MARK301 IMC Campaign Plan Assignment PDF

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Jasmine Reynolds

300454325 MARK301: Marketing Communications Assignment 2: IMC Campaign Plan

1. Summary and IMC Objectives: The Wellington Kombucha Company (‘WKC’) is aiming to launch a new line of kombucha in the Wellington market in 2021 to meet the growing demand of health-conscious consumers. The WKC kombucha is created with zero sugar and is complimented with several health benefits such as a 30% increase in antioxidants and probiotics compared to a regular kombucha. The WKC believes that although there has been an increase in low- sugar substitute drinks, research suggests that particularly millennials, are more health-conscious and are willing to try healthier alternatives to traditional soft drinks (Colbert, R). The WKC plans to capitalize on this trend by not only providing a low sugar alternative drink but one that consumers can gain multiple health benefits from consuming. Another unique attribute of the WKC is that it is an entirely sustainable brand. Their products are created from organic ingredients grown and sourced from Wellington, and it is bottled from local suppliers in Aro Valley, using recycled glass to bottle the product. The WKC believes it is crucial to embrace sustainability through every aspect of their product and supply chain as consumers, particularly millennials state they want brands that embrace sustainability (Habib, Hardisty & White). Research has proven that consumers have become increasingly interested in reducing their environmental impact by making positive consumption choices through purchasing environmentally friendly products from sustainable brands.

Selected Target Market and Target Audience:

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The WKC targets millennial women, ages 18-35. These women are university students and young professionals who work long hours but live active lifestyles. This infers that they are often busy and, on the go, but like to maintain a healthy, active lifestyle by consuming nutritious products. This consumer group is very health conscious and are active on social media, which allows them to regularly identify new health trends and easily research what brands and products are healthy or not. The WKC target audience consists of women (aged 18-35) who live in Wellington and who are active on social media. The limitations of this target audience are due to the WKC’s products will be primarily promoted through social media and limited geographically to Wellington, and if successful, nationwide.

IMC Objectives: 1. Increase brand awareness by 30% of our target market in two years (applicable timeframe for all objectives). Based on the ‘Hierarchy of Effects Model’ we believe that establishing brand awareness in the market will spark a sequence of steps that will lead to increased sales of our product. Through these stages, we will communicate with different segments of our target market primarily through social media and our website, over one year. We believe that this is an effective strategy to spark brand awareness because our target market is active on social media.

2. After increasing awareness of our target market, our second communication objective is to increase our target markets ‘knowledge’ by another 30%. We plan to do this by educating the segment of our target market who are searching for a low- sugar, nutritious substitute drink and who are unaware of the health benefits of kombucha. In this stage, we will convey key product information such as its health benefits, ingredients and how it is made. We believe that this segment of our target market will find this appealing because they highly value their health and want to find a nutritious alternative to soda and juice. 3. Based next stage of the model, we will convey to our target market who were previously unaware of kombucha, why our kombucha has higher nutritional qualities

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to other competitors in the market. We aim to increase ‘liking’ and ‘preference’ by 5% each from consumers by establishing our kombuchas differentiation points. 4. Our final communication objective is to establish ‘conviction’ by creating a desire for consumers to purchase our product. We will have a stall at the Sunday fruit and vegetable market on Wakefield Street where we will offer consumers free trials. This will allow consumers in our target market who have not tried kombucha before to try it, and for consumers in our target market who have had kombucha before but have not tried ours yet to try it. We believe that this stage will reassure consumers to purchase our product and overall, increase our market share and brand loyalty.

2. IMC Strategy and Branding:

Communications Strategy:

In order for the WKC to develop an effective means of communication with their target audience it is crucial to understand the response process the receiver may go through towards purchasing their product (Belch et al., 2019). The WKC has chosen to implement the ‘Hierarchy of Effects Model’ as a communications strategy to increase brand awareness and to use communication strategies to influence consumers at different stages of the hierarchy to progress to the final purchase decision.

As a new brand and product in the Wellington market, the WKC aims to increase brand awareness through using social media (Instagram & Facebook), to promote their product through influencers, sponsored posts and having their own Instagram and Facebook page that consumers can follow. This is an appropriate communication strategy to use to increase brand awareness through directly appealing to a form of media that their target audience actively uses.

After sufficient brand awareness has been established, the WKC intends to increase brand recognition through the second stage of the ‘Hierarchy of Effects Model’ through increasing their target markets ‘knowledge’. There are two target audiences within this target market to communicate different messages too. The first being consumers who are searching for a lowsugar alternative drink and who are unaware of the health benefits of kombucha. The second

