Marketing Communications Plan-Final

7/29/2019 Marketing Communications Plan-Final

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I N T E G R A T E D M A R K E T I N G C O M M U N I C A T I O N S P L A N :

M A C C O S M E T I C S

Preparedfor: DavidMarskellPreparedby: JMartin,SClark,BRobins,NHall-Brodie,NArshad&KSlattery

Date: December3,2012

CourseCode: MKT2250


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TableofContents

MarketBackground...................................................................1

MarketAnalysis.................................................................................................................1ExternalInfluencesontheMarket............................................................................1

EconomicTrends....................................................... ........................................ ......................................... ................1DemographicTrends................................................................... ........................................ .....................................2SocialTrends...................................................................... ........................................ ........................................ ..........2Technology................................................................... ........................................ ......................................... ................3ConsumerData....................................... ........................................ ........................................ .....................................3

CompetitiveAnalysis.......................................................................................................3LOral.................................... ........................................ ........................................ ......................................... ................4Revlon..................................... ........................................ ........................................ ......................................... ................4

BrandAnalysis...................................................................................................................4

SWOTAnalysis...................................................................................................................5BrandStrengths..................................... ........................................ ........................................ .....................................5BrandWeaknesses................................................................. ......................................... ........................................ ...5MarketingOpportunities.......................... ........................................ ........................................ ..............................5Threats................................... ........................................ ........................................ ......................................... ................6

MarketingCommunicationsPlan...............................................6 TargetMarket.....................................................................................................................6

PrimaryTarget....................................... ........................................ ........................................ .....................................6SecondaryTarget................................................................... ......................................... ........................................ ...7

MarketingObjectives......................................................................................................7

MarketingCommunicationsGoal(Challenge).....................................................7MarketingCommunicationsObjectives..................................................................8

MarketingCommunicationsStrategy......................................................................8Budget..................................................................... ......................................... ........................................ .......................8PositioningStrategyStatement......................................................................... ........................................ ..........8

MarketingCommunicationsMix................................................................................8Advertising............................................................ ......................................... ........................................ .......................8EventMarketing................................................. ......................................... ........................................ .......................9PublicRelations...................................... ........................................ ........................................ .....................................9ExperientialMarketing.................................... ......................................... ........................................ .......................9Online&InteractiveCommunications........................................ ........................................ ..............................9

AdvertisingPlanCreative..........................................................................................9CreativeObjectives....................................... ........................................ ........................................ ..............................9CreativeStrategy................................... ........................................ ........................................ .....................................9CreativeExecution..................................................................................................................................................10

AdvertisingPlanMedia...........................................................................................11Budget..........................................................................................................................................................................11 MediaObjectives......................................................................................................................................................11 MediaStrategy.........................................................................................................................................................12


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MediaSelectionRationale...................................................................................................................................13

Online&InteractivePlan...........................................................................................15Objectives....................................................................................................................................................................15Strategy.......................................................................................................................................................................15

Execution..................................... ......................................... ........................................ ........................................ .......15EventMarketingPlan...................................................................................................16

Objectives....................................................................................................................................................................16 Strategy.......................................................................................................................................................................16 Execution..................................... ......................................... ........................................ ........................................ .......16

PublicRelations..............................................................................................................18Objectives....................................................................................................................................................................18 Strategy.......................................................................................................................................................................18 Execution..................................... ......................................... ........................................ ........................................ .......18

ExperientialMarketing...............................................................................................19 Objectives....................................................................................................................................................................19

Strategy.......................................................................................................................................................................19 Execution..................................... ......................................... ........................................ ........................................ .......19

MarketingCommunicationsExpenditures.........................................................20

References...............................................................................23


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MarketBackground

MarketAnalysis

Thecosmeticandbeautyindustryisacompetitivemarketwithfourclassifications.

Prestigecountsasthedepartmentstoresandspecialtystoresinwhichbeautyproducts

aresold.TheBay,Macys,SephoraandMACfallundertheprestigeclassification.Mass

merchandisersareclassifiedasbroad.ThiscouldbeCostcoandSamsClub.Avonand

MaryKayareclassifiedasalternateandinvolvedirectsales.Thefinalclassificationis

specialty.TheBodyShopandBathandBodyWorksfallintothiscategoryaswellas

specificproducts/productlinessoldatspasandsalons.

Theindustrymadenearly$35billionin2010.Theindustryexperiencedayearlygrowthofabout4%fromthefouryearsbefore.Thegrowthofthemarketisexpectedtostay

aroundthesameuntiltheyear2015.Itisestimatedthatthevaluewillgrowto$42

billion.

ExternalInfluencesontheMarket

EconomicTrends

Theobviousongoingrecessionhasledtomanyconsumerstradingdownonsomeproductsandasaresulttheybecomeaccustomedtobuyinglower-pricedproducts

(Lennard,2011).Whiledrugstorebrandsmightnotofferconsumersthesamebenefits

thathigh-endbrandslikeM.A.C.can,theycostmuchless.High-endproductscanreally

takeabiteoutofyourbudgetwhichcandeterconsumersfromspendingtheirmoney

onourbrand.Withapooreconomysuchasthisone,peoplearefindingwaystosave

theirmoney.Therealityisthatdrugstorebrandsdooffersomegreatproductsandso

thereisanindustryconcernthatconsumermightcontinuethesehabitsasfinancial

pressureseaseupinthefuture(Carrillo,2007).

