imc 610 -- final project

41
Integrated Marketing Communications Plan Student: Jamie Huggins Class: IMC 610 Professor: Matthew Cummings "We are committed to improving the lives of our customers by providing quality services, products and solutions that earn their trust and build lifetime relationships." 1 Kmart IMC Plan

Upload: jamie-huggins

Post on 17-Jul-2015

80 views

Category:

Marketing


2 download

TRANSCRIPT

Integrated Marketing Communications PlanStudent Jamie Huggins Class IMC 610 Professor Matthew Cummings

We are committed to improving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships

1

Kmart IMC Plan

Table of Contents I Executive Summary3II About Kmart4III Target Audience10IV SWOT Analysis13V Marketing Objectives amp Strategies15VI Creative Brief Strategy amp Execution 16-18

Creative Brief16 Creative Strategy17 Creative Execution18

VII Media Plan19VIII Public Relations Plan22IX Direct Marketing Plan25X Sales Promotions Plan28XI Measurement amp Evaluation Plan31XII Conclusion34XIII Appendix A35XIV Appendix B36XV Appendix C37XVI References39

2

Kmart IMC Plan

Executive SummarySebastian S Kresge developed Kmartrsquos early business model by offering consumers the low prices they sought after and giving them lifelong relationships that were built on trust Consumers trusted that Kresge was listening to their concerns and meeting their evolving needs Today over 115 years later Kmart has grown from a small ldquofive and dime storerdquo to a massive global retailer Even though Kmart is currently suffering from a variety of serious issues consumers are still looking to them to meet their needs and concerns This IMC plan offers Kmart a chance to rebuild its customer base and return to the strength of its early business model and mission by tapping into the Generation X mothers demographic

Some of Kmartrsquos strengths are its strong company foundation ldquoShop Your Wayrdquo rewards program and its variety of exclusive brands and products Kmart is also plagued by many weaknesses which include serious financial problems and bankruptcy outdated interiors poor customer service and a negative consumer image Kmartrsquos opportunities range from the Generation X mothers market to the implementation of this $20 million IMC plan Finally Kmartrsquos weaknesses are the poor economy and the massive strength of its competitors Walmart and Target

Marketing objectives seek to improve Kmartrsquos features and benefits brand perception and awareness among the target market These objectives will also increase sales while reducing poor customer satisfaction Strategies will be implemented across media public relations direct marketing and sales promotion platforms Celebrity talk-show host Kelly Ripa will also be hired to promote the ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo

Overall media objectives involve reaching Generation X mothers throughout the next year using a combination of broadcast and print media as well as through digital and social media advertisements Strategies and tactics include using the ldquoKelly Kmartrdquo campaign to appeal to the target market through TV commercials magazine ads banner ads and social media ads which will run either frequently or periodically throughout the next year depending on the medium

Public relations objectives are to increase brand favorability generate positive news reports increase positive social media traffic increase brand credibility and help reduce employee turnover Strategies and tactics include writing creative press releases holding press conferences creating ldquoKelly Kmartrdquo social media pages holding philanthropic community events and using PR strategies to help reduce employee turnover

Direct marketing objectives seek to increase click-through and response rates and grow the target market database Tactics include sending out weekly email newsletters creating monthly mailings with discount codes creating the ldquoKellyrsquos Favoritesrdquo catalogue and offering credits for referrals to the catalogue

Sales objectives are to improve the ldquoShop Your Wayrdquo rewards program increase its membership and related sales increase redemption rates for mobile coupons and obtain entries and increase web traffic for the ldquoKelly Kmartrdquo sweepstakes Tactics include offering extra rewards and points for ldquoShop Your Wayrdquo members offering personalized prices on the ldquoShop Your Wayrdquo smartphone app and creating a ldquoKelly Kmartrdquo sweepstakes with promotional entry codes that must be entered online

Finally measuring and evaluating Kmartrsquos IMC plan is integral to its success A combination of quantitative and qualitative tools will be implemented in the pre-testing and post-testing of each of this planrsquos components This will help reduce costly mistakes evaluate any alternate strategies increase advertising efficiency and help determine if the aforementioned objectives are achieved (Belch amp Belch 2012)

3

Kmart IMC Plan

About KmartCompany Mission

We are committed to improving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2014)

The Beginning

In 1899 Sebastian S Kresge opened the first Kresge store in Detroit Michigan This Kmart pre-cursor originated as a ldquofive and dime storerdquo meaning everything in the store sold for either 5 or 10 cents The low prices widely appealed to consumers and resulted in store expansion By 1912 Kresge expanded to 85 stores and had annual sales of over $10 million In the 1920rsquos Kresge continued his expansion by opening store locations that sold items for $1 or less These stores were located by the famous ldquofive and dimerdquo stores (Corporate History 2014) In 1937 SS Kresge opened his first store in a suburban shopping center The store was located in the Country Club Plaza in Kansas City Missouri Building on Kresgersquos idea SS Kresge Company President Harry B Cunningham opened the first Kmart discount department store in 1926 The store was located in Garden City Michigan That same year 17 additional Kmart stores opened and corporate sales reached over $483 million By 1966 sales in 162 Kmart stores and 753 Kresge stores topped over $1 billion In 1976 Kresge opened 271 more Kmart stores and made history by becoming the first retailer to launch 17 million square feet of sales space in one year A little over 10 years later approximately 95 of sales in the SS Kresge Company were generated by its Kmart stores Because of this the company officially changed its name to the Kmart Corporation in 1977 (Corporate History 2014) In 1987 Kmart sold all of its remaining Kresge stores and partnered with Martha Stewart She became the new ldquofacerdquo of all of Kmartrsquos lifestyle and entertainment products (Kmart 2013)

Change in the 90rsquos

The 90rsquos brought a period of change to Kmart In 1990 Kmart unveiled a new logo and a $35 billion company program The purpose of the program was to refocus business back on Kmart stores It included new store openings store enlargement and modernization policies In 1991 the first Kmart Supercenter opened in Medina Ohio The supercenter store was open 7 days a week and 24 hours a day It offered a full-service grocery store along with the original department store concept Kmart stores were redesigned again in 1996 Spaces were designed to be cleaner brighter and easier for consumers to shop in A ldquopantryrdquo department was incorporated into the design This new department was located near the store entrance and sold frequently purchased consumable goods In addition there was a new focus on Childrenrsquos and Home Fashion departments These ldquobig changesrdquo resulted in the new name ldquoBig Kmartrdquo (Corporate History

4

Kmart IMC Plan

(photo credit pinterestcom)

2014) In 1997 Kmart became the exclusive retailer of Martha Stewart Everyday Home Furnishings (Kmart 2013)

Todayrsquos Financials

By the time the new millennium rolled around 2200 stores made up the entire Kmart Corporation However in 2002 Kmart filed for Chapter 11 Bankruptcy and had to close 283 of its stores It reemerged from bankruptcy in 2003 and in 2005 Kmart acquired Sears Roebuck and Co That same year the company changed its name to the Sears Holdings Corporation (Corporate History 2014) In 2009 Kmart and Martha Stewart failed to come to a new agreement thus eliminating their long partnership (Kmart 2013)

For more than a decade now Kmart has struggled with serious financial issues In 2011 Sears Holdings announced that 100-120 of its stores would be closing Overall sales dropped 27 for the quarter and 14 for the fiscal year (Schultz 2012) The very next year Kmart lost $132 million in its July quarter resulting in the largest quarterly loss for the company in 9 years Later that same year Kmart reported a staggering $498 million loss on lower sales Sears Holdings stocks fell 18 to $4775 and store sales fell 47 (Farzad 2012) Last year brought even more financial loss to the company Sears Holdings reported an expected annual loss of $914 million in 2013 and sales fell 74 for the quarter However even with all this monetary loss there are still 1221 Kmart stores in existence and they bring in $15 billion in revenue (Davies 2014)

Pricing Strategies

ldquoAttention Kmart Shoppers Blue Light Specialrdquo

Kmart introduced the ldquoBlue Light Special Campaignrdquo to consumers as a sales tactic in the 1960rsquos Originally blue light specials consisted of surprise in-store price-cuts on select merchandise They typically lasted for around 15 minutes At the beginning of each flash-sale consumers would hear ldquoAttention Kmart shoppers blue light special on aislerdquo over a loudspeaker A flashing blue siren light (similar to one atop a police car) would also be located in the sale area After the announcement consumers would rush to the aforementioned aisle to take advantage of the sale The sales tactic was successful and lasted around 70 years until it ended in 1991 In 1999 Kmart launched its first ever web presence ldquoBlueLightcomrdquo In 2001 Kmart decided to bring it back the idea of in-store blue light specials however consumers did not react to the concept as well as they did in the past The attempt proved to be short-lived and unsuccessful (Smith amp Walker 2014)

Todayrsquos Prices

Today Kmartrsquos prices are not reflective of its bargain beginnings In fact its prices rank excessively higher than its competitors For example one study reports a researcher visiting Target Walmart and Kmart to buy 30 identical and like items in order to compare prices among the ldquoBig 3rdquo The purchases consisted of the following items electronics grocery health beauty home goods toys and clothing The total of Walmartrsquos items was $177615 The total of Targetrsquos items was $186610 The total of Kmartrsquos items was $209282 Out of the three stores Kmart was reported

5

Kmart IMC Plan

(photo credit momswhothinkcom)

with having the highest prices most limited store-wide selection most empty shelves and most disgruntled and unavailable employees (Conover 2012)

Major Brands amp Products

The Sears Holdings Corporation carries variety of exclusive and name brands throughout both its Kmart and Sears stores and websites In addition Sears Holdings is the leading appliance retailer carrying name-brands like Kenmore and the corporation is also a leader in home and garden tool lawn-care fitness equipment and automobile repair and maintenance departments Craftsman and Diehard are some popular brands found in these departments Other popular exclusive brands carried by Kmart include Joe Boxer Kardashian Kollection Sandra by Sandra Lee Landrsquos End Jaclyn Smith Sofia by Sofia Vergara and Country Living (Our Brands 2014) These brands can be found in Kmartrsquos apparel accessories and home-goods departments Besides the above products Kmart stores also include a large grocery department

Distribution Methods

Kmart partakes in a store-based distribution method Currently Kmart has approximately 1221 store locations in the United States Guam Puerto Rico and the US Virgin Islands Discount stores account for 1196 of those locations and they average around 94000 square feet Super Centers account for only 25 of those locations and they average around 168000 square feet 896 Kmart stores contain pharmacies and 21 stores have Sears Auto Centers Sears Auto Centers offer repair and maintenance services and sell automobile accessories Typically Kmart

6

Kmart IMC Plan

(photo credit searsholdingscom)

stores carry merchandise such as electronics seasonal merchandise outdoor living toys lawn and garden food apparel Kenmore products and certain Sears brand products In addition store locations offer an everyday layaway program (About Kmart 2014)

Kmart also partakes in an online distribution method Kmartrsquos website is httpwwwkmartcom The website offers the consumer the same brands and products (excluding grocery items) that can be found in its store-based locations Shoppers also have the options to make purchases online or via a mobile app and to buy online and pick up in stores Kmartrsquos everyday layaway program is also available to online shoppers (About Kmart 2014)

