…

That “grandma tearjerker” pulls at your heart strings, and definitely the social security check because I didn’t get mine for February.”

- Circle Advertising focus group participant

Retail Strategy “Welcome Home, Marvin,” will have consumers flocking to home improvement and hardware retailers such as Home Depot and Lowe’s to purchase a Postal Vault.

We took site visits to the most prominent retailers in the nation. We looked at national and local franchise stores and low-priced and high-end retailers to understand the home improvement retailing industry. We even purchased a Postal Vault and picked apart the transaction to best understand the buying process. All included, we came up with the following retail observations

Observations: • Product acquisition through special order catalogs at Home Depot and Lowe’s is difficult and time consuming • Guaranteed delivery time frame of 2-3 weeks is too slow for Remodelers who want Postal Vault • Postal Vaults are not sold in-store due to high price point and the large amount of floor space they require • The hierarchical structure of most Retailers makes it difficult for a new product (Postal Vault) to be merchandised • Employees are not knowledgeable about Postal Vault

Corporate Buyer:

Strategy: From our interviews and in-store observations we realized that for Postal Vault to meet projected customer demand it must be placed in stores.

Age: 25-40 Salary: $35,000 - $48,000 Personal: • Highly automated buying process • Handle many accounts at one time • Tech savvy • Most concerned with efficiency in obtaining a product

“Welcome Home, Marvin” will place Postal Vault in-store and educate sales associates to promote it on the floor.

SALES ASSOCIATES:

2. After establishing relationships with top Retailers (i.e.

The Home Depot), our Sales Manager will use Postal Vault’s retail success story to convince smaller retailers to stock Postal Vault in store.

Age: 16-60 Salary: $15,000-$35,000.

Personal: • Wide age range and broad spectrum of personalities • Enjoy the personal interaction as well as the opportunity to advise others in the area of hardware and home improvement • Respond to properly executed vendor promotions • Vendor interaction plays a great role in product knowledge for employees

National Retail Sales Manager Qualifications: • 10-15 years of experience in sales and marketing and/or Home Improvement/ Hardware Retail industry • College degree in related field

Job Description:

Retail Profile Our primary research found two key participants to help achieve in-store presence in retail locations: corporate buyers and sales associates.

Job Description:

1. Postal Vault will hire one National Retail Sales Manager (see job description) who secure our position with home improvement retailers and leverage our membership in the Women’s Business Enterprise National Council (WBENC).

3. Once in-store, Circle will excite retail sales associates about the Postal Vault and the Humanvelopes through informational videos, incentives and prizes.

• Cultivate and/or maintain relationships with the top retail home improvement stores in the nation • Develop customized co-op campaigns as necessary • Develop promotions and educational programs to enhance Postal Vault in-store visibility • Travel availability: Personal visits to each homebuilder at least once a year and site visits to check on in-store executions • Make use of expense account to develop relationships with homebuilders • Introduce Mrs. Cox to senior management of home improvement Retailers

Point of Purchase Displays

RETAIL Targets

Objective: Brand Postal Vault within hardware stores and home improvement

Building upon the established retail infrastructure, Circle Advertising will focus on educating both mass and luxury home improvement stores. Similar to our Homebuilder strategy, this combination of home improvement stores gives Postal Vault the ability to maximize sales.

centers.

Our primary research shows that there is incredible opportunity to brand within retail stores. As is, mailboxes are typically shoved to the back of the store and ignored.

Capitalizing on this void will help drive sales and position Postal Vault as the industry leader.

POP displays will be placed on the endcap of aisles which will guide Webquisitors and HirePower to Postal Vault. These displays will feature brochures, Netflix promotional materials, and detailed product information to answer questions when a sales associate may not be available.

Retail Sales Kits Objective: Appeal to Retailers’ needs for innovative and reliable products.

In addition to face-to-face meetings and phone pitches made by our National Retail Sales Manager, sales kits will be sent to corporate buyers at designated Retailers.

Sales kits will contain information including: comparison charts vs. competitors, a Humanvelopes themed interactive CD, and product specifications.

As Retailers feature Postal Vault in-store, employee sales videos and supplemental training materials will be sent to stores to aid in employee education. Sales videos will be combined with promotional incentives to increase sales associate excitement to sell Postal Vault.

St. own gston y Br. Kin 221 Mar02 W TX 75 20 as, Dall

Primary research showed that retail associates (and Homebuilders) respond favorably to usable promo items like the customized Postal Vault playing cards above*

*Circle Advertising retail interview

WBENC member 1,635 stores in 50 states Over 22 million visitors a week #1 Home Improvement Retailer in U.S.

952 stores in 45 states 10 million customers a week #2 Home Improvement Retailer in U.S.

200 stores in 10 U.S. states #3 Home Improvement Retailer in U.S. 4,800 stores worldwide Franchised stores

6,000+ stores worldwide Some stores are Co-op 12 regional distribution centers 3,000 associates More than 500 clubs across the country 4,000 items sold in store

WBENC Member 1,395 stores in 47 states Brands itself as an upscale discounter that provides high-quality 100 stores in 30 states Prides itself on selling “upscale home furnishings, hardware…with a fancy flair”

creative

Branding, developing, and Selling the humanvelopes “Welcome Home, Marvin� breaks down consumer barriers with light-hearted fun and a viewpoint that only mail with a face, legs, and a working voice box can bring. They will inform Remodelers about mail theft and the need for a Postal Vault.

