imc
DESCRIPTION
IMC for Studio U SalonTRANSCRIPT
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Table of Contents
1.0 Executive Summary - 32.0 Communication Analysis - 5 2.1 Competitive Market Analysis 2.2 Competitive Analysis 2.3 Opportunity Analysis 2.4 Target Market Analysis3.0 Corporate Strategies - 13 3.1 Corporate Image Strategy 3.2 Brand Development Strategy 3.3 Brand Positioning Strategy 3.4 Public Relations Strategy 3.5 Evaluation4.0 Integrated Marketing Communications Management - 20 4.1 IMC Goals 4.2 IMC Budget 4.3 Agency Selection 4.4 Internet Website5.0 IMC Objective One - Consumer - 26 5.1 Marketing Budget Consumer 5.2 IMC Methodologies - Consumer 5.2.1 Advertising Objectives 5.2.1.1 Advertising Budget 5.2.1.2 Creative Brief 5.2.1.3 Advertising Design 5.2.2 Consumer Promotions 5.2.3 Personal Selling 5.2.4 Sponsorship Programs 5.2.5 Database Programs 5.2.6 Alternative Marketing
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5.3 Media Plan 5.3.1 Sample Media Schedules6.0 IMC Objective Two - Distribution - 42 6.1 Marketing Budget Distribution 6.2 IMC Methodologies - Distribution 6.2.1 Advertising Objectives 6.2.1.1 Advertising Budget 6.2.1.2 Creative Brief 6.2.1.3 Advertising Design 6.2.2 Trade Promotions 6.2.3 Personal Selling 6.3 Media Plan7.0 Strategic Planning - 54 7.1 Goals and Objectives 7.2 SWOT Analysis and Matrix 7.3 Industry Research8.0 Corporate ID -619.0 Advertising Campaign - 64 9.1 3 Ad Print Series 9.2 Broadcast Media: Television Storyboard 9.3 Broadcast Media: Radio Script 9.4 Digital Media: Banner Ad 9.5 Direct Mail Piece 9.6 Press Release10.0 Digital Media Campaign - 7611.0 Additional Media - 80
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1.0 Executive Summary
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1.0 Executive Summary
This integrated marketing communications plan is designed for Studio U Salon. The purpose of this plan is to build customer traffic and enhance their company image as well as enhance purchase options and increase sales. The components of this plan are advertising, promotions, corporate strategies and objectives, public relations, sponsorship, personal selling, and database programs. This IMC also includes an evaluation for their success and a strong media plan.
Since Studio U has such a specific niche and a unique style of hair design this gives them a strong opportunity to advertise against their competitors offering something truly different. To provide a strong company image Studio U will be focusing on public relations and sponsorship to network and show support to their community.
Secondly focusing on the distribution of thier exclusive Paul Mitchell products will increase sales and profitability. Using driect mail will give them a greater opportunity to reach those in surrounding counties.
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2.0 Promotion Opportunity Analysis
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2.0 Promotion Opportunity Analysis
Studio U is a hair salon in Brevard NC, that is family owned and operated by Paul and Erin Jones. Currently the salon houses 2 stylists. These stylists have a large client base, as well as services such as weddings, photo shoots, runway, and plays. This Salon has been open since 2003 and has generated enough business to stay booked 6 months in advance.
The salon only uses Paul Mitchell hair products as they have become certified to be an exclusive Paul Mitchell salon. With this certification they represent Paul Mitchell stylists at hair shows all over the country.
At the moment the salon only does full service hair however the owner, Erin Jones has leased out the front of the salon for a small boutique. Kiki Boutique sells all handmade clothes, jewelry, and art.
In the future Erin would like to expand by adding massage in the back room where the space is not being utilized. A make up artist has also been discussed as a possibility in the coming year.
They are very active and have good name recognition in the community by cutting hair for charities and festivals throughout Asheville, NC. Advertising has been very minimal; word of mouth has been the most effective way to generate business.
The primary marketing strategy is to make people aware of Studio U and to convince the community that this is the salon for them making the drive out of town worth it. The main focus is to show the fashonistas in town that they can get the artistic and up to date styles that they are looking for. The sky is the limit to their creative freedom and that Studio U will make your image come to life.
Studio U positions itself as a high end salon that creates out of the box hair for the fashionista community. Cleints will receive a high quality of service and experience as well as a zen like atmosphere to relax. They are a Paul Mitchell exclusive offering high end products to their clients.
The primary target for Studio U is predominantly young adults and teens who are looking for the most up-to-date and radical trends. Because this salon is a high-end salon it also caters to the middle to upper class women of the baby boomer and gen x generations who are willing to pay for a younger look. These women tend to have a strong desire to take care of themselves and the financial backing to do so. Secondarily there is a niche of people in the performing arts for stage hair design and weddings.
Studio U’s pricing strategy is to be very competitive with the other high-end salons in the area. The clients of Studio U are looking for the very best in quality as well as an artistic expression. In comparison they will be paying the same elsewhere but not getting the choices they have at Studio U.
In essence this IMC will express the value of choosing an exclusive Paul Mitchell salon while creating a need for a more expressive and artistic look for their clients.
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2.1 Communication Analysis
Within the salon and spa industry there are several facets of marketing communication strategies that are prevalent such as print, PR, and word of mouth. Within print it is important for a salon of this size and location to advertise in the local papers and magazines such as The Mountain Xpress. An ad in the yellow pages may even be an effective choice for new clients in a town of this size. Direct mailers for existing clients as well as prospective clients have shown to be effective in driving business to the store.
With social media becoming a prominent addition to the advertising world, salons can use this to create a better awareness and to bring word of mouth advertising to a larger scale.
Most successful in this industry is word of mouth referrals and repeat business. Creating incentives for referrals can have a huge impact on traffic as well as promotions for recurring clients willing to book in advance.
Some larger salon chains use TV ads to bring in new business and promote their lower prices to the general public like Super Cuts. They are targeting the bargain shoppers other then the fashionista, high-end clients.
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2.2 Competitive Analysis
Studio U’s biggest competitors are the more established salons located closer to downtown. Their salons are easily spotted by new prospective clients and have the loyalty of older clients. There are also many full service spas around the area that also do hair as well as offering many other services. These spas attract the upper class clients more so than a small salon.
