What’s Next.

Myriad - both numerous and diverse; having innumerable aspects or elements. That is what MyriAD is all about. We are a full service advertising agency founded by Marquette students who measure our

success through our ideas we create, the insights that we share and the companies that we change.

MyriAD™

TABLE OF CONTENTS EXECUTIVE SUMMARY HISTORY COMPETITIVE ANALYSIS SWOT TARGET MARKET CONSUMER PROFILE OBJECTIVES CREATIVE STRATEGY COMMUNICATIONS STRATEGYCREATIVE EXECUTION VIRTUAL HOME EXPERIENCE MEDIA STRATEGY PROMOTIONSBUDGETWISH LISTTRACKING THE PROGRESSAPPENDIX AAPPENDIX BAPPENDIX CWORKS CITEDMyriAD

ONE

TWO

THREE

FOUR

SIX

SEVEN

EIGHT

TEN

ELEVEN

TWELVE

THIRTEEN

NINETEEN

TWENTY

TWENTY-TWO

TWENTY-SIX

TWENTY-EIGHT

THIRTY

THIRTY-ONE

THIRTY-THREE

THIRTY-FOUR

THIRTY-FIVE

THIRTY-SIX

TA B L E O F CO NT E NTS

1

Steinhafels is a family owned furniture company with stores in Madison, Milwaukee and surrounding areas. They carry a vast selection of mattresses and furniture for every room of the house. While Steinhafels enjoys a large market share of 25-54 year-olds, this campaign is targeted primarily towards women ages 26-29, specifically, first-time home buyers. These women are social, active, budget-conscious and more likely to make bigger purchases when there are credit payment options available. The objectives of this campaign: 1. Increase Steinhafels market share from their current 35 percent to 37 percent 2. Change brand perception to position Steinhafels as the first step in furnishing their home 3. Develop a first-time buyer database to begin building relationships Our creative strategy is to portray Steinhafels as a trusted partner in creating thier home on a responsible budget. While maintaining a clean and simple aesthetic, our campaign focuses on the evolution of furniture relative to the target’s maturing lifestyle. Since our target primarily comsumes digital media, we are allocating the majority of our budget to various online channels. Our promotional strategy involves reaching the target outside of their home by having a presence at events in both the Milwaukee and Madison areas.

We feel that these efforts will help put Steinhafels at the forefront of the target’s mind and prompt them to view Steinhafels as the first place to go for their furniture needs.

E X E C UT I V E S U M M A RY

2

Steinhafels Furniture Superstores opened their first location on the north side of Milwaukee in 1934. The furniture and mattress retailer has been family owned and operated for three generations. Steinhafels was originally named Mueller-Steinhafel Furniture as a result of the partnership between John E. Steinhafel and Arthur Mueller. When Mueller died in 1944, Steinhafel bought the remaining shares and renamed the company. He kept the commitment to quality and service that had become the company’s standard. Steinhafels has expanded its operations over the years, and now offers eight furniture superstores and five mattress stores in Milwaukee, Madison and the surrounding areas. Today Steinhafels is the number-one furniture and mattress retailer in Wisconsin. They still maintain their reputation of superior quality products and dedicated customer service today.

H I STO RY

33

Verlo Verlo offers a Comfort Promise period in which it will rebuild a new mattress once, free of charge. Their website includes a “Virtual Craftsman” tool for helping customers choose a mattress. They offer a wide price range of mattresses and will ship anywhere in the country. However, they do not sell any furniture, particularly bedroom sets, that could be paired with mattress sales. Any shipment takes 3-7 days to arrive.

Mattress Firm With 500 successful stores across 38 markets already under their belt, Mattress Firm seems poised for success with the ten stores they plan on opening within the Milwaukee and Madison markets starting in February. Thier organized website allows customers to compare six different brands of mattresses and shop for headboards, pillows and bed frames. They offer a few custom services, including Red Carpet Delivery, Comfort by Color, and Sleep to Live. Their sales staff goes through 200 hours of training to refer to themselves as “Sleep Experts.” Even though they are new to the Midwest, they have quickly established itself as a new competitor.

CO M P ET IT I V E A N A LYS I S

4

Ashley Ashley holds the title of being the No. 1 selling furniture brand in the world and the No. 1 retailer of furniture and bedding in the United States. The company provides a vast array of furniture with two brand options for mattresses: Sealy or Ashley Sleep. The company is very customer friendly. They offer customer exclusive deals through email. Their website contains a Room Planner in which a customer can custom-design a room with Ashley furniture and enables customers to ‘Find it Fast’ by selecting pattern, color, material or shade in order to limit their options. Finally, the company controls all processes from design to delivery, enabling them to reduce costs and pass the savings on to their customers as Exclusive Ashley Furniture HomeStore Pricing. They also do not feature all products or designs online, allow online sales, or take custom orders.