They will brand Postal Vault as the ultimate solution in mail security and help build relationships with Homebuilders.

creative strategy Objectives:

Pre-testing: Focus Groups

• Break down “The Three Barriers” • Raise awareness of mail’s vulnerability • Brand Postal Vault to Homebuilders • Establish the need for a Postal Vault

I ♥ The Humanvelopes

Strategy: We will introduce five lovable and memorable Humanvelopes who will deliver our message and embody our values. The Humanvelopes establish the mail security system product category and simultaneously brand Postal Vault.

“Otherwise mail is just stacks and piles of paper, but if you can give them a personality I mean you could just go anywhere with that.”

- Bill Wedmore, Circle Advertising focus group participant

Circle Advertising will implement the following strategies: • Introduce the Humanvelopes to break down the three barriers to involvement and deliver these messages: 1. Your mail is precious 2. Your mail is vulnerable 3. Postal Vault provides safety and security for your mail • Position Postal Vault as the preeminent solution in mail theft prevention • Entertain the audience and deliver a clear message, the need for a Postal Vault, and demonstrate its usefullness in protecting mail

We did not step into our Humanvelope suits uninformed, literally or figuratively. Circle made sure the Humanvelopes connected with Webquisitors and HirePower before we went any further. Our initial primary research told us Webquisitors and HirePower did not care about their mail.

Our focus group participants confirmed that idea.

But when we introduced Marvin and The Humanvelopes, things changed.

We loved the Humanvelopes, but were unsure if our market would respond positively.

At first, our focus group participants were skeptical toward Postal Vault. However, when we introduced the Humanvelopes, something magical happened. They fell in love with the characters and began to worry about their own mail. As they talked, the change in attitude was apparent. By the end of our two-hour focus groups, many participants wanted to buy a Postal Vault for their home.

The positive reaction to the Humanvelopes proved that we could, and should, step forward with them to brand Postal Vault.

tone and visual Big Idea

Art Direction

Your mail is nervous. Humanvelopes are mail with personality. Once educated, Remodelers realize that mail is precious. With the Humanvelopes, Homebuilders, Remodelers and Retailers will feel the need to “Welcome Home, Marvin” the best way possible, with a Postal Vault.

Our surveys showed that people don’t care about their mail; they care about people. Say hello to the Humanvelopes. Proven to be both memorable and lovable in our focus groups, the Humanvelopes illustrate the preciousness of mail.

Tagline: “Welcome Home”

This will be achieved through: • The unique image of the Humanvelopes, constructed to scale of actual mail • A crisp and clean style with an easily understandable message • Illustrating the natural connection between the Humanvelopes and Postal Vault • Color coded ads, blue for Remodelers and green for Homebuilders

Postal Vault welcomes home the Humanvelopes.

“Welcome Home” evokes warm feelings of comfort and peace of mind, branding Postal Vault as secure and dependable.

Copy Tone “Welcome Home, Marvin” uses copy tone that states the risks of mail theft and security features of Postal Vault without being overbearing. The Humanvelopes relay the dangers from their own unique perspective.

This will be achieved through: • Use of tagline, “Welcome Home” • Reinforcement of the Humanvelopes’ individual personalities

Mandatories The following will appear in all executions: • The Humanvelopes • “Welcome Home” tagline • Postal Vault logo • Informational copy • Web address (www.humanvelopes.com)

Longevity All five Humanvelopes have personalities that can be developed into a multitude of creative ideas.

The Humanvelopes can: • Crossover into countless media • Introduce additional features of Postal Vault • Allow for the introduction of new characters, business partnerships and growth Because humor resonates with people of all ages, younger audiences will already know the brand by the time they are part of the target market, addressing the future in market growth.

Branding “Welcome Home, Marvin” will evoke feelings that Homebuilders and Remodelers can relate to and create emotional ties to their mail, home, and Postal Vault.

“I think this idea is great, I get all these types of mail at home; I do get a lot of confidential things at my residence…It’s jumping out at me.”

- Chris Miller, Circle Advertising Focus Group Participant

OUR TRADE SHOW BOOTH

Humanvelopia The Humanvelopes will make their world debut on February 7, 2007 at the International Builders’ Show. Postal Vault will own the weekend with a premiere sponsorship and nontraditional media buys throughout Orlando. “Welcome Home, Marvin,” will leave lasting impressions on Homebuilders with these tactics:

tactical trade show advantages • Parking lot marker signs • Banners lining entrances • Parking lot tickets • Postal Vault shaped admission tickets • Static cling bubbles • Concession stand bubbles • Postal Vault branded give aways

Guerilla static cling ads, put up at trade shows and other locales, will break the first barrier: thinking about mail.

Humanvelopia: The Booth We will create a booth - Humanvelopia - to brand Postal Vault and introduce the Humanvelopes and Mrs. Cox to Homebuilders. It will include: 1

2 6

4

Vault Lounge Relax on Postal Vault stools, read product literature and collect Humanvelope giveaways

2

Video Monitors Watch Humanvelopes spots and testimonials

3

Smash Zone A bat and an old mailbox, what could be more fun?

8

4

5

Meet the Humanvelopes Take pictures with the Humanvelopes! Sent via email to build database Web Zone Surf Postal Vault web sites, watch viral spots and play the Humanvelopes web games.

6

The Board Room Where Mrs. Cox will close deals with Homebuilders

7

Product Display Complete product line available for purchase

8

1

7

7 3

Postal Vault Canopy A light from above shines the Postal Vault logo 5

Print Ad

Full Page Four-Color (4/4) Bleed Breaking the barriers “Welcome Home, Marvin� breaks the first barrier of involvement, thinking about mail, with our first print executions. We will introduce Homebuilders and Remodelers to their mail, the Humanvelopes.