However,themarketforcosmeticshasfaredbetterthanotherindustriesbecauseconsumersviewtheseproductsasaffordableluxuries.Peoplearecompetinginatough

employmentmarketandasaresulttheyneedtolooktheirbesttoconveyconfidencein

animage-conscioussociety(Carrillo,2007).Manyhigh-endbrandstakeadvantageof

thisopportunityastheirproductsareoftenpromotedbyprofessionalmenandwomen.


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DemographicTrends

Theuseofcosmeticshasbecomemorecommonplaceamongmenintodayssociety.

Althoughwomencontinuetooutnumbermen,themalepopulationisexpectedtogrow

atasomewhatfasterrate(DeniseSmith,26J).Thiscanbeusedtoouradvantageasit

wouldprovideuswithanopportunitytoincreasepenetrationofcosmeticsandfragrancesamongthegrowingmaleconsumerbase.

Anincreasingpopulationwillalsobenefitthecosmeticsindustry(DeniseSmith,26J).

Whileanageingpopulationcouldprovetobeunfavourable,teenagersandyoungadults

arethemostavidusersofcosmeticsandfragrances.Thisgenerationisalsoverybrand-

conscious,oftenwiththedisposableincomeandaprideinappearancemakingthem

morelikelytopaymoreforpremium-pricedproductsthatpromiseadditionalbenefits.

SocialTrends

Socialtrendschangewithtimebutitisimportanttokeepupwiththesetrends.Knowing

whatsgoingonintheindustryandinthemarkethelpsbrandssothatprofitcanbe

maximized.

Nowmorethanever,thereisalotofmoneytobemadeinthecosmeticsindustry.

Consumersareconstantlysearchingfornewproductsandtokeepupwithdemand,

companiesareregularlyintroducingnewproductsinthemarket.Theseproductsoffer

olderwomenachancetolookyoungerwhilepromisingglamourtoyoungerwomen

(Lennard,2011).

Magazineshavehugebeautysectionsbecauseadvertiserspayalotofmoneyforglossy

adsaboutnumerousproducts.Sowhileitcostscompanieslittlemoneytoproduce

items,womenandgirlswillarereadytopayhugeamountsofcashtobuyit.

Today,beautygoeshandinhandwithyouthsomanywomenlookforproductsthatwill

reducetheiragedappearance.Lookingoldisundesirableintodayssociety(Lennard,

2011).Asaresult,manycompaniesinthisindustryofferproductsthatreducewrinkles,

faciallinesandspots.Thesearerepresentedasoccurrencesthatneedtobetreatedas

soonaspossible.

Celebritiesareusedbymanycosmeticcompaniestopromoteproductsbecauseitgives

theirbrandalotofexposure.Whilemanycelebritiesmightnotactuallyusethese

products,consumerstrulybelievetheseproductswillmakethemlookasattractiveas

womenseeninmoviesandonTV.Mediahasagrowinginfluenceoverwhatisportrayed

asbeautifulintodayssociety(Pitman,2011).


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Technology

Thecosmeticsindustryiscontinuouslygrowing,nowmorethaneverthankstothe

Internet.Manycompaniescannowselltheirproductsonline,makingiteasierforsome

tosellproductsincountrieswheretheydonthaveanyrepresentatives(Pitman,2011).

Thusallowingthecosmeticsmarkettobecomehighlycompetitive.

Today,consumershaveaccesstoappsthatdontonlyshowwhatingredientsgointo

certainproductsbutalsoallowpeopletoseehowmake-upcanbeapplied.Consumers

arealwayslookingfornewtechniques.

Socialmediaisalsousedbyagrowingnumberofcompaniesandbrandstohelpthem

connecttothepublic.ToolssuchasFacebookandTwitterarenowusedtolaunchnew

products,togiveconsumersaplay-by-playofashow,togetfeedbackandanumberof

otherthings(Pitman,2011).Technologyhasrevolutionizedthewaythecosmetics

industryworks

ConsumerData

Convenience

WhileM.A.C.issoldatstoresthatarelocatedinbigmalls,smallerbrandslikeCoverGirl

andAlmayaresoldatdrugstoresandgrocerystores.Visitingthesestoresismuch

easierastheyareconvenientlylocatedclosetoyourhome.Onemightrathervisitthe

storearoundthecornerthanamallthatmaybelocatedasfaras5hoursaway.

CompetitiveAnalysis

MACcosmeticsisownedbyparentcompanyEsteLauderandcompetesdirectlywith

LOralbrandsMaybellineandRevlonintheCanadiancosmeticindustry.LOral

currentlyholdsthetopspotincosmetics.Theircosmeticbrand,Maybelline,makesup

22%oftheNorthAmericanmarketshare.Itsaffordablepricingandwideavailability

givesthebrandstrengthintheCanadiancosmeticindustry.

Revlonisanothercompetitorincosmetics,howeveritdoesnotfallintotheluxury

segment.Revloncanbefoundawayfromdepartmentstores,instoreslikeWalmart.RevlonproductsaresoldatcompetitivepriceswhileMACissoldatvalue-basedprices.