Department stores Department stores, such as Sears, JC Penney and Macy’s, are also potential competitors. They offer furniture for every room, mattresses, electronics and appliances. They typically utilize sales promotions and frequently send out custom catalogues, including those specifically for home furnishing. Given their large distribution network, they can sell a wide variety of brands at low prices, sometimes with a price-match guarantee. Some of their furniture does require assembly, and they typically charge for delivery, installation and haul-away. This delivery date often happens 7-14 days after purchase, and depending on the size of the items, furniture could be delivered from the supplier, the department store, or UPS/FedEx/USPS.

Colder’s Colder’s is a tri-player, selling electronics, furniture, and appliances. Colder’s focuses on name brand products; it carries Serta mattresses exclusively and is the only seller of Serta’s Vera Wang line of designer mattresses. Colder’s also offers mattress accessories - such as covers, protectors, and pads. through a company called Protect-a-bed Colder’s runs different promotions such as “Full Back, Half Back or Quarter Back” incentive programs in which customers receive store credit that is either equal, half or a quarter of the purchase price.. Colder’s does not guarantee same-day delivery and keeps a limited supply of its products on hand.

5

American American is a tri-player, selling electronics, furniture, and appliances. The company has a large selection of over 100 different mattresses varying in price point, style, and type. They run promotions that consist of in-store offers and giveaways, such as free TVs, appliances, or $1,000 worth of free furniture with any $2,499 furniture purchase. In addition, American offers a delivery service that includes Saturdays, evenings, and even next weekday delivery. American has a patented “price check” system that guarantees the lowest price through a computerized pricing system. This system automatically adjusts American’s price to be the lowest based on detailed competitive shopping information, which is checked daily. Another sizable strength is American’s Rest Assured Promise. This guarantees for 30 days that American has the lowest price of their competitors or the consumer gets double the difference. Besides a low price guarantee, American also has a 200% price protection and a comfort guarantee.

Strengths: - High-end products - Lower price points - No third party - On-site repair - Long history in the business- “Honest John” approach - Well-made quality furniture- 7% response rate on Direct Mail

SWOT

6

Weaknesses: - Target market views Steinhafels as outdated - Target market views Steinhafels as too expensive - Only sells furniture - Website is cluttered & difficult to navigate

Opportunities: - Online advertising - Partnering with realtors, businesses, and other entities delivery - Change target market perception - Tapping into an underserved demographic - Social Media Presence - Consider purchasing first-time buyer stores

Threats: - Unstable economy - Lack of disposable income with target market - Stores that offer electronics & appliances - Reliance on outsourcing to bring in merchandise

Audience:

Female (male secondary) Age 26-29 $60,000 - $100,000 combined income Recently purchased suburban home or city condo Newly married Planning children in near future Limited budget

Media Consumption/Behavior (from MRI results):

TV: Entertainment Weekly & Discovery Channel Daily newspaper subscriptions Heavy Internet users Enjoy outdoor activities

Other observations:

Interested in budgeted travel Use travel websites and magazines Radio (99.1 and talk radio) According to a U.S. census conducted in 2000, the population for 25-34 year- olds in the state of Wisconsin was 784,178. After an eight year decreasing estimate of the population, in 2008 it was estimated the population would be 726, 680. From this information, it can be concluded that the future growth rate of this target will continue to decrease in numbers.

F I RST-T I M E B UY E R

Opportunities: - Online advertising - Partnering with realtors, businesses, and other entities delivery - Change target market perception - Tapping into an underserved demographic - Social Media Presence - Consider purchasing first-time buyer stores

7

Name: Jennifer & Brian Mueller Location: Milwaukee, Wisconsin Jennifer and her college sweetheart, Brian, married two years ago and they are still settling into their first home in Milwaukee, which they bought 18 months ago. They’re looking forward to getting a first-time home buyer tax credit from their Federal Income Tax Return. They’re hoping to use the money towards household needs, such as replacing fixtures and seal coating their driveway. Jennifer is 29 years old and graduated from UW-Whitewater in 2003.. She was recently promoted at Ernst & Young, where she works as an accountant. She drives her used Honda to work, which has low maintenance and great gas mileage. Once a week she treats herself to lunch, but otherwise brings her lunch from home. Brian is a high school teacher with MPS and uses public transportation to get to work. He generally eats lunch along with his students in the school cafeteria to save money. Jennifer’s parents still live in the house in Cudahy where she grew up. They continue to play an integral part in her life. Jennifer is known to have almost nightly

conversations with her mom, who gives her welcome advice on various aspects of Jennifer’s life. Her parents usually come over once a month for dinner.