1

2 3

4

5

5

The Humanvelopes Brand personality Creates interest Postal Vault Logotype Brand recognition Tagline Creates a friendly, warm and family-like brand image

1

Call to Action Directs to Humanvelopes web site Creates interest and action Headline Breaks down consumer barriers 1 and 2

Design Justification The Humanvelopes reflect personal stories of mail theft and introduce Postal Vault features Lovable and memorable personas reflect a positive brand image and personality Headlines make Homebuilders and Remodelers think about their mail’s safety Copy entices Homebuilders and Webquisitors to visit humanvelopes.com for more information and creates interest in mail for HirePower.

2

4

3

Print Ad

Full Page Four-Color (4/4) Bleed Still Breaking the barriers After Remodelers and Homebuilders become familiar with the Humanvelopes and the idea that their mail is vulnerable, we will incorporate Postal Vault as the solution to this problem.

“Now I am saying, ‘Guess what’s in here, there is something in here worth stealing.’”

- Chris Miller, Circle Advertising focus group participant

TELEVISION/VIRAL SPOTS “PARADISE FOUND” (:30 TV)

WELCOME HOME! www.humanvelopes.com

ENTER on MARVIN and PATRICK looking at Postal Vault

PATRICK: It looks like a bear.

MARVIN: Not the cloud.

This thing.

AUDIO: Sprach Zarathustra*

PATRICK: Ohh, it’s a mailbox.

Humanvelopes Logo Website Address

MARVIN: No, it’s more than that. It’s home.

“Welcome Home”

MARVIN: It’s amazing.

“SAFETY DANCE” (:30 TV)

WELCOME HOME! www.humanvelopes.com

MARVIN and PATRICK are dropped into Postal Vault, confused about what lies ahead.

MARVIN: Ahhhhh!

PATRICK: Wheeee!

MANNY: Welcome Home!

MANNY: You know what that means right?

MARVIN: What?

*Vienna Philharmonic Orchestra - Sprach Zarathustra **Men Without Hats - Safety Dance

Humanvelopes Logo Website Address

HUMANVELOPES: Dancing

MARVIN: Where are we?

MANNY: You’re in a Postal Vault.

AUDIO: Safety Dance**

MANNY: You can dance if you want to!

“Welcome Home”

interactive Creating a Brand Experience

Humanvelopes.com, Postalvault.com

We have multiple online touch points designed to guide Webquisitors, Homebuilders and Retailers through a total brand experience toward the final sale.

Following the call to action in all print and TV executions, Remodelers and Homebuilders will be directed to www.humanvelopes.com.

Online objectives Homebuilders • Make purchasing and managing accounts simple and productive • Entertain and excite buyers about Postal Vault

As Remodelers realize the need to protect their mail, Webquisitors will be able to research online, join a mail theft community at VaultVillage, blog and read others’ blogs about their experience with mail theft and the products they buy.

Lastly, the main company site allows for direct purchase online.

www.humanvelopes.com Character driven micro site

Remodelers - Webquisitors • Create a path towards the purchase of a Postal Vault through the web or retail • Own the online research space for Webquisitors • Build direct mail database TESTIMONIALS WELCOME HOME! PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER.

Retail • Make purchasing and managing accounts simple and productive • Entertain and excite retail sales force about Postal Vault

PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER. DOF NOEVNO[D INBO. OIHOIRVOEVODFVND. AVAHOVI ODFVOA OJ POJ OJP JOPJ POJP.

© Postal Vault

Terms of Use

www.postalvault.com Main company site

My mail is vulnerable.

Privacy Policy

2

1

PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER. DOF NOEVNO[D INBO. OIHOIRVOEVODFVND. AVAHOVI ODFVOA OJ POJ OJP JOPJ POJP.

Terms of Use

www.postalvault.com

I need mail security.

vaultvillage.postalvault.com

the

AU L

Vi

T

Postal Vault Welcome Home.

V

PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER, PLACEHOLDER.

© Postal Vault

www.humanvelopes.com

The company site is complete with product and company information, mail theft statistics, and product purchasing opportunities. The main company site targets Webquisitors, Homebuilders and Retailers and presents easy access to product research and eventual purchase.

Barrier 3

WELCOME HOME!

Barrier

Barrier

TESTIMONIALS

For more, go to the actual site, www.humanvelopes.com

Privacy Policy

Breaking the Barriers My mail is precious.

Humanvelopes drive this site with viral video content, their own Postal Vault testimonials, games, and tips to help protect them. The site will be used to further introduce the Humanvelopes and to continue breaking the first two barriers, driving the Remodelers and Homebuilders to break the last barrier; the final purchase.

l l ag e

Community mail theft site

Postal Vault will facilitate and influence this emerging community and the global conversation about mail theft and mail protection. VaultVillage is a community subsection of PostalVault.com. Powered in part by blogger, it will allow community members to read Marvin’s blog, post their mail and theft horror stories, as well as give advice to fellow victims.

promotions

“Welcome Home, Marvin”: Trade Show Sponsorship Timeframe: February 2007

For the launch of “Welcome Home, Marvin,” Postal Vault will be a premier sponsor of the International Builders’ Show in Orlando, Florida. Mrs. Cox will unveil the Humanvelopes for the first time to the world, and more specifically, Homebuilders. “Welcome Home, Marvin” will own the show, which annually brings in 105,000 Homebuilders. Once arriving to their hotel, registered guests will receive “Postal Vault Travel Kits” which will include an interactive Humanvelope DVD, Postal Vault information, branded travel commodities and Humanvelope figurines. During the show, Humanvelopes will brand Postal Vault with guerrilla tactics. Postal Vault will host a Humanvelopes pre-party for Homebuilders.

