NSAC Mary Kay Plans Book

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AR ROW H E A D A DV E RT I S I N G T E AM national student advertising competition 2014

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EXECUTIVE SUMMARY “A good goal is like a strenuous exercise - it makes you stretch.” - MARY KAY ASH

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R ES E A RCH

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CO MPET IT IVE

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TA RGET PRO F ILE

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S T RAT EGY

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C R EAT IVE

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D I GI TA L

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P RO M OT IO NS

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I BC

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P RO DUCT EXT EN SIONS

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MED IA

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EVA LUAT ION

Mary Kay Ash started her dream cosmetics company in 1965 and since then, it has flourished into one of the leading direct sale businesses. From the beginning, Mary Kay has prospered on her foundation of values: live by the Golden Rule, know the priorities in life, make others feel important, and always be in the give-go spirit. However, she has been unable to convey her values to an unresponsive generation of independent Millennials whose attention she’s yet to capture. The challenge Arrowhead Advertising faced was to position Mary Kay as relevant to the target of Millennial women, aged 18–25; to communicate the brand’s core values in a contemporary and creative way; and to increase the awareness and positive brand perception in the target market, ultimately leading to increased product consideration… all while maintaining the loyalty of the existing customer base. As an established player in the makeup game, striving for a greater market share with younger generations, Mary Kay has a unique challenge ahead of her. She’s currently missing out on emerging trends while her competitors are setting the digital curve. Mary Kay needs to establish herself as a modern brand that reaches out to young women through interactive media. In addition, when speaking to marketing savvy Millennials, a traditional makeup brand needs to benefitting them by more than simply providing a tube of mascara: it needs to engage them as a friend who listens to and understands them. Through extensive primary and secondary research, Arrowhead has uncovered a disconnect between Mary Kay and the target market. Our

research was used to determine how to reposition the brand as fresh, connected, and genuine while still maintaining the core values of Mary Kay. To do this, it is necessary for Mary Kay to recognize Millennials as unique, socially aware, and resistant to advertising messages based off traditional messaging strategy. By communicating with them on a deeper level, Mary Kay can build trust in the brand that leads to a lasting relationship. In order to effectively reach the market, Mary Kay must intertwine herself within the target’s life to emphasize an understanding of their lifestyle. Millennials are constantly on the move, underlining the need for a beauty brand that can cater to them no matter where they are. Convenience is key, as they look for beauty products to fit their on-the-go lifestyle. Therefore, an effective, synergistic campaign must combine executions across multiple platforms that spotlight the ultimate value Mary Kay can provide to its customers: The convenience that stems from establishing a relationship with an Independent Beauty Consultant. Arrowhead Advertising has developed an integrated campaign that reinvents Mary Kay to be relevant to the target market. The campaign strategy speaks directly to these women and maximizes the budget by creating disruptive executions, which will be effectively delivered through precise media placements. In conjunction with targeted promotions and unique social media efforts, our strategy aims to create a synergistic approach which conveys one key message: The beauty in life is highlighted by our investment in meaningful relationships.


THE GOA L

W E WA N T E D TO LE ARN

Arrowhead Advertising set out to craft a thoroughly integrated approach to a campaign that will address the marketing objectives of our client.

1.

Increase awareness of Mary Kay among female consumers ages 18-25 by 15%

2.

Increase positive perception of Mary Kay among female consumers ages 18-25 by 12%

3.

Increase consideration for product purchase and for the Mary Kay business opportunity among female consumers ages 18-25 by 10%

SETTING TH E FOU NDATION In order to spearhead the challenge, we utilized extensive primary and secondary research to gain a comprehensive understanding of Mary Kay and our Millennial audience.

how

wha t

why

Mary Kay corporate and IBCs can influence awareness, the brand’s perception, and product consideration among Millennial women.

the IBC goes through in her sales process, from receiving the welcome kit to learning the steps to selling product in a Mary Kay party.

Mary Kay isn’t properly reaching Millennial women with their product portfolio.

T H E R E SE ARCH 693

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410

12

Survey Respondents

Ethnographies

Articles and Reports

Focus Groups

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1021

17

25

Direct contact interactions

Spent in interviews with

These

within the target that met

with

Mary Kay IBCs, former

of product sampling, the

weekly to discuss the Mary

target market to sample

IBCs,

current Mary Kay Party

Kay brand and attend

product

Sales Directors.

Mary Kay events.

brand perception.

Friendship Groups Panels

of

millennials

We

Hours members and

of

the

measure

and

Independent

Mary Kay events events

consisted

format and gauge interest in IBC careers

tested to see the change in perception of the brand over the course of the year.