Jennifer enjoys cooking, yoga, and interior decorating. She and her husband host dinner parties and have friends over regularly. When she and Brian are ready to relax at night, they enjoy watching Mythbusters and American Idol. On the weekends, Jennifer tends to watch shows about home buying and decorating on TLC and HGTV while Brian is outside doing yard work or tinkering in their garage. They have subscriptions to Real Simple, People and the Sunday Journal-Sentinel. Brian also picks up free copies of The Onion. Jennifer spends at least an hour a day surfing the Internet reading news articles, Tweeting, and keeping up with friends on Facebook. Brian goes online to research topics to keep his classes fresh and up-to-date, check Facebook, and plan weekend activities through OnMilwaukee.com. She does not listen to much radio, but on the way to work Jennifer listens to Jane and Kidd in the Morning on 99.1 WMYX. Jennifer and Brian would like to have kids at some point but are at least a few years away. They enjoy traveling, and plan on visiting Napa Valley and touring wine country next summer. This trip is being planned on a limited budget, and the couple has been using websites such as budgettravel.com for travel deals. As much as they enjoy traveling, they know they need to do it as inexpensively as possible and frequently search for deals no matter where they go or what they buy.

8

Yearly  H.H.  Income  Before  Taxes $75,000Monthly  Income  Before  Taxes $6,250

Housing MonthlyHouse  Mortgage $900Electric $60Telephone/Cell  Phone $100Heat/Gas $120TV  (Cable/Satellite) $50Internet $50

TransportaNonAuto  Loan $320Gas/Repairs/Maintenance $300License/RegistraNon $10Parking  &  Tolls $50Public  TransportaNon $30

FoodGroceries $400Dining  Out $100Lunch $100

HealthcareMedical  (Co-­‐Payments) $15Dental $40MedicaNons $50

PersonalClothing/Jewelry $50Laundry/Dry  Cleaning $40Haircuts/Makeup $50Health  Club/Memberships $45

InsuranceHealth  Insurance $90Auto  Insurance $180Home  Insurance $100Life  Insurance $0

RecreaNon/EntertainmentMovies/Concerts/Shows $70Magazines/Books/Music/DVDs $50Nightlife/Other  AcNviNes $50Hobbies $35

SavingsSavings $150ReNrement  ContribuNons $150

OtherStudent  Loans $1,400Credit  Payments/Other  Loans $150Gias $50Taxes $320

Total  Expenses $5,675Amount  Le*  Over $575

Jennifer  &  Brian  Mueller's  Monthly  Budget

Expenses

Where does their money go?

With car payments, student loans, and the mortgage, Jennifer and Brian live on a budget and look for deals online and ways to afford big purchases. While trying to be conscientious about their money, if they feel what they are buying is a deal they are more likely to spend a little more. What ends up sealing the deal is when stores offer long-term payment plans with no or low interest. Not only does it allow them to justify their purchase, but it also means they can buy something nice and afford it over the long term as opposed to paying for it all now. That is how they were able to buy their new flat screen LCD TV guiltlessly. They’re hoping to find more options like this for future big purchases.

9

1.

2.

3. Develop a first-time buyer database to begin building relationships

O BJ E CT I V E S

Increase Steinhafels’ market share from their current 35 percent to 37 percent

Change brand perception to position Steinhafels as the first step in furnishing their home

1 0

What’s Next.

C R E AT I V E ST R AT E GY

Our target consumers are in a transitional stage of their lives. They don’t consider themselves teenagers anymore, but they don’t quite feel like adults either, even if their job titles would prove otherwise. Our consumers are experiencing a number of monumental ‘firsts’ such as purchasing a home, managing a health insurance plan, and buying furniture. It’s not like they’ve never had furniture, but it’s always been stuff their parents bought for them. There was the twin bed with the Buzz Lightyear sheets, then one of those multi-headed hydras of a study lamp. Let’s not forget the oh-so-memorable college futon. But none of that stuff belongs in their new home. You can’t entertain your boss and his wife on a sofa that smells like ketchup and beer. These people need adult furniture. Pieces that are sleek and stylish that they can call their own. But where do they start looking?

When the time comes to make those first furniture decisions as a couple, Steinhafels should be square one because it’s an affordable retailer with the widest selection and best service record in the area. But to them, Steinhafels has the stigma of being traditional and expensive. More their parents’ or grandparents’ furniture store than something they’d ever call their own. So our first aim is to break this psychological barrier by utilizing the previous insight about our target.

