Herschel Supply Plans Book

Herschel Supply Co. - 2016 “It’s in the Bag” Plans Book

Ruey Chin Loh Carly Esch Dan Hartley Chris Smarto 1

Table of Contents ●

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Brand History and Research ○ History ………………………………………………………………………………………………………...………… 3 ○ Mission Statement ………………………………………………………………………………………...…………… 4 ○ Product Lines ……………………………………………………………………………………………………… 5 - 12 ○ Current Marketing and Branding ……………………………………………………………………….……… 13 - 25 ○ Competition Analysis ……………………………………………………………………………………………. 26 - 27 ○ Swot Analysis …………………………………………………………………………………………………………. 28 Consumer Research ○ Target Audience Analysis ……………………………………………………………………………….……… 29 - 33 ○ Consumer Profile ………………………………………………………………………………………...…………… 34 ○ Survey and Results …………………………………...……………………………………………………………… 35 Creative Objectives and Strategy ○ Objective and Audience …………………………………………………………………………………………....… 36 ○ Budget Breakdown …………………………………………………………………………………………………… 37 ○ Media ………………………………………………………...…………………………………………………… 38 - 41 Media Plan Breakdown ○ Budget Allocation ………………………………………………………………...……………………………… 42 - 43 ○ Costs/ Impressions …………………………………………………………………………....……………………… 44 ○ Media Plan ……………………………………………………………………………………………..……………… 45 2

Herschel Supply Co - Brand History & Background Research History ●

Founded in 2009 by brothers Jamie and Lyndon Cormack.

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Named after the town of Herschel where they grew up.

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Jamie - creative director. Lyndon operations

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Herschel Supply Co - Brand History & Background Research ●

The Herschel office

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White square label

Mission Statement -

“Our goal is to create a timeless product with fine regard for detail.”

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Herschel Supply Co - Product Lines Herschel Supply Studio Collection â—?

An expression of the creativity and imagination of the Herschel Supply design department.

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Herschel Supply Co - Product Lines Herschel Supply Kids Collection â—?

Thoughtfully designed for kids and youth that features sized-down offerings of classic.

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Herschel Supply Co - Product Lines Bad Hills Workshop Collection

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Herschel Supply Co - Product Lines Herschel Supply Classic Collection â—?

everyday traveler with the perfect bags and accessories.

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Herschel Supply Co. - Products Accessories - Pouches and Sleeves Wallets Tote Bags Backpacks Duffle Bags Travel Bags

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Herschel Supply Co. - Price Low ●

Accessories - Pouches and Sleeves

Medium ●

Wallets and Totes

High ●

Backpacks, Duffels, and Travel Bags

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Herschel Supply Co. - Place Online ● ● ●

http://shop.herschelsupply.com/ Amazon Zappos

Retail ● ● ●

Zumiez Urban Outfitters Nordstrom 11

Herschel Supply Co. - Promotion https://www.instagram.com/herschelsupply/?hl=en https://www.facebook.com/HerschelSupply/ https://twitter.com/Herschelsupply

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Herschel Supply Co - current marketing â—?

Big on social media and advertising on Instagram.

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Herschel Supply Co - current marketing ●

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Herschel = modern, urban, and nostalgic

Global Partnerships Apple

Coke

All about product placement New Balance

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want to keep perspective of a “niche” brand but have mainstream appeal.

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Herschel Supply Co - The Brand Experience

Welcome to Herschel. Enjoy your stay.

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Brand Experience Herschel’s brand experience is one of a kind. On their website it says “Welcome to Herschel.

Enjoy your stay.” The brand experience makes its customers feel that they have entered a new place for a vacation or a place where they stumbled upon. Herschel wants to make its customers feel that they are exploring new and unknown places around the world through the pictures that are shared by the Herschel community from around the world. With their brand, consumers are able to freely express and share who they are with the herschel community.

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Herschel Supply - Brand Logo

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Herschel’s Brand in Retail Environment

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Visual Branding Simplicity and modern design. â—?

Minimalistic looking in both their products and visual ads.

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Visual Branding High fashion brand that fits everyday use. â—? â—?

Products that can be used everyday and it fits every lifestyle out there.

Everyone can find the design they like.

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Visual Branding Exploring the world through their brand. â—?

Different places around the world that are shared through the community.

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Japan

Oregon

Senegal

New York

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Visual Branding Targets the young and free. ● ● ●

Teenagers and young adults Constantly explore new places Expresses freedom

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Visual Branding Brings out the creative side of people. â—?

Artistic and creativity

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Visual Continuity ● ● ● ●

Herschel shares pictures and product images across all their social media sites.

Instagram is used mostly to share pictures of their community.

Most of their visual ads are found on their website and Tumblr.

Many of their product images focuses on the background.

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Herschel Supply CSR â—? brown eco-friendly reinforced faux leather base, and signature brown cut-out faux leather patch

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Competing Brands

Mission

Position

Target Audience

Pricing Structure

The North Face

"Our passion is beyond setting records and achieving fame. For us, it's all about changing lives, not just our lives, but also, the lives of those people who inspire us to aim for extraordinary dreams.“

High brand recognition and perception of product quality.