Competition Among the ldquoBig 3rdquo

Walmart is the largest discount store in the United States (DInnocenzio 2012) The company is probably most well-known for its low prices and price-matching advertisement policy The company also has a user-friendly website which offers free site-to-store shipping (Conover 2012) Currently Walmart has approximately 3000 supercenter stores which offer consumers one-stop shopping on a vast amount of both grocery and retail products In addition Walmart is moving into urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012) Walmart stores offer consumers a variety of services including hair and nail salons vision centers pharmacies portrait studios holiday layaway and health clinics (Conover 2012)

Target is the 2nd largest discount store in the United States and the company is well-known for having an advertising campaign targeted at women (DInnocenzio 2012) Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices Stores are also noted as being clean and stress-free In addition Targetrsquos employees are known for being available and helpful Many Target stores contain pharmacies photo processing studios heath clinics and vision clinics (Conover 2012) Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

5 Key Pillars of Kmartrsquos Marketing Strategies

1 Creating lasting relationships with customers by empowering them to manage their lives

2 Attaining best in class productivity and efficiency

3 Building our brands

4 Reinventing the company constantly through technology and innovation

5 Reinforcing ldquoThe SHC (Sears Holdings Corporation) Wayrdquo by living our values everyday (Farfan 2014)

7

Kmart IMC Plan

Existing Marketing Communication Strategies

Advertising

In 2013 Kmart came under scrutiny for some popular but questionable TV commercials Critics claimed that the commercialsrsquo content was risque and included too much crude-humor The ads in question were ldquoShip Your Pantsrdquo (20 million YouTube views) ldquoShow Your Joerdquo (17 million YouTube views) and ldquoBig Gas Savingsrdquo (6 million YouTube views) Women specifically responded to the ads with mixed reviews and used a variety of terms including ldquovulgarrdquo ldquooffensiverdquo ldquohilariousrdquo and ldquouniquerdquo They also questioned if the ads were ldquofamily-friendlyrdquo Ace Metrix (an ad tracking firm) stated that the ads scored high in ldquoattentionrdquo but low in ldquorelevancerdquo while ABX database reported that the ads scored highest in the ldquodislikerdquo category and scored second in the ldquolike-abilityrdquo category (Berg 2013) These ads can be found on Kmartrsquos Youtube page along with a wide range of other Kmart advertisements

Direct Marketing

Kmart partakes in direct marketing through its website - Kmartcom and its smartphone app The website allows consumers the ability to purchase the same brands and products they love online Online shoppers also have the ability to buy their merchandise online and pick it up in stores The smartphone app contains a browse and search option compare products option personalized savings layaway management and the option to buy and send gift cards In addition the app allows consumers to take advantage of ldquoShop Your Wayrdquo rewards This means shoppers can earn points on purchases redeem points to save money and redeem special offers

Interactive Internet Marketing

Kmart displays interactive internet marketing through the ldquoMy Kmartrdquo community area of its website and through social media The website contains a variety of QampA forums which include topics such as ldquoChit-Chatrdquo ldquoAsk an Expertrdquo ldquoInterests and Hobbiesrdquo and ldquoCommunityrdquo Consumers have the ability to ask questions on any of these forums and Kmart employees or other ldquoMy Kmartrdquo members will respond back to them The ldquoMy Kmartrdquo page also contains links to a community poll featured posts and miscellaneous tips and tricks about books home decor DIY and more In addition Kmart has a Facebook page Twitter account and an Instagram account which partake in interactive internet marketing The Kmart Facebook page has 1300000 ldquolikesrdquo In comparison Walmart has over 30000000 ldquolikesrdquo and Target has over 22000000 The Kmart Facebook page promotes products services and sweepstakes offers while interacting with consumers by ldquolikingrdquo comments and answering questions The Kmart Twitter account has 52000 followers In contrast Walmartrsquos Twitter account has 444000 followers while Targetrsquos has 1029000 followers The Kmart Twitter account also promotes products sweepstakes and shares Kmart-related news They interact with consumers by ldquoretweetingrdquo posts and answering ldquotweetsrdquo Finally the Kmart Instagram account has 4026 followers In comparison Walmartrsquos Instagram has 16000 followers and Targetrsquos Instagram has 156000 followers The Kmart Instagram account promotes new products and displays found at Kmart

8

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Table of Contents I Executive Summary3II About Kmart4III Target Audience10IV SWOT Analysis13V Marketing Objectives amp Strategies15VI Creative Brief Strategy amp Execution 16-18

Creative Brief16 Creative Strategy17 Creative Execution18

VII Media Plan19VIII Public Relations Plan22IX Direct Marketing Plan25X Sales Promotions Plan28XI Measurement amp Evaluation Plan31XII Conclusion34XIII Appendix A35XIV Appendix B36XV Appendix C37XVI References39

2

Kmart IMC Plan

Executive SummarySebastian S Kresge developed Kmartrsquos early business model by offering consumers the low prices they sought after and giving them lifelong relationships that were built on trust Consumers trusted that Kresge was listening to their concerns and meeting their evolving needs Today over 115 years later Kmart has grown from a small ldquofive and dime storerdquo to a massive global retailer Even though Kmart is currently suffering from a variety of serious issues consumers are still looking to them to meet their needs and concerns This IMC plan offers Kmart a chance to rebuild its customer base and return to the strength of its early business model and mission by tapping into the Generation X mothers demographic

Some of Kmartrsquos strengths are its strong company foundation ldquoShop Your Wayrdquo rewards program and its variety of exclusive brands and products Kmart is also plagued by many weaknesses which include serious financial problems and bankruptcy outdated interiors poor customer service and a negative consumer image Kmartrsquos opportunities range from the Generation X mothers market to the implementation of this $20 million IMC plan Finally Kmartrsquos weaknesses are the poor economy and the massive strength of its competitors Walmart and Target

Marketing objectives seek to improve Kmartrsquos features and benefits brand perception and awareness among the target market These objectives will also increase sales while reducing poor customer satisfaction Strategies will be implemented across media public relations direct marketing and sales promotion platforms Celebrity talk-show host Kelly Ripa will also be hired to promote the ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo

Overall media objectives involve reaching Generation X mothers throughout the next year using a combination of broadcast and print media as well as through digital and social media advertisements Strategies and tactics include using the ldquoKelly Kmartrdquo campaign to appeal to the target market through TV commercials magazine ads banner ads and social media ads which will run either frequently or periodically throughout the next year depending on the medium

Public relations objectives are to increase brand favorability generate positive news reports increase positive social media traffic increase brand credibility and help reduce employee turnover Strategies and tactics include writing creative press releases holding press conferences creating ldquoKelly Kmartrdquo social media pages holding philanthropic community events and using PR strategies to help reduce employee turnover

Direct marketing objectives seek to increase click-through and response rates and grow the target market database Tactics include sending out weekly email newsletters creating monthly mailings with discount codes creating the ldquoKellyrsquos Favoritesrdquo catalogue and offering credits for referrals to the catalogue

Sales objectives are to improve the ldquoShop Your Wayrdquo rewards program increase its membership and related sales increase redemption rates for mobile coupons and obtain entries and increase web traffic for the ldquoKelly Kmartrdquo sweepstakes Tactics include offering extra rewards and points for ldquoShop Your Wayrdquo members offering personalized prices on the ldquoShop Your Wayrdquo smartphone app and creating a ldquoKelly Kmartrdquo sweepstakes with promotional entry codes that must be entered online

Finally measuring and evaluating Kmartrsquos IMC plan is integral to its success A combination of quantitative and qualitative tools will be implemented in the pre-testing and post-testing of each of this planrsquos components This will help reduce costly mistakes evaluate any alternate strategies increase advertising efficiency and help determine if the aforementioned objectives are achieved (Belch amp Belch 2012)

3

Kmart IMC Plan

About KmartCompany Mission

We are committed to improving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2014)

The Beginning

In 1899 Sebastian S Kresge opened the first Kresge store in Detroit Michigan This Kmart pre-cursor originated as a ldquofive and dime storerdquo meaning everything in the store sold for either 5 or 10 cents The low prices widely appealed to consumers and resulted in store expansion By 1912 Kresge expanded to 85 stores and had annual sales of over $10 million In the 1920rsquos Kresge continued his expansion by opening store locations that sold items for $1 or less These stores were located by the famous ldquofive and dimerdquo stores (Corporate History 2014) In 1937 SS Kresge opened his first store in a suburban shopping center The store was located in the Country Club Plaza in Kansas City Missouri Building on Kresgersquos idea SS Kresge Company President Harry B Cunningham opened the first Kmart discount department store in 1926 The store was located in Garden City Michigan That same year 17 additional Kmart stores opened and corporate sales reached over $483 million By 1966 sales in 162 Kmart stores and 753 Kresge stores topped over $1 billion In 1976 Kresge opened 271 more Kmart stores and made history by becoming the first retailer to launch 17 million square feet of sales space in one year A little over 10 years later approximately 95 of sales in the SS Kresge Company were generated by its Kmart stores Because of this the company officially changed its name to the Kmart Corporation in 1977 (Corporate History 2014) In 1987 Kmart sold all of its remaining Kresge stores and partnered with Martha Stewart She became the new ldquofacerdquo of all of Kmartrsquos lifestyle and entertainment products (Kmart 2013)

Change in the 90rsquos

The 90rsquos brought a period of change to Kmart In 1990 Kmart unveiled a new logo and a $35 billion company program The purpose of the program was to refocus business back on Kmart stores It included new store openings store enlargement and modernization policies In 1991 the first Kmart Supercenter opened in Medina Ohio The supercenter store was open 7 days a week and 24 hours a day It offered a full-service grocery store along with the original department store concept Kmart stores were redesigned again in 1996 Spaces were designed to be cleaner brighter and easier for consumers to shop in A ldquopantryrdquo department was incorporated into the design This new department was located near the store entrance and sold frequently purchased consumable goods In addition there was a new focus on Childrenrsquos and Home Fashion departments These ldquobig changesrdquo resulted in the new name ldquoBig Kmartrdquo (Corporate History

4

Kmart IMC Plan

(photo credit pinterestcom)

2014) In 1997 Kmart became the exclusive retailer of Martha Stewart Everyday Home Furnishings (Kmart 2013)

Todayrsquos Financials

By the time the new millennium rolled around 2200 stores made up the entire Kmart Corporation However in 2002 Kmart filed for Chapter 11 Bankruptcy and had to close 283 of its stores It reemerged from bankruptcy in 2003 and in 2005 Kmart acquired Sears Roebuck and Co That same year the company changed its name to the Sears Holdings Corporation (Corporate History 2014) In 2009 Kmart and Martha Stewart failed to come to a new agreement thus eliminating their long partnership (Kmart 2013)

For more than a decade now Kmart has struggled with serious financial issues In 2011 Sears Holdings announced that 100-120 of its stores would be closing Overall sales dropped 27 for the quarter and 14 for the fiscal year (Schultz 2012) The very next year Kmart lost $132 million in its July quarter resulting in the largest quarterly loss for the company in 9 years Later that same year Kmart reported a staggering $498 million loss on lower sales Sears Holdings stocks fell 18 to $4775 and store sales fell 47 (Farzad 2012) Last year brought even more financial loss to the company Sears Holdings reported an expected annual loss of $914 million in 2013 and sales fell 74 for the quarter However even with all this monetary loss there are still 1221 Kmart stores in existence and they bring in $15 billion in revenue (Davies 2014)