Marketsharesforthetopinternationalcosmeticcompaniesareasfollows:(inbillionsofdollars)


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LOral 25.89

Proctor&Gamble 19.57

Unilever 16.98

EsteLauder 8.29

Shiseido 7.75

LOral

LOralispositionedasabusinessthatenablesindividualstoexpresstheirpersonality

andgainself-confidence.Thebusinessbragsabouttheirquality,safety,andefficiencyin

providingbeautyproducts.Thebrandaimstoprovideproductsformenandwomen,

butputmoreofanemphasisonwomen.LOralhasvariousproductlinesincluding

consumer,professionalandluxurylines.TheirresearchanddevelopmentoftheLR2412

molecule,whichisananti-agingingredient,hasboostedtheirimageasabrandonthe

edgeofscience.LOralhasmadeaverypubliccommitmenttoresponsiblegrowththroughfairtrade,educationalendeavoursandenvironmentallabeling.Theiralignment

withcausessuchasAIDSawarenessandresearchhasraisedtheirprofiletothepublicas

well.Theyvebeenknowntomakedonationstostopanimaltesting.InMarch2012

LOraldonated$1.2milliontothecause.Theirsocialcorporateresponsibilitypaired

withthevarietyoftheirproductlineshavebecomeahugepartofwhatmakesthem

whotheyareanddefinestheirbrand.

RevlonAlthoughitisntaluxurybrand,Revloncosmeticproductsareahugecompetitorfor

multiplereasons.Revlonoffersreasonablypricedproductsfortheaverageconsumer.

Theircompetitivepricingmakesthemabrandtolookoutfor.Theirproductsareeasily

accessible.ManychainslikeWalmart,Loblaws,PharmasaveandZellershavethe

productsforsale.Thebrandhasusedvariouscelebrityendorsementsovertheyearsto

boosttheirimage.SomemorerecentcelebritiesinvolvedareEmmaStone,HalleBerry

andOliviaWilde.

BrandAnalysisMACisaprofessionallevelmake-upretailerownedbyEsteLauder,knownfortheir

highqualityproductandsocialresponsibility.MACistrustedbymanyprofessionalsand

everydaypeople.Thebrandhasmanyfaithfulcustomersbotholdandyoung.Theyare

mostpopularwithfemalesbetweentheages18to30.Althoughthebrandhasavision

toofferproductsforpeopleofallages,theolderdemographicislessawareandless

loyaltotheMACbrand.MACoffersahighqualityproductsoldatavalue-basedprice.


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Theirproductsrangefrommake-upbrushestolipsticks.Theseproductsareavailableto

consumersin1000locationsworldwide.Theselocationsareinmorethan70countries

andterritories.MACslargerelianceonword-of-mouthendorsementhasbeenakeyto

theirsuccess.Make-upartists,models,photographersandjournalistsallaroundthe

worldhavesharedtheirlovefortheproductandboostedtheimageofMACasa

professionalgradebeautybrand.

SWOTAnalysis

BrandStrengths

MACCosmeticsisaworld-renownedcosmeticcompanythatprovidesmakeupforall

races,agesandsexes.Thecompanysuniqueandwell-knownbrandimagehascreateda

strongcelebrityfollowingincludingMaryJ.Blige,NicoleRichieandNickiMinaj.In

addition,thebrandreceivesavastamountofwordofmouthendorsementsfromprofessionalmake-upartists.MACCosmeticspridesitselfincreatinghigh-quality,

fashion-forwardproductsthatarecrueltyfreewhileprovidingconsumerswiththe

experienceofbeingattendedtobyhighlytrainedmakeupprofessionals.Furthermore,

MACCosmeticshasaprogramset-upcalledtheMACProgramthatrewardsthe

companysloyalcustomers.TheMACProgramworksbycustomersreturningsix

primarypackagingcontainerstoaM.A.Ccosmeticscounterandthecustomersare

rewardedwithafreeMAClipstickoftheirchoice.Bydoingso,thecompanyiscreatinga

loyalbaseofreturningcustomersthatfeelrecognizedandimportantbyparticipatingin

theprogram.

BrandWeaknesses

MACCosmeticsdoesnothavealargeamountofweaknesses,whichinturnshowshow

wellthiscompanyisoperatedandhowmuchcustomerslovetheirproductsaroundthe

world.Oneweaknessthecompanyisfacingisthatthepricingofitsproductsaremore

thantheaveragedrugstorebrands.Fortheaverageminimumwageperson,MAC

Cosmeticspricescouldbeadeterrenttopurchasingtheproduct.Also,thegeneral

publicisunabletoreceivetheMACCosmeticPROcolorline,onlyprofessionalmake-up

artistscan.Bynothavingtheirprofessionalcolorlineavailabletothepublic,MACcould

potentiallybelosingcustomerswhoaresearchingforprofessionalgrade,long-lastingmake-up.

MarketingOpportunities


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MACCosmeticshasafewmarketingopportunitiesavailabletothemthatwillultimately

helpgeneratemoresales.Firstly,MAChastheopportunitytocreatemorefreestanding

storesratherthanhavingasmallspotdesignatedforthecompanyinalarger

departmentstore(i.e.TheBay).Aswell,thereisanopportunityforInternational

expansionspecificallyfocusingonMiddleEasterncountries,asfoundationsandblushes

arebeingdesignedspecificallyfortannedskintones.Insocietytoday,consumershavebecomemorehealthconsciousandMACCosmeticshastheopportunitytoadvertise

thatalloftheirproductsarecrueltyfreeandtheycontainingredientsofthehighest

quality.Finally,existingprogramsliketheMACreturnprogramandtheMACAidsFund

presentadditionalmarketingopportunityforthecosmeticscompany.MACisableto

playuptheirprogramwhereconsumersareabletoreturnsixprimarypackaging

containersandreceiveafreeMAClipstickoftheirchoice.Theyarealsoableto

capitalizeontheirexistingcharitableworkinordertogenerategreaterbrandloyalty.

