Embed Size (px)
DESCRIPTION
The following is a case study on HomeGoods and the effectiveness of its IMC efforts. This was my final project for Georgetown's IMC course, offered through its School of Continuing Studies.
Citation preview
Integrated Marketing Communications
Christianne Witten
March 22, 2012
Presentation of Integrated Marketing Communications Approach and Assessment
HomeGoods
Images taken from HomeGoods’ official Facebook page
Mission & Values
Mission: “To bring you home fashions you’ll love, at prices you’ll
LOVE even more! That’s what we call HomeGoods Happy. ”
Values: Inspiration-Feed your inner decorator Value- Up to 20-60% off department/specialty store prices Fresh and diverse inventory- Supports individuality Fashion forward- Trend tracking Quality- Top Brands, off-price vs discount
Situation OverviewHome Fashions Retailer since 1992 TJX parent company ( TJ Maxx, Marshalls) 374 national stores (standalone and superstores)
Business objectives: Grow chain to 750 stores nationally (long-term) Upgrade stores to attract/retain customers Cut their operational costs by $50-75M in FY13
Marketing objectives: Increase brand awareness of HomeGoods as a place for fashion and
value seekers Increase store traffic and sales
Target Market: Primarily female, 25-54, middle-upper income shopper, suburban Fashion/Value conscious, savvy shopper
Company Differentiation
Top marketing strategies on how it goes to or is in the marketplace: Price: Providing unbeatable values (up to 60% off) on
top names in home fashions Opportunistic Buying
Product: Providing “freshness” of inventory for every style and part of your home “under one roof”
Global sourcing from over 14,000 vendors, across 60 countries
Place/Promotion: Using its online/social media presence to drive store traffic vs serve as e-commerce site
Company Communications Strategies
Top communications strategies: Leverage website as an inspiration board /blog with fresh ideas using
current inventory to drive traffic into store Foster customer engagement through content sharing to spread
brand awareness via idea blog/FB page Keep in-store, online and tv messaging fresh and relative to time of
year to spark inspiration and keep customer coming back Reinforce value and “HomeGoods Happy” theme through digital,
print, tv, and in-store signage/displays: Price tags showing retail comparison, “Don’t Miss Out” “Amazing Value for Every Room,” “Fab Finds, Fab Price” “Top Brands. Just your-style savings!” “Love the Luxury, Savor
the Savings” “Spread HomeGoods Happiness” with gift cards
Competitor Comparison
Life Cycle (Intro-build-mature-decline)
Build, player for 20 yrs, 336 stores
Mature, player for 40 yrs, 1,000 stores
Mature, player for 50 yrs, 258 stores
Positioning Off-price, value based, fresh inventory, treasure hunt
Focuses on:
the deal, fashion/trends
“Up to 60% off dept/specialty store prices”
“Largest specialty retailer of imported home goods/furnishings”
Focuses on:
“Unique and original finds”
from around the world, global artisan feel, hippie roots
“Unique, authentic, affordable” “Bringing beauty and excitement of global bazaar with great finds at great prices” “from more than 50 countries, individual, regional artisans”
-including wine and beer selection
Media Used Website/blogs, mobile marketing, social media(FB, Twitter, YouTube, Pinterest), Email newsletter ,tv ads and PR, print mag
Catalogs,
Social media, website with idea room and Pier 1 2Go virtual basket for in-store pick- up,
Email newsletter, tv ads
eCatalogs, website for e-commerce, featuring weekly circular ad to browse, “As seen In” print magazine references and décor ideas, Email newsletter, social media (FB, Twitter, Pinterest)
Integrated Communications Approach
Types of Media Used
Target
Audience
Message/s Other Comments
Website Females 25-50
Focusing on “customer finds”
and inspiration to drive you to their store
Clever use to drive brand engagement and sales through idea sharing vs traditional e-commerce
TV Young, stylish professionals,
Moms,
Holiday shoppers
Find value/great deals, even during lunch break, to fit your style, better way to shop for gifts
Not much spent on tv ads, focus on placement on news and HGTV segments, very successful Share-A-Carol integrated campaign
Integrated Communications Approach
Types of Media Used
Target
Audience
Message/s Other Comments
Print Females 35-50, moms
Stylish finds, great value, Mom caves, inspire your inner decorator
Mailed circular, articles in print mag alongside professional advice (Family Circle, Woman’s Day,Traditional Home, Country Living)
Blogs Females 30-50 Inspiration everywhere, budget-friendly ideas
Using professional interior designers for content
Integrated Communications Approach
Media Used Target Message/s CommentsMobile
Marketing
25-35 tech savvy shoppers
Value, Locating nearest store, convenience, holiday cheer
Share-A-Carol
Email Discount seekers Focus on fresh inventory and savings
Fuels repeat purchases, retains customers
Social Media:
YouTube
20-40 tech savvy aspiring decorators
Spreading good deal happiness, inspiration, style,excitement with fresh inventory, store openings
Very engaged FB
(197,648 fans, 3,812 talking) Twitter (16,665 followers), not YouTube (701,235 views, 572 subscribers)
EvaluationAssess: Is the company delivering it’s mission and living its values based on
your review? Absolutely! They walk the walk.
