LMT50607

DIPLOMA OF FASHION AND TEXTILES MERCHANDISING

BSBADV511A EVALUATE AND RECOMMENT ADVERTISING MEDIA OPTIONS

Develop A Marketing Communication

Plan For Country Road

Written by Laura Leanza and Jenna Flood

Assignment 1
Semester 2
18 September 2014

 MARKETING COMMUNCIATION PLAN FOR COUNTRY ROAD

Executive summary

Developing a marketing communications plan involves a fundamental process that is selected and gathered
through understanding consumer behaviour and communicating the companys message to grow into
successful selling. The communications plan starts with the growth in the strategic vision, leading to
creating brand awareness and positions the company in being advantaged against its competitors. To
ensure that all forms of communications are associated, it is collected through Integrated Marketing
Communications (IMC), a tool used to integrate promotion activities and advertisements.

2014 2
 MARKETING COMMUNCIATION PLAN FOR COUNTRY ROAD

Table of Contents

Executive summary ................................................................................................................................... 2

Table of contents ........................................................................................... Error! Bookmark not defined.

1.0 Introduction ..................................................................................................................................... 4

2.0 Industry Analysis .............................................................................................................................. 5

Clothing, Footwear and Personal Accessory Retailing .................................................................................. 5
Economic factors .......................................................................................................................................... 5
Supply and demand ...................................................................................................................................... 5
Competitors .................................................................................................................................................. 5
Future industry conditions ............................................................................................................................ 6

3.0 Target Market .................................................................................................................................. 7

4.0 Marketing Communications Objectives ............................................................................................ 9

5.0 Advertising Message Strategy .......................................................................................................... 9

6.0 Advertising Media Options .............................................................................................................. 9

Transit Media ................................................................................................................................................ 9
Electronic Direct Mail .................................................................................................................................. 11
Print Media ................................................................................................................................................. 12

7.0 Media Schedule ............................................................................................................................. 12

8.0 Budget ........................................................................................................................................... 12

9.0 Ethical Considerations .................................................................................................................... 12

10.0 Monitoring, Evaluation and Control ............................................................................................. 13

Conclusion .............................................................................................................................................. 14

Recommendations .................................................................................................................................. 15

References .............................................................................................................................................. 16

Appendices ............................................................................................................................................. 19

2014 3
 MARKETING COMMUNCIATION PLAN FOR COUNTRY ROAD

1.0 Introduction

The following report is based on the findings of Country Road and gathered a Marketing Communication
Plan involving relevant background information. The intention of the communication strategy is to build
awareness of a spring/summer collection to be released in Country Road, known as the 90s Minimalism
range. The campaign that is developed is to underpin a message that is notified to the target market and
motivate the consumers to buy. This campaign is based on the regional area of Victoria, and not focusing
on a nationwide level.

The context comprises of research including competitors in the retail industry, a general analysis of the
clothing, footwear and textiles industry, and an overview about the specific target market selected.
Followed by selected advertising media options, Transit media, Electronic Direct Mail and Print media, in
which have individually been assessed through Reach, Frequency and Coverage, and is justified in relation
to the Country Roads collection and the strategy that best reaches to the target audience. Combined with
the three media options, a media schedule, budget, and ethical considerations have been developed.

2014 4
 MARKETING COMMUNCIATION PLAN FOR COUNTRY ROAD

2.0 Industry Analysis

Clothing, Footwear and Personal Accessory Retailing

In current prices, the trend estimate for Clothing, footwear and personal accessory retailing fell 0.4% in
June 2014. The seasonally adjusted estimate rose 1.4%. By industry subgroup, the trend estimate fell for
Footwear and other personal accessory retailing (-0.9%) and Clothing retailing (-0.1%). The seasonally
adjusted estimate rose for Clothing retailing (2.6%) and fell for Footwear and other personal accessory
retailing (-1.0%) (Abs.gov.au, 2014).

Economic factors
Research from the financial advisory firm Deloitte has stated that retail spending is still below what is
expected. Furthermore, the household retailers, clothing retailers and department stores have not been so
successful compared to food stores, cafes and restaurants. It has been informed that Western Australia and
Northern Territory have done extremely well and has seen a retail growth in those two states. Sales have
increased in Queensland despite an unbalanced economy and in the Australian Capital Territory even with
the Federal government restraint (Ragtrader.com.au, 2013). New South Wales has shown some
underperformance only for a short period but is now seen to be slightly lifting since the interest rates cuts.
There is also a slight growth in retail sales in Victoria, South Australia and Tasmania.

Supply and demand

Supply varies by several factors, that may include retail market analyses focusing on competition from
existing and future stores, and an industry analyses that focuses on the retail industry. Supply can be
influenced by roles of stores and shopping centres, floor space requirement and merchandise display
requirements. Demand is analysed and driven by local income and spending, business and employment
growth, and demographic factors such as needs among businesses. Demand can be influenced by several
factors; few include household needs, retail preferences and market share.

Competitors
According to the Australian Competition and Consumer Commission (ACCC), competition is going at a
continual rate, meaning no increase within the Australian competitors. The only way in going forward for
retailers to become more competitive and profitable is to focus on online competition. Not only will going
online assist retailers in becoming more profitable but also allowing businesses to have new opportunities
to gain new customers in the market. Due to the increase in consumers buying goods and services online,

2014 5
 MARKETING COMMUNCIATION PLAN FOR COUNTRY ROAD

retailers also have to consider the online competition and consumer issues, including unfair contract terms
online, product safety online and consumer guarantee rights.