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being, those who are aware of the health benefits of kombucha but are not aware of the extra benefits that the WKC kombucha obtains. Through targeting these target audiences, the WKC will convey key product information such as its health benefits, ingredients and how it is made. We believe that both these segments will find this appealing as it meets an unfulfilled desire (benefitting their health) for both audiences and therefore will persuade them to move to the following stage of the model. To persuade consumers into ‘liking’ and ‘preferring’ the WKC product to competitors, the WKC will communicate its differentiation points to the two target audiences stated above, regarding how their product contains higher nutritional qualities to other competitors in the market. By differentiating themselves from their competition, both these target audiences will ‘like’ the product as it meets their demands and also ‘prefer’ their product as it is a cheaper, healthier and a sustainable product compared to other similar products in the market. The final communication objective is to establish ‘conviction’ by creating a desire for consumers to purchase the WKC’s kombucha. The WKC will have a stall at the Sunday fruit and vegetable market on Wakefield Street where consumers have the opportunity to taste-test the product. This communication strategy will appeal to the target audience that has not tried kombucha before to try it, and for the target audience who have had kombucha before but have not tried the WKC’s kombucha before to test it. This strategy will also enable the WKC to engage face to face with audiences in their target market to again, convey key product information and for customers to have the chance to engage and develop a relationship with the brand, overall, enhancing the WKC’s brand equity.

Branding elements: The WKC brand identity is created through a number of intangible and tangible elements. The intangible brand elements of the WKC differentiate them to their competitors through resonating with health-conscious women as a brand that symbolizes health and happiness, as the WKC strives to create products that leave consumers feeling good from the inside out. The tangible brand elements consist of the WKC brand name, which as a memorable and effective brand element as it accurately represents how the brand is entirely created in Wellington. Secondly, as seen in 'Appendix A' the logo consists of the brand name, 4

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surrounded by the brand symbol of their kombucha bottle with a silhouette outline of New Zealand with a circle around Wellington within the bottle. Our 'certified organic' symbol is also located on the brand logo to indicate how the brand's products are produced in accordance with "organic production standards" ('Appendix B') (Ministry For Primary Industries, 2020). These brand elements illustrate the brands association to Wellington while also appealing to the desired target audience being health-conscious millennial women who live in Wellington.

3. Creative Strategy: The WKC’s creative strategy is outlined through ‘Stuhlfaut and Windels Step and Structural Model’. This model involves three important steps: developing the message strategy; turning that selling proposition into a big idea, and then executing it as I will outline in detail for the WKC below.

1. Message Strategy: This message will consist of illustrating that the WKC’s Kombucha appeals to health-conscious consumers in Wellington who are looking for a healthy alternative to just “zero- sugar” soda drinks. The WKC offers a zero-sugar substitute drink with multiple health benefits, including all organic ingredients, and high antioxidants and probiotics. The WKC differentiates themselves in the market as they are a unique brand that creates entirely organic and sustainable products that are sourced and bottled in Wellington. It offers consumer’s not only a substitute no sugar soda drink, but a drink that leaves consumers feeling good from the inside out. 1. The ‘Big Idea’: “Wondering how to live a good life? It starts from the inside” (See ‘Appendix C’) 2. Appeals and Execution Style:

Advertising Appeal: The WKC has chosen to use a celebrity endorsement to attract the attention of consumers and to influence their feelings towards the product (Belch et al., 2019). Matilda Green (a famous NZ influencer whose platform is largely focused on health and wellness) (Nadkarni, 2018) is likely to have a considerable impact in influencing the WKC's target audience. Having an informed NZ celebrity discuss their personal satisfaction

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with the WKC's kombucha is both a rational and emotional appeal will effectively convey the benefits and attributes of the product to her large following on Instagram (which primarily consists of health-conscious, NZ, women). This appeal is beneficial for the WKC as it will increase their overall brand equity through building the brands recognition and awareness, while also increasing consumers knowledge about the brand as it is shared through a popular, trusting and admirable woman.

Creative tactics:

The WKC has chosen to use visual elements as another way to execute their ‘big idea’. This is through using comparison techniques in an illustration of two women’s body, one who drinks ‘no sugar’ soda drinks and another who drinks kombucha (see ‘Appendix C’). Using comparison techniques is a useful way for the WKC to indicate their advantage over their competitors in the industry by using visual elements to convey a rational and emotional appeal to influence consumers to make healthier decisions when consuming products. This is likely to have a direct impact on consumers who perceive that ‘no- sugar’ drinks are still a healthy option, when in reality they contain no health benefits as research suggests “one serving of an artificially sweetened drink per day is associated with an 8-13% higher risk of type 2 diabetes” (Harvard School of Public Health, 2020). Using a visual print to illustrate a factual message is more likely to attract the attention of a potential consumer, therefore increasing the likelihood of an individual making a healthier choice for themselves by purchasing kombucha over a soda drink.