Are the company’s messages tied to its mission? Very much so. Consistent focus on “Happiness” brought on by savings/deal.
Is the company’s positioning/key message consistently deployed across media?
Yes! Well coordinated effort to communicate off-price concept while still being fashionable/on trend.
Is the company’s message and product/service delivery linked up and aligned?
The idea of fresh finds and huge savings fill the store and create a sense of excitement when shopping. Employees also reinforce affordable creativity and inspiration and encourage repeat visits to the area stores.
Is the company spending it’s marketing dollars wisely? Absolutely! They are leveraging low cost mediums to spread awareness and drive
traffic and sales. This is consistent with their low cost business model.
Evaluation Do you think they have an ROI for their marketing investment?
Consistent increase in brand awareness, customer traffic, sales- year over year TJX Revenues up 6% to $23.2B for FY12 TJX February 2012 Sales report sales up 9% to $1.6B vs $1.5 B in Feb 2011 HG Profit margins also up from 7.7% FY10 to 9.5% FY11 HG Net Sales up from $1.9M to $2.2M for FY12
Based on where the company is in it’s life cycle, how does that affect its choices for IMC right now?
Focus on cost containment while still pursuing growth opportunities=low costs IMC campaigns, more social media
Does the marketing approach make sense, or would you adjust it and how?
Yes, good use of low-cost social media to meet objectives, great communication and delivery of strong brand positioning
Are customers happy? Yes: Who doesn’t love a “Fabulous Find” at a “Fabulous Price”? Marketing concept has universal appeal to the widest demographic in retail
EvaluationWhat’s working well? Strong, competitive positioning with off-price concept Value/off-price messaging- universal appeal during current
economic times and beyond Messaging is consistent and very well integrated on and offline,
in-store displays and by employees Customer engagement through social media to spread brand
awareness and build customer in-store traffic
What’s not working? Need fresher, more integrated content on YouTube channel
Oct. 2011 was last posting Not in sync with current Spring themed messaging and
media buzz spots
Recommendations
Continue use of integrated social media to boost brand awareness, customer loyalty and engagement Freshen up YouTube content
Continue seeking opportunities for corporate partnerships/sweepstakes/publicity in fashion circles to further brand awareness Guiliana and Bill shopping in HomeGoods HGTV mentions and other media buzz is buried on
website and not integrated into social media channels
Appendix:
http://www.tjx.com/investor_annualreports.asp
http://www.tjx.com/files/pdf/TJX-BoAML-Handout-3-8-12.pdf
http://www.homegoods.com/
http://www.youtube.com/user/behomegoodshappy
http://www.facebook.com/Homegoods
http://twitter.com/#!/homegoods
http://www.homegoods.com/media-buzz/category/print/
http://www.mobilemarketer.com/cms/news/advertising/11534.html
http://abcnews.go.com/GMA/laras-list-hot-home-decor-trends-50/story?id=13898731
http://www.worldmarket.com/home/index.jsp
http://www.pier1.com/