Pricing Strategies

ldquoAttention Kmart Shoppers Blue Light Specialrdquo

Kmart introduced the ldquoBlue Light Special Campaignrdquo to consumers as a sales tactic in the 1960rsquos Originally blue light specials consisted of surprise in-store price-cuts on select merchandise They typically lasted for around 15 minutes At the beginning of each flash-sale consumers would hear ldquoAttention Kmart shoppers blue light special on aislerdquo over a loudspeaker A flashing blue siren light (similar to one atop a police car) would also be located in the sale area After the announcement consumers would rush to the aforementioned aisle to take advantage of the sale The sales tactic was successful and lasted around 70 years until it ended in 1991 In 1999 Kmart launched its first ever web presence ldquoBlueLightcomrdquo In 2001 Kmart decided to bring it back the idea of in-store blue light specials however consumers did not react to the concept as well as they did in the past The attempt proved to be short-lived and unsuccessful (Smith amp Walker 2014)

Todayrsquos Prices

Today Kmartrsquos prices are not reflective of its bargain beginnings In fact its prices rank excessively higher than its competitors For example one study reports a researcher visiting Target Walmart and Kmart to buy 30 identical and like items in order to compare prices among the ldquoBig 3rdquo The purchases consisted of the following items electronics grocery health beauty home goods toys and clothing The total of Walmartrsquos items was $177615 The total of Targetrsquos items was $186610 The total of Kmartrsquos items was $209282 Out of the three stores Kmart was reported

5

Kmart IMC Plan

(photo credit momswhothinkcom)

with having the highest prices most limited store-wide selection most empty shelves and most disgruntled and unavailable employees (Conover 2012)

Major Brands amp Products

The Sears Holdings Corporation carries variety of exclusive and name brands throughout both its Kmart and Sears stores and websites In addition Sears Holdings is the leading appliance retailer carrying name-brands like Kenmore and the corporation is also a leader in home and garden tool lawn-care fitness equipment and automobile repair and maintenance departments Craftsman and Diehard are some popular brands found in these departments Other popular exclusive brands carried by Kmart include Joe Boxer Kardashian Kollection Sandra by Sandra Lee Landrsquos End Jaclyn Smith Sofia by Sofia Vergara and Country Living (Our Brands 2014) These brands can be found in Kmartrsquos apparel accessories and home-goods departments Besides the above products Kmart stores also include a large grocery department

Distribution Methods

Kmart partakes in a store-based distribution method Currently Kmart has approximately 1221 store locations in the United States Guam Puerto Rico and the US Virgin Islands Discount stores account for 1196 of those locations and they average around 94000 square feet Super Centers account for only 25 of those locations and they average around 168000 square feet 896 Kmart stores contain pharmacies and 21 stores have Sears Auto Centers Sears Auto Centers offer repair and maintenance services and sell automobile accessories Typically Kmart

6

Kmart IMC Plan

(photo credit searsholdingscom)

stores carry merchandise such as electronics seasonal merchandise outdoor living toys lawn and garden food apparel Kenmore products and certain Sears brand products In addition store locations offer an everyday layaway program (About Kmart 2014)

Kmart also partakes in an online distribution method Kmartrsquos website is httpwwwkmartcom The website offers the consumer the same brands and products (excluding grocery items) that can be found in its store-based locations Shoppers also have the options to make purchases online or via a mobile app and to buy online and pick up in stores Kmartrsquos everyday layaway program is also available to online shoppers (About Kmart 2014)

Competition Among the ldquoBig 3rdquo

Walmart is the largest discount store in the United States (DInnocenzio 2012) The company is probably most well-known for its low prices and price-matching advertisement policy The company also has a user-friendly website which offers free site-to-store shipping (Conover 2012) Currently Walmart has approximately 3000 supercenter stores which offer consumers one-stop shopping on a vast amount of both grocery and retail products In addition Walmart is moving into urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012) Walmart stores offer consumers a variety of services including hair and nail salons vision centers pharmacies portrait studios holiday layaway and health clinics (Conover 2012)

Target is the 2nd largest discount store in the United States and the company is well-known for having an advertising campaign targeted at women (DInnocenzio 2012) Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices Stores are also noted as being clean and stress-free In addition Targetrsquos employees are known for being available and helpful Many Target stores contain pharmacies photo processing studios heath clinics and vision clinics (Conover 2012) Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

5 Key Pillars of Kmartrsquos Marketing Strategies

1 Creating lasting relationships with customers by empowering them to manage their lives

2 Attaining best in class productivity and efficiency

3 Building our brands

4 Reinventing the company constantly through technology and innovation

5 Reinforcing ldquoThe SHC (Sears Holdings Corporation) Wayrdquo by living our values everyday (Farfan 2014)

7

Kmart IMC Plan

Existing Marketing Communication Strategies

Advertising

In 2013 Kmart came under scrutiny for some popular but questionable TV commercials Critics claimed that the commercialsrsquo content was risque and included too much crude-humor The ads in question were ldquoShip Your Pantsrdquo (20 million YouTube views) ldquoShow Your Joerdquo (17 million YouTube views) and ldquoBig Gas Savingsrdquo (6 million YouTube views) Women specifically responded to the ads with mixed reviews and used a variety of terms including ldquovulgarrdquo ldquooffensiverdquo ldquohilariousrdquo and ldquouniquerdquo They also questioned if the ads were ldquofamily-friendlyrdquo Ace Metrix (an ad tracking firm) stated that the ads scored high in ldquoattentionrdquo but low in ldquorelevancerdquo while ABX database reported that the ads scored highest in the ldquodislikerdquo category and scored second in the ldquolike-abilityrdquo category (Berg 2013) These ads can be found on Kmartrsquos Youtube page along with a wide range of other Kmart advertisements

Direct Marketing

Kmart partakes in direct marketing through its website - Kmartcom and its smartphone app The website allows consumers the ability to purchase the same brands and products they love online Online shoppers also have the ability to buy their merchandise online and pick it up in stores The smartphone app contains a browse and search option compare products option personalized savings layaway management and the option to buy and send gift cards In addition the app allows consumers to take advantage of ldquoShop Your Wayrdquo rewards This means shoppers can earn points on purchases redeem points to save money and redeem special offers

Interactive Internet Marketing

Kmart displays interactive internet marketing through the ldquoMy Kmartrdquo community area of its website and through social media The website contains a variety of QampA forums which include topics such as ldquoChit-Chatrdquo ldquoAsk an Expertrdquo ldquoInterests and Hobbiesrdquo and ldquoCommunityrdquo Consumers have the ability to ask questions on any of these forums and Kmart employees or other ldquoMy Kmartrdquo members will respond back to them The ldquoMy Kmartrdquo page also contains links to a community poll featured posts and miscellaneous tips and tricks about books home decor DIY and more In addition Kmart has a Facebook page Twitter account and an Instagram account which partake in interactive internet marketing The Kmart Facebook page has 1300000 ldquolikesrdquo In comparison Walmart has over 30000000 ldquolikesrdquo and Target has over 22000000 The Kmart Facebook page promotes products services and sweepstakes offers while interacting with consumers by ldquolikingrdquo comments and answering questions The Kmart Twitter account has 52000 followers In contrast Walmartrsquos Twitter account has 444000 followers while Targetrsquos has 1029000 followers The Kmart Twitter account also promotes products sweepstakes and shares Kmart-related news They interact with consumers by ldquoretweetingrdquo posts and answering ldquotweetsrdquo Finally the Kmart Instagram account has 4026 followers In comparison Walmartrsquos Instagram has 16000 followers and Targetrsquos Instagram has 156000 followers The Kmart Instagram account promotes new products and displays found at Kmart

8

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Executive SummarySebastian S Kresge developed Kmartrsquos early business model by offering consumers the low prices they sought after and giving them lifelong relationships that were built on trust Consumers trusted that Kresge was listening to their concerns and meeting their evolving needs Today over 115 years later Kmart has grown from a small ldquofive and dime storerdquo to a massive global retailer Even though Kmart is currently suffering from a variety of serious issues consumers are still looking to them to meet their needs and concerns This IMC plan offers Kmart a chance to rebuild its customer base and return to the strength of its early business model and mission by tapping into the Generation X mothers demographic

Some of Kmartrsquos strengths are its strong company foundation ldquoShop Your Wayrdquo rewards program and its variety of exclusive brands and products Kmart is also plagued by many weaknesses which include serious financial problems and bankruptcy outdated interiors poor customer service and a negative consumer image Kmartrsquos opportunities range from the Generation X mothers market to the implementation of this $20 million IMC plan Finally Kmartrsquos weaknesses are the poor economy and the massive strength of its competitors Walmart and Target

Marketing objectives seek to improve Kmartrsquos features and benefits brand perception and awareness among the target market These objectives will also increase sales while reducing poor customer satisfaction Strategies will be implemented across media public relations direct marketing and sales promotion platforms Celebrity talk-show host Kelly Ripa will also be hired to promote the ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo

Overall media objectives involve reaching Generation X mothers throughout the next year using a combination of broadcast and print media as well as through digital and social media advertisements Strategies and tactics include using the ldquoKelly Kmartrdquo campaign to appeal to the target market through TV commercials magazine ads banner ads and social media ads which will run either frequently or periodically throughout the next year depending on the medium

Public relations objectives are to increase brand favorability generate positive news reports increase positive social media traffic increase brand credibility and help reduce employee turnover Strategies and tactics include writing creative press releases holding press conferences creating ldquoKelly Kmartrdquo social media pages holding philanthropic community events and using PR strategies to help reduce employee turnover

Direct marketing objectives seek to increase click-through and response rates and grow the target market database Tactics include sending out weekly email newsletters creating monthly mailings with discount codes creating the ldquoKellyrsquos Favoritesrdquo catalogue and offering credits for referrals to the catalogue

Sales objectives are to improve the ldquoShop Your Wayrdquo rewards program increase its membership and related sales increase redemption rates for mobile coupons and obtain entries and increase web traffic for the ldquoKelly Kmartrdquo sweepstakes Tactics include offering extra rewards and points for ldquoShop Your Wayrdquo members offering personalized prices on the ldquoShop Your Wayrdquo smartphone app and creating a ldquoKelly Kmartrdquo sweepstakes with promotional entry codes that must be entered online

Finally measuring and evaluating Kmartrsquos IMC plan is integral to its success A combination of quantitative and qualitative tools will be implemented in the pre-testing and post-testing of each of this planrsquos components This will help reduce costly mistakes evaluate any alternate strategies increase advertising efficiency and help determine if the aforementioned objectives are achieved (Belch amp Belch 2012)

3

Kmart IMC Plan

About KmartCompany Mission

We are committed to improving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2014)

The Beginning

In 1899 Sebastian S Kresge opened the first Kresge store in Detroit Michigan This Kmart pre-cursor originated as a ldquofive and dime storerdquo meaning everything in the store sold for either 5 or 10 cents The low prices widely appealed to consumers and resulted in store expansion By 1912 Kresge expanded to 85 stores and had annual sales of over $10 million In the 1920rsquos Kresge continued his expansion by opening store locations that sold items for $1 or less These stores were located by the famous ldquofive and dimerdquo stores (Corporate History 2014) In 1937 SS Kresge opened his first store in a suburban shopping center The store was located in the Country Club Plaza in Kansas City Missouri Building on Kresgersquos idea SS Kresge Company President Harry B Cunningham opened the first Kmart discount department store in 1926 The store was located in Garden City Michigan That same year 17 additional Kmart stores opened and corporate sales reached over $483 million By 1966 sales in 162 Kmart stores and 753 Kresge stores topped over $1 billion In 1976 Kresge opened 271 more Kmart stores and made history by becoming the first retailer to launch 17 million square feet of sales space in one year A little over 10 years later approximately 95 of sales in the SS Kresge Company were generated by its Kmart stores Because of this the company officially changed its name to the Kmart Corporation in 1977 (Corporate History 2014) In 1987 Kmart sold all of its remaining Kresge stores and partnered with Martha Stewart She became the new ldquofacerdquo of all of Kmartrsquos lifestyle and entertainment products (Kmart 2013)