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ESSENTI AL f i n d i n g s AP PLYI NG T H E R E S EARCH

N OT YOUR MOTHE R’S PART Y Tailor themes to fit Millennial lifestyles To counter the negative perception attached to the Mary Kay party, these events were rebranded as “socials”. These socials pioneer a fresh brand perception through varying themes to fit the lifestyles of the target as seen on page 18.

sug gestions b a sed on our E T ON T HEIR WISHLIST findings G Create a relevant incentive program

Pink Cadillacs aren’t motivating Millennials. Our target’s free time is precious, so creating an incentive program with rewards that are relevant to them will reposition success as an IBC as an investment worth making. See our suggested changes to the program on page 19.

H I T EVE RY DETAIL Supplementary product lines cater to Millennials’ expanding needs We’re not cannibalizing the core line, but making sure Mary Kay is part of every step of our Millennials’ expanding makeup routines. From brow kits to beauty cream, these expansions will bridge any gaps between the core product line and At Play, with the perfect pick for every occasion. See page 21 for these extensions.

A LWAYS IN T HE KNOW Promote continuous education for IBCs Distribution of educational materials and tutorials make staying on top of trends and constantly bettering beauty techniques a breeze. Keeping IBCs in the know will make them their clients’ go-to guides for makeup. Find an outline of our education program on page 19.

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“Getting Inside the Millennial Mind (Social Causes).” Scarborough Research, 29 Nov. 2012. http://visual.ly/omg-getting-inside-millennial-mind Melani, Gina. “How to Connect with Millennials – Three New Stats Shed Light.” SocialChorus. N.p., 6 Aug. 2013. http://www.socialchorus.com/how-to-connect-with-millennials-three-new-stats-shed-light/

PAS S I O N I S K E Y The first place to reach Millennials is in the heart: a hard sell isn’t for this generation. This target is enthusiastic about social causes and supports brands with a similar mindset.1 They appreciate authenticity, so the focus for IBCs should be on building friendships through their passion for the brand. A natural seller, a great hostess- becoming an IBC is not for the girl who is satisfied with the bare minimum. What sets Mary Kay apart from the competition are the IBCs that serve as champions for the brand and advocates for their customers in more ways than makeup.

NE E D F O R E AS E Our target leads busy lives, so convenience is important. Parties should fit in with what they’re already doing with their lifestyle, as opposed to feeling like another priority on a long to-do list. Our IBCs juggle more roles than any generation before them. This underlines the need to streamline the sales and purchase process as much as possible for Mary Kay.

C O NV E R S AT I O N B U I L D S C O M M U NI T I E S Millennials trust social media more than traditional advertising.2 Mary Kay has a great opportunity to strengthen digital communications in order to bring events to the top of Millennials’ newsfeeds. Mary Kay can create stronger bonds with IBCs by keeping them in the know with clearer, more frequent internal communication.

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WHO I S M ARY KAY ?

LIFE’S PRIORITIES

Mary Kay’s long-standing success as a beauty retailer can be credited in large part to her values. The importance she places on service is supplemented by her priorities in life: faith, family, and career. She lives by the Golden Rule and treasures her customers: The key to her relationships is making those she comes in contact with feel special. This go give spirit facilitates a company mindset of extending a helping hand towards every woman, setting her apart from her competitors, and the world at large.

PRO DU CT a n a ly sis Arrowhead conducted comprehensive product sampling with over 250 Millennial women by holding Mary Kay events. In events, we demonstrated Mary Kay products which were followed by focus groups to gather respondents’ opinions on the products tested.

SKIN CARE LINE A best seller for a reason: higher awareness and consideration

Mary Kay’s best selling product line is skin care, ranking sixth in the nation.3 The respondents in our focus groups and friendship groups had a higher awareness about the skin care products, specifically the Velocity line, and after trial had increased product consideration towards the botanicals skin care line.4

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Mary Kay NSAC Case Study Mary Kay Event Order Forms Product Disguise Respondents 6 Mary Kay Event Respondents

Mary Kay Event Respondents Mary Kay Event Respondents Mary Kay NSAC Case Study

THE CORE LINE

AT PLAY LINE

THE FRAGRANCE

Think twice: low brand perception changed by trial

Youth and beauty: bridging the gap from core product line

Greater incentives for further down the road

After focus-party participants tried the product, Arrowhead found that the respondents were surprised by the quality of products Mary Kay has to offer.5 By the end of the focus-parties, core line product consideration increased, and participants were more receptive to the brand. This indicates that the products are desirable towards Millennials, but the consideration is affected by the low awareness and perception of the brand.

At Play was not as favorable amongst Millennials during our product testing.6 The respondents felt that At Play was of higher quality7 but perceived it as a more youthful brand.8 A new entry level extension will bridge the gap between this audience who feel they are too sophisticated for At Play but not mature enough for the core line - thus creating a sales opportunity for Millennials entering the brand that are opposed to At Play. These product portfolio extensions can be seen on page 22.

A small portion of the product mix, fragrance accounts for only 2% of sales.9 Initial focus should be weighted towards getting people in the door and building loyalty. Attention can be turned to fragrances after the initial relationship has been built.