To accomplish this task, the messaging of our campaign will dispel the notion of Steinhafels as a dated brand by showing that the retailer identifies with this younger target audience. Using a linear series of images depicting furniture items befitting people of various ages, our campaign marks the progression through the target’s life stages of furniture up to that point. Our simple tagline, “What’s Next.” identifies that our target is entering the in-between phase in life’s great game of musical couches, and it admonishes them to take that next step forward with Steinhafels as their trusted partner.

“Our consumers are experiencing a number of

monumental ‘firsts.’“

1 1

CO M M U N I C AT I O N S ST R AT E GY

To execute our “What’s Next.” platform, we want to communicate our message simply, quickly, and powerfully with the least amount of confusion. What better way to do that than with a series of pictures? Therefore, the majority of our campaign material illustrates the sequence of a child’s piece of furniture, followed by a teenage/college-age version of that same piece, followed by an adult version of the piece.

Beyond the tagline, no words are needed. The target is still not too far removed from the ages appropriate for the first two items to feel a twinge of nostalgia. And they’re very likely to, in fact, since they’re at a point in life where things start to get awfully complicated, and often they’d like nothing more than to relive the days before mortgage payments and 8 a.m. project briefings.

Similarly, we decided on a line-art style for a simple, modern look that helps bring a younger and more contemporary feel to the Steinhafels brand. It’s something our target will identify with.

The “What’s Next.” concept is also advantageous in that it has both depth and breadth of execution. We can easily produce multiple executions in a single medium (a series for tables, chairs, couches, beds, etc) as well as extend the same campaign theme over multiple executions (print, outdoor, online banner, etc). Indeed, the same series of print ads can be re-appropriated as online flash banner, direct mail, point-of-purchase or outdoor with little to no adjustment to the content. And the same video productions can serve as stand-alone YouTube films as well as paid advertising embedded in streaming online TV show content. By necessity, our video executions are slightly different in the way they portray “What’s Next.” In fitting with the viral style, they would be live-action films of roughly 30 seconds that illustrate the humorous problems that arise when you try to bring furniture from your previous stage of life into your current stage. Yet the mood of the communication – informal, supportive, friendly, slightly nostalgic – does not change from the print and is still very close to the mood of Steinhafels’ flagship brand communications.

“We want to communicate our message simply, quickly, and

powerfully.”

1 2

1 3

C R E AT I V E E X E C UT I O N

1 4

1 5

1 6

22

A bedroom, filmed with amateur, low-res film, hidden-camera style.

A husband and wife enter, fresh from the wedding. He carries her across the threshold.

He throws her onto the bed in their bedroom. But she sinks so deep into the bed that her knees are almost touching her face.

She’s mad, screaming at the embarrassed husband.

Sudden shot of Steinhafels bed with the copy “Time to go to Steinhafels.”

1 7

A living room, fimled with amateur, low-res film, hidden-camera style.

A young man, age 27, sets out snacks in front of a large futon. The doorbell rings

The futon is old, shabby and stained. His friends enter.

The friends pile loudly onto the futon. It breaks, and they all fall dramatically to the ground.

They are left on the floor with no place to sit and watch the game.

Again, sudden shot of Steinhafels couch with the copy “Time to go to Steinhafels.”

1 8

Smartphone Application

We also offer our target an extremely useful smartphone application. By merging several existing technologies, the “What’s Next.” app would allow users to compare furniture online before they came into the store. They would use the phone’s camera to take photos of colors and designs they liked while the program searched through the Steinhafels database to find furniture items that complemented these styles. Then, after selecting a piece, they would once again use their camera to virtually view the piece in their living room via augmented reality on-screen.

Overall, it offers an interactive experience with the brand that this generation is coming to expect, and the newfound ability to do part of the shopping process at home and at their own pace will take a lot of the intimidation out of making an initial visit to the store. The ease and utility with which the target is able to interact with the Steinhafels brand through this app may even be a tool for converting a portion or our target consumers into brand ambassadors for Steinhafels.

Cost: $10,000

V I RT UA L H O M E E X P E R I E N C E

1 9

M E D I A ST R AT E GY

The “What’s Next.” campaign will focus on a primarily digital approach supported by some traditional elements and will encompass a high frequency and flighting media strategy. The high frequency goal will be accomplished through the use of digital media, including viral videos, Adwords, banner ads, social media, and direct email offers. The target audience accesses the Internet on a daily basis and these advertisements will be placed strategically on websites they frequently visit. The media schedule for the “What’s Next.” campaign will consist of a flighting blast during the spring and summer months and decrease towards the autumn season. The campaign will also utilize several traditional methods: direct mail and print ads in newspapers. These traditional elements lend their support to the digital components of the campaign as well as engage Steinhafels’ current marketing strategies and efforts. Our digital high-frequency elements are banner advertisement and viral videos/online video ads. These will be an opportunity for Steinhafels to engage the younger target audience in a digital and interactive format. Many younger audiences create a greater challenge for advertisers by changing the channel during commercial breaks and consciously filtering out the noise of commercials. More recently, the target