Netflix Co-Op Giveaway Promotion

Timeframe: Pull Phase (June - November 2007)

“Welcome Home, Marvin” will use promotions designed to build relationships with Homebuilders and Remodelers.

What’s more, we give both markets the chance to be exposed to and interact with Mrs. Cox and the Humanvelopes directly, meeting them in the places that matter: their communities, their trade shows, and, for the Webquisitors, online.

With Mrs. Cox and the Humanvelopes at the forefront of each of our promotions, “Welcome Home, Marvin” • Uses the Humanvelopes to brand Postal Vault to Homebuilders • Establishes a partnership with Netflix, a relevant mailrelated product and introduces a new product benefit, protecting your rental DVDs. Plus a new Humanvelope: Netflix Natalie • Create an emotional and loyal attachment to Postal Vault, the Humanvelopes and Mrs. Cox. • Provide a personal platform for Mrs. Cox to have a conversation with communities about Postal Vault and mail theft.

With the purchase of a Postal Vault during the Pull Phase of “Welcome Home, Marvin,” Postal Vault will offer 3 months of Netflix services for free. Correspondingly, new Netflix subscribers will receive a promotional e-mail which entitles them to 20% off the purchase of a Postal Vault. This will be promoted with POP displays in retail locations and through television, print, and online advertisements. In addition, a new Humanvelope, Netflix Natalie, will be featured in promotional advertisements.

Bobbie Cox & Humanvelopes Tour

Timeframe: Push & Pull Phases (February - November 2007) This promotion is designed to create relationships at the grass roots level with communities and families and inform them about mail theft. Additionally, it will give Mrs. Cox the platform and chance to talk to people, directly. Positioned as the Walt Disney of Postal Vault she will introduce her beloved characters, the Humanvelopes, and address the importance of mail security and Postal Vault.

The tour, which follows along with Homebuilder trade shows visits, will also present mail theft awareness fairs for communities in partnership with local police and fire departments.

During these fairs, the Humanvelopes will provide food, fun and entertainment for the kids to enjoy including the chance to dress as a Humanvelope and go down a Postal Vault slide.

Additionally, police and firemen will conduct demonstrations for protecting your mail and identity.

Visitors will be able to participate in a town hall discussion with Mrs. Cox where she will tell the Postal Vault story and talk about protecting Humanvelopes from mail theft. Publicity pitches will assure that Mrs. Cox will appear in local news media in conjunction with the tour.

Positioning Mrs. Cox Press Pitches: Mrs. Cox is a modern innovator. Teamed with her band of Humanvelopes, she will change the way people think about their mail. We have developed a publicity plan which will reinforce this message to the following media: consumer business, Homebuilder trade, Remodeler, Christian, and women’s business in addition to local press coverage to publicize Mrs. Cox & the Humanvelopes as they tour along with Homebuilder trade show visits.

“It’s no longer enough for people to believe what you product says it’s going to do on the label.

They need to believe in you and what you do. And they’ll go elsewhere if they don’t.”

- Hugh Macleod, Brand Consultant, gapingvoid.com

pitch schedule Publication

Campaign Timing

Pitch Strategy

Consumer Business Media Fortune 500 Push Phase

Female entrepreneur launching a new national ad campaign, backed by the American Advertising Federation, to create a new brand category, brand Postal Vault, and introduce the Humanvelopes to America.

Push Phase

Mrs. Cox discusses the importance of protecting mail with the Postal Vault and the value it can bring to new developments.

Forbes Homebuilder Trade Media Building Products Professional Builder Christian Media Christianity Today Today’s Christian Woman

Pull Phase

These publications can tell the story of Mrs. Cox, Postal Vault, and her life as a Christian business owner.

She discusses how Postal Vault and the Humanvelopes reflect and promote the values of Christianity.

Pull Phase

Mrs. Cox, five year member of the WBNEC, launches a new way to look at mail safety with her innovative company, Postal Vault, and her quirky companions, the Humanvelopes.

Pull Phase

Protect your mail and enhance your home, let the Humanvelopes show you how with Postal Vault!

Godly Business Woman Magazine Trinity Broadcasting Network Women's Business Media Minorities And Women In Business Magazine BusinessWomen Remodeler Media Architectual Digest O At Home Magazine Accent Home and Garden Local Media Local newspapers and TV News stations in cities where Mrs. Cox and the Humanvelopes are on tour.

Push & Pull Phases

Local publicity for the area's Homebuilder trade show and the accompanied Mrs. Cox & Humanvelopes Tour.

Media strategy We structured “Welcome Home, Marvin” in two phases, but first we will kick off with a pre-campaign sponsorship of the nation’s largest Homebuilder trade show in February 2007 to introduce Postal Vault and the Humanvelopes to the Homebuilders of America.

Postal Vault currently lacks major distribution. For this reason we split “Welcome Home, Marvin” into two distinct phases, Push and Pull. The Push Phase uses 100% of marketing communications to push Postal Vault into two crucial distribution channels, Homebuilders and Retailers. The Remodeler-targeted Pull Phase advertises to Remodelers so they can purchase Postal Vault through our established distribution network. “Welcome Home, Marvin” ensures that Postal Vault is readily available to Remodelers when they make a purchasing decision.