4. Communications Mix and Digital Strategy

The communication mix the WKC will use to promote their kombucha will be primarily through advertising, using social media (Instagram and Facebook- connected to their website) and personal selling at events. The objectives of these communication strategies are to enhance brand equity through brand awareness, image, responses and relationships. The WCK has chosen to focus on these specific modes (particularly social media) as illustrated in 'Gratification's Theory' which assumes that "consumers are not passive, they actively seek out the media they require, with each media option having different users and gratifications attached to them" (Belch et al., 2019). Social media is often used by consumers for entertainment value, maintaining connectivity and self-discovery (Belch et al., 6

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2019). However, in the WKC case, they believe that their target audience (health-conscious consumers who are actively seeking healthy alternatives) are active on social media as they use it to enhance their knowledge regarding health products and use it to search for new, healthy alternatives (Gunn, 2018). This emphasizes the relevancy in the WKC to promote their products through Instagram as it will likely reach a large percentage of their target audience. Secondly, the WKC has chosen to promote their products through personal selling events at the Wellington fruit and vegetable markets, Moore Wilson's and Common sense (organic health food supermarkets). The reasons for the WKC decision to use traditional advertising through personal selling is because it allows for a detailed and personal communication strategy to occur between the WKC and their potential customers. This provides the sale team with the opportunity to address customers questions and concerns regarding the product and brand. In turn, this enables the WKC to communicate the unique benefits and attributes of their products and encouraging consumers to trial the product. This moves consumers through the 'knowledge' stage of the 'Hierarchy of Effects Model' to establishing their 'conviction' for the product as they have the chance to develop their 'preference' and 'liking' towards the product and brand from developing a strong understanding. The WKC believes that promoting their product in these places is appropriate and effective, because as stated previously in the 'Gratification Theory', a large proportion of the WKC's target market (trendy, health-conscious consumers that are perpetually looking for the next best thing) is likely to often shop for their weekly groceries at these locations and therefore are likely to be interested in testing and hearing about new healthy alternative products. Through mixing traditional and digital media, it is an effective integration tool for the WKC as it creates a synergetic effect that compliments both media strategies. For instance, consumers that have seen the WKC's products previously on Instagram but have not chosen to purchase the product yet as they are unsure about the taste, using personal selling confirms this concern for consumers and establishes their conviction of the product. By using a combination of both digital and traditional techniques, it will allow for the WKC to spread their message across a broader range of communication channels. Therefore it will reach a larger percentage of their target audience.

5. Media Strategy: 7

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Please see an example of a planned media advertisements in ‘Appendix A’ & ‘Appendix C’:

Identification of what audiences to reach: The first step in developing a media strategy is to decide which target audience to reach. In the WKC’s case, they have narrowed their target market (millennial women, ages 18-35 who are health conscious and a largely active on social media) to their target audience who are women who live in Wellington (geographic coverage) and who are active on social media.

Where to promote: The WKC will be predominantly using social media; Instagram- through their nonpaid Instagram (weekly), sponsored posts (twice a week), and celebrity endorsements (twice a month) and through their Facebook page (weekly). Both the WKC Facebook and Instagram has a link to their website where consumers can access more information about the brand. The WCK will also conduct personal selling at specific locations (Moore Wilson, Common Sense & fruit and vegetable markets) as they believe that millennial consumers will respond best to social media advertisements, and health-conscious consumers will often visit these specific locations regularly.

Media Objectives: 1. Reach 70% of the target audience at least 3 times over a 6-month period 2. To use social media (Instagram) to provide 80% coverage of the target market over a 6-month period 3. To focus on advertising predominantly in spring and summer, with lighter focus in autumn and winter. ‘Frequency’ versus ‘Reach’:

Due to the WKC being a new brand and new product in the market, it needs a high level of reach (‘Objective 1’) to establish increased brand recognition and awareness within the market. The WKC aims to expand their reach, by offering free trials at specific locations and through both paid (sponsored) and non-paid Instagram posts. The objective of this media strategy is to reach a large number of potential consumers by offering free samples, while also appearing on potential consumers social media. These two media strategies will increase 8

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the WKC’s reach by enabling consumers to learn more about the product and to develop favourable attitudes towards it.

Due to the WKC’s marketing budget being relatively low due to being a new brand, they have chosen to predominantly focus on developing an effective reach, with minimal levels of frequency. The WKC will attempt to maximize their reach, particularly their ‘unduplicated reach’, to create awareness in as many situations as possible as quickly as possible. As a result of these objectives, the WKC will operate within the ‘excessive exposure’ section (see ‘Appendix D’) between 4-9 numbers of exposure to ensure maximum exposure but not to the point of ‘excessive exposure’. Reach and frequency are not mutually exclusive, therefore, the WKC will decide the minimum frequency level to reach advertising objectives effectively and maximize reach at that frequency level (Belch et al., 2019). To determine the effective frequency level, the WKC must consider marketing factors, message factors and media factors. Once again, due to the WKC being a new brand it is likely that they need higher frequency levels. However, due to their ‘message uniqueness’ (see ‘Appendix C’) lower frequency is required, and due to the WKC using social media and personal selling to advertise their product, less frequency is required.

Allocation Plan:

The WKC has chosen to use ‘pulsing’ which is a combination of ‘continuity’ and ‘flighting’ to ensure that continuity is maintained but at certain points of time as promotional efforts increase (Belch et al., 2019). The advantage of a scheduling strategy is that the WKC’s advertisements will be a somewhat constant reminder to consumers, and at some point’s heavier communication (in summer), will be a strong form of persuasion for consumers to buy a fresh cold kombucha in the summer months. The WKC has al...