“These will be an opportunity for Steinhafels to engage the younger target audience in a digital

and interactive format.”

audience is accessing television clips and primetime shows days later via computer. Therefore, our online banner and video ads will be placed on websites such as hulu.com, espn.com and television network websites where the target will be watching programs. These videos and advertisements will be launched during the network television sweeps week, which falls during May, when most viewers will be

watching season finales. The unavoidable commercial breaks in these programs last only 30 seconds, but provide a direct connection with the audience. These

viral videos will direct patrons to the website while building brand awareness and changing brand perception amongst the target audience. In addition, YouTube will be an outlet that would house all digital material in a viral format. Accompanying these viral videos and advertisements, banner ads will sprinkle the digital landscape. These banner ads, in conjunction with the viral videos and online video advertisements, will direct consumers to the Steinhafels website. Banner ads will also stand alone on websites such as onmilwaukee.com and jsonline.com. These banner ads will be year long digital components, with the purpose to increase market share and change brand perception. They will tie into the viral launch in the spring. All online interaction and traffic are measurable which will determine the success of these efforts.

20

Adwords are a twelve month digital strategy which will promote awareness of the brand and drive traffic to the website. For example, if you Google search “furniture,” the search results would include an ad in the side bar for Steinhafels. This strategy will increase online presence, with the hopes to drive traffic to the website. Numerically speaking, Adwords are charged on a per click basis. The per click charge will measure how many customers access the Steinhafels website via search engines. The opportunity lies in the competitive environment. Steinhafels will be a direct competitor in search engine optimization. Social media is also crucial to a digital campaign. This is an awareness-based tool with a sprinkling of promotional incentive and a call to action. It is a highly interactive medium and one that the target audience is extremely familiar using. Another element of social media includes a smartphone application. This will launch during the beginning of the campaign in the spring. This will be a great way to utilize new technology and new media popular among the target audience. Both of these tactics will attempt to raise brand awareness as well as change the brand perception and positioning, as these advertisements will appear in a unique and recognizable way. In conjunction with social media, a more traditional approach through direct email will be launched March through August. This direct email will be sales driven and will focus on the smaller weekend sales events and when it isn’t economically savvy to utilize traditional direct mailers.

Direct mail is an alternative to direct email and e-blasts. This will be launched in the spring as well and run through the fall to be used conjunction with major in-store and seasonal promotions. This will also be more personalized to the target audience, focusing on milestone-related promotions such as weddings, births, etc. This traditional approach will help build the first-time buyers database, and is easily measured as customers must bring the direct mailer into the store or enter a code online, in order to receive the incentive or promotion. The print component will be placed in publications such as The Shepherd Express, The Onion, and Madison’s local publication, The Isthmus. These publications focus on humor and lifestyle, which appeals to the younger target audience. This is a good way to adjust Steinhafels image and change brand perception. This is also a cost effective medium and will drive consumers online to the various digital components of the “What’s Next.” campaign.

M E D I A ST R AT E GY (c o n t . )

2 1

P RO M OT I O N S

Jazz in the Park

Jazz in the Park will be celebrating its 20th anniversary this summer. The concert series is a popular hot spot for young people living in the Milwaukee area and offers music, food and drinks. Steinhafels has the opportunity to involve the target market with the brand in a relaxed atmosphere.

“Comfort Party” - Invite the first 50 people at the park to a private party completely furnished by Steinhafels - Appetizers and beverages will be served to guests throughout the night in an enclosed sponsor tent - Steinhafels chairs and couches will be set up for guests to sit on during the event, bringing comfort in comparison to the typical grass seating - Participants will interact with the product in a fun, social setting - Information cards will be distributed for participants to fill out Cost: $4,050

Summerfest

Summerfest brings in a wide demographic of people from Greater Milwaukee, Madison and Illinois. The festival is the number-one summer event and draws a youthful crowd with mainstream bands, food/beverages, shopping, etc. Steinhafels’ presence at Summerfest will position the brand as fun, lively and hip.

“Worst Couch Contest” - Submit photo & story of what their couch has been through - Online viewers vote on the top three couches - Steinhafels showcases finalists’ couches at Summerfest, and crowd decides winner - Winner receives new Steinhafels couch, 2nd & 3rd receive 50% coupon - Old couches will be donated to charity Cost: $14,970

* Refer to Appendix C for the breakdown of budget and dates.