Another major awareness in the retail competition is global retailers impacting the Australian retailers. Not
only is there already pressure on competition between local retailers, but the opening of H&M and Uniqlo
has made Australian retailers become increasingly alert that competition may increase and may have an
impact on their business. However, there are several factors that have advantaged Australian retailers. Few
of these factors include, store locations as many Australian companies hold the best retail locations, they
have higher customer knowledge and market knowledge and they have already built a customer and brand
loyalty as it takes time to develop an understanding of your customer.

Future industry conditions

Recently at the start of 2014, reports and statistics, such as the Retail Workforce Study report, have
established a fortunate rise in the retail industry, however, with several improvements that will need to be
made as the retail sector grows. As the retail industry is Australias second-largest employer with more
than 1.2 million worker across 140,000 businesses, it is most likely to expand by 8.9 precent over the next
five years (Ragtrader.com.au, 2014).

The growth of retail is approaching from the rapid development of new technologies, growth of online
sales and changing demographics. With these influences increasing in the retail sector, this means retail
must improve physical and online shopping to create a better quality customer experience. In achieving
this, retailers will need to involve new or better-quality training methods including higher levels of digital
knowledge, better understanding on products and more development in interpersonal skills. Many retailers
across Australia have already recognised the trend of improvements in the retail sector, however, there is
still awareness and inclination for the changes in retail and more training needed to integrate new
technology into work practices.

Government regulations
There are laws and regulations that Australian retailers must follow and helps the retail industry adjust with
guidelines more effective in addressing industry issues. The Mandatory Ethical Clothing Trades Extended
Responsibility Scheme is one important law that clothing retailers should be aware of. More flexibility in
workplace rules and trading hours and changes to planning and zoning regulations are required, according
to an eagerly anticipated retail report revealed today (Ragtrader.com.au, 2011). It has been developed and
improved that unnecessary restrictions on competition should be removed as well as constraints on the
supply and location of retail space (Ragtrader.com.au, 2011). There are several regulatory government

2014 6
 MARKETING COMMUNCIATION PLAN FOR COUNTRY ROAD

guidelines that restrict retail to compete and be more innovative. Few of these guidelines that have been
harshly placed on retailers include planning and zoning regulations that are complex, and the trading hours
regulations that restrict the industrys ability to adapt and compete with online competitors and provide
convenience to their consumers. (See appendix A)

3.0 Target Market

Country Roads target market is women and men aged 25 to 40 years old and 90s Minimalism campaign
will aim to target women within the age group within a geographic location of Melbourne, Victoria. The
campaign will aim to appeal to the women who reside in the upper and middle class, who are well
presented young to middle aged professionals. The campaign will also aim to raid awareness with users
who may be outside the target market, such as males shopping for special occasions, older generations
and new users.

The below Segmentation Base table describes the various segments the target country market can be
broken down into:
Demographic Segmentation
Age 25-40
Gender Women
Family life cycle Young, single, engaged, DINKS (double income no kids), SINKS (single
income no kids), Married with kids (babies- under 25), recently divorced,
empty nester, same-sex couples, single parents, extended parents, retired.
Job Status Unemployed, housewife, part-time, full-time, student, professional.
Income 68,000 to 120,000
Education High school, college, college graduate, graduate degrees.
Generation Gen X, Gen Y,
Behaviour Segmentation
Needs Functional, psychological, social
Benefits Comfortable, Fashionable, Convenience, quality
Attitude towards product Confident, Healthy, enthusiastic, positive
User status Non-user, ex user, potential user, first time user, regular user.
Loyalty Status None, medium, strong, absolute
Brand Familiarity Aware, informed, interested, desirous, indenting to buy.
Occasion Regular occasion (personal), special occasion (Christmas, birthday),
convenience, comparison-shopping.
Geographic Segmentation
Region Victoria (Australia)
City Major metropolitan areas, Small cities,
Size of city Population under 6 million.
Density of area City centres, inner suburbs, outer suburbs, rural towns.
Climate All types

2014 7
 MARKETING COMMUNCIATION PLAN FOR COUNTRY ROAD

Psychographic Segmentation
Lifestyle (AIOs) Activities Work, social events, hobbies, entertainment, shopping,
vacation, community.
Interests Home, job, family, fashion, achievements, food, recreation.
Opinions themselves, social issues, politics, business, economics,
education, future, culture.
Personality Traits Friendly, introverted, extraverted, innovative, openness to experience,
agreeableness, conscientious, fashion innovators.
Social Class Upper, Middle.
Sociocultural Segmentation
Cultures Australian.
Subcultures Caucasians.
Social Class Middle and upper class
Usage Related Segmentation
Usage rate Non-users, New users, Light users, Medium users, Heavy users.
Brand Familiarity Unaware, aware, informed, interested, desirous, intending to buy.
Brand Loyalty None, Low, Medium, Strong, Absolute.
Use-Situation Segmentation
Time Leisure, Work, Every day.
Occasion/Objective Regular occasion, Special occasion (birthday, Christmas), convenience
comparison shopping
Location Work, Socialising.
Person Self, Friend, Family.
Benefits Segmentation
Benefits Higher Social Standing, quality, belonging, confidence, comfort, self-
esteem, self-expression, identity.
Hybrid Segmentation
Geo-demographic Professional, young, well presented, middle-aged.
SRI VALSTM Innovators, Thinkers, Believers, Achievers, Strivers, Experiencers, Survivors

2014 8