Full Circle Salon:
This is a highly established salon near the Asheville area that caters to the same clientele as Studio U. They have a very centralized location and more stylists to handle a larger client base.
Serendipity:
This is a large upscale salon located in downtown but they also offer a full service spa as well. This includes nails, massage, facials, and a large inventory of related books, candles, etc. This creates more traffic into their business for other things than hair, making it probable that they will try other services offered.
Elements Salon and Spa:
This salon offers high scale hair as well as full spa and in addition they offer classes in an joining building. These classes include yoga, hooping, and interpretive dance reaching an even broader clientele.
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Competitive Analysis Table
Competitors Full Circle Serendipity Elements
Services 3 5 5Quality 5 5 4Selection 3 5 5Price 3 2 2
Location/AppearanceTraffic 5 5 3Appearance 5 5 4Visibility 5 4 2
Added Value FactorExperience 4 5 4Reputation 4 5 4
Comm. AnalysisAdvertising 2 4 1Website 3 4 3TOTAL 42 49 37
Scale:
1-5 Poor to Excellent
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2.3 Opportunity Analysis
Studio U Salon has a lot of room for growth and opportunity. Within the salon and spa industry there are many avenues that one could take to increase profitability and diversify. Some future endeavors for Studio U are:
Consumer:
To build customer traffic and enhance their image.
• Advertising is currently at a minimal leaving it harder to reach potential clients. Studio U is looking to increase their social media advertising as well as incorporating print ads in local papers and magazines.
• Building a more interactive way for clients to book appointment and check availability online via their website.
Distribution:
Enhance purchase options and increase sales
• Currently the only service that Studio U offers is hair related leaving the door open to expand with new products and services such as make-up, massage, or nails. The owners kept these expansions in mind when choosing a building to rent so the transition will be easy with the space provided.
• With more stylists and services in mind Studio U would like to venture into more locations to cover Asheville and the surrounding areas and eventually having a salon in Florida.
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2.4 Target Market Analysis
The target audience for Studio U Salon is predominantly young adults and teens who are looking for the most up-to-date and radical trends. Because this salon is a high-end salon it also caters to the middle to upper class women of the baby boomer generation. These women seem to have a strong desire to take care of themselves and stay young. Secondarily there is a niche of people in the performing arts for stage hair design.
1. Demographics
Primary:
• Women and men age 20’s to 30’s (young adults)
• People who are interested in the most up-to-date trends
• Middle to Upper class (luxury item)
• People in the performing arts
Secondary:
• Women of the “baby boomer” and “gen x” age group 40’s to 60’s
• Not badly effected by economic crisis
2. Psychographics
• Fashionistas in the community
• Young adults looking to make a bold statement
• Middle aged women with a more disposable income
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3.0 Corporate Strategies
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3.0 Corporate Strategies
Studio U’s image is based on being a high-end salon with signature styles for the fashonista clientele. They are famous for exclusive color combinations and artistic cuts. They are heavily supportive and involved in the artistic community. This is a family owned and operated business and an advocate for other local businesses. They are known for their many contributions to the Locks of Love organization. Studio U wants to show that they are a positive and active part of their community creating strong brand recognition.
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3.1 Corporate Image Strategy
Mission Statement:
Our mission is to provide our clients with an outlet of self-expression through our highly skilled stylists while giving them the tools to enhance their natural beauty. We are committed to performing our crafts exceptionally well and continually strive to grow as artists by means of further education and other professionals in the field. We continually strive to find the newest technology and the finest in hair care to provide our clients with the utmost experience.
Vision Statement:
Our Vision is to create a premier salon experience utilizing top stylists and products while creating the perfect look for our clients.
Studio U wants their customers to experience the quality and comfort of a high-end salon while reaping the benefits of an unconventional twist. The stylist’s artistic view will create a trendsetting look for their clients. Studio U strives to create a serene and relaxing experience that is personalized to each clients needs upon each visit. Studio U offers only high quality products for their clients to assure them that choosing their salon was the right choice. They currently feature the full line of Paul Mitchell products.
To maintain this high value Studio U must continue to be involved with hair seminars and training as well as current hair shows and trends. Further advertising within the community and competitive promotions will ensure that new and existing customers uphold this image.
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3.2 Brand Development Strategy
The brand name “Studio U” was designed by the owner to make clients feel as if they were a piece of art in a studio. The brand was designed to give the feeling of artistic expression for the customer as well as creating a pampering, relaxing experience.
The logo is the name “Studio U” is in an organic font utilizing the colors green, black, and brown. These colors were chosen to represent a clean and simple look with an Asian persuasion to give it a tranquil touch. They also represent cool earth tones.
The branding has room for potential growth with the new slogan “Clients By Design.”
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3.3 Brand Positioning Strategy
Studio U positions itself as a high end, full service salon where clients will get a trend setting and original look by highly experienced stylists in the industry. Studio U also offers high quality products by utilizing the Paul Mitchell professional line.
Unlike its competitors Studio U creates styles from out of the box trend setting fashions taking a more radical approach rather than conservative. Pricing is competitive to those along Studio U Salon’s level of service going after the fashionistas in the community.
Full Circle Salon:
Although Full Circle salon has a more centralized location and can handle a larger client base they don’t specialize in any of the latest radical fashions.
Serendipity:
This is also a larger salon having more direct access and more staffing but they have an older clientele and have many other services to focus on. They do not accommodate nor attract the fashionista clientele.
Elements Salon and Spa:
This salon is the priciest of the salons. Their main focus are the classes they offer making hair a secondary concern. This appeals more to a natural look and does not handle as many clients as Studio U.
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3.4 Public Relations Strategy
The budget for public relations is $1,000.
Studio U is an active member of the Chamber of Commerce in both Asheville and Brevard NC. During the year there are 5 major festivals held that the salon takes an active part in. They are the White Squirrel Festival, Halloweenfest, twilight tour, 4th of July celebration and Bele Chere. All of these festivals are street festivals with music and vendors. At each of these events Studio U partners with Locks of Love making cash donations from haircuts preformed at the event as well as hair donations. Patrons who wish to participate will benefit from reduced price haircut as well as donation recognition.