Change in the 90rsquos

The 90rsquos brought a period of change to Kmart In 1990 Kmart unveiled a new logo and a $35 billion company program The purpose of the program was to refocus business back on Kmart stores It included new store openings store enlargement and modernization policies In 1991 the first Kmart Supercenter opened in Medina Ohio The supercenter store was open 7 days a week and 24 hours a day It offered a full-service grocery store along with the original department store concept Kmart stores were redesigned again in 1996 Spaces were designed to be cleaner brighter and easier for consumers to shop in A ldquopantryrdquo department was incorporated into the design This new department was located near the store entrance and sold frequently purchased consumable goods In addition there was a new focus on Childrenrsquos and Home Fashion departments These ldquobig changesrdquo resulted in the new name ldquoBig Kmartrdquo (Corporate History

4

Kmart IMC Plan

(photo credit pinterestcom)

2014) In 1997 Kmart became the exclusive retailer of Martha Stewart Everyday Home Furnishings (Kmart 2013)

Todayrsquos Financials

By the time the new millennium rolled around 2200 stores made up the entire Kmart Corporation However in 2002 Kmart filed for Chapter 11 Bankruptcy and had to close 283 of its stores It reemerged from bankruptcy in 2003 and in 2005 Kmart acquired Sears Roebuck and Co That same year the company changed its name to the Sears Holdings Corporation (Corporate History 2014) In 2009 Kmart and Martha Stewart failed to come to a new agreement thus eliminating their long partnership (Kmart 2013)

For more than a decade now Kmart has struggled with serious financial issues In 2011 Sears Holdings announced that 100-120 of its stores would be closing Overall sales dropped 27 for the quarter and 14 for the fiscal year (Schultz 2012) The very next year Kmart lost $132 million in its July quarter resulting in the largest quarterly loss for the company in 9 years Later that same year Kmart reported a staggering $498 million loss on lower sales Sears Holdings stocks fell 18 to $4775 and store sales fell 47 (Farzad 2012) Last year brought even more financial loss to the company Sears Holdings reported an expected annual loss of $914 million in 2013 and sales fell 74 for the quarter However even with all this monetary loss there are still 1221 Kmart stores in existence and they bring in $15 billion in revenue (Davies 2014)

Pricing Strategies

ldquoAttention Kmart Shoppers Blue Light Specialrdquo

Kmart introduced the ldquoBlue Light Special Campaignrdquo to consumers as a sales tactic in the 1960rsquos Originally blue light specials consisted of surprise in-store price-cuts on select merchandise They typically lasted for around 15 minutes At the beginning of each flash-sale consumers would hear ldquoAttention Kmart shoppers blue light special on aislerdquo over a loudspeaker A flashing blue siren light (similar to one atop a police car) would also be located in the sale area After the announcement consumers would rush to the aforementioned aisle to take advantage of the sale The sales tactic was successful and lasted around 70 years until it ended in 1991 In 1999 Kmart launched its first ever web presence ldquoBlueLightcomrdquo In 2001 Kmart decided to bring it back the idea of in-store blue light specials however consumers did not react to the concept as well as they did in the past The attempt proved to be short-lived and unsuccessful (Smith amp Walker 2014)

Todayrsquos Prices

Today Kmartrsquos prices are not reflective of its bargain beginnings In fact its prices rank excessively higher than its competitors For example one study reports a researcher visiting Target Walmart and Kmart to buy 30 identical and like items in order to compare prices among the ldquoBig 3rdquo The purchases consisted of the following items electronics grocery health beauty home goods toys and clothing The total of Walmartrsquos items was $177615 The total of Targetrsquos items was $186610 The total of Kmartrsquos items was $209282 Out of the three stores Kmart was reported

5

Kmart IMC Plan

(photo credit momswhothinkcom)

with having the highest prices most limited store-wide selection most empty shelves and most disgruntled and unavailable employees (Conover 2012)

Major Brands amp Products

The Sears Holdings Corporation carries variety of exclusive and name brands throughout both its Kmart and Sears stores and websites In addition Sears Holdings is the leading appliance retailer carrying name-brands like Kenmore and the corporation is also a leader in home and garden tool lawn-care fitness equipment and automobile repair and maintenance departments Craftsman and Diehard are some popular brands found in these departments Other popular exclusive brands carried by Kmart include Joe Boxer Kardashian Kollection Sandra by Sandra Lee Landrsquos End Jaclyn Smith Sofia by Sofia Vergara and Country Living (Our Brands 2014) These brands can be found in Kmartrsquos apparel accessories and home-goods departments Besides the above products Kmart stores also include a large grocery department

Distribution Methods

Kmart partakes in a store-based distribution method Currently Kmart has approximately 1221 store locations in the United States Guam Puerto Rico and the US Virgin Islands Discount stores account for 1196 of those locations and they average around 94000 square feet Super Centers account for only 25 of those locations and they average around 168000 square feet 896 Kmart stores contain pharmacies and 21 stores have Sears Auto Centers Sears Auto Centers offer repair and maintenance services and sell automobile accessories Typically Kmart

6

Kmart IMC Plan

(photo credit searsholdingscom)

stores carry merchandise such as electronics seasonal merchandise outdoor living toys lawn and garden food apparel Kenmore products and certain Sears brand products In addition store locations offer an everyday layaway program (About Kmart 2014)

Kmart also partakes in an online distribution method Kmartrsquos website is httpwwwkmartcom The website offers the consumer the same brands and products (excluding grocery items) that can be found in its store-based locations Shoppers also have the options to make purchases online or via a mobile app and to buy online and pick up in stores Kmartrsquos everyday layaway program is also available to online shoppers (About Kmart 2014)

Competition Among the ldquoBig 3rdquo

Walmart is the largest discount store in the United States (DInnocenzio 2012) The company is probably most well-known for its low prices and price-matching advertisement policy The company also has a user-friendly website which offers free site-to-store shipping (Conover 2012) Currently Walmart has approximately 3000 supercenter stores which offer consumers one-stop shopping on a vast amount of both grocery and retail products In addition Walmart is moving into urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012) Walmart stores offer consumers a variety of services including hair and nail salons vision centers pharmacies portrait studios holiday layaway and health clinics (Conover 2012)

Target is the 2nd largest discount store in the United States and the company is well-known for having an advertising campaign targeted at women (DInnocenzio 2012) Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices Stores are also noted as being clean and stress-free In addition Targetrsquos employees are known for being available and helpful Many Target stores contain pharmacies photo processing studios heath clinics and vision clinics (Conover 2012) Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

5 Key Pillars of Kmartrsquos Marketing Strategies

1 Creating lasting relationships with customers by empowering them to manage their lives

2 Attaining best in class productivity and efficiency

3 Building our brands

4 Reinventing the company constantly through technology and innovation

5 Reinforcing ldquoThe SHC (Sears Holdings Corporation) Wayrdquo by living our values everyday (Farfan 2014)

7

Kmart IMC Plan

Existing Marketing Communication Strategies

Advertising

In 2013 Kmart came under scrutiny for some popular but questionable TV commercials Critics claimed that the commercialsrsquo content was risque and included too much crude-humor The ads in question were ldquoShip Your Pantsrdquo (20 million YouTube views) ldquoShow Your Joerdquo (17 million YouTube views) and ldquoBig Gas Savingsrdquo (6 million YouTube views) Women specifically responded to the ads with mixed reviews and used a variety of terms including ldquovulgarrdquo ldquooffensiverdquo ldquohilariousrdquo and ldquouniquerdquo They also questioned if the ads were ldquofamily-friendlyrdquo Ace Metrix (an ad tracking firm) stated that the ads scored high in ldquoattentionrdquo but low in ldquorelevancerdquo while ABX database reported that the ads scored highest in the ldquodislikerdquo category and scored second in the ldquolike-abilityrdquo category (Berg 2013) These ads can be found on Kmartrsquos Youtube page along with a wide range of other Kmart advertisements

Direct Marketing

Kmart partakes in direct marketing through its website - Kmartcom and its smartphone app The website allows consumers the ability to purchase the same brands and products they love online Online shoppers also have the ability to buy their merchandise online and pick it up in stores The smartphone app contains a browse and search option compare products option personalized savings layaway management and the option to buy and send gift cards In addition the app allows consumers to take advantage of ldquoShop Your Wayrdquo rewards This means shoppers can earn points on purchases redeem points to save money and redeem special offers

Interactive Internet Marketing

Kmart displays interactive internet marketing through the ldquoMy Kmartrdquo community area of its website and through social media The website contains a variety of QampA forums which include topics such as ldquoChit-Chatrdquo ldquoAsk an Expertrdquo ldquoInterests and Hobbiesrdquo and ldquoCommunityrdquo Consumers have the ability to ask questions on any of these forums and Kmart employees or other ldquoMy Kmartrdquo members will respond back to them The ldquoMy Kmartrdquo page also contains links to a community poll featured posts and miscellaneous tips and tricks about books home decor DIY and more In addition Kmart has a Facebook page Twitter account and an Instagram account which partake in interactive internet marketing The Kmart Facebook page has 1300000 ldquolikesrdquo In comparison Walmart has over 30000000 ldquolikesrdquo and Target has over 22000000 The Kmart Facebook page promotes products services and sweepstakes offers while interacting with consumers by ldquolikingrdquo comments and answering questions The Kmart Twitter account has 52000 followers In contrast Walmartrsquos Twitter account has 444000 followers while Targetrsquos has 1029000 followers The Kmart Twitter account also promotes products sweepstakes and shares Kmart-related news They interact with consumers by ldquoretweetingrdquo posts and answering ldquotweetsrdquo Finally the Kmart Instagram account has 4026 followers In comparison Walmartrsquos Instagram has 16000 followers and Targetrsquos Instagram has 156000 followers The Kmart Instagram account promotes new products and displays found at Kmart

8

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

About KmartCompany Mission

We are committed to improving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2014)

The Beginning

In 1899 Sebastian S Kresge opened the first Kresge store in Detroit Michigan This Kmart pre-cursor originated as a ldquofive and dime storerdquo meaning everything in the store sold for either 5 or 10 cents The low prices widely appealed to consumers and resulted in store expansion By 1912 Kresge expanded to 85 stores and had annual sales of over $10 million In the 1920rsquos Kresge continued his expansion by opening store locations that sold items for $1 or less These stores were located by the famous ldquofive and dimerdquo stores (Corporate History 2014) In 1937 SS Kresge opened his first store in a suburban shopping center The store was located in the Country Club Plaza in Kansas City Missouri Building on Kresgersquos idea SS Kresge Company President Harry B Cunningham opened the first Kmart discount department store in 1926 The store was located in Garden City Michigan That same year 17 additional Kmart stores opened and corporate sales reached over $483 million By 1966 sales in 162 Kmart stores and 753 Kresge stores topped over $1 billion In 1976 Kresge opened 271 more Kmart stores and made history by becoming the first retailer to launch 17 million square feet of sales space in one year A little over 10 years later approximately 95 of sales in the SS Kresge Company were generated by its Kmart stores Because of this the company officially changed its name to the Kmart Corporation in 1977 (Corporate History 2014) In 1987 Kmart sold all of its remaining Kresge stores and partnered with Martha Stewart She became the new ldquofacerdquo of all of Kmartrsquos lifestyle and entertainment products (Kmart 2013)