Threats

ThreatsthatMACCosmeticsiscurrentlyfacingaremainlycompetitors.Inregardsto

competitivethreats,competingdepartmentstorecosmeticcompaniesinclude

Lancme,Clinique,andLOreal.Thesebrandsaresimilarlypriced,easilyaccessible,and

rivalthequalityofMACCosmetics.Inaddition,drugstorebrandslikeRevlonand

Maybelline,thoughlesserquality,offerverycompetitivepricingandaremuchmore

widelyavailablethanMACCosmetics.

Althoughtheeconomyhasaseriousnegativeeffectonseveralnon-essentialindustries,

thecosmeticsindustryhasremainedratherunscathedaccordingtoTheEconomist.

MarketingCommunicationsPlan

TargetMarket

Inordertoincreasebrandawarenessandappealtoalargeraudience,MACCosmetics

mustgivemoreattentiontotheworkingwomenmarketastheymakeupalarge

portionofcosmeticusers.

PrimaryTarget

Demographic

Theaudienceoffemalesbetweentheagesof30to50isakeygrouptomarketto

becausetheyareprofessionalwomenwhomustlooktheirbestandputtheirbestface


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forward.Thesewomenarefromthemidtohighincomebracketandtendtobewell

establishedintheircareer.Itisalsoimportanttonotethatthesewomenarepost-

secondaryeducatedandsearchforthebestbrandofproductstouseontheirskin.

Psychographic

Withthecurrentworkenvironmentanddailylifebeingfast-paced,thetargetmarketis

pressedfortimeandneedtorelyontheircosmeticproductstolastthroughouttheir

busyday.Alongwithlivingbusylives,thesewomenaresociallyactive,technologically

savvy,andfollowfashiontrends.

Geographic

ThetargetmarketisseenacrossCanada,withaspecificfocusonmajorurbanmarkets.

Itisimportanttopenetratemajormarketsinordertoeffectivelyreachthemajorityoftheprimarytargetaudience.

SecondaryTarget

Thesecondarytargetmarketisfemalesbetweentheagesof18and30,atboth

secondaryandpost-secondaryeducationlevels.Studentsandrecentgraduates,located

inmajorurbanmarketsareimportantforthistargetmarketbecausethemajorityof

studentsaresituatedinthemorepopulatedareasofcities.Thistargetmarketwouldbe

moreinclinedtoutlizeuntraditionalmediaforinformation,inthewayofsocialmedia

andonlineadvertisements.

MarketingObjectives

Theprominentmarketingobjectiveistoincreasebrandawarenessamongfashion

forward,businessorientedfemalesbetweentheagesof30and50.

MarketingCommunicationsGoal(Challenge)

Thefirstmarketingcommunicationsgoalistostandoutamongothercolourcosmetics

brandsamongmiddle-aged,careermindedwomen.

ThesecondmarketingcommunicationsgoalistoassociateMACCosmeticswitha

youthfulyetsophisticatedandappropriate,on-trendylifestyle.


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MarketingCommunicationsObjectives

Thefirstmarketingcommunicationsobjectiveistocreateanimagethatisinkeeping

withsophisticated,coincidingwithtrendinglifestyles.

ThesecondmarketingcommunicationsobjectiveistobuildbuzzforMACCosmeticsamongwomenaged30to50whoarecurrentlyunfamiliarwiththebrand.

MarketingCommunicationsStrategy

Budget

Forthefirstyearofthemarketingcommunicationscampaign,abudgetof$3millionwill

beavailable.Thisbudgetwillbeabletocoverallmarketingcommunicationsexpenditures.Thebulkofthisbudgetwillcontributetothemultimediaaspectsofthe

campaignandwillincludevariousintegratedmarketingcommunicationsactivities.

PositioningStrategyStatement

Wecanutilizetheexistingpositioningstrategystatement,whichisasfollows:

MACCosmeticsisayouthful,irreverent,coolconfident,social&sophisticatedbrand

MarketingCommunicationsMix

Inorderforthiscampaigntomakeastrongimpactontheprimaryandsecondarytarget

markets,theremustbeaneffectivemixofmarketingcommunicationselements.This

mixwillcontributetothesuccessoftheobjectivessetoutabove.Themarketing

communicationsmixwillincludetraditionalmediaadvertising,salespromotions,event

marketing,andonlinecommunications.Thereasoningbehindthisselectionisas

follows:

Advertising

Traditionalformsofmediaadvertisingarecrucialinordertoputacrossavisualappeal

tothetargetmarketsandtoachievebrandawareness.


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EventMarketing

AnimportanteventwilltakeplacethatwilllinkMACCosmeticstoafundraiserfor

femaleleadershipprograms.Femaleleadershipandprofessionalismappearsdirectlyto

theprimarytargetandtheeventwillhelptogeneratebuzzaroundMAC.

PublicRelations

Itisimportanttobewellintegratedintothepublicandhavethesupportofthe

community.MACCosmeticswillcontinuetobuildawarenessinthecommunityby

publishingarticlesindifferentmediasandeducatingthepublic.