This is a great way for Studio U to recruit new clients and mingle with the other members of the chamber of commerce. Partnering with a well-known charity will shape company image as well as brand recognition. Locks of Love will recognize Studio U on their web page for their contributions as another way to spread the word without direct advertising.
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3.5 Evaluation
To evaluate the success of our marketing efforts they will be measured through marketing research handled by the receptionist.
Consumers:
Located on the new client card there will be a section on how the client heard about Studio U. They will have the choice to check the box of the advertising methods or “other.” There will also be a blank for the new client to put down who referred them if they choose word of mouth. At the end of the day the receptionist will go through the new client cards inputting the answers into their database. If the clients have brought in a piece of advertisement the receptionist will collect those as well and note it in the clients information. Each month the sales data will be evaluated to see which method has been most effective to decide if the level of advertising is sufficient. After each visit the client will be invited to take a satisfaction survey that will help determined what changes if any need to be made to the business. At the end of the year Studio U will factor the money made by new clients against the money spent on the advertising.
Distribution:
When a client receives a discount on a product they must bring in the advertisement that reflects the discount. At the end of each month they will calculate how many clients are purchasing as a result to the coupon versus how many clients buy at the regular price. These results will determine if they will continue to offer a promotional piece via advertisement in print.
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4.0 IMC Management
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4.0 IMC Management
When evaluating the past few years of Studio U’s growth it is clear that they have plenty of room to progress. Although they are booked for months in advance they have the opportunity to build customer traffic and enhance company image. To make this possible it is important to implement an in depth marketing plan.
For 2011 the budget will be $10,500. The largest percentage of the budget will be advertising at 38%. This will be used build customer traffic. The salon location is just outside of town and since they are trying to draw in customers from other counties, this will be a vital part of the IMC
Secondly to enhance company image 21% of the budget will be used for PR and sponsorships. This will increase Studio U’s involvement in the community.
The biggest increase in budget will be for database programs increasing by 17%. This will ensure that the salon will have the tools they need to handle a larger customer base and personalize the selling experience.
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4.1 IMC Goals
The overall goal for Studio U is to increase traffic flow to their location and enhance the company image.
1. To create awareness of the salon to those located out of the downtown area by generating more print advertising to the surrounding areas.
2. To persuade clients to buy more of the product that is sold in the salon and create a desire for Paul Mitchell products.
3. To inform the community of their dedication to the local arts through PR and Sponsorship.
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4.2 IMC Budget
Studio U has two main markets to focus on their advertising. The first market is consumer, which consists of the high-end fashionista clientele. Secondly is the distribution channel where they focus on the sale of Paul Mitchell products to the salons clientele. The total IMC budget is $10,500 and will be broken down into the two markets.
IMC Objective Consumer: $16,000
IMC Objective Distribution: $5,000
Budget Consumer Distribution Total %
Advertising $6,000 $2,000 $8,000 38%
Consumer promotions $2,000 $0 $2,000 10%
Sponsorship $2,400 $0 $2,400 11%
Public Relations $2,000 $0 $2,000 10%
Database Programs $3,600 $0 $3,600 17%
Trade Promotions $0 $3,000 $3,000 14%
TOTAL $16,000 $5,000 $21,000 100%
% 76% 24% 100%
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4.3 Agency Selection
Studio U Salon is currently doing very little advertising so they are not working directly with an agency at this time. The owners had the logo designed pro bono by a friend and outsourced the business cards.
Looking into the future with print ads Studio U has decided to work with 828 Design located in downtown Asheville. 828 handles small and medium sized accounts working closely with the local papers and magazines where Studio U would like to advertise. They also have experience with other spas and salons in the area. 828 Design’s portfolio reflects the look and feel that Studio U is trying to portray and are within their budget. Since 828 is a full service agency they will handle everything from advertising production, media buys, and PR.
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4.4 Internet Website
Currently Studio U does not have a website. The main goal of their website will be to interact with their clients. The site will take on the same Asian inspired theme throughout being very simple and clean. The components that will be available to the site will be:
• Salon menu
• Request a consultation
• Current clients (after approval) can book their own appointments and check availability
• Hours and address
• Photos of past events
• Links to charities the salon supports
• Live feeds from their social media
• Live feeds from the industry
• A customer referral page
• A “call” button to directly call the salon
• About us page
• Stylist bios
• Promotions and online products available
This will help the productivity of the salon by getting the word out as well as booking clients more effectively.
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5.0 IMC Objective One (Consumer)
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5.0 IMC Objective One (Consumer)
The objective of Studio U’s target market is to bring in the traffic from outside areas by creating the image of a high-end fashionista salon that is worth the drive. Through sponsorship and PR, Studio U will enhance their company image as a local family business with strong support for the artistic community. They will also utilize some guerilla marketing tactics, contests for local artists, print ads reaching over several counties, and social media to reach these goals. Although Studio U has some local competition they have an original style to their cuts and color that no one else offers giving them a competitive edge.
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5.1 Marketing Budget Consumer
The following table indicates the budget is $8,000.
A bulk of the advertising budget will be used for advertising in local magazines and papers. Studio U will feature a 1/3 page ad each quarter in WNC magazine and a 1/6 page ad in the Mountain Xpress every month. Secondly part of the advertising budget will go to printing collateral for the salon such as menus and business cards. Lastly a small portion of the budget will go to the yellow pages ad.
Budget 2011 Advertising $6,000
Consumer promotions $2,000
Sponsorship $2,400
Public Relations $2,000
Database Programs $3,600
TOTAL $16,000
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5.2 IMC Methodologies Consumer
In reaching the consumer market, a broad combination of media has been utilized to accomplish Studio U’s marketing goals. Print advertising, social media, PR and sponsorship make up the elements of the marketing communications plan.
Print advertising’s main is to build customer traffic to Studio U since they are not located near downtown walking traffic.
Social media is how Studio U will communicate directly and frequently to their clients as well as people who are interested in the latest industry news.
PR is a big focus for Studio U. They are very involved in the community as well as related charities. Being such an active member of the arts community it will enhance company image.