Objectives: • Create and maintain loyal relationships with Homebuilders • Increase Homebuilder purchases and installations to drive Remodel and Retail sales • Drive traffic to www.humanvelopes.com • Establish Postal Vault as generic brand category leader • Achieve $25 million Homebuilder sales goal through personal selling and strategic and consistent media coverage • Achieve $10 million Remodeler sales goal with specifically targeted media placement

Strategy: Homebuilder • Build upon personal selling and use customized sales kits and pitches for Homebuilders and Retailers to connect to their individual needs • Utilize experiential and non-traditional content to capitalize on the power of viral marketing • Dominate 12 Homebuilder trade shows as the preeminent category leader, including a premiere sponsorship at the nation’s largest Homebuilder trade show

Push Phase February-May 2007

Uses personal selling and various targeted media buys to form relationships with Homebuilders and Retailers

Objective: To push Postal Vault into the Homebuilder and Retail market.

pull Phase June-Nov. 2007

“Welcome Home, Marvin” will brand Postal Vault using the Humanvelopes and various consumer media outlets.

Once we establish relationships with Homebuilders and Retailers, media spending will shift to Remodelers to pull Postal Vault through distribution channels.

Objective: Create awareness among Remodelers by

saturating the market with images of the Humanvelopes and Postal Vault while maintaining relationships with Retailers and Homebuilders through our Account Managers, trade shows and continued placement in traditional media.

Media Budget $12,985,937 8%

5%

2% 33%

Remodeler • Use Internet ads to drive Remodelers (specifically Webquisitors) to the interactive web site, www.humanvelopes.com • Feature Humanvelopes in advertisements in print, television, web, outdoor, direct mail, and Point of Purchase displays that are relevant to Remodelers Retail • Utilize Humanvelopes in sales kits and interactive DVDs to excite retail employees and create buzz and word-of-mouth within the retail industry • Educate employees on Postal Vault features and benefits

14%

17%

21%

Print $4,307,977 Interactive $2,715,000 Cable Television $2,268,000 Direct Mail $1,800,000 Outdoor $1,050,000 Trade Show $614,960 Airport $200,000 Hotel $30,000

trade show media

($844,960)

Objective: Create Homebuilder relationships and brand Postal Vault with face-toface interaction.

To reach Homebuilders we will flood Homebuilder trade shows across the country.

Our research told us that new products are typically discovered at trade shows. To capitalize on this, Postal Vault will generate close to half a million priceless impressions at 12 carefully selected trade shows. All appearances will feature an interactive booth, DVDs, catalogs, brochures, sales videos and the Bobbie Cox & Humanvelopes tour.

NAME International Builders' Show Building Home & Remodeling Show Long Island Home & Garden Show International Security Conference West Arrowhead Home & Builders' Show National Hardware Show & Lawn and Garden World American Institutes of Architects Convention & Expo Pacific Coast Builders' Conference Miami Home Design & Remodeling Show International Construction & Utility Equipment Expo National Saftey Council Expo International Home Furnishings Market

LOCATION Orlando, FL Huntsville, AL Long Island, NY Las Vegas, NV Duluth, MN Orlando, FL Madison, WI San Francisco, CA Miami, FL Louisville, KY Chicago, IL High Point, NC

DATE Cost Feb, 7 $500,000 March, 1 $5,600 March, 10 $14,900 April, 5 $9,200 April, 11 $2,800 May, 8 $25,560 May, 16 $5,700 June, 20 $16,000 Sept, 1 $8,400 Sept, 25 $8,600 Oct, 15 $8,600 Oct, 18 $9,600

International Builders’ show Sponsorship ($500,000) We will launch “Welcome Home, Marvin” at the International Builders’ Show in Orlando, Fla. on February 7, 2007. Although before the given campaign period, it is essential to be there as it is the largest Homebuilders’ trade show in the nation, with an average of 105,000 visitors per year. Postal Vault will gain brand exposure with a premium sponsorship for this event in addition to ads in the show’s brochure, floor plan, and promotional materials. Sponsoring the largest show of the year will create instant credibility and buzz among Homebuilders. A series of non-traditional media placements will ensure that attendees will have the opportunity to meet the Humanvelopes.

Airport ($200,000) The International Builders’ Show attracts attendees from across the nation. Advertisements on wall space, moving walkways, elevators and escalators will ensure that Homebuilders are greeted by the Humanvelopes when they arrive at the Orlando International Airport.

Hotel ($30,000) Postal Vault will make large non-traditional media buys at Orlando area Hilton, Marriott, and Sheraton Hotels to reach Homebuilders attending the International Builders’ Show. Visitors will spot the Humanvelopes along the top of elevator doors when they look up at the floor level and see Postal Vault spots on closed circuit hotel TVs.

Humanvelopes Tour PRE-party The Bobbie Cox & Humanvelopes Tour will launch at the International Builders’ Show. Plus, as part of our premium sponsorship, Postal Vault will host a pre-party where Homebuilders, particularly the Postal Vault Top 20, will meet Mrs. Cox and the Humanvelopes.

DVD lanyard 58% of people who receive promotional DVDs at events play them. Homebuilders will receive lanyards with a credit-card sized interactive DVD full of Humanvelope viral videos, product information and links to the Postal Vault websites as 55% of those who open promotional DVDs click on embedded links.*

Humanvelope DVD Lanyard

* Forrester Research Study, 2003

homebuilder media Magazines

($1,455,660)

Homebuiler print execution

Objective: Target Homebuilders in one of their largest purchasing resources.

“Welcome Home, Marvin� will feature Postal Vault ads in the six leading Homebuilder trade publications from March to November. The magazines selected were based on personal interviews with Homebuilders as well as CPM and circulation.

Placement: Name Architechtural Digest Big Builder Builder Building Products Professional Builder Professional Remodeler

Interactive

Circulation 5,213,000 10,026 141,457 60,000 127,000 63,785

Cost per 4-color full page ad $99,630 $7,310 $18,005 $12,455 $14,020 $10,320

CPM $19.11 $729.10 $127.28 $110.39 $207.58 $161.79

($900,000)

Objective: Drive traffic to web site and position Postal Vault as a product that is essential for new homes that provides added value.