*

*

22

Taste of Madison

Taste of Madison is a great way to celebrate Labor Day in the Madison area. This weekend festival showcases local restaurants and beverage stands in addition to hours of live music, and a large screening of the Saturday night Badger game. Steinhafels will reach straight to the heart of our youthful audience, positioning themselves within an environment of athletics and high entertainment.

“Badger Lounge” - Mock living room set up in front of a big screen TV, complete with Steinhafels couch, two chairs, and coffee table for festival guests to watch the Badgers in comfort and style - Guests are welcome to come and go as they please, taking a minute to relax and catch a glimpse of the game, or to stay and watch until the end - Sponsored tent across the festival will allow participants to sign up for a raffle featuring the couch used for the “Badger Lounge” - Steinhafels staff will send tent visitors to the “Badger Lounge” to experience the product first hand - Raffle participants will be automatically included in the Steinhafels database - Used lounge furniture will be donated to charity

Cost: $5,000

Bastille Days

Bastille Days is the largest outdoor French themed festival in North America, held in Cathedral Square downtown Milwaukee. The festival features live music, entertainment, shopping and authentic Parisian cuisine. Bastille Days is known as a lively, hip event that draws a youthful crowd.

“Jump-A-Thon” - An all day competition to see who can jump the longest on a featured Steinhafels mattress - Contestants are chosen by entering the competition prior to the festival, advertised via social media - Winner receives a new queen size Steinhafels mattress - Information from prospective contestants and spectators will be collected

Cost: $3,750

* Refer to Appendix C for the breakdown of budget and dates.

*

*

23

Microsite

The target audience relies on the internet to search for products and gather information before going in store to make a purchase. This microsite will be a link on Steinhafels’ current site that allows the target audience to experience what Steinhafels has to offer without leaving their home. The website showcases Steinhafels’ stylish products within varying price ranges to give users endless options. It is an interactive outlet that allows first-time buyers to try the product and ease the purchasing process.

“Virtual Living Room” - Click and drag items of Steinhafels furniture to create a personalized living room - Budget calculator allows users to choose items within their price range and see the affordability of Steinhafels’ products - Users can print their design and bring it in to Steinhafels to receive $75 off their purchase - ‘E-mail a Friend’ feature allows users to share their design with others and get advice - Users register via an online version of the information card to use the site

Cost: $2,500

* Refer to Appendix C for the breakdown of budget and dates.

*

P RO M OT I O N S (c o n t . )

24

Social Media

The target market uses the internet heavily for research, communication, entertainment, and social interactions. Social media outlets will allow Steinhafels to build awareness of the various promotions throughout the course of the campaign. Twitter will be the main tool used to spread word of the promotions. Using social media will help streamline the Steinhafels brand.

- Tweet logistics of the promotions to inform the public of contests/events and generate a buzz - Use Twitter to hold smaller contests that keep followers engaged in Steinhafels tweets - Post links to information followers would find useful for furnishing/decorating their home - Tweet photos and videos during the promotions as a reminder to the target market

Using Twitter is a free way to monitor online chatter about Steinhafels while also keeping current and future customers engaged with the company. Social media is a great outlet for keeping the target market and customer base informed about promotions Steinhafels will be running in Milwaukee and Madison.

Measuring Tools for Social Media

The following are free services that will allow Steinhafels to measure results using Social Media:

Google Alerts: Delivers returns on keywords from blogs, news outlets, Twitter, Facebook. Helps track online conversa-tion about your company and competitors.

Facebook Lexicon: Track conversations on Facebook walls.

TweetStats: Plug in Twitter name to receive information such as aggregated daily tweets, aggregated hourly tweets, and what users reply the most to your tweets.

Addictomatic: Conducts a search of mentions, keywords, and conversation about a company from YouTube, Twitter, blogs and social book marking sites such as Delicious.

25

B U D G ET

Online 30%

Direct Mail 12%

Print 10%

Promotions 22%

Creative 20%

Contingency 6%

Online

Direct Mail

Print

Promotions

Creative

Contingency

26

Medium Budget Milwaukee MadisonOnline 44,435.00 22,217.50 22,217.50viral tv ads 16,000.00 8,000.00 8,000.00direct email 1,530.00 765 765iphone app 10,000.00 5000 5000adwords 905.00 452.5 452.5banner ads 16,000.00 8000 8000Direct Mail 17,600.00 12,320.00 5,280.00printing/postage 13,200.00 9,240.00 3,960.00lists 4,400.00 3,080.00 1,320.00Print 15,520.00 7,900.00 7,620.00The Onion 7,000.00 3,480.00 3,520.00Shep. Express 4,420.00 4,420.00The Isthmus 4,100.00 4,100.00total media 77,555.00 42,437.50 35,117.50