Change in the 90rsquos

The 90rsquos brought a period of change to Kmart In 1990 Kmart unveiled a new logo and a $35 billion company program The purpose of the program was to refocus business back on Kmart stores It included new store openings store enlargement and modernization policies In 1991 the first Kmart Supercenter opened in Medina Ohio The supercenter store was open 7 days a week and 24 hours a day It offered a full-service grocery store along with the original department store concept Kmart stores were redesigned again in 1996 Spaces were designed to be cleaner brighter and easier for consumers to shop in A ldquopantryrdquo department was incorporated into the design This new department was located near the store entrance and sold frequently purchased consumable goods In addition there was a new focus on Childrenrsquos and Home Fashion departments These ldquobig changesrdquo resulted in the new name ldquoBig Kmartrdquo (Corporate History

4

Kmart IMC Plan

(photo credit pinterestcom)

2014) In 1997 Kmart became the exclusive retailer of Martha Stewart Everyday Home Furnishings (Kmart 2013)

Todayrsquos Financials

By the time the new millennium rolled around 2200 stores made up the entire Kmart Corporation However in 2002 Kmart filed for Chapter 11 Bankruptcy and had to close 283 of its stores It reemerged from bankruptcy in 2003 and in 2005 Kmart acquired Sears Roebuck and Co That same year the company changed its name to the Sears Holdings Corporation (Corporate History 2014) In 2009 Kmart and Martha Stewart failed to come to a new agreement thus eliminating their long partnership (Kmart 2013)

For more than a decade now Kmart has struggled with serious financial issues In 2011 Sears Holdings announced that 100-120 of its stores would be closing Overall sales dropped 27 for the quarter and 14 for the fiscal year (Schultz 2012) The very next year Kmart lost $132 million in its July quarter resulting in the largest quarterly loss for the company in 9 years Later that same year Kmart reported a staggering $498 million loss on lower sales Sears Holdings stocks fell 18 to $4775 and store sales fell 47 (Farzad 2012) Last year brought even more financial loss to the company Sears Holdings reported an expected annual loss of $914 million in 2013 and sales fell 74 for the quarter However even with all this monetary loss there are still 1221 Kmart stores in existence and they bring in $15 billion in revenue (Davies 2014)

Pricing Strategies

ldquoAttention Kmart Shoppers Blue Light Specialrdquo

Kmart introduced the ldquoBlue Light Special Campaignrdquo to consumers as a sales tactic in the 1960rsquos Originally blue light specials consisted of surprise in-store price-cuts on select merchandise They typically lasted for around 15 minutes At the beginning of each flash-sale consumers would hear ldquoAttention Kmart shoppers blue light special on aislerdquo over a loudspeaker A flashing blue siren light (similar to one atop a police car) would also be located in the sale area After the announcement consumers would rush to the aforementioned aisle to take advantage of the sale The sales tactic was successful and lasted around 70 years until it ended in 1991 In 1999 Kmart launched its first ever web presence ldquoBlueLightcomrdquo In 2001 Kmart decided to bring it back the idea of in-store blue light specials however consumers did not react to the concept as well as they did in the past The attempt proved to be short-lived and unsuccessful (Smith amp Walker 2014)

Todayrsquos Prices

Today Kmartrsquos prices are not reflective of its bargain beginnings In fact its prices rank excessively higher than its competitors For example one study reports a researcher visiting Target Walmart and Kmart to buy 30 identical and like items in order to compare prices among the ldquoBig 3rdquo The purchases consisted of the following items electronics grocery health beauty home goods toys and clothing The total of Walmartrsquos items was $177615 The total of Targetrsquos items was $186610 The total of Kmartrsquos items was $209282 Out of the three stores Kmart was reported

5

Kmart IMC Plan

(photo credit momswhothinkcom)

with having the highest prices most limited store-wide selection most empty shelves and most disgruntled and unavailable employees (Conover 2012)

Major Brands amp Products

The Sears Holdings Corporation carries variety of exclusive and name brands throughout both its Kmart and Sears stores and websites In addition Sears Holdings is the leading appliance retailer carrying name-brands like Kenmore and the corporation is also a leader in home and garden tool lawn-care fitness equipment and automobile repair and maintenance departments Craftsman and Diehard are some popular brands found in these departments Other popular exclusive brands carried by Kmart include Joe Boxer Kardashian Kollection Sandra by Sandra Lee Landrsquos End Jaclyn Smith Sofia by Sofia Vergara and Country Living (Our Brands 2014) These brands can be found in Kmartrsquos apparel accessories and home-goods departments Besides the above products Kmart stores also include a large grocery department

Distribution Methods

Kmart partakes in a store-based distribution method Currently Kmart has approximately 1221 store locations in the United States Guam Puerto Rico and the US Virgin Islands Discount stores account for 1196 of those locations and they average around 94000 square feet Super Centers account for only 25 of those locations and they average around 168000 square feet 896 Kmart stores contain pharmacies and 21 stores have Sears Auto Centers Sears Auto Centers offer repair and maintenance services and sell automobile accessories Typically Kmart

6

Kmart IMC Plan

(photo credit searsholdingscom)

stores carry merchandise such as electronics seasonal merchandise outdoor living toys lawn and garden food apparel Kenmore products and certain Sears brand products In addition store locations offer an everyday layaway program (About Kmart 2014)

Kmart also partakes in an online distribution method Kmartrsquos website is httpwwwkmartcom The website offers the consumer the same brands and products (excluding grocery items) that can be found in its store-based locations Shoppers also have the options to make purchases online or via a mobile app and to buy online and pick up in stores Kmartrsquos everyday layaway program is also available to online shoppers (About Kmart 2014)

Competition Among the ldquoBig 3rdquo

Walmart is the largest discount store in the United States (DInnocenzio 2012) The company is probably most well-known for its low prices and price-matching advertisement policy The company also has a user-friendly website which offers free site-to-store shipping (Conover 2012) Currently Walmart has approximately 3000 supercenter stores which offer consumers one-stop shopping on a vast amount of both grocery and retail products In addition Walmart is moving into urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012) Walmart stores offer consumers a variety of services including hair and nail salons vision centers pharmacies portrait studios holiday layaway and health clinics (Conover 2012)

Target is the 2nd largest discount store in the United States and the company is well-known for having an advertising campaign targeted at women (DInnocenzio 2012) Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices Stores are also noted as being clean and stress-free In addition Targetrsquos employees are known for being available and helpful Many Target stores contain pharmacies photo processing studios heath clinics and vision clinics (Conover 2012) Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

5 Key Pillars of Kmartrsquos Marketing Strategies

1 Creating lasting relationships with customers by empowering them to manage their lives

2 Attaining best in class productivity and efficiency

3 Building our brands

4 Reinventing the company constantly through technology and innovation

5 Reinforcing ldquoThe SHC (Sears Holdings Corporation) Wayrdquo by living our values everyday (Farfan 2014)

7

Kmart IMC Plan

Existing Marketing Communication Strategies

Advertising

In 2013 Kmart came under scrutiny for some popular but questionable TV commercials Critics claimed that the commercialsrsquo content was risque and included too much crude-humor The ads in question were ldquoShip Your Pantsrdquo (20 million YouTube views) ldquoShow Your Joerdquo (17 million YouTube views) and ldquoBig Gas Savingsrdquo (6 million YouTube views) Women specifically responded to the ads with mixed reviews and used a variety of terms including ldquovulgarrdquo ldquooffensiverdquo ldquohilariousrdquo and ldquouniquerdquo They also questioned if the ads were ldquofamily-friendlyrdquo Ace Metrix (an ad tracking firm) stated that the ads scored high in ldquoattentionrdquo but low in ldquorelevancerdquo while ABX database reported that the ads scored highest in the ldquodislikerdquo category and scored second in the ldquolike-abilityrdquo category (Berg 2013) These ads can be found on Kmartrsquos Youtube page along with a wide range of other Kmart advertisements

Direct Marketing

Kmart partakes in direct marketing through its website - Kmartcom and its smartphone app The website allows consumers the ability to purchase the same brands and products they love online Online shoppers also have the ability to buy their merchandise online and pick it up in stores The smartphone app contains a browse and search option compare products option personalized savings layaway management and the option to buy and send gift cards In addition the app allows consumers to take advantage of ldquoShop Your Wayrdquo rewards This means shoppers can earn points on purchases redeem points to save money and redeem special offers

Interactive Internet Marketing

Kmart displays interactive internet marketing through the ldquoMy Kmartrdquo community area of its website and through social media The website contains a variety of QampA forums which include topics such as ldquoChit-Chatrdquo ldquoAsk an Expertrdquo ldquoInterests and Hobbiesrdquo and ldquoCommunityrdquo Consumers have the ability to ask questions on any of these forums and Kmart employees or other ldquoMy Kmartrdquo members will respond back to them The ldquoMy Kmartrdquo page also contains links to a community poll featured posts and miscellaneous tips and tricks about books home decor DIY and more In addition Kmart has a Facebook page Twitter account and an Instagram account which partake in interactive internet marketing The Kmart Facebook page has 1300000 ldquolikesrdquo In comparison Walmart has over 30000000 ldquolikesrdquo and Target has over 22000000 The Kmart Facebook page promotes products services and sweepstakes offers while interacting with consumers by ldquolikingrdquo comments and answering questions The Kmart Twitter account has 52000 followers In contrast Walmartrsquos Twitter account has 444000 followers while Targetrsquos has 1029000 followers The Kmart Twitter account also promotes products sweepstakes and shares Kmart-related news They interact with consumers by ldquoretweetingrdquo posts and answering ldquotweetsrdquo Finally the Kmart Instagram account has 4026 followers In comparison Walmartrsquos Instagram has 16000 followers and Targetrsquos Instagram has 156000 followers The Kmart Instagram account promotes new products and displays found at Kmart

8

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

2014) In 1997 Kmart became the exclusive retailer of Martha Stewart Everyday Home Furnishings (Kmart 2013)

Todayrsquos Financials

By the time the new millennium rolled around 2200 stores made up the entire Kmart Corporation However in 2002 Kmart filed for Chapter 11 Bankruptcy and had to close 283 of its stores It reemerged from bankruptcy in 2003 and in 2005 Kmart acquired Sears Roebuck and Co That same year the company changed its name to the Sears Holdings Corporation (Corporate History 2014) In 2009 Kmart and Martha Stewart failed to come to a new agreement thus eliminating their long partnership (Kmart 2013)

For more than a decade now Kmart has struggled with serious financial issues In 2011 Sears Holdings announced that 100-120 of its stores would be closing Overall sales dropped 27 for the quarter and 14 for the fiscal year (Schultz 2012) The very next year Kmart lost $132 million in its July quarter resulting in the largest quarterly loss for the company in 9 years Later that same year Kmart reported a staggering $498 million loss on lower sales Sears Holdings stocks fell 18 to $4775 and store sales fell 47 (Farzad 2012) Last year brought even more financial loss to the company Sears Holdings reported an expected annual loss of $914 million in 2013 and sales fell 74 for the quarter However even with all this monetary loss there are still 1221 Kmart stores in existence and they bring in $15 billion in revenue (Davies 2014)