Outdoor and active people of all varieties.

Backpacks: $50 - $350

JanSport

“At JanSport, we strive to help you carry the stuff you need, where you need it, in the most functional, fashionable way possible.“

High brand recognition with teens and parents.

Teenagers price conscious.

Backpacks: $25 - $175

Patagonia

“Build the best product, cause no unnecessary harm, use business to inspire and implement solutions to the environmental crisis.”

Rising brand recognition and preference from environmentally conscious.

Outdoor enthusiasts who are environmentally conscious.

Backpacks: $50 - $250

Logo

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Competition in Retail Environment

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Strengths: ●

Loyal existing customer base

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Utilization of newest technological advances in product line

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High product quality

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Wide array of options for products (colors, size,

Weaknesses: ●

Low brand recognition outside of current customer base

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High price structure

etc.)

Opportunities: ●

No pre existing negative perceptions about the

Threats: ●

brand ●

Competition already posses the majority share of the backpack market (The North Face)

Market to music festival attendees and

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Lower priced brands (JanSport)

performers to position as “THE” backpack to

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Patagonia already has strong market share of

have at a music festival

environmentally conscious market 28

Consumer Interview - Results He has had the bookbag since he started school in 2012.

He said he really likes Herschel and stated that “the bag is very durable since he walks to and from class.�

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Focus Group - Results Have you heard of Herschel Supply before? ●

No brand recognition outside current customers

Where do you shop for and purchase backpacks or other bags? ● ●

Shop retail (Dicks, Sports Authority, Walmart) Purchase online

Backpack price range? ●

$50 - $150

How often do you buy new backpacks/ bags? ● ●

Backpacks: 4 - 6 years Bags: 6 months to a year 30

Key Insights about Brand ●

Existing customers loyal to brand

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Little to no brand recognition from non-customers

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Herschel customers are interested in: ○

Art

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Travel

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Photography

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Herschel Target Audience Demographics: ● ● ● ● ● ●

Age - Targeting to 15 to 28 year olds, Location - Not limited to one country Gender - Males and Females Income level - middle class to upper class Education level - hard to say exactly though the brand does greatly target to students.

Race - Targets to all ethnic backgrounds

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Herschel Target Audience Psychographics: ● ● ●

The Herschel customer is someone who is style-conscious. Personality characteristics could include someone that is unique, trendy, hipster.

Their target consumer is recognized as someone who likes to travel, and likes to go somewhere and explore.

“We are going after a consumer that marches to the beat of their own drum, who doesn’t want to be cookie cutter to everybody else,” says Lyndon.

“Certainly, they follow trends and fashion, but they put their own take on it.”

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Consumer Profile ● ● ● ● ● ●

Unique Stylish Travelers Sophisticated Expressful Diverse

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Survey Results Survey Questions Summary of Results Insights: ●

Majority of respondents shopped and made purchases online ○

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Majority would only pay $20 - $50 dollars for backpack ○

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But only want to shop for backpack when they need a new one

Majority have already heard of The North Face and purchase their products High interest in travel and music festivals ○

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Purchase backpacks in store primarily though

Majority would prefer to attend music festivals (Lollapalooza most popular) and sporting events (Chicago Cubs and Blackhawks most popular)

Primarily aged 18 - 24 35

Creative Objective and Strategy “It’s in the bag” Objectives ●

Raise brand awareness

Primary Audience ●

Music Festival Patrons (Consumer Profile)

Secondary Audience ●

College Students 36

Budget Breakdown

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Events Event - Booth at Lollapalooza.

Renting Booth ($10,000) Helium balloons distributed in the event. There will be a discount code attached on the balloon that people can used it after the event to purchase Herschel products. ($1,000) Creates custom lollapalooza badge that can be stitched on their bag. ($8,000) Have a booth and provide free snow cone. ($3,000) Game event( Bags Game) Prize: drawstrings and hip-packs. ($1,700) Create aftermovie of the event. ($1,300) 38

Outdoor Outdoor billboards for 5 separate months ($5,000)

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Promotions/ Sponsorships Columbia College Chicago. ($18,000) Universities- partners with university to create university products (exp: bags and caps) Have herschel notebooks made and distributed around campus during orientation.

(500 notebooks) Create booths during orientations.

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Social Media Instagram- Competition that is spread throughout 8 months. Instagram users post pictures on instagram with #HSitsinthebag and every week 1 person will be chosen as the winners and receives a herchel adventure pack (backpack, cap and wallet) ($2,000)

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Budget Allocation - Traditional/ Non-Traditional Traditional - 14% of total budget

Non-Traditional - 86% of total budget

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Budget Allocation - Primary/ Secondary Target Primary - 64% of total budget

Secondary - 36% of total budget â—?

Columbia University Sponsorship - $18,000 43

Cost/ Impressions

Total budget - $50,000 $50

Estimated impressions - 1,000,000

CPM 44

Media Plan

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