ExperientialMarketing

ThemainwaythatcustomerswillgetatrueexperiencewithMACCosmeticswillbethroughtheeventsinwhichcustomersusetheproducts.Instoretherearealsomakeup

artiststhatgivecustomersmakeoversusingonlyMACCosmeticsproducts.

Online&InteractiveCommunications

Theprimarytargetaudienceisthebiggestuserofsocialmediaplatforms;therefore,

thesemediaarebotheffectiveandefficientfordeliveringMACsmessage.

AdvertisingPlanCreative

CreativeObjectives

1. TocommunicatethatMACofferstop-of-the-linecosmeticssuitableforbusinesswomenstrivingtolooksophisticated,appropriate,andon-trend.

2. TobuildbuzzforMACCosmeticsamongwomenaged30-50whoarecurrentlyunfamiliarwiththebrand,standingoutamongothercolorcosmeticbrands

amongstmiddle-agedwomen.

CreativeStrategy

MACdoesnothaveadvertisingthatisreadilyavailableformiddle-agedbusinesswomen.

ThemajorityoftheiradvertisingoccursonlinethroughtheirYouTubechannelandin

magazineadsdirectedatayoungeraudienceof20-something.BecauseMACis

specificallysoldintheirownspecialtyshopsaswellasinTheBaystores,itwouldbe


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beneficialtostrategicallyutilizethesestoresbydisplayingin-storeadvertisementsand

postersthataremoreage-targetedandappropriate,givingthemessagethatmiddle-

agedwomencanfeelcomfortableandconfidentconfrontingtheMACstaffandcounter

fortheircosmeticneeds.MACisntjustforyoungwomenandmodelsanymore.

CentralTheme

Allmessageswillshowthevisionofasophisticated,confident,andtrend-savvy

businesswomanbetweentheagesof30-50.Asabusinesswoman,sheleadsabusylife,

butchoosingMACashercolorcosmeticbrandisano-brainer.Thebrandhasbecomea

stapleinherlifestyle.

AppealTechnique

ThemessagewillemphasizethetargettakingprideinherMACproductsandrevealingwhyshechoosesMACoverotherbrands.Theappealwillbepositive,showingthe

ultimatelyconfidentbusinesswomanandtheMACname.

Tone&Style

Messageswillfocusonthewomenenjoyingtheproduct.Theywillhighlighttheproduct

andtheconfidenceinthewomen.

Tagline

Optionstosummarizethemessagesare:

1. MAC-Simply,confidently,me.2. MAC-Wemeanbusiness.3. MAC-Theresnoother.4. Mine,andIwouldnthaveitanyotherway.MAC.

CreativeExecution

Thecampaignwillconsistof30-secondtelevisionads,colorprintadsinstoresand

brochures,coloradsinmagazines,billboards,andonlinebannerads.Selectedmessages

willencouragethetargetaudiencetovisittheMACwebsitetotakeanindividualvirtual

tourofaMACcosmeticretailstudiotogetthemacquaintedandfamiliar.Theywillalso

beabletobrowseproductsandtestimonialsfromrealwomenjustlikethemselves.


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BroadcastmediawillfeaturewomenexclaimingsimplestatementsabouttheMAC

brand,howitmakesthemfeel,andwhyitsrightforthem.

Printandoutdoormediawillshowimagesofwomenglowing,exuberatingconfidence

becauseoftheirMACproducts.Theywillremaintrendyyetageappropriate-apriorityforthecampaign.

AdvertisingPlanMedia

Budget

Thebudgetforthemediaportionoftheadvertisingplanwillbeapproximately$1.5

millionforaone-yearperiodbeginninginJanuary2013toDecember2013.

MediaObjectives

Who

Theprimarytargetisurbanwomenaged30-50.Thesecondarytargetistech-savvy

womenaged18-20.

What

Thecontinuousmessagewillbethatestablishedwomenwholeadbusylifestylescan

feelconfidentwithmakingtheMACbrandtheirchoiceforcolorcosmetics,withafocus

onconfidenceandcurrenttrends.

When

Thelaunchwilltakeplaceatthebeginningoftheyear,aspartofanewyears

resolutionseffect.Emphasisofthebudgetwillbegivenduringthisphaseasitisjust

beginninginordertogaineffectiveresultsandimpacttherestoftheyear.Therewill

alsobeemphasisforflightsaroundspring,fall,andattheendoftheyearforthe2013

holidayseason,asthesearethetimesofyearwomenaremostlikelytobuyproductsto

updatetheirlooks.


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Where

Thecampaignwillfocusonkeyurbanareasinthenation,suchasToronto,Vancouver,

Montral,Calgary,EdmontonandOttawa,butwillspreadacrossallregions.

How

Thecampaignwillfocusonincreasingawarenessintheprimarytargetaudience

(womenages30-50),whilemaintainingtheloyaltyofthesecondarytargetaudience

(womenages18-20).Thiswilltaketimeandwillneedtofocusonongoingcreative

strategiesaswellasbyimplementingnew,trendymessagesforappealandattention.

MediaStrategy

TargetMarketStrategy

Theentirecampaignwillfocusonprofile-matchingstrategyinordertogenerateand

maintaintrustandinterestofthebrandwiththeprimaryandsecondarytargets.We

knowexactlywhichconsumerswewanttoreach,andwillcontinuetofocusanddirect

marketingeffortstothem.

MarketCoverage

Themarketcoveragewillentailmediathatwillreachnationally,suchasnationallysold

magazinesthatmatchourageanddemographictargetaudiences,andthewebsite.