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SHE’S A GREAT GIRL, ONCE YOU GET TO KNOW HER The problem lies not in the product, but brand awareness and positioning

S H E ’ S NOT TA L K I NG TO ME Mary Kay’s current positioning doesn’t speak to Millennials. With tupperware style parties and wrinkle cream, the brand’s approach is stuck with the past generation.

M ARY K AY J US T N E E DS HE L P STA RT IN G T H E C ON V E RSAT ION . S O W HY I S N ’ T AN YO N E TAL K I N G TO H E R?

SHE’S BE EN WRONGLY JU D GED Throughout our focus groups, Mary Kay events, and surveys we found that Mary Kay’s perception was poor within the target with a low overall awareness towards the brand.

“ M y g ra ndma uses it . ” 11 A low perception stemming from a dated view of the brand was the main point driving a low

“ I j u st wan t to go b u y my masc ara wi th my mi l k an d o the r thi n gs. ” 12 Our respondents felt that attending a party and

product consideration for our target.

ordering through an IBC was inconvenient due to

“ I ha te dir ect selling, I f eel o ve r whelmed. ” 13

“ I ’d pay maybe 1 0 dol l ars f o r i t. ” 14

Millennials responded very negatively towards

Every dollar matters to this audience, and our

the product not being delivered instantaneously.

S H E’ S H A RD TO G E T A H O L D O F Mary Kay’s Purchase Channel Creates a Barrier to Entry. Eighty percent of beauty and personal care product sales are store based, making Mary Kay’s primary competition the channel of sale, not an individual brand.10 Many beauty brands sold through department stores and drug and convenience stores hold competitive advantages due to the widespread availability of their products and the unfamiliarity of the direct selling experience. 10

Mary Kay NSAC Case Study Focus Group Respondents

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direct selling via pushy sales tactics: They want the focus to be on their needs, and feel less like an obligation to purchase.

survey results showed Mary Kay had a low perception of quality. However, after product trial, these perceptions were lifted.

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IN A C ROWD OF C OV E RGI RLS IT’S HA RD TO STAND OUT

Simply put, our competition isn’t the competition once we distinguish ourselves. Mary Kay provides more than what can be found at the drugstore or a makeup counter: She wants to spend the time to sit down and listen about your life. The service and relationship that accompanies Mary Kay’s product is what sets her apart. With so much more to offer than these other girls, capitalizing on this gap in the market will allow her to go from wallflower to the life of the party.

Brands with a contemporary perception have similar positioning

The similarity between our competitors’ ads is remarkable. That easy, breezy, beautiful, look is seen cover to cover in magazines. Mary Kay’s products test just as well, but the problems she faces with awareness and brand perception won’t be conquered by a message that simply blends in with the crowd.15 The market is ripe for a disruptive positioning of a beauty campaign.

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Arrowhead Mary Kary Survey

H OW C AN M ARY KAY D O THIS ? 1. Increase awareness and change brand perception by creating a campaign that focuses on the unique relationships and products only Mary Kay can offer 4. Introduce product-line extensions to fill the gap between At Play and core products

2. Engage with Millennial women using a mix of media with an emphasis on digital and social

5. Improve incentives to recruit and retain Millennial IBCs

3. Develop streamlined communication tools which will help maximize Beauty Consultant success

6. Utilize promotions to increase awareness and product trial

7. Implement social marketing programs that reflect Mary Kay’s core values

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SO WH O A R E WE TALKI NG TO?

D EFIN ITE M AYBES A RE LEA DIN G A L I FE OF CONTRAD I CTI ONS A MOV I NG TARGET. . .

Most transient generation ever16

They decide on a definite path, after switching their major four times. All they want is a plan, while being able to live their life spontaneously. They’re more connected than ever, while staring into their phone, and their one constant is that they’re always changing. They want answers now, but don’t tell them what to do. They think they know it all, while admitting they’re totally clueless. Millennial females are faced with more options, choices, and chances to change their mind than any generation before them. They don’t want us to try and define them, so the one way we can categorize these ladies are by calling them:

Definite Maybes.

Normal ads don’t have resonance: I don’t like advertising in general (116)17 I expect ads to be entertaining (115)18 Living in a constant state of change: More likely than any other generation to change their job, enroll in college, or get laid off.19

...THAT’S A LWAYS CON N ECTED

“I like to be connected to my friends and family wherever I am” (124)23 The Internet is a primary source of information (160)24 and entertainment (157)25 Involve themselves with social causes: 73% volunteer for nonprofit organizations26 46% of Millennials agree that they’re more likely to buy a brand that they know supports a charity.27

TH EY WANT WH AT’ S R I GH T I N FRONT OF TH EM. . .

...WHIL E IN VESTIN G FOR THE LON G - TERM

“Gen Ys value convenience, as exemplified by the popularity of sites such as Amazon and eBay that make shopping as easy as the click of a button.”20

Worth the splurge: Willing to pay for quality in products that are especially fashionable or functional.

