Retail Communication Mix

Objective of Communication Program

Wedding Bouquet
Will be good Will be expensive (90 pounds)

Long-Term Objective -Build Brand Image -Create Loyalty Wedding Bouquet ad tries to reinforce retailers good quality and royal image

Short-Term -Increase Traffic -Increase Sales Bargain ad generates short term sales

Brands
Distinguishing name or symbol, such as a logo, that identifies the products or services offered by a seller and differentiates those products and services from those offered by competitors

Strong Brands Provide Value to Retailers and Their Customers

Value to Retailers Attract Customers Build Loyalty Higher Prices Leading to Higher Gross Margin Reduced Promotional Expenses Facilitates Entry into New Markets Gap GapKids Value to Customers Promises Consistent Quality Simplifies Buying Process Reduces Time and Effort Searching for Information About Merchandise/Retailer

Building a Valuable Brand

Heighten Brand Awareness Brand Equity Develop Favorable Associations

Consistent Reinforcement

Create Emotional Connections

Tar-Zhay
High Brand awareness & strong emotional connection Less brand switching Target (USA) uses advertising to build its image of offering fashionable merchandise at low prices

The way Big Bazaar has done in India

Benefits of High Brand Awareness

Aided Recall
Top of the Mind Awareness

Stimulates Visits to Retailer

Creating Brand Awareness

Memorable Name Repeated Exposure

Brand Awareness
Pantaloons has done it in India Event Sponsorship

Symbols

McDonalds Brand Associations

Fast Food Golden Arches Big Mac

McDonalds
French Fries Clean

Ronald McDonald

Types of Brand Association (USA / India)

Merchandise Category Office Depot/ Landmark Price/Quality Target, Wal-Mart, EasyDay Specific Benefit /Attribute 7-Eleven Convenience / PVR Cinemas Lifestyle The Nature Company / FabIndia

Retail Communication Mix

Communication Methods

Integrated Marketing Communications

Present a Consistent Brand Image through All Communications with Customers

Advertising Web Site Magalog Store Design

.

Abercrombie & Fitch reinforces its brand image association with fun loving, independent, uninhibited teenagers & young adults

Lacoste for the lovers of golf

Nautica for the ones who love the sea

A Philippine based company http://www.redlogolifestyle.com/index.html

Our Magalogue (magazine and catalogue in one) is published every month. It is available for sale for only Sixty Pesos (PhP60.00). You can find our magalogue at any Red Logo Branch and Business Center.

Effective in-store advertising for stopping, engaging & activating consumer

Message strategy: messaging that maximises purchase Message qualification: copy testing essential In-store media mix: video, print, web Campaign integration: messaging in-store with overall equity messaging On-going assessment: tracking message effectiveness

Rack ads

IN STORE VIDEO

Live gaming experience inside stores: to stimulate sales

Types of Sales Promotions

Offers extra value & incentive:
Special sales

Merchandise demonstrations
Premiums

Coupons
Games, sweepstakes, and contests

Steps in Developing a Retail Communication Program

Shoppers Stop campaign

Communication Objectives & Stages in the Consumers Decision-Making Process

Retail and Vendor Communication Programs

Vendor Retailer

Long-term objectives
Product focused

Short-term objectives
Category focused

National
Specific product

Local
Assortment of

merchandise

Methods for Setting Communication Budget

Marginal analysis Objective and task Rules of thumb - Affordable - Percent of sales - Competitive parity Sales Advertising Advertising Sales

Illustration of Objective and Task Method for Setting a Communication Budget

CRM Campaign Management System

Implementing Retail Advertising Programs

Developing the Message Selecting the Media Determining Ad Frequency and Timing

Sources of Assistance in Developing Ad Campaigns

Vendors Co-Op Programs Agencies Media Companies

Suggestions for Developing Print Ads

Dominant headline

Dominant element Simple layout Specific, complete presentation Distinct visuals Name and address of store

Press Release (Big Bazaar) June 28, 2008 Priyanka Chopra & Harman Baweja recreate the magic of Love Story 2050 at Pantaloons, Mega Mall, Oshiwara

Instore exhibition

Types of Advertising Media

Newspapers

Direct mail
Outdoor Shopping guide
Yellow pages

Magazines Radio
TV

Media Capabilities

Internet Advertising Applications

Retailers in General
Create Awareness Convey Information Brand Building -- Build Store Loyalty

Multi-Channel Retailers
Build Web site Traffic

Types of Internet Advertising

Banners - >50% of Expenditures
Rich Media: video ads

Microsites:
Sponsorships -Embedded in Site Content Email

Generating Traffic for Site

Domain Name/Brand Search Directories and Engines
Registration, Top Listing

External Links - Partnerships Publicity Paid Advertising

Internet Other Media