Therewillalsobesupplementarymediafocusedatimpactingkeyprimaryand

secondarytargetswithinurbanareas,appropriateanduniquetoeacharea.These

includepostersandbillboards.

Timing

Theflightsoutlinedwilltakeplaceonaseasonalschedule,advertisingaccordingtothe

salestrendswithafocusonpre-seasoninordertocompetewithotherbrands.

Reach/Frequency/Continuity

Reachandfrequencyareimportanttothecampaignatthebeginningofthephase,as

thekeymessagesarenewandwillneedmoreemphasis.Continuityisimportant


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throughouttheremainderofthecampaign,withincreasedfocusduringthepre-seasons

outlined.Amoredetailedmediaschedulewillbedesignedusinggrossratingpointlevels

frommarkettomarket.

MediaSelectionRationale

Television

Primarymediawillentail30-secondnetworkadvertisementsontelevision.Theprimary

networkswillbetheCorusWomendivisionofCorusEntertainmentInc,whichincludes

stationsOWN,WNetwork,CosmoTVandWMovies.AswellasSlice,adivisionofShaw

Media.Eachnetworkcaterstonationalwomen-on-the-go,whoaretrendyand

independent,paralleltoourkeymessagestotargetaudiences.Thiswillprovidehigh

reachinshortertime.

Print

Retailadvertisingwillbebeneficialforthoseurbanareaswherestoresarelocated.For

instance,TheBaycanadvertiseMACintheirweeklyflyerssentoutwithnewspapers.

MACspecificpreprintedinsertswillalsobeplacedinnewspapersinthemainurban

citiesmentioned.

Inkeepingwiththeprofile-matchingstrategy,printadsinmagazinesspecifictothe

targetaudiencewillalsobeutilized.PaidcirculationmagazinessuchasChatelaine,

Flare,ElleCanada,andCanadianLivingfallunderthiscategory.Thiswillprovideanopportunityformultipleexposuresaswellasaddedreachifmagazinesarepassed-onto

otherreaders.Specialoffersandcouponscanalsobeplacedinissuesfocusingonpre-

seasontrends,makingaflawlessconnectionintheaudiencesmindtotrendsandMAC.

Out-of-Home

PostersandbillboardswillbeusedtodisplaytheconfidentwomenportrayedbyMAC.

TherewillalsobemallposterslocatedinsideshoppingmallswhereMACboutiqueretail

storesarelocated.Althoughthesewillrelyononlypedestriantraffic,thetarget

audienceisalreadyinthemallsandwillactasavisualtodirecttheconsumertothe

appropriateplace.

Online


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Onlinebannerswilldisplayadsacrosswebpagesappropriatetothetargetaudience.

Thisadwillbeclickable,andwilltaketheaudiencedirectlytotheMACwebsiteformore

information.

MediaExecution

Thetimingandexpendituresofthemediaexecutionareasfollows:

FigureA:TelevisionAdvertising

Network #ofSpots CostperSpot TotalCost

Corus 80 $2,500 $200,000

Slice 80 $450 $36,000

TotalTV 160 $236,000Note:Alladsare30-secondspots,spanninga4-weekcampaign,withapproximately10weeklyGRPsbasedon

Toronto.

FigureB:OutdoorAdvertising

Market GRPs Weeks TotalCost

Toronto 25 12 $295800

Vancouver 25 12 $223500

Calgary 25 12 $64800

Edmonton 25 12 $57600

Ottawa 25 12 $108600

Montreal 25 12 $29500

TotalOutdoorAds 175 12 $779800

Note:Alladsarehorizontaloutdoorposters.

FigureC:PrintAdvertising

Magazine #Inserts CostperInsert TotalCost

Chatelaine 4 $15000 $60000

Flare 4 $1500 $60000

ElleCanada 4 $18900 $75600

CanadianLiving 4 $25400 $101600

TotalPrint 16 $297200Note:Alladsare1-page,4-color.

TotalforMediaExecution:$1,313,000


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Online&InteractivePlan

Objectives

1. Toincreasebrandawarenessamongcareermindedwomenaged30-50.2. Toincreasewebtraffictowww.MACCosmetics.com.3. TolinkMACCosmeticstoprofessional,sophisticated,ontrendlifestyle.

Strategy

Acombinationthatinvolvesonlinebanneradvertising,socialmediaengagement,anda

newsectionofthewebsitewillhelpbuildawarenessamongtheprimarytargetandhelp

associatethebrandwithaprofessional,sophisticated,ontrendlifestyle.

Execution

BannerAds

BanneraddswillbescheduledontheElle,Chatelaine,andFlarewebsitesthatare

popularwithprofessionalwomenaged30-50.

Sponsorship

InconjunctionwiththeSlicetelevisionnetwork,MACwillsponsoracommercial

segmentshownfivetimesweekly.Eachdayduringthe6-7pmprogramming,MACand

Slicewillpartnertobroadcastatwo-minutesegmentonhowtoapplysophisticated,on

trendmakeupstyleinundertwominutes.Thesesegmentsareaimedatthe

workingwomanbetween30and50wholeadverybusylives.Atotalof10segmentswill

befilmedforeachseason,airingonrepeatthroughoutweekdayprogramming.These

segmentswillalsobeavailableonboththewww.maccosmetics.comandwww.slice.ca.