52% more likely to buy things spur of the moment21

Driven by passion: Measure success by happiness rather than in monetary terms.28

“The priority students affix to their education is too often usurped by increasingly demanding and time-intensive life priorities. Many members of this generation of students continue to live in an age of convenience and consumption.”22

Want to invest in products and services they care about.

23 Ihrke, David K., Carol S. Faber, and William K. Koerber. 2011. Geographical Mobility: “Millennials Support Causes, Not Institutions, Survey Finds.” Philanthropy News Digest Y. N.p., 13 May 2013. http://www.psychologytoday.com/blog/webs-influence/201305/5-things-you- Volume 9.Winter (2007): n. pag. Association of American Colleges and Universities. 28 Merrick, Amy. “Where the Middle Class Shops.” The New Yorker.com. N.p., 6 Feb. 2014. http:// 2008 to 2009. Current Population Reports, P20-565. U.S. Census Bureau, Washington, DC. (PND). N.p., 22 July 2013. http://www.philanthropynewsdigest.org/news/millennials-support- need-know-about-marketing-gen-y. 17-18 26 www.newyorker.com/online/blogs/currency/2014/02/where-the-middle-class-shops.htm. Simmons Index Numbers causes-not-institutions-survey-finds Tuttle, Brad. “Millennials Are Biggest Suckers for Selfish Impulse Buys.” Time.com. N.p., 27 Apr. 19 24 Meister, Jeanne. “Job Hopping Is the ‘New Normal’ for Millennials: Three Ways to Prevent “Getting Inside the Millennial Mind (Purchasing Behavior).” Scarborough Research, 29 Nov. 2012. http://business.time.com/2012/04/27/millennials-are-biggest-suckers-for-selfish-impulse-buys. 29 Ferguson, Rick. “The US Millennial Loyalty Survey.” http://bit.ly/1dwDYtd Rick Ferguson, VP 27 Knowledge Development, 2011. a Human Resource Nightmare.” Forbes. Forbes Magazine, 14 Aug. 2012. 2012. http://visual.ly/omg-getting-inside-millennial-mind. Crone, Ian, and Kathy MacKay. “#795 Motivating Today’s College Students.” Peer Review No. 1 20-22 25 Simmons Index Numbers Nahai, Nathalie. “Webs of Influence.” 5 Things You Need To Know About Marketing To Gen

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WH Y M A RY KAY F O R T H I S TA R G E T ? Definite Maybes don’t just want to get “likes” - they want to feel loved

Millennials rank friendship, second only to health, as being the greatest determinant of a successful life 30

No technology can replace human interacton

“Gen-Y workers, whom we have largely pigeonholed as having an insatiable appetite for technology, are expressing both a desire for more human, face-to-face interaction and frustration with information and technology overload” - J A S O N C O R S E L LO, C O R N E R S TO N E O N D E M A N D

Through face-to-face interactions, our Definite Maybes gain something no other makeup brand can offer them: quality of service. Spending the time to know the customer allows Mary Kay to anticipate her needs, make her feel valued as a person, and keep her coming back. Taking it to a personal level enriches the connection and beauty that we have to offer one another. 30

Anderson, Kare. “Baby Bust: Millennials’ View Of Family, Work, Friendship And Doing Well.” Forbes Magazine.com. N.p., 05 Oct. 2013. http://www.forbes.com/sites/kareanderson/2013/10/05/baby-bust-millennials-view-of-family-work-friendship-and-doing-well/.

key i n si g ht I N V E S T I NG I N REL ATION SH IPS IS W H AT M A K ES U S BEAU TIFU L

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In a world of customization at a finger-click, using the latest technology may seem like the biggest convenience to your fast-paced life.

Bu t wha t i s the u l ti mate convenience?

It’s being able to say everything you could fill out in an online questionnaire in just one look. It’s having a history with a real person who knows who you are, not just what you buy. It’s feeling like you’re being catered to, as opposed to part of another mass-email.

These human interactions are a luxury we often forget about in the age of innovation. By making it a priority to focus on the quality of relationships, as opposed to the quantity of your Friends List, it results in connections that are more meaningful and fulfilling. This allows you to spend your time the right way instead of wasting hours behind your screen, and that’s

the b ea ut y o f fa ce t o f a c e. 9


T H E BEAU TY OF FAC E TO FAC E I S I N I T S VA L UES. It speaks directly to Mary Kay’s emphasis on people, generosity and caring.

T H E BEAU TY OF FAC E TO FAC E I S I N I T S L EVERAG E. Face-to-face is the unique selling advantage Mary Kay has over its competition: No beauty company knows their customers like an IBC.

T H E BEAU TY OF FAC E TO FAC E I S I N THE PRODUCT. Skin care and beauty accounts for 80% of sales, and face-to- face is how the product is sold and seen on our clients.

T H E BEAU TY OF FAC E TO FAC E I S I N I N CL USION . Face to Face capitalizes on a human truth that extends to audiences beyond Millennials: it won’t alienate other sections of Mary Kay’s market.