Pricing Strategies

ldquoAttention Kmart Shoppers Blue Light Specialrdquo

Kmart introduced the ldquoBlue Light Special Campaignrdquo to consumers as a sales tactic in the 1960rsquos Originally blue light specials consisted of surprise in-store price-cuts on select merchandise They typically lasted for around 15 minutes At the beginning of each flash-sale consumers would hear ldquoAttention Kmart shoppers blue light special on aislerdquo over a loudspeaker A flashing blue siren light (similar to one atop a police car) would also be located in the sale area After the announcement consumers would rush to the aforementioned aisle to take advantage of the sale The sales tactic was successful and lasted around 70 years until it ended in 1991 In 1999 Kmart launched its first ever web presence ldquoBlueLightcomrdquo In 2001 Kmart decided to bring it back the idea of in-store blue light specials however consumers did not react to the concept as well as they did in the past The attempt proved to be short-lived and unsuccessful (Smith amp Walker 2014)

Todayrsquos Prices

Today Kmartrsquos prices are not reflective of its bargain beginnings In fact its prices rank excessively higher than its competitors For example one study reports a researcher visiting Target Walmart and Kmart to buy 30 identical and like items in order to compare prices among the ldquoBig 3rdquo The purchases consisted of the following items electronics grocery health beauty home goods toys and clothing The total of Walmartrsquos items was $177615 The total of Targetrsquos items was $186610 The total of Kmartrsquos items was $209282 Out of the three stores Kmart was reported

5

Kmart IMC Plan

(photo credit momswhothinkcom)

with having the highest prices most limited store-wide selection most empty shelves and most disgruntled and unavailable employees (Conover 2012)

Major Brands amp Products

The Sears Holdings Corporation carries variety of exclusive and name brands throughout both its Kmart and Sears stores and websites In addition Sears Holdings is the leading appliance retailer carrying name-brands like Kenmore and the corporation is also a leader in home and garden tool lawn-care fitness equipment and automobile repair and maintenance departments Craftsman and Diehard are some popular brands found in these departments Other popular exclusive brands carried by Kmart include Joe Boxer Kardashian Kollection Sandra by Sandra Lee Landrsquos End Jaclyn Smith Sofia by Sofia Vergara and Country Living (Our Brands 2014) These brands can be found in Kmartrsquos apparel accessories and home-goods departments Besides the above products Kmart stores also include a large grocery department

Distribution Methods

Kmart partakes in a store-based distribution method Currently Kmart has approximately 1221 store locations in the United States Guam Puerto Rico and the US Virgin Islands Discount stores account for 1196 of those locations and they average around 94000 square feet Super Centers account for only 25 of those locations and they average around 168000 square feet 896 Kmart stores contain pharmacies and 21 stores have Sears Auto Centers Sears Auto Centers offer repair and maintenance services and sell automobile accessories Typically Kmart

6

Kmart IMC Plan

(photo credit searsholdingscom)

stores carry merchandise such as electronics seasonal merchandise outdoor living toys lawn and garden food apparel Kenmore products and certain Sears brand products In addition store locations offer an everyday layaway program (About Kmart 2014)

Kmart also partakes in an online distribution method Kmartrsquos website is httpwwwkmartcom The website offers the consumer the same brands and products (excluding grocery items) that can be found in its store-based locations Shoppers also have the options to make purchases online or via a mobile app and to buy online and pick up in stores Kmartrsquos everyday layaway program is also available to online shoppers (About Kmart 2014)

Competition Among the ldquoBig 3rdquo

Walmart is the largest discount store in the United States (DInnocenzio 2012) The company is probably most well-known for its low prices and price-matching advertisement policy The company also has a user-friendly website which offers free site-to-store shipping (Conover 2012) Currently Walmart has approximately 3000 supercenter stores which offer consumers one-stop shopping on a vast amount of both grocery and retail products In addition Walmart is moving into urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012) Walmart stores offer consumers a variety of services including hair and nail salons vision centers pharmacies portrait studios holiday layaway and health clinics (Conover 2012)

Target is the 2nd largest discount store in the United States and the company is well-known for having an advertising campaign targeted at women (DInnocenzio 2012) Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices Stores are also noted as being clean and stress-free In addition Targetrsquos employees are known for being available and helpful Many Target stores contain pharmacies photo processing studios heath clinics and vision clinics (Conover 2012) Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

5 Key Pillars of Kmartrsquos Marketing Strategies

1 Creating lasting relationships with customers by empowering them to manage their lives

2 Attaining best in class productivity and efficiency

3 Building our brands

4 Reinventing the company constantly through technology and innovation

5 Reinforcing ldquoThe SHC (Sears Holdings Corporation) Wayrdquo by living our values everyday (Farfan 2014)

7

Kmart IMC Plan

Existing Marketing Communication Strategies

Advertising

In 2013 Kmart came under scrutiny for some popular but questionable TV commercials Critics claimed that the commercialsrsquo content was risque and included too much crude-humor The ads in question were ldquoShip Your Pantsrdquo (20 million YouTube views) ldquoShow Your Joerdquo (17 million YouTube views) and ldquoBig Gas Savingsrdquo (6 million YouTube views) Women specifically responded to the ads with mixed reviews and used a variety of terms including ldquovulgarrdquo ldquooffensiverdquo ldquohilariousrdquo and ldquouniquerdquo They also questioned if the ads were ldquofamily-friendlyrdquo Ace Metrix (an ad tracking firm) stated that the ads scored high in ldquoattentionrdquo but low in ldquorelevancerdquo while ABX database reported that the ads scored highest in the ldquodislikerdquo category and scored second in the ldquolike-abilityrdquo category (Berg 2013) These ads can be found on Kmartrsquos Youtube page along with a wide range of other Kmart advertisements

Direct Marketing

Kmart partakes in direct marketing through its website - Kmartcom and its smartphone app The website allows consumers the ability to purchase the same brands and products they love online Online shoppers also have the ability to buy their merchandise online and pick it up in stores The smartphone app contains a browse and search option compare products option personalized savings layaway management and the option to buy and send gift cards In addition the app allows consumers to take advantage of ldquoShop Your Wayrdquo rewards This means shoppers can earn points on purchases redeem points to save money and redeem special offers

Interactive Internet Marketing

Kmart displays interactive internet marketing through the ldquoMy Kmartrdquo community area of its website and through social media The website contains a variety of QampA forums which include topics such as ldquoChit-Chatrdquo ldquoAsk an Expertrdquo ldquoInterests and Hobbiesrdquo and ldquoCommunityrdquo Consumers have the ability to ask questions on any of these forums and Kmart employees or other ldquoMy Kmartrdquo members will respond back to them The ldquoMy Kmartrdquo page also contains links to a community poll featured posts and miscellaneous tips and tricks about books home decor DIY and more In addition Kmart has a Facebook page Twitter account and an Instagram account which partake in interactive internet marketing The Kmart Facebook page has 1300000 ldquolikesrdquo In comparison Walmart has over 30000000 ldquolikesrdquo and Target has over 22000000 The Kmart Facebook page promotes products services and sweepstakes offers while interacting with consumers by ldquolikingrdquo comments and answering questions The Kmart Twitter account has 52000 followers In contrast Walmartrsquos Twitter account has 444000 followers while Targetrsquos has 1029000 followers The Kmart Twitter account also promotes products sweepstakes and shares Kmart-related news They interact with consumers by ldquoretweetingrdquo posts and answering ldquotweetsrdquo Finally the Kmart Instagram account has 4026 followers In comparison Walmartrsquos Instagram has 16000 followers and Targetrsquos Instagram has 156000 followers The Kmart Instagram account promotes new products and displays found at Kmart

8

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

with having the highest prices most limited store-wide selection most empty shelves and most disgruntled and unavailable employees (Conover 2012)

Major Brands amp Products

The Sears Holdings Corporation carries variety of exclusive and name brands throughout both its Kmart and Sears stores and websites In addition Sears Holdings is the leading appliance retailer carrying name-brands like Kenmore and the corporation is also a leader in home and garden tool lawn-care fitness equipment and automobile repair and maintenance departments Craftsman and Diehard are some popular brands found in these departments Other popular exclusive brands carried by Kmart include Joe Boxer Kardashian Kollection Sandra by Sandra Lee Landrsquos End Jaclyn Smith Sofia by Sofia Vergara and Country Living (Our Brands 2014) These brands can be found in Kmartrsquos apparel accessories and home-goods departments Besides the above products Kmart stores also include a large grocery department

Distribution Methods

Kmart partakes in a store-based distribution method Currently Kmart has approximately 1221 store locations in the United States Guam Puerto Rico and the US Virgin Islands Discount stores account for 1196 of those locations and they average around 94000 square feet Super Centers account for only 25 of those locations and they average around 168000 square feet 896 Kmart stores contain pharmacies and 21 stores have Sears Auto Centers Sears Auto Centers offer repair and maintenance services and sell automobile accessories Typically Kmart

6

Kmart IMC Plan

(photo credit searsholdingscom)

stores carry merchandise such as electronics seasonal merchandise outdoor living toys lawn and garden food apparel Kenmore products and certain Sears brand products In addition store locations offer an everyday layaway program (About Kmart 2014)

Kmart also partakes in an online distribution method Kmartrsquos website is httpwwwkmartcom The website offers the consumer the same brands and products (excluding grocery items) that can be found in its store-based locations Shoppers also have the options to make purchases online or via a mobile app and to buy online and pick up in stores Kmartrsquos everyday layaway program is also available to online shoppers (About Kmart 2014)

Competition Among the ldquoBig 3rdquo

Walmart is the largest discount store in the United States (DInnocenzio 2012) The company is probably most well-known for its low prices and price-matching advertisement policy The company also has a user-friendly website which offers free site-to-store shipping (Conover 2012) Currently Walmart has approximately 3000 supercenter stores which offer consumers one-stop shopping on a vast amount of both grocery and retail products In addition Walmart is moving into urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012) Walmart stores offer consumers a variety of services including hair and nail salons vision centers pharmacies portrait studios holiday layaway and health clinics (Conover 2012)

Target is the 2nd largest discount store in the United States and the company is well-known for having an advertising campaign targeted at women (DInnocenzio 2012) Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices Stores are also noted as being clean and stress-free In addition Targetrsquos employees are known for being available and helpful Many Target stores contain pharmacies photo processing studios heath clinics and vision clinics (Conover 2012) Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

5 Key Pillars of Kmartrsquos Marketing Strategies

1 Creating lasting relationships with customers by empowering them to manage their lives

2 Attaining best in class productivity and efficiency

3 Building our brands

4 Reinventing the company constantly through technology and innovation

5 Reinforcing ldquoThe SHC (Sears Holdings Corporation) Wayrdquo by living our values everyday (Farfan 2014)

7

Kmart IMC Plan

Existing Marketing Communication Strategies

Advertising

In 2013 Kmart came under scrutiny for some popular but questionable TV commercials Critics claimed that the commercialsrsquo content was risque and included too much crude-humor The ads in question were ldquoShip Your Pantsrdquo (20 million YouTube views) ldquoShow Your Joerdquo (17 million YouTube views) and ldquoBig Gas Savingsrdquo (6 million YouTube views) Women specifically responded to the ads with mixed reviews and used a variety of terms including ldquovulgarrdquo ldquooffensiverdquo ldquohilariousrdquo and ldquouniquerdquo They also questioned if the ads were ldquofamily-friendlyrdquo Ace Metrix (an ad tracking firm) stated that the ads scored high in ldquoattentionrdquo but low in ldquorelevancerdquo while ABX database reported that the ads scored highest in the ldquodislikerdquo category and scored second in the ldquolike-abilityrdquo category (Berg 2013) These ads can be found on Kmartrsquos Youtube page along with a wide range of other Kmart advertisements