Sponsorship is another way to enhance company image while being supportive of the schools art programs.
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5.2.1 Advertising Objectives Consumers
The communication objective is to build customer traffic and enhance company image. Frequency and reach will be most crucial.
Frequency:
They will be advertising steadily throughout the year, quarterly in a local magazine, and monthly in a local paper. The continuous stream of advertising will start to enhance the company image.
Reach:
Studio U is focusing on using print to generate more business from surrounding counties. People who live in this kind of environment are used to traveling to get to the things they need.
5.2.1.1 Advertising Budget Consumer
The budget for advertising will be broken down into two different parts. The first part is print advertising to generate new clientele and brand recognition to the salon. Secondly is print collateral for the salon to use such as menus, business cards, and new clients cards.
Budget 2011 Magazine $2,400
Newspaper $2,400
Yellowpages $200
Collateral $1,000
TOTAL $6,000
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5.2.1.2 Creative Brief Consumer
Objective:
To build customer traffic and enhance company image
Target Audience Profile:
The target audience is predominantly young adults who are looking for the most up-to-date andw radical trends. Because this salon is a high-end salon it also caters to the middle to upper class women of the baby boomer generation. These women seem to have a strong desire to take care of themselves and stay young. Secondarily there is a niche of people in the performing arts for stage hair design.
Message Theme:
The primary theme for this campaign will communicate that Studio U is an out of the box trendsetting salon focusing on “the sky is the limit” with you hair. The salon is not located in town so a big part on the campaign will be to draw people and bring them to their location. They do not have any foot or drive by traffic to their location so this will be key. This campaign will be positioned almost as a segway to flow into future advertisements. Studio U wants to create hype and excitement to entice new clients to make the drive. The idea is that small towns can have big city hair too!
The Support:
Large repeat clientele and high-end products
The Constraints:
The salon is not located in town has not walk or drive by traffic making it hard to grab impulse customers
Unique Selling Point:
Only salon in the area that focuses on radical hairstyles and colors as well as “stage hair.”
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Product Attributes:
Studio U creates trendsetting and fashionable styles.
Personal Values:
Studio U’s personal values are creating a fun, exciting life and social acceptance. When clients come to this salon they are looking to be the top in fashion or they are trying to create a bold image for themselves.
Leverage Point:
A place where people can get up to date fashionable hairstyles but with a trendsetting twist.
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5.2.1.3 Advertising Design Consumer
Print Advertising
Message strategy:
Studio U will be utilizing an affective approach. This means using feelings or emotions a person has towards an object, topic, or idea. This approach is used towards generating new clients. They will be featuring print ads in local magazines and papers focusing on the out of the box trendsetting hairstyles. Secondly they will create hype and excitement to entice new clients to make the drive out of town to their salon. The idea is that small towns can have big city hair too!
Appeal:
This will be conveyed through a mix of emotional and scarcity appeals. The emotional appeal is taping into the clients need to look and feel their best as well as the desire to be pampered. The scarcity appeal is simply that no other salons in the area offer such a radical approach to hairstyling.
Executional Framework:
The framework will be made up of slice-of-life model. There will be an image of a radical hair design portrayed in a hair show fashion.
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Social Media
Message Strategy:
Through social media Studio U will use a conative approach. This means that behavior is directed toward action or change including impulse, desire, volition, and striving. This gives current clientele an opportunity to give testimonials and reviews of the business as well as suggest them to their friends. With social media this will give the salon easy access to post up-to-date information, promotions, and blog articles pertaining to their industry. In the future they are looking to incorporate a online appointment book for clients to book their own appointments.
Appeal:
This appeal will also utilize the emotional approach. Using social media give the opportunity to reach new clients by friend recommendations and referrals.
Executional Framework: This will be conveyed through the testimonial approach making the business built on the words of the current clientele. Social media bring word of mouth to a larger scale making referrals much more accessable.
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5.2.2 Consumer Promotions
The budget for consumer promotions is set at $2,000 for the entire year. Within this industry there is not a lot of focus on consumer promotions. However, Studio U takes pride in their community and likes to engage the artist circles. Throughout the year they plan to use art contests to raffle off free services at the salon as well as artist recognition.
Art Contests
Artists represent a large portion of this community. Asheville and the surrounding area are famous for their art driven culture. Studio U would like to tap into this market by inviting local artists to submit one piece related to the salons aesthetic theme that will be displayed around Studio U. After the pieces have been submitted the salon will hold an opening to invite people of the community to vote on the piece they like the best. During the opening, members of the community will be invited to enjoy light hors d’oeuvres and meet the salon staff. At the event all hair products will be an additional 25% off. The winner of the contest will be announced that evening and they will receive their next salon service for free. A contest will be held twice a year.
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5.2.3 Personal Selling
Dress
All employees have the freedom to wear what they want as long as the clothes are not logoed or brightly colored. It is preferred they wear black, grey, and white. Employees are expected to come to work neat and well manicured. It is encouraged to wear accessories from the boutique. No clutter or pictures are allowed by the workstation. Each workstation is to be uniform for an even flow throughout the salon.
Training
Since the salon is so family oriented a close relationship is important. The employees attend hair shows and events together. The owner tries to have dinner meeting every so often to discuss the salon.
Sales
Studio U employees have taken many advanced classes in mixing color and application techniques so they have the upper hand in this specialty. Up selling clients to color services or to have exclusive color formulas made is a big part of how the stylists make a profit. They up-sell the number of colors used and if an exclusive color is formulated, the client cannot have the color replicated at another salon so they become loyal repeat business.
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5.2.4 Sponsorship Programs
The budget for sponsorship will be $2,400. One of the specialties that Studio U is known for is up-dos for stage hair and weddings. They are also very supportive of the arts in the community. This is a perfect opportunity for the salon to partner with the arts programs within the local high school and university.
The goal of these sponsorships is to create awareness, create more traffic flow, and help the visibility of the salon. This will also develop a stronger relationship with current and potential clients in the community.