T H E BEAU TY OF FAC E TO FAC E I S I N I TS LON G EVITY: Face to Face has campaignable, long lasting potential.

The beauty of face-to-face is that it’s the most important type of relationship to Millennial women: Real life interactions create friendships that are irreplaceable.

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GE NU I NE FAC E TI ME LAU NC H ES TH E C AM PAI GN Our TV launch spot will focus on women who are lovers of Mary Kay and the realness of their relationships. Additional videos that air digitally will emphasize the importance of feeling cared for and spotlight the potential for Mary Kay careers.

DIGI TAL R AD I O BANNER S PU T MARY K AY C ENTER S TAGE “More than the VIP treatment. The beauty of face to face.” Sharing the summer music festival lineup is another thing that’s just better face-to-face. To engage with concert lovers, banners will be placed on Spotify and Pandora when artist lineups start to be released for popular music festivals, such as Coachella or Bonaroo.31 A 15 second radio spot will accompany the banner, speaking to the beauty of face-to-face whether in front of center stage or behind the scenes.

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Simmons Index Number

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PR I NT BRE A KS T HRO UGH BEAU TY CLU T TER

Whether it’s an interview, lunch date, or a girl’s night out, nothing prepares you more than feeling picture perfect. So peel it off, stick it up, and remind yourself every day just how stunning you really are.

Shift the focus from glamour shots to celebrating Mary Kay’s advocacy for building face-to-face relationships with their customers

“May your lipstick and your friendships never fade.”

“Face it, you’re beautiful.”

Our first print execution will be a high gloss insert that will serve as an invitation for a friend to a coffee date. The card will include a slot to write a date and time for the meetup and can then be handed to a friend, increasing the reach of the ad with the pass along factor it offers.

Taking the lipstick on the mirror execution a step further, our second ad will be a full page with a peel-off mirror cling for the target to stick on their own vanity. The mirror cling serves as a way to maintain long-lasting brand awareness and modernize Mary Kay’s perception.

To overcome the resistance to product consideration, two samples of lipstick: one for you and one for a friend, are provided for a post-coffee date touch-up, and serve as a way to stimulate product trial.

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SHA R E I N T H E F U N TH RO U G H A SPON SO R E D BU Z Z F EED A RTI C L E

I N S P I R ED BY YOU WORK SH OPS C EL EB RAT E F OLLOW E RS

“11 Reasons Why Life is More Beautiful Face to Face”

Inspired By You is a series of events designed to bring beauty bloggers across the country face-to-face with their fans by hosting local beauty workshops. Five bloggers in key DMAs have been selected based on followers and brand relevance to give fans free hands-on tutorials using Mary Kay products, answer questions, and share their own personal beauty tips.

We can catch the attention of Definite Maybes by featuring an article on BuzzFeed. The Mary Kay sponsored post points out how different areas of their life can be improved through face to face interactions while also making the idea of face-to-face more relevant by utilizing gifs and current cultural references.

IN C O R PO R AT E MA RY K A RY INTO E V E RY DAY WI TH L I FES TY L E CON T E N T OV E R SO C I A L M ED I A Content over social media vehicles will feature products, beauty tips, and trends, while the Mary Kay blog, Beyond the Blush, will showcase a live blogger each month. The blog and social content will delve into lifestyle topics as well as ideas for entertaining and the home, making Mary Kay both a makeup retailer and a life partner.

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Elle Fowler: 1,217,447 subscribers - 156,964,202 views Bethany Mota: 5,628,869 subscribers - 414,271,313 views Tiffany D: 833,852 subscribers - 133,711,033 views

Miss Glamorazzi: 2,395,675 subscribers - 162,183,521 views Meredith Foster: 2,176,629 subscribers - 49,015,834 views YouTube. YouTube, n.d. Web. 15 Jan. 2014.

ELLE FOWLER C H I C A G O, I L

B E T H A N Y M OTA NEW YORK, NY

MISS GLAMORAZZI DALL AS, TEXAS

TIFFANY D AT L A N TA , G A

MEREDITH FOSTER, LO S A N G E L E S, C A

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R E D E F I N E “ LD R ” W I TH TH E LO N G D I STA N C E R EU N I ON

G R A B A WORKOU T BU D DY W I TH A SPE CI A L K BRA N D PA RT N E RSH I P

Long Distance Relationships (LDRs) are common for friendships at this life stage of heading off to college, starting a career, or simply exploring the world. The Long Distance Reunion will reunite besties who have been separated due to recent transiency by sponsoring a cross country meet up.

“Grab a partner, grab a group, make a team. We have two weeks to make this work so lets sweat it out and Make it Count.”

Mary Kay fans will submit their stories via a social media contest explaining why they and their friend deserve to be reunited. The long distance pair with the most votes on their story will win airfare and accommodations to their choice reunion location. The Long Distance Reunion will run in June for a summer getaway and again in December for the holidays. The face-to-face reunions will be recorded and featured across Mary Kay’s social channels.