Personal interviews confirmed that Purchasing Agents browse trade specific web sites. Thus, ads will be placed to reach and direct them to the Postal Vault business website.

Placement: Site Traffic/month Cost per placement builderonline.com 4,000 $15,000 bigbuilderonline.com 4,000 $15,000 customhomeonline.com 14,126 $15,000 bizjournal.com 3,000,000 $15,000 ebuild.com 280,469 $15,000

CPM $98.00 $98.00 $98.00 $28.00 $98.00

Site Traffic/month Cost per placement CPM hgtv.com 3,000,000 $20,000 $13.00 hgtvpro.com 3,000,000 $20,000 $13.00 *Based on both Mediamark Research Inc. data and personal observation diynetwork.com 3,000,000 $20,000 $11.75

Remodeler MEDIA STRATEGIES cable Television

Interactive ($600,000)

($2,268,000)

Objective: Resonate with Webquisitors and HirePower and encourage direct response.

experience with the Humanvelopes.

TV placement will begin with 30-second launch spots to introduce the Humanvelopes to our consumer market. These spots will brand Postal Vault and jumpstart the Pull phase of “Welcome Home, Marvin,” piquing Remodeler interest in their mail and creating buzz.

All TV spots will air on major cable television, appealing to HirePower and Webquisitors on special interest stations.

Placement: Network HGTV DIY Fine Living TLC

Program I Want That!

DIY to the Rescue Dwell Trading Space, Moving Up

Objective: Raise awareness of mail theft through an interactive

Cost $13,500 $14,000 $12,900

CPM $17.79 $18.97 $19.31

$16,300

$20.67

Humanvelopes will enlighten Remodelers, primarily Webquisitors, of mail theft’s impact on their credit rating and overall financial and psychological welfare. Our primary research shows that the largest concerns of identity theft are Internet-related. Therefore, turning Webquisitors attention toward Site they browseTraffic/month Cost per placement CPM mail theft whilst the Internet is critical. builderonline.com 4,000 $15,000 $98.00 4,000 $15,000 Webbigbuilderonline.com placement will include home improvement sites that draw high$98.00 traffic customhomeonline.com 14,126 $15,000 $98.00 and offer low CPM while providing a secure connection to Webquisitors. bizjournal.com $15,000 $28.00 All interactive ads will feature a3,000,000 link to www.humanvelopes.com. ebuild.com 280,469 $15,000 $98.00

Placement: Site hgtv.com hgtvpro.com diynetwork.com fineliving.com bhg.com

Traffic/month Cost per placement 3,000,000 $20,000 3,000,000 $20,000 3,000,000 $20,000 3,000,000 $20,000 4,000,000 $20,000

CPM $13.00 $13.00 $11.75 $10.36 $17.00

Remodeler web banner (Flash animated, 420x60 px)

Paid Search

($1,215,000)

Objective: Connect Postal Vault to relevant Internet search engines.

Paid search is a proven way to increase web site traffic and drive e-sales.

We will connect with words such as: mailbox, mail theft, mail security system, locking mailbox and Humanvelopes to guide Webquisitors to the Humanvelopes and Postal Vault web sites.

*Based on both Mediamark Research Inc. data and personal observation

Paid search screen shot.

Google.com search example

Magazines

Direct Mail

($2,014,873)

Objective: Direct print ads to Remodelers to brand Postal Vault and inspire further research amongst both Webquisitors and HirePower.

Magazine

Circulation

Cost per 4 color full page

Accent Home & Garden Martha Stewart Living O At Home, An Oprah Magazine Southern Living Redbook Good Housekeeping Dwell

30,000 11,296,000

$1,795 $125,627

3,960,000

$36,979

15,896,000 9,770,000 25,191,000 250,000

$147,000 $128,800 $286,525 $23,000

Newspaper Polybags

CPM $59.83 $11.12 $9.34 $9.25 $13.18 $11.37 $92.00

($1,500,000)

Objective: Demonstrate to consumers the urgent need for a Postal Vault by raising awareness of mail theft.

With information gathered from Postal Vault’s online opt-in database, we will send out direct mail kits. Our opt-in direct mail takes advantage of Webquisitor interest. Mail kits will look like a Humanvelope and consist of an interactive DVD with viral footage of the Humanvelopes, an informational mail theft brochure complete with Postal Vault features, benefits, and purchasing information.

Outdoor ($1,050,000) Objective: Improve relationships and share cost with Homebuilders while branding Postal Vault to Remodelers

($837,444)

OBjective: Break through clutter to reach Remodelers using a nontraditional media buy in a traditional medium.

Newspapers offer high circulation and an affluent audience, but it is difficult to determine which section a specific market is reading. Our answer to this dilemma is the newspaper polybag. Humanvelope ads will appear on polybag covers as papers are delivered to the door. These bags will be used nationally on Sunday papers, which are the most widely read, especially by HirePower.

Billboards ($1,050,000) Co-op advertisements with Homebuilders will be used for billboard placement. Aligning Postal Vault with Homebuilders and developers will increase credibility among Remodelers, help drive sales, and provide an excellent opportunity for Postal Vault and Homebuilders to cut cost.

Additionally, our face-to-face interviews told us that co-op advertisements will increase the probability that Homebuilders will purchase Postal Vault for their developments as it provides an opportunity to help their bottom line.