Brevard High School
Each year the high school puts on a production for the students as well as the community. This is a well-known and popular event selling out the entire week. Studio U will donate $200 for a space in the program for their ad and recognition as a sponsor. Mary Beth Shumate, the theater teacher is a client of Studio U and will also be giving recommendations to the performers to get their hair done the nights of the production. Erin Jones will be available to come to the high school those evenings for the students who have booked with her. The salon will be offering a school group rate.
Brevard College
Brevard College is a private school that is famous for their music and arts programs. Each year they also put on a production incorporating the concert band and theater students. Studio U will donate $500 for an ad in the program and sponsorship recognition. Erin Jones will also be available to do hair at the college for a group rate.
The fine art graduates hold an exhibit of their portfolio and the end of the year. Studio U will donate $500 dollars to sponsor this event and have an ad in their program.
Taking part in the local arts community shows their dedication to their town as well as helping others achieve their education. Being recognized as a sponsor will generate more brand awareness as well as positive feed back from existing clients.
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5.2.5 Database Programs
Collect Data
Studio U salon has a database program to input all their current clients data such as name, address, contact information. They will collect data by having new clients fill out a client card. After the 1st visit the receptionist will then start to add more personalized information such as what hair color combination is used or what style of cut they prefer.
Data Warehouse
Currently Studio U is using a virtual appointment book but in the future they would like to integrate this with their database so that they may click on the client and get all the information in the current database. This will allow them to send reminders of appointments in advance via emails. They will also be incorporating a history in the database showing all visits and services used by each client to help them with product sales.
Direct Marketing
This integrated database system will allow the salon to be more efficient by contacting clients via email to ensure them that they are ready for their appointment or remind them to re-buy their usual products.
Permission Marketing
This integrated database system will also be used to generate mailers to their current client base about new products and promotions. This will also be a great way to engage clients with a monthly newsletter to keep them involved with events and interesting information. Permission will be obtained in the “login” section of the webpage. Clients will check the newsletter box if they would like to receive it. If they would like to opt-out they will log in and simply uncheck the newsletter box.
Referral Program
When new clients come in stating that they have been referred by a current client a 15% coupon will be issued to the referring client. A thank you email will be generated also. There will be no need for the client to show any documentation to redeem the discount, as it will already be in the database.
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5.2.6 Alternative Marketing
Social Media
Studio U is located in a small community so reputation is everything. Social Media is a big part of how the salon stays in contact with their clients or potential clients. Word of mouth is the most popular form of advertising in this industry and Social Media takes that method to another level. Studio U currently uses facebook and twitter as proactive ways to update information and promotions.
Guerilla Marketing
Studio U is looking to expand into Guerilla Marketing in the next year. They have developed a spin off of Geo Cashe leaving clues through their Social Media sites on where to find hidden coupons or products. Geocaching is an outdoor activity in which the participants use a Global Positioning System (GPS) receiver or other navigational techniques to find hide and seek containers (called “geocaches” or “caches”) anywhere in the world. These geocashes have different items in them that other seekers have left. Studio U would like to use the idea of hiding products and coupons locally in the community. They will not be using GPS, instead they will be generating clues each week via their social media sites.
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5.3 Media Plan Consumer
Studio U’s media plan is designed to bring new clientele through the door. Since this salon is located outside of town its important to create a strong enough impact to provoke new clients to drive out of town and try them out. To reach this target Studio U will use advertising in local magazines and the yellow pages. In Asheville there is still a strong desire by the public to support “mom and pop” shops so advertising with these businesses is the best way to generate more traffic.
1.Local Magazines
In this community there are a few high traffic magazines/papers that have proven successful for local businesses.
Mountain Xpress
This is an independent newspaper located in Asheville, North Carolina that believes that local matters. They are published every month featuring events, reviews, local news, and shopping. It is a free publication and can be found all over town.
WNC
This is a local magazine that focuses on the things that continue to make Asheville a unique place. They are more article based rather than commerce advertising. They report on food reviews, local artists, travel tourism, and some large events. This is a free publication located in the downtown area but only prints quarterly.
2. Yellow Pages
In some areas people in the community rely heavily on the yellow pages to shop locally. Having a large advertisement that stands out among all the salons is still a cost effective, and productive way to generate new business.
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5.3.1 Media Schedule
Client: Studio U Media: Radio top 40
Date Entered: 12/10/11 Order/Contract No: Start Date: 5/1/10
Date Last Modified: 12/10/11 Billing: End Date: 12/31/11
WEEK STATION DAYPART RATE SPOTS LENGNTH M TU W TH F SA SU TOTALSTART/ END
1-Jan B93.7 10:00 AM/ 3:00 PM $120.00 10 :30 0 2 2 2 2 2 0 $1,200
1-Jan B93.7 5:00 AM/ 7:00 PM $20.00 14 :30 2 2 2 2 2 2 2 $280
SPOTS SUBTOTAL: 20 GROSS SUBTOTAL: $1,480
13-Apr B93.7 10:00 AM/ 3:00 PM $120.00 5 :30 0 2 2 2 2 2 0 $1,200
13-Apr B93.7 5:00 AM/ 7:00 PM $20.00 14 :30 2 2 2 2 2 2 2 $280
SPOTS SUBTOTAL 20 GROSS SUBTOTAL: $1,480
20-Jul B93.7 10:00 AM/ 3:00 PM $120.00 5 :30 0 2 2 2 2 2 0 $1,200
20-Jul B93.7 5:00 AM/ 7:00 PM $20.00 14 :30 2 2 2 2 2 2 2 $280
SPOTS SUBTOTAL 20 GROSS SUBTOTAL: $1,480
MONTH SPOTS TOTAL: 60 MONTH GROSS TOTAL: $4,440
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6.0 IMC Objective Two (Distribution Channel)
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6.0 IMC Objective Two (Distribution Channel)
As a secondary channel Studio U will be focusing on distributing Paul Mitchell professional hair products as a retailer to their clients. They will use social media and direct mailers to communicate their product line to those in outer counties, as well as promotional the pricing available. Studio U is an exclusive Paul Mitchell salon so they will only be selling their brand.
Studio U will utilize the Paul Mitchell co-op program to help double their reach to potential clients. As an incentive to get more product to their clients the owner has created a commission structure for her stylists to sell more products when the clients are in the salon.