Through a brand partnership with Special K, Make it Count will foster a means of creating connections with women working on the Special K challenge. It will enable face-to-face interactions in the form of a buddy workout system that will hold women accountable to their partners and make the challenge count for themselves as well. Mary Kay will also sponsor the “Beauty” page on the Special K website, providing informational pieces on feeling beautiful inside and out.

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AIRP O RT B OA R D S PU T M A RY K AY ON YO U R T R AV E L BAG C H EC K L I S T

RE CH A RG E AT T H E CON VO CA BA N A

“These travel companions are the key to crossing off everything on your bucket list. Touch a product to begin.”

“There are few things that compare to the stress caused by living the 3% battery life, so take 5 minutes to put your phone down and recharge with some face-to-face time.”

Definite Maybes are constantly on the go, so we’ll place interactive touchscreen boards inside airports in select DMAs.33 The board features several products that serve as travel companions and relates each product to a bucket list challenge for the user to complete on her trip. The board encourages users to share the bucket list posts via social media integration and allows users to tag a friend and enter the Long Distance Reunion contest.

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Plans book media page 22

The Convo Cabana is a digital escape that asks women to take a vacation from their phone with our solar powered charging station. In exchange for a free charge, the women will be given a “beach bag” with body and sun care products to enjoy with other guests in the cabana. An IBC will be present to manage the cabana and host our informal beauty party in paradise amidst the city. The Convo Cabana will go on tour to select DMAs throughout the summer months, as well as hit up popular summertime music festivals, like Coachella.34

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I BC S BR I G H T E N TH E O FFI C E WI T H F R E SH E N - U P FR I DAY S

EX PA N D YOU R CI RCLE W I T H A M A RY K AY M E E T- U P

Targeting businesses with a strong female workforce, such as in the clothing or retail industry, Freshen-Up Fridays will work as a late afternoon pick me up, hosted on site, where women can freely enjoy each other’s company, interact with IBCs, sample new products, and most importantly, get some face time with their colleagues. The parties will present IBCs with the opportunity to expand their clientele and give Millennials the chance to engage with the product in a casual setting.

To show the importance of how relationships enhance all areas of our lives, IBCs will be encouraged to set up monthly social events called Mary Kay Meet-ups. The Meet-ups would include yoga in the park, brunches, spa days, or location based activities such as trips to the beach. Attendees will be encouraged to invite a friend, creating a more casual opportunity than a Mary Kay social to increase brand awareness and give IBCs the opportunity to engage with potential new customers.

SC H O LA R SH I P S FU N D MA RY K AY ’ S R I SI N G TA L EN T Just A Little Pink Me Up

The Right Shade of Brilliant

Five $10,000 scholarships will be awarded to IBCs enrolled in a U.S. accredited secondary institution who submit a recommendation from their supervisor and two essays elaborating on their education and how they live by Mary Kay values. Winners will be announced at the national convention.

Three scholarships of $50,000, $10,000, and $5,000 will be awarded through a video submission application to women who exhibit Mary Kay values. The top three applicants will receive their awards at Mary Kay’s national convention.

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MA RY KA R E S : A N IN V E S T ME N T IN H E A LT H Y RE LATI ONS H I P S

“I was overwhelmed to see how many women and colleagues were willing to contribute and be a part of the Mary Kay cause and the Mary Kares event.”

Brands with a contemporary perception have similar positioning Our target loves brands that champion social causes. In addition to the funding Mary Kay Corporate offers to domestic abuse shelters, we can add a face to our philanthropic efforts by starting a hands-on program for involvement in hundreds of shelters across the country called Mary Kares. Mary Kares provides the materials for IBCs to host monthly workshops nationwide to reach out to the victims in these shelters and empower them through beauty, friendships, and career opportunities.

- SUSAN MAGUIRE, M A RY K AY I B C

Making Mary Kares a reality: Volunteering at the Refuge House In order to fully understand the involvement of our IBCs in facilitating a proposed Mary Kares event, Arrowhead planned and executed each aspect of one of these workshops at a local women’s shelter. We sent out press releases and received local coverage of the event. Enacting the event at a local shelter and gathering IBCs’ insights about the Mary Kares initiative proved that the program is an achievable way to increase Mary Kay’s perception as a socially conscious

company while helping its customers make a difference in their community. The local IBCs we contacted embraced Mary Kares and one even shared: “I was overwhelmed to see how many women and colleagues were willing to contribute and be a part of the Mary Kay cause and the Mary Kares event.”

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V I BRA NT A N D CLASSI C W ELCOME KI TS The updated kits allow a new IBC, whether a mature or Millennial woman, to tailor products towards their clients’ desires and preferences. Mary Kay will transition into the modern era by administering Square Sales Trackers with the kit, providing a solution to instant buying, security, and convenience.

VIBRANT

CLASSI C

This welcome kit targeted towards Millennials will include Botanicals as face wash products, Clear Proof to provide acne care, and At Play for vibrant color. The new product extensions will also be included.