Billboards will be placed roadside in San Diego, Dallas, Las Vegas, Seattle, Orlando and Chicago, in areas with high traffic flow and where Homebuilders are developing new tracts.

media plan Postal Vault Media Flow Chart

Vehicle

Audience

Trade Shows

PRE LAUNCH

Cost of Placement

CPM

February

PHASE 1 March

April

PHASE 2 May

June

July

August

September

October

November

based off 400 sq/ft

International Builders' Show

105,000

$500,000

Building, Home & Remodeling Show

13,000

$5,600

$430.77

1-Mar

Long Island Home & Garden Show

12,000

$14,900

$1,241.67

7-Feb

10-Mar

International Security Conference West

22,000

$9,200

$418.18

5-Apr

Arrowhead Home & Builders Show

32,000

$2,800

$87.50

11-Apr

Nat'l Hardware Show & Lawn and Garden World

30,000

$25,560

$852.00

8-May

AIA National Convention & Expo/American Institute of Architects

24,000

$5,700

$237.50

16-May

PCBC-Pacific Coast Builders Conference

30,000

$16,000

$533.33

Miami Home Design & Remodeling Show

100,000

$8,400

$84.00

1-Sep

ICUEE/Int'l Construction & Utility Equpment Expo

16,400

$8,600

$524.39

25-Sep

National Safety Council Expo

18,000

$8,600

$477.78

15-Oct

Int'l Home Furnishings Market

70,000

$9,600

$137.14

18-Oct

Total

$614,960

20-Jun

Hotel $30,000

Orlando Hilton, Marriott & Sheraton

Total

$30,000

$30,000

Airport $200,000

Orlando International Airport

Total

$200,000

$200,000

$844,960

Print Remodeler

$2,852,317

Accent Home & Garden

30,000

$1,795

$59.83

Martha Stewart Living

11,296,000

$125,627

$11.12

O At Home, An Oprah Magazine

3,960,000

$36,979

$9.34

$1,795

$1,795

$1,795

$1,795

$1,795

$1,795

$125,627

$125,627

$36,979

$36,979

$36,979

$36,979

$36,979

$36,979

Southern Living

15,896,000

$147,000

$9.25

Redbook

9,770,000

$128,800

$13.18

$128,800

$128,800

Good Housekeeping

25,191,000

$128,800

$286,525

$11.37

$286,525

$286,525

Dwell

$286,525

250,000

$23,000

$92.00

$23,000

$23,000

$23,000

4,387,060

$837,444

$63.63

$279,148

Newspaper Polybags

Homebuilder

$147,000

$23,000

$23,000

$23,000

$279,148

$279,148

$1,455,660

Architectural Digest

5,213,000

$99,630

$19.11

$99,630

$99,630

$99,630

$99,630

$99,630

$99,630

$99,630

$99,630

Big Builder

10,026

$7,310

$729.10

$7,310

$7,310

$7,310

$7,310

$7,310

$7,310

$7,310

$7,310

$99,630 $7,310

Builder

141,457

$18,005

$127.28

$18,005

$18,005

$18,005

$18,005

$18,005

$18,005

$18,005

$18,005

$18,005

Professional Builder

127,000

$14,020

$110.39

$14,020

$14,020

$14,020

$14,020

$14,020

$14,020

$14,020

$14,020

$14,020

Building Products

60,000

$12,455

$207.58

$12,455

$12,455

$12,455

$12,455

$12,455

$12,455

$12,455

$12,455

$12,455

Professional Remodeler

63,785

$10,320

$161.79

$10,320

$10,320

$10,320

$10,320

$10,320

$10,320

$10,320

$10,320

$10,320

Total

$4,307,977

HGTV

759,000

$13,500

$17.79

$135,000

$135,000

$135,000

$67,500

$40,500

$27,000

Fine Living

680,000

$12,900

$18.97

$129,000

$129,000

$129,000

$64,500

$38,700

$25,800

DIY Network

725,000

$14,000

$19.31

$140,000

$140,000

$140,000

$70,000

$42,000

$28,000

TLC

788,500

$16,300

$20.67

$163,000

$163,000

$163,000

$81,500

$48,900

$32,600

Total

$2,268,000

Cable Television

Interactive Remodeler

$600,000

www.hgtv.com

3,000,000 per month unique

$20,000

$13.00

$20,000

$20,000

$20,000

$20,000

$20,000

$20,000

www.hgtvpro.com

3,000,000 per month unique

$20,000

$13.00

$20,000

$20,000

$20,000

$20,000

$20,000

$20,000

www.diynetwork.com

3,000,000 per month unique

$20,000

$11.75

$20,000

$20,000

$20,000

$20,000

$20,000

$20,000

www.fineliving.com

3,000,000 per month unique

$20,000

$10.36

$20,000

$20,000

$20,000

$20,000

$20,000

$20,000

www.bhg.com

4,000,000 per month unique

$20,000

$17.00

$20,000

$20,000

$20,000

$20,000

$20,000

$20,000

Homebuilder

$900,000

www.builderonline.com

4,000 per month unique

$15,000

$98.00

$30,000

$30,000

$30,000

$15,000

$15,000

$15,000

$15,000

$15,000

$15,000

www.bigbuilderonline.com

4,000 per month unique

$15,000

$98.00

$30,000

$30,000

$30,000

$15,000

$15,000

$15,000

$15,000

$15,000

$15,000

www.customhomeonline.com

14,126 per month unique

$15,000

$98.00

$30,000

$30,000

$30,000

$15,000

$15,000

$15,000

$15,000

$15,000

$15,000

www.ebuild.com

280,469 per month unique

$15,000

$98.00

$30,000

$30,000

$30,000

$15,000

$15,000

$15,000

$15,000

$15,000

$15,000

www.bizjournals.com

3,000,000 per month unique

$15,000

$28.00

$30,000

$30,000

$30,000

$15,000

$15,000

$15,000

$15,000

$15,000

$15,000

Paid Search: google, yahoo, msn, aol

Based on Cost per Click

$135,000

Average CPM $11.20

$135,000

$135,000

$135,000

$135,000

$135,000

$135,000

$135,000

$135,000

$135,000

$250,000

$250,000

$250,000

$250,000

$250,000

$250,000

$100,000

$100,000

$100,000

$175,000

$175,000

$175,000

$175,000

$175,000

$175,000

$1,820,662

$1,525,514

$1,804,662

$1,674,339

$1,966,914

$1,759,866

Total

$2,715,000

Direct Mail Consumer Retail (Sales Video)