Direct Marketing

Kmart partakes in direct marketing through its website - Kmartcom and its smartphone app The website allows consumers the ability to purchase the same brands and products they love online Online shoppers also have the ability to buy their merchandise online and pick it up in stores The smartphone app contains a browse and search option compare products option personalized savings layaway management and the option to buy and send gift cards In addition the app allows consumers to take advantage of ldquoShop Your Wayrdquo rewards This means shoppers can earn points on purchases redeem points to save money and redeem special offers

Interactive Internet Marketing

Kmart displays interactive internet marketing through the ldquoMy Kmartrdquo community area of its website and through social media The website contains a variety of QampA forums which include topics such as ldquoChit-Chatrdquo ldquoAsk an Expertrdquo ldquoInterests and Hobbiesrdquo and ldquoCommunityrdquo Consumers have the ability to ask questions on any of these forums and Kmart employees or other ldquoMy Kmartrdquo members will respond back to them The ldquoMy Kmartrdquo page also contains links to a community poll featured posts and miscellaneous tips and tricks about books home decor DIY and more In addition Kmart has a Facebook page Twitter account and an Instagram account which partake in interactive internet marketing The Kmart Facebook page has 1300000 ldquolikesrdquo In comparison Walmart has over 30000000 ldquolikesrdquo and Target has over 22000000 The Kmart Facebook page promotes products services and sweepstakes offers while interacting with consumers by ldquolikingrdquo comments and answering questions The Kmart Twitter account has 52000 followers In contrast Walmartrsquos Twitter account has 444000 followers while Targetrsquos has 1029000 followers The Kmart Twitter account also promotes products sweepstakes and shares Kmart-related news They interact with consumers by ldquoretweetingrdquo posts and answering ldquotweetsrdquo Finally the Kmart Instagram account has 4026 followers In comparison Walmartrsquos Instagram has 16000 followers and Targetrsquos Instagram has 156000 followers The Kmart Instagram account promotes new products and displays found at Kmart

8

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

stores carry merchandise such as electronics seasonal merchandise outdoor living toys lawn and garden food apparel Kenmore products and certain Sears brand products In addition store locations offer an everyday layaway program (About Kmart 2014)

Kmart also partakes in an online distribution method Kmartrsquos website is httpwwwkmartcom The website offers the consumer the same brands and products (excluding grocery items) that can be found in its store-based locations Shoppers also have the options to make purchases online or via a mobile app and to buy online and pick up in stores Kmartrsquos everyday layaway program is also available to online shoppers (About Kmart 2014)

Competition Among the ldquoBig 3rdquo

Walmart is the largest discount store in the United States (DInnocenzio 2012) The company is probably most well-known for its low prices and price-matching advertisement policy The company also has a user-friendly website which offers free site-to-store shipping (Conover 2012) Currently Walmart has approximately 3000 supercenter stores which offer consumers one-stop shopping on a vast amount of both grocery and retail products In addition Walmart is moving into urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012) Walmart stores offer consumers a variety of services including hair and nail salons vision centers pharmacies portrait studios holiday layaway and health clinics (Conover 2012)

Target is the 2nd largest discount store in the United States and the company is well-known for having an advertising campaign targeted at women (DInnocenzio 2012) Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices Stores are also noted as being clean and stress-free In addition Targetrsquos employees are known for being available and helpful Many Target stores contain pharmacies photo processing studios heath clinics and vision clinics (Conover 2012) Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

5 Key Pillars of Kmartrsquos Marketing Strategies

1 Creating lasting relationships with customers by empowering them to manage their lives

2 Attaining best in class productivity and efficiency

3 Building our brands

4 Reinventing the company constantly through technology and innovation

5 Reinforcing ldquoThe SHC (Sears Holdings Corporation) Wayrdquo by living our values everyday (Farfan 2014)

7

Kmart IMC Plan

Existing Marketing Communication Strategies

Advertising

In 2013 Kmart came under scrutiny for some popular but questionable TV commercials Critics claimed that the commercialsrsquo content was risque and included too much crude-humor The ads in question were ldquoShip Your Pantsrdquo (20 million YouTube views) ldquoShow Your Joerdquo (17 million YouTube views) and ldquoBig Gas Savingsrdquo (6 million YouTube views) Women specifically responded to the ads with mixed reviews and used a variety of terms including ldquovulgarrdquo ldquooffensiverdquo ldquohilariousrdquo and ldquouniquerdquo They also questioned if the ads were ldquofamily-friendlyrdquo Ace Metrix (an ad tracking firm) stated that the ads scored high in ldquoattentionrdquo but low in ldquorelevancerdquo while ABX database reported that the ads scored highest in the ldquodislikerdquo category and scored second in the ldquolike-abilityrdquo category (Berg 2013) These ads can be found on Kmartrsquos Youtube page along with a wide range of other Kmart advertisements

Direct Marketing

Kmart partakes in direct marketing through its website - Kmartcom and its smartphone app The website allows consumers the ability to purchase the same brands and products they love online Online shoppers also have the ability to buy their merchandise online and pick it up in stores The smartphone app contains a browse and search option compare products option personalized savings layaway management and the option to buy and send gift cards In addition the app allows consumers to take advantage of ldquoShop Your Wayrdquo rewards This means shoppers can earn points on purchases redeem points to save money and redeem special offers

Interactive Internet Marketing

Kmart displays interactive internet marketing through the ldquoMy Kmartrdquo community area of its website and through social media The website contains a variety of QampA forums which include topics such as ldquoChit-Chatrdquo ldquoAsk an Expertrdquo ldquoInterests and Hobbiesrdquo and ldquoCommunityrdquo Consumers have the ability to ask questions on any of these forums and Kmart employees or other ldquoMy Kmartrdquo members will respond back to them The ldquoMy Kmartrdquo page also contains links to a community poll featured posts and miscellaneous tips and tricks about books home decor DIY and more In addition Kmart has a Facebook page Twitter account and an Instagram account which partake in interactive internet marketing The Kmart Facebook page has 1300000 ldquolikesrdquo In comparison Walmart has over 30000000 ldquolikesrdquo and Target has over 22000000 The Kmart Facebook page promotes products services and sweepstakes offers while interacting with consumers by ldquolikingrdquo comments and answering questions The Kmart Twitter account has 52000 followers In contrast Walmartrsquos Twitter account has 444000 followers while Targetrsquos has 1029000 followers The Kmart Twitter account also promotes products sweepstakes and shares Kmart-related news They interact with consumers by ldquoretweetingrdquo posts and answering ldquotweetsrdquo Finally the Kmart Instagram account has 4026 followers In comparison Walmartrsquos Instagram has 16000 followers and Targetrsquos Instagram has 156000 followers The Kmart Instagram account promotes new products and displays found at Kmart

8

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Existing Marketing Communication Strategies

Advertising

In 2013 Kmart came under scrutiny for some popular but questionable TV commercials Critics claimed that the commercialsrsquo content was risque and included too much crude-humor The ads in question were ldquoShip Your Pantsrdquo (20 million YouTube views) ldquoShow Your Joerdquo (17 million YouTube views) and ldquoBig Gas Savingsrdquo (6 million YouTube views) Women specifically responded to the ads with mixed reviews and used a variety of terms including ldquovulgarrdquo ldquooffensiverdquo ldquohilariousrdquo and ldquouniquerdquo They also questioned if the ads were ldquofamily-friendlyrdquo Ace Metrix (an ad tracking firm) stated that the ads scored high in ldquoattentionrdquo but low in ldquorelevancerdquo while ABX database reported that the ads scored highest in the ldquodislikerdquo category and scored second in the ldquolike-abilityrdquo category (Berg 2013) These ads can be found on Kmartrsquos Youtube page along with a wide range of other Kmart advertisements

Direct Marketing

Kmart partakes in direct marketing through its website - Kmartcom and its smartphone app The website allows consumers the ability to purchase the same brands and products they love online Online shoppers also have the ability to buy their merchandise online and pick it up in stores The smartphone app contains a browse and search option compare products option personalized savings layaway management and the option to buy and send gift cards In addition the app allows consumers to take advantage of ldquoShop Your Wayrdquo rewards This means shoppers can earn points on purchases redeem points to save money and redeem special offers

Interactive Internet Marketing

Kmart displays interactive internet marketing through the ldquoMy Kmartrdquo community area of its website and through social media The website contains a variety of QampA forums which include topics such as ldquoChit-Chatrdquo ldquoAsk an Expertrdquo ldquoInterests and Hobbiesrdquo and ldquoCommunityrdquo Consumers have the ability to ask questions on any of these forums and Kmart employees or other ldquoMy Kmartrdquo members will respond back to them The ldquoMy Kmartrdquo page also contains links to a community poll featured posts and miscellaneous tips and tricks about books home decor DIY and more In addition Kmart has a Facebook page Twitter account and an Instagram account which partake in interactive internet marketing The Kmart Facebook page has 1300000 ldquolikesrdquo In comparison Walmart has over 30000000 ldquolikesrdquo and Target has over 22000000 The Kmart Facebook page promotes products services and sweepstakes offers while interacting with consumers by ldquolikingrdquo comments and answering questions The Kmart Twitter account has 52000 followers In contrast Walmartrsquos Twitter account has 444000 followers while Targetrsquos has 1029000 followers The Kmart Twitter account also promotes products sweepstakes and shares Kmart-related news They interact with consumers by ldquoretweetingrdquo posts and answering ldquotweetsrdquo Finally the Kmart Instagram account has 4026 followers In comparison Walmartrsquos Instagram has 16000 followers and Targetrsquos Instagram has 156000 followers The Kmart Instagram account promotes new products and displays found at Kmart

8

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Sales Promotions

Like most other big retailers Kmart uses coupons to attract customers Kmart coupons can be found in newspaper ads online (coupon codes) and on the Kmart smartphone app The smartphone app allows consumers to receive personalized Kmart couponsKmart also offers ldquoShop Your Wayrdquo rewards Consumers can earn 10 points for every dollar they spend on qualifying purchases at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases Kmart members also have the added perks of members-only sales pricing and events (Points for Progress 2014)

This year Sears Holdings Corporation launched its ldquoPoints For Progressrdquo program and teamed up with Fitstudiocom ldquoPoints For Progressrdquo is a fitness rewards program where consumers can earn ldquoShop Your Wayrdquo rewards if they register for free at Fitstudiocom connect to a fitness app or device and track their fitness-related activity ldquoShop Your Wayrdquo members will earn $5 in points for every 14 miles walked or run in 2014 (Points for Progress 2014)

9

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Target AudienceThe perception is that Kmart has become lost in the ldquobig boxrdquo retail market dominated by Target and Walmart The company has a suffered greatly from a lack of clear market and brand positioning (Schultz 2012) While Walmart markets to the working class and Target markets to a more upscale female crowd consumers are left wondering to whom does Kmart market (DInnocenzio 2012)

After researching Kmartrsquos market position consumer base and expansion opportunities it is recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years) Based on the growth and immense buying power of this market Kmart could greatly improve it market position by targeting this specific audience