This kit will remain the same and contain products catered towards traditional customers.

S Q U A R E S AL E S T RACKE R A small device that can plug into any smartphone that will give IBCs the ability to conveniently conduct credit card sales. Millennials are a third more likely to use debit and credit cards over cash and check, making the device an essential addition to the updated bag.35

36

Mary Kay Event Respondents

MI CHAEL KORS BAG Mary Kay will partner with designer Michael Kors to make a line specifically for Mary Kay, each piece being embellished with a rose gold Mary Kay logo. Sixty-two percent of our MK event respondents said that receiving a Michael Kors bag with the Mary Kay “Start-Up Kit” would sway them to become an IBC.36 Every welcome kit will be packaged in a Michael Kors tote to modernize brand perception and build positive awareness by using a youthful, up-to-date brand. 18


EQU I PPED FO R SU C C ESS Revamping the Beauty Consultant experience By streamlining communications, we can keep the new IBC organized and informed to help maximize her potential for success.

Lip Stick USB Brand Book The USB will be preloaded with example social media posts, stock images, and suggested uses of the Mary Kay logo. This will help reinvent the Mary Kay brand by providing a system of content control and improve image quality starting within the company and the women that are promoting it everyday.

Your Way to Mary Kay Binder The Your Way to Mary Kay Binder will consolidate all Mary Kay introductory material to organize, simplify, and streamline the information provided to new IBCs. The binder promotes content and quality control for both IBCs and Mary Kay, and will encourage more successful recruiting by decreasing the barriers to entry.

Introducing Socials The traditional Mary Kay “party” will be rebranded to the term “social” and will be redesigned to cater to the attendee’s lifestyle. Socials will revolve around providing makeup techniques in a face-to-face, hands-on format that resembles that of an older sister. This creates an added value that will help Millennials feel like they’re gaining more than from attending the previous Mary Kay party experience.

MILESTONE SOCIALS

COCKTAIL SOCIALS

HOW-TO SOCIALS

OTHER SOCIALS

Graduation Mommy-to-be Bachelorette Radiant Bride

Margarita Madness Martinis & Makeovers Make up & Mimosas Winedown Wednesday Blushing Bloody Mary

Pallete Talks Countouring Convo The Art of Foundation Day-to-Night Kiss and Tell

Mother’s Day Luxury Luncheon Foundation to Fashion Ultimate Spa Beautiful Birthday

19


BIGGER AND BE TTER G OALS IBC certification plus enticing additions to the incentives program tap into Millennial ambitions

Mary Kay Professional Development Program To provide a further incentive for Millennial IBCs to sign up and complete the training process, a three-step program will be created that caters to the transient, busy lifestyle of Definite Maybes. A sales certificate will be the ultimate incentive and will motivate IBCs by adding personal value to complete the program. The professional development training will produce well-trained IBCs that represent Mary Kay in the best light. Therefore, IBCs will be more likely to succeed and will improve the IBC retention rates for the company.

MARY KAY PROFESSIONAL DEVELOPMENT CERTIFICATE

SUPERIOR SALES ACHIEVEMENT AWARD

DIAMOND DISTINCTION AWARD

IBC Incentive Program The existing internal incentive program for IBCs will remain the same, but rewards that appeal to Millennials and spur face to face interactions will be added. The initiative will interconnect to the campaign and stay true to the message that Mary Kay brings people face to face.

P LA N E T I C K E T

SPA DAY F O R T WO

M OV I E T I C K E T S

20


M ARY K AY A PP PU TS ORD E RING F R O M A N I BC AT YOU R FI N G E RTIPS By condensing the helpful features of four separate apps that Mary Kay currently offers, we’ve created a convenient solution to enhance the ordering experience for both IBCs and their clients.

100%

100% 100%

100%

CO NN NNEC E CT T

The Mary Kay app provides a streamlined and visually enticing ordering process

M ALLORY S N YDER

100%

MIAMI, FL

Hey M allo ry,I’m Alli! n’ It ca belie ve all this timere’ the s been an IBC just 2 miles aw ay!

Hi, w e’re e verywhere! ove I l the w ay you did your yes! e Is at th the Pale Blush shadow?

O fcourse it wis! as ctually aI kingloo to order some mo re but I rjust ecently m oved he re to M iami and am still lookingfor a new IBC.

W elcom to MI AMI! I can defini tely take your roderAlli!

The app will keep a personalized log of past orders and send reminders to check back when a specific customer may be running low on a product.

Push notifications will be sent to IBCs when customers are ready to purchase.

A personal messaging feature will allow communication between the customer and the IBC.

Location based service allows customers to connect with a local IBC who’s been matched to her specific beauty needs according to previously entered information.