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec TotalOnline 44,435.00viral tv ads 4,000.00 6,000.00 6,000.00 16,000.00direct email 127.50 127.50 127.50 127.50 127.50 127.50 127.50 127.50 127.50 127.50 127.50 127.50 1,530.00iphone app 10,000.00 10,000.00adwords 80.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 75.00 905.00banner ads 4,000.00 4,000.00 4,000.00 4,000.00 16,000.00Direct Mail 8,800.00 8,800.00 17,600.00Print 15,520.00The Onion 1,760.00 1,760.00 1,740.00 1,740.00 7,000.00Shep. Express 2,210.00 2,210.00 4,420.00The Isthmus 2,050.00 2,050.00 4,100.00Promotions 32,770.00Creative 30,000.00Contingency 9,675.00Total 14,207.50 4,012.50 4,012.50 9,002.50 10,202.50 8,152.50 8,152.50 4,202.50 9,002.50 6,202.50 202.50 202.50 150,000.00

27

W I S H L I ST

Go (Auto) Mobile:Drive a Steinhafels truck (like the Red Bull car) throughout downtown Milwaukee and Madison. Reps distribute promotional information that directs people to the website and give out coupons to redeem in-store. Utilize social media by tweeting the location of the truck and giving away significant coupons to the first ten people that show up. Cost: Mobile Dodge Sprinter $38,000 - 48,000 Steinhafels 2.5x2 foot laminate sign for side of vehicle $136

Partnerships:Create a ‘Steinhafels Lounge’ in local bars, coffee shops and grocery stores. Reach the target market in locations that they frequent and allow them to interact with the product. Cost: Pending Direct Mail:Send specialized promotions/coupons to people who take out home loans and file for marriage licenses. Cost: $17,800

TV:Insert “What’s Next.” television advertisements into programming targeted to first-time buyers such as TLC and HGTV programs. Cost: $0 (replacing their current content with “What’s Next.” content)

Radio:Radio buys such as late drive would be beneficial so customers would hear the Steinhafels ad on the way from work, and then see another ad on TV. Cost: Late p.m. drive, Milwaukee $240.00/one radio ad Late p.m. drive, Madison $120.00/one radio ad

28

Update Website:Streamline the website with a new design and making it more user friendly. The target market relies heavily on the internet to research products before going to stores to make purchases. Cost: $25,000 - 40,000

Viral Videos:Expand the influence of our viral videos by using various outlets including web and television. Using various storylines would reinforce our message. Cost: $3,000 per extra viral video

Boutiques:We recommend setting up a first-time buyer boutique which would allow the target to shop in an environment designed specifically for them. Cost: Pending Credit Research:Much of the credit information available is the result of widely conducted surveys not targeted to any specific demographic. For Steinhafels to truly understand how this demographic feels about this use of credit and payment plans they should conduct their own in-depth surveys, focus groups, and research. Cost: $2,500 Tax Return Research:Purchasing a list of the individuals who were eligible for the first-time home buyer tax credit would help further target this demographic. Cost: $3,500 - 5,500

29

To ensure that the objectives are effective and being met, we will use the following methods:

Objective 1

Compare Steinhafels customer database 3 months, 6 months and 9 months into the

campaign to track the growth of Steinhafels market share. This will help us to determine if we

are on track for the 2% increase we set to achieve, or if we need to make adjustments.

Objective 2

Send out post-purchase postcard questionnaires asking the customers their age, rea-

son for buying at Steinhafels, and if they feel their needs were met.

Objective 3

The first-time buyer database will be built through e-mail lists developed at events

such as Summerfest, Jazz in the Park, Bastille Days and Taste of Madison. The database will

also be added to customers coming into the store.

T R AC K I N G T H E P RO G R E S S

30

Primary Research - Survery Results:

- Survey results showed that this demographic considers mattresses to be the most important purchase for their homes, with couches being a relatively close second.

- 82% of respondents said that they obtain purchasing information through the use of websites. Other popular resources included “In Store” and “Friends, Family, Etc.”

- The most important factor when making a new furniture purchase was Quality (41%), followed by Price (34%).

- 87% of respondents considered Brand the least important factor in purchasing decisions.

- The most important area to furnish was living room; the least important was dining room.

Other notes:

- The largest motivator to buy furniture is necessity. Pride and personalization also motivate first-time homebuyers to purchase furniture.

- Furniture is a considered purchase. Therefore, trial is important for customers. They need to experience the product and feel comfortable with it before they make a purchase. - First-time buyers want quality furniture without spending too much.