$1,500,000 $300,000

Total

$1,800,000

Outdoor Co-op Billboard Ads

$175,000

Total

Monthly Cost for Placement Remodeler Total Homebuilder total Retailer total

Total

Average CPM $19.25

$1,050,000 $730,000

$8,270,317 $4,415,620 $300,000

$12,985,937

$567,240

$558,740

$578,000

in closing...

“Welcome home, Marvin” Itemized Budget Personal Selling Contingency 3% 3% Promotions Retail 2% 10%

Recommendations Circle Advertising offers these recommendations to assure Postal Vault maintains its position as the brand leader.

Homebuilder 25%

Production 9% Evaluation 1%

Create a dual unit and/or centralized Postal Vault • Our primary research confirmed that the Homebuilder trend is leading toward dual or multi-unit mailboxes • The USPS is putting considerable pressure on Homebuilders and local governments to pass laws that require all new communities to install dual or multi-unit mailbox systems By developing these types of products, Postal Vault can become a one stop shop for Homebuilders.

Develop a Co-Sponsored Mail Theft Study with USPS • Countless studies focus on identity theft, but there are very few mail theft studies • Partnering with the USPS will increase the credibility and scope of this research study • National Accounts Managers will be able to leverage this information in their pitch to both Homebuilders and Retailers in their specific regions • Increase the Postal Vault brand equity Redesign postalvault.com • Focus groups told us that the main company website wasn’t aesthetically pleasing • Should incorporate Humanvelopes in the interface

Post testing: Measuring Effectivenss After all is said and done, we want to make sure “Welcome Home, Marvin” delivered on its objectives so we can adjust our tactics moving forward. We will test our campaign against our objectives with the following methods: • Internet-based interviews and surveys to test recall and message effectiveness • Evaluation of employee training and enthusiasm and purchase experience through secret shoppers • Ongoing customer service surveys with Homebuilders • Behavioral tracking of Remodelers online through mapping of their paths through postalvault.com, humanvelopes.com and VaultVillage

Media 74.21% Personal Selling (3) Accounts Managers - Salary (x3) - Benefits (x3) - Incentives (x3) (1) Retail Sales Manager - Salary - Benefits - Incentives Travel & Expenses Total Personal Selling Media Remodeler Homebuilder Retail Total Contingency Total

Remodeler 47%

$225,000 $75,000 $75,000 $75,000 $25,000 $25,000 $100,000 $600,000 $8,270,317 $4,415,620 $300,000 $12,985,937 $525,000

Production Tradeshow Booth Tour travel DVD Production Print production Commercial production Costume production Web-site design Miscellaneous cost Total Promotions Netflix Tour Total Evaluation Pre-Testing Post-Testing Total

$400,000 $300,000 $100,000 $200,000 $200,000 $477 $200,000 $99,523 $1,500,000 $975,000 $813,824 $1,788,824 $50,000 $50,000 $100,000

conclusion Circle Advertising created real relationships with Homebuilders, segmented the consumer market to deliver Remodelers, and established a process to partner with Retailers. We use the Humanvelopes to break down the three barriers to involvement. Plus, we love them and would hate to see them perish like so many other pieces of mail without a Postal Vault.

So please, “Welcome Home, Marvin.”

in loving memory of

Bob Nicoletti 1958-2005

Circle Advertising Donors

Circle Advertising

Au Lac Vegetarian Restaurant Byco Inc. Chase Callahan Paul & Gayle Collins Arthur G. Coons Steve & Leslie Corso Ben Crocker Rob & Suzi De Thomas Makai Events Mary Fallon David Kim Kate Lennon Dan McNamee Brent & Christine Miller The Nicoletti Family Douglas Pool Mike Preletz Billy Roen Marguerite Scavarda Terart Assoc.

Bruce Tollner Dick & Jane Tracy SRM Transport Inc. Betty Lou Sanders Sam Uisprapassorn Wilde Custom Homes Nima Zarrabi

Account Executives Job Hall Zack Marker Account Planning Evan Nicholson, Director Holly Miller Anthony Kondeati B-2-B Derek Crocker, Co-director Nate Tracy, Co-director Jason Stevens James Wedmore Creative Jason Rivanis, Director Lani Nguyen, Art Director Brianne Boyer Lilia Glauberman David Grau Mike Muffoletto Promotions & PR Stephanie Pool, Director Courtney Coons Jenna Nicoletti

Professor Bob Bassett, Dean, Dodge College of Film and Media Arts Professor Dezso Magyar, Artistic Director, Dodge College of Film and Media Arts Assistant Professor Ken O’Donnell, Chair of Undergraduate Programs for

Media Amanda Medeiros, Director Rob Harrington Ashley Beall Hiro Kamegaya Amber Zbierski

Dodge College of Film and Media Arts Professor Janell Shearer, Head of Public Relations and Advertising Professor Eric Chimenti, Head of Graphic Design Department

Advisor Cory O’Connor

Special Thanks To

Blue Lion Pictures