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6.1 Marketing Budget Distribution
The table shows the distribution budget of $2,500.
Studio U will be paying 50% of all print advertising on pre-approved ads. The other 50% will be paid for by Paul Mitchell as a co-op benefit they offer to exclusive Salons. Part of the advertisement will be sent to existing clients to refill the products they regularly use at a discounted rate. Secondly advertisements will be sent to members of the community via mailers
Budget 2011 Advertising $1,000
Trade Promotions $1,500
TOTAL $2,500
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6.2 IMC Methodologies Distribution
In reaching the distribution market, two types of media has been utilized to accomplish Studio U’s marketing goals. Direct mail and social media will be the main focus for enhancing purchase options and increase sales.
• Direct mailers will create product awareness to the surrounding areas.
• Social media will be used to share current promotions and offer discounts to their “fans” as well as reminder emails to re-buy their favorite products.
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6.2.1 Advertising Objectives Distribution
The communication objective is to enhance purchase options and increase, therefore the advertising objectives are reach and frequency.
Reach
Reach plays a crucial role with the direct mailer pieces. This is how Studio U will generate clientele from other counties consisting of Transylvania, and Henderson counties. In an area like the mountains of NC it is common to expect some travel time to get what you need.
Frequency
Frequency is another vital part of the advertising budget for distribution. Studio will send out personalized mailers to their existing clientele when it is time to refill the products they are using.
6.2.1.1 Advertising Budget Distribution
The advertising budget for distribution will be focused on bringing in new clients for buying hair products and to remind current clients to refill the products they love.
Budget 2011 Bulk Mailers $1,000
Client Mailers $1,000
TOTAL $2,000
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6.2.1.2 Creative Brief Distribution
Objective:
Enhance purchase options and increase sales.
Target Audience Profile:
All clientele for studio U who can benefit from the professional hair products used during their visit.
Message Theme:
The theme will be to create a need for the use of these high-end products explaining why Paul Mitchell is the best choice for the client and stylists. Showing how and why the product was used on each client and creating promotions for frequent buyers.
The Support:
Paul Mitchell is a highly recognizable brand and is used by the salon during time of visit not just sold in the store.
The Constraints:
Studio U only sells one brand being an exclusive Paul Mitchell salon. This leaves an area of opportunity for those clients that prefer other professional products.
Unique Selling Point:
The salon is listed as an exclusive Paul Mitchell salon, which requires a certification as well as formal training and a final hair show exam.
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Product Benefit:
Highly recognized brand and has an extensive line of products for all hair types.
Distribution Channel value:
Products can be sold straight from salon and has a discounted line of credit from Paul Mitchell making the profit higher.
Leverage Point:
Clients can get the high-end products they need on the spot without having to shop elsewhere and receives stylist recommendations.
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6.2.1.3 Advertising Design Distribution
Print Advertising
Message strategy:
Studio U will use a conative approach. This means using behavior is directed toward action or change including impulse, desire, volition, and striving. The print advertising for distribution will be focused on existing clients creating hype for the line that they sell. This also gives the opportunity to give incentives (coupons) to create more frequent purchases.
Appeal:
This will be conveyed through an emotional appeal. This appeal is taping into the clients need to look and feel their best by using top of the line products recommended by their stylists. This also taps into treating themselves with a product that is of higher quality then their everyday hair care.
Executional Framework:
The framework will be made up of authoritative model. The stylist will recommend these products. Creating these recommendations based on each client’s individual needs.
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Social Media
Message strategy:
Studio U will be utilizing an affective approach. This means using feelings or emotions a person has towards an object, topic, or idea. Using social media to promote products will make it easy to inform people of new available products as well as promotions.
Appeal:
This will be conveyed through a rational appeal. This appeal is taping into the clients need for hair products or to re-buy. Also people like to take advantage of price deals so posting about discounts and promotions will trigger people to stock up.
Executional Framework: The framework will be made up of authoritative model. The stylist will recommend these products. Creating these recommendations based on each client’s individual needs.
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6.2.2 Trade Promotions
The budget for trade promotions is $3,000 for the year. Studio U is a member of the chamber of commerce for both the town of Brevard and the city of Asheville. During the year they are involved with all the street festivals which are very popular in this area. These festivals include Bele Chere, White Squirrel Festival, Twilight Festival, and Halloween Fest.
At each of these festivals Studio U Salon sets up a booth where the stylists give basic haircuts or styling for $20 cash. This is cheaper than the haircut prices at the salon so people can take advantage of the discounted rate and no appointments. At Bele Chere, which is the largest of the festivals, the proceeds are donated to locks of love and any qualifying hair.
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6.2.3 Personal Selling Distribution
To raise morale and to move more product, the owner has offered a 20% commission for each product the stylists sell. Each employee submits their sales at the end of the month and the commission will be deducted from their booth rent.
Since Studio U is a Paul Mitchell exclusive salon, employees are required to attend any and all trainings or seminars required to keep their exclusivity. Employees will be responsible for any associated costs.
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6.3 Media Plan Distribution Studio U’s media plan is designed to sell more of the professional products that are used on the clients at the time of their visit. This plan will be targeted to Studio U’s existing clientele. The main source of media for this will be direct mailers to current clients and Co-op advertising with Paul Mitchell to target potential clients.
1. Direct Mailers
This will give Studio U the opportunity to remind clients to re-buy products through a database. This will also share with them the new lines of products that the salon will be carrying. This will be a less frequent form of advertising taking place every few months and specialized to the products each client buys.
2. Co-op Advertising
Paul Mitchell offers a 50% reimbursement to their exclusive salons for advertising. They have pre-approved ads that can be accessed at any time by the salon and will reimburse after the ad had gone to print.
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7.0 Strategic Planning
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7.1 Goals and Objectives
Company Strategy:
1. Expand the client base by growing the number of stylists and locations.
2. Expanding the services offered.
Supporting Policies:
1. Scout and train new stylists.
2. Book out clients well in advance.
3. Research new locations for new salons that are higher traffic and cover more geographic locations.
4. Create a consistent and universal style among all locations so that all clients may have the same experience each salon they visit.