A P P E N D I X A

3 1

Resource Percentage (%)Website 0.82In Store 0.66Friends, family, etc. 0.62Newspaper 0.3Social media tools 0.13

Room Percentage (%)Living room 66%Bedroom 27%Dining room/kitchen 7%

Factor Percentage (%)Quality 41%Price 34%Style 23%Brand 2%

Survey Results:

32

Secondary Research - Credit Information

Respondents - 3,000 respondents in 12/09 - 24% of respondents were between the ages of 25-34 - More than half make $50,000 + a year Consumer Spending - 1 in 4 said they’d spend more (when asked what are your plans for 2010?) - One-third of consumers predicted that ‘friends’ will be willing to spend more on things they need and want Habits - 7 of 10 said they’d splurge within the next three months (Jan/Feb/March 2010) - Splurge on travel (13.89%), clothing/accessories (5.3%) and furniture (5.25%) Motivation - Excited about cool, innovating products - Admit if they found unique luxury—perfect pair of jeans/purse—they’ll sacrifice to make a purchase • Great news for specialty retailers - Reward after an accomplishment - Long-term payment plan with low/no interest that lets them justify a purchase that they can’t quite afford in the short term

A P P E N D I X B

33

A P P E N D I X CPromotions Budget BreakdownTotal = $33,000

1. Summerfest (June 24-July 4) - Partner with Kohl’s (alternatives Bed Bath & Beyond, Home Depot) - 5 locations in Madison/Milwaukee - Space: 10 x 20 cost = $10,000 ($10,000 for partner) - includes links on Summerfest website and listing in Summerfest brochure - Employees: 3 people, 9 hours a day, 11 days at $10/hr - cost = $2,970 - Electric & Internet: $100 - Couch: $950 - Coupon: For 2nd & 3rd place - receive 50% off - cost = $950 - Contest: Worst couch story Total: $14,9702. Jazz in the Park (September 2, 9, 16, 23) - Seating Arrangement: 1 couch - $850 (split with Taste of Madison) - Space: $2,500 - $3,000 - Employees: 1 person, 3 hours a day, 4 days at $10/hour = $120 - Food Tickets: $20/Thursday - cost = $80 Total: $4,050 3. Taste of Madison (September 4-5) - Space: $2,500 - $3,540 - Employees: 2 people, 17 hours a day, 2 days at $10/hr= $510 - Electric & Internet: $100 - Furniture: 2 chairs, 1 couch, 1 coffee table - $1,550 (-$700 for couch for Jazz in the Park) - Giveaway: Raffle - sign up for loyalty program Total: $5,000 4. Bastille Days (July 8-11) - Contest: Jump-A-Thon - Mattress: 3 mattresses for event - cost = $650 (giveaway to winner) - Space: $2,500 - $3,000 - Electric & Internet: $100 Total: $3,750 5. Virtual Living Room (Continual) - Design: $2,500 - Contest: Linked to social media (winter months) Total: $2,500 6. Miscellaneous - Gas: $500 - Pop-Up Tent: $1,000 - Laptops: $1,000 (2 for events) Total: $2,500

Promotional Total: $32,770 Left Over: $230 34

Credit Information

http://www.sportsturfonline.com/ME2/dirmod.asp?sid=&nm=&type=Publishing&mod=Publications%3A%3AArticle&mid=8F3A7027421841978F18BE895F87F791&tier=4&id=D70EF55E9E6341059ECFA6A721A2C445

Playbook For Life: The Student’s Guide to Understanding and Planning Your Financial Future

Competitive Analysis

http://www.jsonline.com/business/64859947.html

http://www.furnituretoday.com/article/358274-MattressFirmcenterWisconsinwithfranchisestores.com

http://www.steinhafels.com

http://www.furninfo.com/absolutenm/templates/News.asp?articleid=11187&zoneid=8

Promotions Sources

http://www.tasteofmadison.com/

http://easttown.com/

http://business.summerfest.com/srequest2.cfm

http://www.acecanopy.com/

http://www.bestbuy.com/

http://steinhafels.com/

WO R KS C IT E D

35

MyriAD

TJ Andres

Henry Arends

Jacob Banot

Peter Costanza

Amanda DeCock

Emily Dixon

James Endsley

Anthony Esh

Eric Gajdostik

Sarah Gorski

Daehoon Jung

Kerstin Klein

Erin Kuecker

Jessica Landry

Kayla Kugel

Mike McDonald

Frank Michael

Elizabeth Pesch

Anna Sawicki

Lauren Schultz

Julia Victor

Kevin Vlcek

Peter Wagoner

Jacob Weisenberger

Bridget Wirth

Jeff Wolf

David Zoltan

36

Thank You.MyriAD would like to thank Steinhafels

for the opportunity to integrate four years of knowledge into real life application. We hope that our efforts help provide insight

into super-serving first-time buyers.