21


NE W P R OD U CT EXT E NS I ON LINE Bridging the gap from At Play to Core A new line of products geared towards Millennials will be created to keep Mary Kay up-to-date with trends and desired products. To create a more youthful look, four new products will be added to Mary Kay’s traditional line: a contouring kit, a naked eyeshadow palette, an eyebrow kit, and tinted lip balm. The new product release will build buzz and smooth the transition between At Play and the core line, filling the gap in Mary Kay’s portfolio.

C O N TO UR IN G KIT

B ROW K I T

Compressed powders to contour and highlight the face

A complete kit for expertly shaping, grooming, and defining your brows

T IN T E D L IP BA L M

F R E S H PAL E T T E

Healthy lips with a touch of color

A universally flattering palette that features 12 neutral eye shadows

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M E DIA

DI G ITA L

TR A DITION A L

HULU

200,000

sions within the millennial women target through the use of nontraditional and traditional media while reducing wasted coverage.

SPOTIFY

167,239

COSMO, GLAMOUR

PANDORA

167,239

MARIE CLAIRE, ELLE

ST R AT E G Y: Emphasis will be

SEO

389,839

BRAVO, ABC FAMILY,

APP

129,739

E!, FUSE, FX, STYLE,

WEBSITE

212239

OXYGEN, TLC, MTV2,

1. OBJ EC T IVE : Maximize impres-

placed on national media.

N ON-TR AD.

MAGAZINE

BANNER ADS 834,500

SOCIAL

P RO MOTI O N S

SCHOLARSHIP 125,000

FACEBOOK

80,000

MARY KARES 806,250

AIRPORT

450,000

TWITTER

80,000

LDR

CABANAS

15,125

YOUTUBE

360,000

BUZZFEED

20,000

CABLE TV

10,800

INSPIRED BY YOU 130,500

LIFETIME, VH1, MTV

2. OBJ EC T IVE : Utilize budget for maximum ROI.

ST R AT E G Y: Allocate the budget

$2,116,395

to be congruent with peak sales periods, promotions, and seasons.

$4,205,903

$590,125

$540,000

BUDG ET ALLOC ATION

$947,550

MED I A MI X

3. OBJ EC T IVE : Increase positive

brand sentiment through an innovative mix of traditional and nontraditional media.

ST R AT E G Y: Front-load media

to increase awareness. Positive brand sentiment will also be established early on and advance with a continuous plan for social/promotions as well as a pulsing plan for all other media.

4. OBJ EC T IVE : Allocate media on

a national level without exceeding budget of $10 million.

84%

MEDIA

$8,400,00

25.19%

DIGITAL

$2,116,395

$1,000,000

50.07%

TRADITIONAL

$4,205,903

10%

PRODUCTION

3%

CONTINGENCY

$300,000

7.03%

NON-TRADITIONAL

$590,125

3%

EVALUATION

$300,000

6.43%

SOCIAL

$540,000

TOTAL BUDGET

$10,000,000

11.28%

PROMOTION

$947,550

ST R AT E G Y:

Adjust budget throughout campaign based on performance, keeping in mind the budget limit.

TOP 10 D M A’ S

1. New York, NY

5. Dallas, TX

9. Washington, DC

2. Los Angeles, CA

6. San Francisco, CA

10. Houston, TX

3. Chicago, IL

7. Boston, MA

4. Philadelphia, PA

8. Atlanta, GA 23


PHASE 1

PHASE 2

PHASE 3

PHASE 4

Magazine Cable TV :30 Cable TV :15

Facebook Twitter Youtube Buzzfeed

Hulu Spotify/Pandora Web Banners Live Chats SEO

Mary Kares Long Distance Reunion Inspired by You

Airport Convo Cabana

1,564,878,000 TOTAL GROSS IMPRESSIONS

$6.39 CPM

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E VA LUATIO N To ensure that we are meeting our marketing objectives, we will measure the impact of the Face to Face campaign after its launch and throughout the year-long campaign flight.

S T R AT E G Y: Using quantitative and qualitative research, we

will track sales, brand perception, and purchase experience to ensure overall campaign success placed on national media.

1. Increase awareness among female consumers ages 18-25 by 15%

2. Increase positive perception among female consumers ages 18-25 by 12%

a. Gauge campaign success with Google Analytics and Quantcast Lookalikes.

Measure engagement and sentiment of all social channels using Sysmos and native insights trackers.

b. Monitor website traffic to track unique visitors, page views, click through rates, average time spent on website, bounce rate, and visitor engagement.

c. Measure volume of coverage from local and national media outlets to determine the extended reach of the campaign from viral spread.

3. Increase consideration for product purchase and the Mary Kay business opportunity among female consumers ages 18-25 by 10% Observe sales and IBC enrollment numbers among target market for change.

Overall Optimize digital media with use of digital analytics such as Google Analytics and Doubleclick For Advertisers by relocating budget for best performing websites and placing heavier weight on better performing creative.

Conduct monthly surveys and focus groups to measure growth in benchmark numbers.

Include consumers outside the campaign’s target market to ensure that our messaging strategy does not alienate them.

Evaluate the effectiveness of promotions by monitoring participation and response rate.

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