5. Look for new professionals to expand services offered (ie Make-up artists).
6. Create partnerships with other professionals so they may generate business for each other. For example when a wedding books for hair they can also book for make-up expanding what can be offered through Studio U Salon.
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7.3 SWOT Analysis & Matrix
SWOT
Strengths:• Only “eccentric” salon in town
• Well trained employees
• Competitive prices
• Loyal consistent clientele
• Boutique
Weakness:• Only hair offered, no spa service
• Only 2 stylists present
• Location is outside of downtown
• Fairly new location
Opportunities:• Room to expand (more stylists)
• Room to add other services (ie: make-up, nails, facials)
• Potential to open another location
Threats:• Economy
• More established salons in downtown
• Growth of new salons coming
• “Full service” salons becoming more popular (a one stop shop)
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SWOT Matrix
Strengths1. Eccentric salon2. Well Trained em-
ployees3. Loyal, consistent
clients4. Boutique
Weaknesses 1. Only hair services 2. Only 2 stylists 3. Located outside of downtown 4. Fairly new location
Opportunities 1. Room to expand 2. Additional services 3. Additional locations
SO Strategies1. hire and train more
employees to their style and open more locations (s2,o3)
2. Grow the boutique inventory (s4,o1)
3. Work on personal-izing other ben-eficial services (s1,o2)
WO Strategies1. start hiring other
professionals such as make-up and nails (w1,o2)
2. Hire more hairstyl-ists for new loca-tions (w2, o3)
3. Scout a new loca-tion in town (w3,o3)
Threats1. Economy2. More established
salons located downtown
3. Growth of new salons coming into the area
4. Full service salons
ST Strategies1. offer something
unique that you can only experience at this location (s1,t3)
2. maintain high repu-tation and benefits for continuing business (s3,t2,t3)
3. Create apts in ad-vance after each visit (s3,t1)
WT Strategies1. create bookings in
advance with strict time mgmt (w2,t3)
2. Be active in down-town activities to draw cleints aware-ness (w3,t2)
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7.4 Industry Research
Top Hair Salons Industry Trends (SIC CODE 7231)
Consolidation:
The number of salons in the US decreased but the number of workers at each salon has increased. Economies of scale favor larger establishments that can support a receptionist and various assistants. A popular hairstylist can serve three or four customers at one time if (lower paid) assistants are available to wash and dry hair. American Salon Magazine surveyed distributors and manufacturers in the beauty industry about the top trends that will impact the beauty business and profitability over the next ten years. Experts believe that mid-size salons will offer specialization of services; e-commerce will grow among salon professionals; the recruitment and retention of good hairdressers will challenge owners over the next decade; a small number of salons will retail products; and consolidation of manufacturers and distributors are selling directly to salons (Source: “The Future of Beauty” by Kelley Donahue. American Salon, March 2000).
Seasonality:
The hair care industry follows the same cycle as the fashion industry. Fall and spring fashion shows guide the new looks for the season, while summers and winters are slower.
Franchises:
Regis generally retains ownership of high-end salons while franchising lower-end stores. Franchise agreements are usually site- but not territory-specific, have quality requirements, run for many years, and require company approval if a salon is sold. Leasehold improvements and acquiring fixtures, inventory, and working capital are the responsibility of the franchisee. Franchisees can usually buy the rights to sell sub-franchises in a particular territory.
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Favorable Demographics:
The large Baby Boom generation is now at the age when income is highest and hair is graying. Older women and men, who drive most of the demand for higher-end hair care services, are increasing their use of color to hide gray hair and also have the means to pay for it. By the year 2010, the number of teenagers in the United States is estimated to grow to 35 million. Teenagers spend an average of $80 on themselves each week. Young women (ages 12-24) out-buy all other age groups when it comes to haircare, skincare, cosmetics, and fragrances (Source: “Junior League”by Kelley Donahue. American Salon, January 2000).
Male Salon Format:
Men’s attitudes toward grooming have been changing gradually: they now represent about a quarter of the clientèle at unisex salons. The differences between a salon and a barbershop are many: for barbers, no appointments are needed, and they’re generally cheaper with fewer value-added services like styling and salon-style products. A new salon format for an upscale men-only club-style salon is taking hold in New York, complete with leather chairs, TVs, cigars, pool tables, and a bar. When polled, a majority (63%) of medium-to-large-size salons owners and managers indicated that the number of men using their salons have increased. Men are requesting hair, skin, nail, and body treatments, and 41 percent of them purchase retail products at a salon. (Source: “Hair-raising Truths” by Regina Molaro. Global Cosmetic Industry, April 2001). Men’s hair coloring is one of the fastest growing segments of the hair coloring market (Source: “Hair
Color Garner Broader Customer Base.” Drug Store News, Beauty Care, p 86, March 26, 2001).
Salon Success:
Once firmly established with good stylists and loyal clients, many salons seem to have a better long-term survival rate than the average business. More than half of salon owners surveyed say they have owned their current business for 10 years or more. According to the Small Business Administration (SBA), more than half of all new businesses fail within four years.
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Growth Rate:
there are more than 20,000 Hair facilities nationwide with an estimated worth of more than 5 billion at the retail level.
• Salon Marketing Ideas:
• Skin Care, Nail and Beauty Products
• Bundling packages can increase your revenue quickly
• Day Spa and Beauty Business Services
• Body scrubs
• Body wrapping and herbal wraps
• Massage and aromatherapy
• Hot stone therapy
• Acupuncture and Reflexology
• Derma abrasion
• Anti-aging
• Facials
• Makeup and makeovers
• Skin cleansing and care
• Body waxing
• Polishing, buffing and bronzing
• Tanning
• Piercing
http://www.marketingforprivatepractices.com/2009/07/27/hair-salon-marketing-tips-for-increasing-your-revenue/
URL: academic market research.com
http://industries.hoovers.com/consumer-services/hair-salons/industry_trends
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8.0 Corperate ID
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9.0 Advertising Campaign
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9.1 Broadcast Media: Television Story Board
Plain Jane is walkingdown the street
Jane sees a plain hair salonand gets in line to get anew look
Jane goes inside ona conveyer belt
While Jane is inside, hairbrushes, scissors, etc dumpinto the top of the “factory”salon
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All cleints come outlooking like cookiecutter people
Jane come out boring and plain like everyoneelse
3 weeks later Still very plain Janeis walking down the street
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Jane sees a new un-plain saloncalled Studio U and goes in
Jane comes out and she is no longer plain! She has a unique look from Studio U
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9.2 Broadcast Media: Radio Script
Studio U @ Bele Chere for Locks of Love and Galen Kipar(30 sec.)