MACCosmeticsWebsite

AnentirelynewsectionwillbeaddedtotheexistingMACCosmeticswebsite.Thisnew

sectionwilloffertheabove-mentionedvideotutorials,aswellassuggestedproducts

andadditionalsuggestedprofessionalmakeuplookswithinstructions.

FigureD:OnlinePlan

Site/Network Impressions/Month CPM #Months TotalCost


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Sponsorship

Slice 12 $500,000

BannerAds

Elle 250,000* $100 6 $150,000

Chatelaine 500,000* $33 6 $100,000

Flare 74,000* $202 6 $15,000

MACCosmeticsWebsite $100,000

Total $865,000Note:*representsuniquevisitorspermonth

EventMarketingPlan

Objectives

1. ToincreasethelinkbetweenMACCosmeticsandfemaleleadershipprograms.2. ToencouragetopCanadianbusinesswomentotryMACproducts.3. Togenerateearnedmediarelevanttowomenbetween30and50.4. TolinkMACCosmeticstoprofessional,sophisticated,ontrendlifestyle.5. Toencouragebrandloyaltyamongwomenaged30-50.

Strategy

ToassociateMACCosmeticswiththeWomeninLeadershipFoundationand

InternationalWomensDay.

ToincorporateMACCosmeticsinthelivesofthetargetbefore,duringandafterthe

event.

Execution

MACCosmeticspresentsWomeninLeadershipGala

TheMACCosmeticspresentsWomeninLeadershipGalawilltakeplaceat99SudburyinTorontoonInternationalWomensDay(Friday,March8,2013).500businesswomen

fromacrossCanadawillbeinvitedtopurchase$150ticketsforthegalaaimedatraising

fundsforWIL.Inaddition,thetop50mostpowerfulwomeninCanada(asdetermined

bytheFinancialPostMagazine)willbeinvitedtothegalaasVIPguests,freeofcharge.


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Leadinguptotheevent,thewomenwillbeabletoregisteronline,indicatingtheirskin

tone,eyecolourandhaircolour.Giventheseindicators,MACwillsendeachofthe

registeredguestsacustomizedsamplingofcosmeticproducts(foundation,powder,

bronzer&blush,mascaraandeyeshadow).Abookletwillalsobeincludedinthe

shipment,whichwillhaveseveralsamplelooksthatcaneasilybedonewiththemakeup

provided.Therewillbedetailedinstructionssothatbusybusinesswomenwilleasilybeabletoexecutethesophisticated,on-trendlooks.EachoftheVIPguestswillbetreated

toacomplementaryspaexperiencethedayoftheevent.Theywillreceiveboth

pedicuresandmanicuresusingMACnailpolish.Theywillalsohavetheirhairdone

professionally.Lastly,thewomenwillreceivemakeupapplicationsfromoneofMACs

professionalartists.ByensuringthatallwomenarewearingMACproductsattheevent,

wecanbesurethattheyarephotographedinourcosmeticsandensurethemaximum

earnedmediaandword-of-mouthimpact.Thesamplecosmeticsandlookswillalso

allowourgueststoexperimentwithourproductspreandpostevent.Inaddition,by

payingsuchadetailedamountofattentiontoeachandeveryguest,andallowingthem

totryouttheproducts,wewillencouragenotonlybrandrecognition,butalsobrand

loyaltyamongourtarget.

Uponarrival,ourguestswillbeleaddownaredcarpetcompletewithMACandWIL

backdropandpaparazzi.Duringtheevent,ourguestswillbespoiledwithlavishdcor,

dinnerandmidnighthorsdoeuvres&dessert,andsignaturedrinks.SeniorVice

PresidentofMACCosmetics,JenniferBalbier,willactasMasterofCeremoniesforthe

gala.AnumberoftheVIPwomenwillbeinvitedtospeakasguestsabouttheir

experienceasprofessionalsandbusinessleadersduringandfollowingthegaladinner.

Directlyfollowingspeeches,Jenniferwillawarda$10,000donationtotheWomens

LeadershipFoundation.Entertainmentwillincludeastringquartetfortheentranceand

dinnerperiod,followedbyoneofTorontospremierDJs.Inaddition,alocaldancegroupwillprovideanalternativeformofentertainmentbetweendinneranddancing.At

midnight,wewillhaveanextravagant,ediblesweettable,designedtolooklikevarious

MACproductsforthegueststosnackon.Attheendoftheevening,MACSeniorVP,Jen,

willbeawardingoneluckywinnerwitha$1000MACgiftbasket,includingvoucherfor

privateMACartistconsultation.

Followingtheevent,wewillbesendingoutpicturesofthegueststotheiremail

accountstoremindthemofhowmuchfuntheyhadandhowfabuloustheylooked!

CostdetailsforthiseventsponsorshipactivityareincludedinFigure

FigureE:EventMarketing

ItemorActivity EstimatedCost

Sponsorship $20,000

MACSampleBags $8,000

VIPSpaExperience $5,000

DonationtoWIL $10,000


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EdibleSweetTable $3,000

MACGiftBasket $1,000

Total $47,000

PublicRelations

Objectives

1. Increasebrandawarenessamongprimarytarget.2. Increasebrandloyaltyamongprimarytarget.3. LinkMACCosmeticstoprofessional,sophisticated,ontrendlifestyle.4. CreatebuzzaboutMACCosmeticsadvertising,sponsorshipsandevents.