MUSIC: Local Artist Galen Kipar, who is featured at the event playing in the background
Erin: Hi Asheville! I’m Erin Jones, owner of Studio U Sa-lon
Galen: And I’m Galen Kipar of The Galen Kipar Project! We are both so excited to be a part of the Bele Chere Festival this year! After my show on Saturday August 23rd. Join me while Erin Cuts my hair for Locks of Love.
Erin: It sure looks like its long enough Galen! With a head of hair like that some lucky little girl will be sporting a new look!
Galen: It will be hard to let it go but it’s for a good cause and I’m happy to help!
Erin: This opportunity is not just for Galen, Anybody who wants to come out and support us can! So come on down to Bele Chere, listen to great music, get an awesome cut, and help out the Locks of Love Charity!
SFX: SFX: Cheering Crowd
ANNCR: Studio U Salon will donate all proceeds and hair that meets regulation length to Locks of Love Char-ity. All designer cuts are $30 dollars. Only cash will be accepted. Straight cuts for donation only are free.
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9.3 Digital Media Banner Ads
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9.4 Direct Mail Piece
Mailer Coupon
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9.5 Press Release & Pitch Letter
Contact: Erin Jones FOR IMMEDIATE RELEASETel: 828-883-2891
Email: [email protected]
STUDIO U SALON TAKES PART IN LOCKS OF LOVE CHARITY AT BELE CHEREAll proceeds from the festival will be donated
Asheville August 23, 2010. Studio U salon will be one of the many businesses participating in the Bele Chere Festival in downtown Asheville on August 23, 24, 25. The Studio U booth will be located in front of Barleys Taproom. During the festival Studio U will be offering haircuts and styling from 12pm to 5pm for people wanting to donate. The price will be $30 to those at the festival and all proceeds will be donated to the Locks of Love. Their goal is $2,000 dollars this year to top last year’s donation of $1,500.
Locks of Love is a public non-profit organization that provides hairpieces to financially disadvantaged children in the United States and Canada under age 21 suffering from long-term medical hair loss from any diagnosis. They meet a unique need for children by using donated hair to create the highest quality hair prosthetics. Most of the children helped by Locks of Love have lost their hair due to a medical condition called alopecia areata, which has no known cause or cure. The prostheses provided will help to restore their self-esteem and their confidence, enabling them to face the world and their peers.
32nd Annual Bele Chere festival is a free street festival in downtown Asheville, North Carolina it features a variety of local and regional musicians as well as nationally known acts such as Grace Potter and the Nocturnals, Toubab Krewe, the Fabulous Thunderbirds, and Southern Culture on the Skids.
Studio U Salon is a local hair salon that specializes in high-end radical trends. They are family owned and operated located in Brevard, NC. They are very active and supportive in their local community. Studio U has been in business for 6 years and have plans to expand within the next year.
If you would like more information on this topic, or to schedule an interview please call Erin Jones @ 828-883-2891 or email @ [email protected]
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August 8, 2010
Lenora Moody
Staff Writer
Transylvania Times
Brevard NC 28712
RE: Giving the gift of a beautiful head of hair to kids in need.
Dear Ms. Moody,
Studio U Salon will be partnering with Locks of Love at the Bele Chere festival, collecting hair as donations for kids fighting cancer. For the entire 3 day festival on August 23, 24, 25, the salon will be cutting hair eligible for donation and all proceeds will benefit the charity.
Studio U Salon is a local hair salon that specializes in high-end radical trends. They are family owned and operated located in Brevard, NC. They have been in business for 6 years and have plans to expand by the end of 2011.
We think your listeners and readers, especially those who feel strongly about Locks of Love, will find the story to be an inspiration.
I’ll be in touch again soon to discuss a possible interview or a feature. In the meantime, if you have any questions, please don’t hesitate to call.
Sincerely,
Alex Pinard
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10.0 Digital Media campaign
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10.0 Digital Media campaign
Color Cashe Social Media Scavenger Hunt: Studio U Salon has developed a social media scavenger hunt. This hunt is mocked after a popular worldwide game called Geocashing. The premise of Geocashing is to find hidden items left by others using GPS locations that are posted to an online site. At the moment Geocashing is not open to commerce geocashes so Studio U has created a min mock version called Color Cashe.
The salon owner, Erin Jones has hidden a Paul Mitchell hair product within the community. Via social networking they will release clues to where it is. This is designed to engage clients, or potential clients that have either followed them on twitter or facebook.
Since different clues are left on different sites the hunters will have to stay on top of the salons news feeds to win. To make it even more engaging they have designed an app to funnel all the places that clues are given for example twitter, facebook, and GPS. Hunters can get the app for free and stay current with all these forms of social media to collect clues. Although the app is handy, hunters do not need it to play. Once the winner has located the hidden product they are to post a picture of them with the item where it was found. The salon owner will then personally congratulate them via social media and offer a 10% discount off their next purchase. Once it has been verified that the product was located, its time to start a new hunt. Scavenger Hunts will be an ongoing promotion of the salon.
Hunters are encouraged to post pictures and comments via social media while they are participating in the scavenger hunt. This will attract their friends to join in as well as eliminate locations that were already checked.
Studio U will track the progress of how this is impacting their business by adding a check box on “new client cards” marked Color Cashe. They will also be tracking the number of app downloads, friend requests, and twitter followers they have gained during the promotion.
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Screen Shots of APP
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11.0 Additional Media
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2 Piece Sign
Front
SALON
Clientsby design
www.studiousalon.com
U
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UErin JonesOwner & Stylist
Micah CouttetL..M.T
828.885.7985
145 King StBrevard NC 28712
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