Strategy

Acombinationthatinvolvessocialmediaengagement,mediarelations,willhelpbuild

awarenessamongtheprimarytargetandhelpassociatethebrandwithaprofessional,

sophisticated,ontrendlifestyle.

Execution

MediaRelations

Mediarelationseffortssuchasmediaadvisories,pressreleasesandbackgrounderswill

beaggressivelyutilizedtogeneratemediacoverageofMACsadvertising,sponsored

televisionspot,newwebpageandeventmarketing.Ourtargetdemographicactively

readlocalandnationalnewspapersandstayup-to-datewithtelevisionnews

broadcasts.

SocialMediaEngagement

SocialmediasitessuchasFacebook,TwitterandLinkedInwillbeutilizedtopromoteMACsadvertising,sponsoredtelevisionspot,newwebpageandeventmarketingtoour

primarypublic.Targetedpostsandtweetswillraisebrandawarenessandincreaseweb

traffic.


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Objectives

1. Increasebrandawarenessamongprimarytarget.2. Increasebrandloyaltyamongprimarytarget.3. LinkMACCosmeticstoprofessional,sophisticated,ontrendlifestyle.4. EncouragetrialofMACCosmeticsbytargetpublic.

Strategy

Toutilizeinteractivemarketingintheformofprofessionalmakeoversinkeyurban

areastoincreasebrandawareness&loyaltyandencouragetrialofMACCosmetics

amongcareermindedwomenaged30to50.

Execution

MACMakeovers

MACmakeoversdonebyMACartistswillbeheldinthelobbyoffivebusinessbuildings

onceperseason.Theeventswillbeheldineachofourkeyurbanareas,including

Toronto,Vancouver,Calgary,Edmonton,OttawaandMontreal.

ThreeMACartistswillsetupinvariousprofessionalbuildingsineachcityforoneday,

justfollowingthelaunchofeachseasonspallets.Asprofessionalbusinesswomenmake

theirwayintowork,outforlunchbreakoroutfortheendoftheday,brand

ambassadorswillenticethemtogetacomplementarymakeover.Thephotographerwill

takeabeforepictureinfrontofMACsignage.TheMACartistswillgooverseveral

sampleprofessionallookswiththeguestandthenapplythelookinunderfiveminutes.

Thewomanwillthenhaveherpictureretakenandwillhavetheoptiontoemailthe

picturetoherselforfriends,tweetthepictureoruploadittoFacebook.Ifthewoman

choosestosignarelease,herbeforeandafterphotoswillbeaddedtoMACsFacebook

pageaswellaswww.maccosmetics.com.Eachwomanisencouragedtotakehomea

samplebagfilledwithMACCosmeticsincludingfoundation,powder,blushorbronzer,eyeshadow,eyelinerandmascara.

CostdetailsforthisexperientialmarketingactivityareincludeinFigure.This

encapsulatesallcostsassociatedwithhosting20eventsinour6keyurbanmarkets.

FigureF:ExperientialMarketing


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ItemorActivity EstimatedCost

MACProfessionals $75,000

MACSampleBags $50,000

Cosmetics $50,000

Venues $60,000

BrandAmbassadors $30,000

EquipmentRental $60,000

Photographer $60,000

Signage $60,000

Total $445,000

MarketingCommunicationsExpenditures

Forsummarydetailedofallmarketingcommunicationsexpendituresandthetimingof

allactivities,refertoFigures

FigureG:MarketingCommunicationsExpendituresbyActivity

Activity Expenditure %ofTotal

Television $236,000 8.84

Out-of-Home $779800 29.21

Magazine $297200 11.13

Online&Interactive $865,000 32.40

EventMarketing $47,000 1.76

ExperientialMarketing $445,000 16.67

PublicRelations $0 0.00

Total $2,670,000 100.0

FigureH:MarketingCommunicationsExpendituresbyMonth

Month Expenditure %ofTotal

January $514,084 19.25

February $41,667 1.56

March $244,084 9.14

April $414,084 15.51

May $41,667 1.56

June $197,084 7.38

July $41,667 1.56

August $369,917 13.85

September $197,084 7.38

October $41,667 1.56

November $369,917 13.85


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December $197,084 7.38

Total $2,670,000 100.0

FigureI:MarketingCommunicationCalendar

Activity Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec

Television Corus 20 20 20 20

Slice 20 20 20 20

Out-of-Home

Toronto 3 3 3 3

Vancouver 3 3 3 3

Calgary 3 3 3 3

Edmonton 3 3 3 3

Ottawa 3 3 3 3

Montreal 3 3 3 3

Magazines Chatelaine 1 1 1 1

Flare 1 1 1 1

ElleCanada 1 1 1 1

CanadianLiving 1 1 1 1

Online&Interactive

SliceSponsorship

Elle

Chatelaine

Flare

MacCosmeticsWebsite

EventMarketing

PublicRelations


Total Notes:

Television:Figuresrepresentthenumberofspotsoneachnetworkeachmonth.Allspotsare30-secondslongand

runinprimetime.


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Outdoor:

Magazines:Figuresindicateoneinsertionineachmonthscheduled.Alladsare1P,4colours.

Online:25,000impressionsmonthlyonElle,500,000impressionsmonthlyonChatelaineand74,000impressions

monthlyonFlare.

FigureJ:MarketingCommunicationsExpendituresEstimate

EstimatedBudget(BasedonActivities) 2,670,000PlanBudget 3,000,000

ExpenditureOverBudget -330,000


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Documents

Marketing Communications Plan-Final