Marketing to Women

Currently women are the largest marketing opportunity in the world Women control $20 trillion in annual US consumer spending and that number is expected to rise to $28 trillion by 2018 Women actively participate in 85 of all consumer purchases and 75 of women consider themselves the primary shoppers for their households (Gilhool 2013) In addition women account for 58 of all online spending Statistics show that 78 of women consult the Internet before making a purchase and 22 of women shop online at least once per day 95 of women share online deals and product finds with their family friends and coworkers (Walter 2012)

Mothers specifically represent a staggering $24 trillion market Mothers mention brands approximately 73 times a week while men only mention brands around 57 times per week Mothers also make up a large portion of Internet users 90 of mothers are online and 183 million of those moms engage in blog reading at least once per month Statistics show that 77 of blogging mothers will only write about products or brands they approve of In addition 64 of mothers ask other moms for advice before purchasing a product and 63 of mothers consider other moms the best references for new products (Walter 2012)

Generation X

ldquoGeneration X encompasses the 44 to 50 million Americans born between 1965 and 1980rdquo (Kane 2014) Thus the birth era for Kmartrsquos target market of Generation X falls between the ages of 31-46 years (Wang Parker amp Taylor 2013) Statistics have shown that 639 of all mothers fall into the Generation X category and 58 of Generation X mothers are single moms Their household size typically consists of 2 or more members and the marital status ranges from married to single (Wang Parker amp Taylor 2013) Moreover Generation X members are ldquomore ethnically diverse and better educated than the Baby Boomers Over 60 of Generation X attended collegerdquo (Kane 2014)

The income for Generation X mothers ranges from $25000 (median) for a single working mom to $57000 (median) for a family upwards to $79000+ (Wang Parker amp Taylor 2013) The annual income for Target shoppers is around $64000 while Walmartrsquos shoppers incomes range from $30000-60000 (DInnocenzio 2012) Kmart will focus on appealing to Generation X mothers whose income falls between $30000-55000

10

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Though Generation Xers live in every city in the United States the largest clusters of this demographic can be found in down south and out west (Dominant Generations 2000) Since Kmart is a national company it will focus on appealing to Generation X members throughout all locations in the United States with a stronger focus on high Generation X population areas Many of these dense population areas are located in urban and suburban locations (Dominant Generations 2000)

Generation X characteristics include individualistic technology adept flexible and a strong value for worklife balance ldquoGeneration X came of age in an era of two-income families rising divorce rates and a faltering economy Women were joining the workforce in large numbers spawning an age of lsquolatch-keyrsquo children As a result Generation X is independent resourceful and self-sufficientrdquo In addition Generation X is technology adept They were the first generation to grow up with computers ldquoThis generation is comfortable using PDAs cellphones e-mail laptops Blackberrys and other modern technologyrdquo Generation X is also considered a ldquoflexiblerdquo generation ldquoMany Generation Xers lived through tough economic times in the 1980s and saw their workaholic parents lose hard-earned positionsrdquo Because of this ldquothey adapt well to change and are tolerant of alternative lifestyles Generation X is ambitious and eager to learn new skills but want to accomplish things on their own termsrdquo Finally Generation Xers value a proper worklife balance ldquoMembers of Generation X work to live rather than live to work They appreciate fun in the workplace and espouse a work hardplay hard mentalityrdquo (Kane 2014)

Customer Profiles

Below are two customer profiles that describe the target market Kmart would focus on appealing to in the coming year

Generation X Profile A

Jennifer 37 Charlotte WhiteCaucasian Gen X

Traditional mother

Married stay-at-home mother of 2 children (ages 2 and 4)

Income $55000

Ideals bull Conservative traditional and practical bull Loyal predictable shopper - always chooses familiar and established brandsbull Consults the opinions of blogs and other mothers when looking to try out a new productbull Hard worker with an established daily routine bull Favors American brandsbull Holds family and religion with high importance

11

Kmart IMC Plan

(photo credit prosoftengcom)

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Generation X Profile B

Shirley 31 San Diego African American Gen X

Working Professional

Single working mother with one child (age 1)

Income $30000

Ideals bull Trendy and enjoys trying new thingsbull Regards the importance of a proper worklife balancebull Open to new ideasbull Liberal ideology independent thinkerbull Well-educatedbull Employed full-time bull Budget-conscious bull Internet-savvy - reads blogs and interacts with social media daily

12

Kmart IMC Plan

(photo credit mommydocscom)

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

SWOT ANALYSISStrengths Weaknesses Opportunities amp Threats

Internal Strengths Weaknesses bull Kmart has a strong company foundation

since 1899 (Corporate History 2014)

bull Kmart offers consumers an everyday

layaway program while its competitors

only offer layaway during back-to-school

and holiday seasons

bull Kmart has success with its stores in urban

locations

bull Kmart offers many exclusive brands

Some examples are as follows Kenmore

Craftsmen Kardashian Kollection Country

Living and Sandra by Sandra Lee (About

Kmart 2014)

bull Kmart offers a wide variety of products

ranging from home goods furniture

apparel shoes and groceries

bull Unlike its competitors Kmart sells name-

brand appliances (About Kmart 2014)

bull Kmart offers a ldquoShop Your Wayrdquo rewards

program where consumers can earn

points on merchandise purchased at

Kmart and Sears (Points For Progress

2014)

bull Kmartrsquos website is user-friendly and easy

for customers to navigate

bull Kmart offers a ldquobuy online - pick up in

storerdquo option which can be accessed

online or via their mobile app

bull Kmart has a ldquoMy Kmartrdquo online

community for consumers where they can

ask questions vote on polls and read

ldquoblog-stylerdquo posts on a variety of topics

bull Because Kmart filed for Chapter 11 bankruptcy in 2002 the company has carried over a damaged reputation in the minds of most consumers (Corporate History 2014)

bull Kmart has suffered from a wide range of serious financial problems since bankruptcy As recently as 2013 Sears Holdings reported an annual loss of $914 million (Davis 2014)

bull Kmartrsquos prices are excessively higher than those of its competitors and due to economic hardships this could be a turn-off for most consumers (Conover 2012)

bull Kmart stores are known for being outdated not being adequately stocked and having empty shelves (Conover 2012)

bull Many consumers state that Kmart has poor customer service This is because Kmart employees seem disgruntled and are unavailable especially when compared to the employees of Kmartrsquos competitors (Conover 2012)

bull Kmart marketing budget is much lower than that of its competitors For example Kmart spent $215 million on measured media in 2012 Walmart spent $622 million and Target spent $683 million (Schultz 2012)

bull Unlike its competitors Kmart lacks direction with store concepts and doesnrsquot focus on appealing to a specific target market

bull Kmart does not have a strong loyal customer base to rely on

bull All of Kmartrsquos social media accounts (Twitter Facebook and Instagram) have significantly less followers than those of its competitors

bull Kmartrsquos recent advertising campaigns have been called ldquorisquerdquo and ldquoinappropriate for familiesrdquo This is not reflective of other advertising campaigns among its competitors and it could put them at a large disadvantage among female consumers (Berg 2013)

13

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

External Opportunities Threats bull Kmart can implement strategic training

programs to help employees better

represent the brandrsquos new image and

increase customer service satisfaction

bull Kmart can begin building a strong brand

image by focusing on appealing to its new

target market and thus begin building a

loyal customer base

bull Kmart can use this $20 million IMC

campaign to increase marketing

awareness among consumers and better

compete with its ldquoBig 3rdquo competitors

bull Kmart stores can be completely

redesigned and changed from outdated

and empty to a more modern up-dated

and simplistic style

bull Due to closing hundreds of stores Kmart

can better manage update and maintain

those stores which are still open

bull Kmart can take advantage of its social

media outlets to appeal to its target market

through advertising and interactive Internet

marketing This should generate more

publicity and interest from more followers

bull Kmart can generate mergers from well-

known companies or brands which would

appeal to its target market

bull Kmart can focus on making its coupons

even more personalized by offering

customized coupons based on a

customerrsquos previous purchases This could

help reduce the need for price matching

bull Kmart can use its previous urban success

to its advantage and launch smaller

ldquoexpressrdquo-type stores to target consumers

bull Kmart can use the blog-style format of its

ldquoKmart Caresrdquo community to start

attracting the interest of its target market

bull Walmart is the largest discount store in the United States and it offers its consumers better discount prices than Kmart because of its supply chain practices (DInnocenzio 2012)

bull Walmart offers the lowest prices most vast inventory and widest variety of services (vision center portrait studio health center hair salons etc) among the ldquoBig 3rdquo (Conover 2012)

bull Walmart is moving into Kmartrsquos successful urban areas with Walmart Express stores The stores range from 12000-15000 square feet and are described as being ldquohybridrdquo grocery pharmacy and connivence stores (Kim 2012)

bull Target is the 2nd largest discount store in the United States and its marketing strategy is specifically directed at women DInnocenzio 2012)

bull Targetrsquos stores are updated in appearance and contain fashionable items known for their quality and modest prices In addition Targetrsquos employees are known for being helpful (Conover 2012)

bull Target is also moving into urban areas with its smaller CityTarget stores Unlike Walmart Express stores which focus on groceries CityTarget will carry ldquoanything from jellies to jeansrdquo The stores will range from 80000-100000 square feet (Bradford 2012)

bull The bad economy continues to be a major factor in the amount of money people choose to spend in retail

bull Kmart has suffered from not catching consumer interests in the past As consumer needs and wants change it may be difficult for Kmart to attract their interest and keep up withstay ahead of the ever-changing market

14

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Marketing Objectives amp StrategiesMarketing Objectives

1 Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

2 Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

3 Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

4 Reduce poor customer satisfaction by 20 within 12 months among the target audience

5 Increase purchases at Kmart by 3 within 12 months among the target audience

Marketing Strategies

1 Develop sales promotion strategies to improve the features and benefits of shopping at Kmart

2 Utilize social media to connect with working mothers and improve Kmartrsquos overall brand-perception

3 Create paid advertising campaigns to increase awareness of Kmart and its brands

4 Utilize public relations to promote Kmartrsquos new comprehensive employee training and reward programs which will help reduce poor customer satisfaction

5 Utilize direct marketing to increase Generation X mothersrsquo purchases made at Kmart

15

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Creative Strategy

ldquoSave time and money on what you really loverdquo

Other Integrative Creative Statement Ideas

bull ldquoPersonalized savings for your familyrsquos personalized needsrdquo

bull ldquoSave money and time by shopping your wayrdquo

bull ldquoFamily time is personal we think savings should be toordquo

bull ldquoSpend time saving moneyrdquo

bull ldquoBig brands - even bigger savingsrdquo

bull ldquoYour favorite brands at prices yoursquoll loverdquo

bull ldquoOne-stop shopping on all of your favorite brandsrdquo

16

Kmart IMC Plan

Vast product range

Exclusive and name-brand products

Affordable prices

Energy-star appliances

Personalized coupons

ldquoShop Your Wayrdquo rewards

One-stop shopping experience

Want to save money

Want to save time

Appreciate good customer service

Products for every familyrsquos needs Stress-free shopping experience

Appreciate value

Brands are important

Rational Factors (Product Related)

Emotional Factors (Consumer Oriented)

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Creative BriefClient Kmart Date 2313Type IMC Pages 1 Why are we developing this IMC campaign

To increase Kmart sales and brand-awareness among mothers in the Generation X demographic

Whom are we talking to

Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious

What do they currently think

Shopping at Kmart can be very time-consuming because their stores are unorganized and outdated Their brands and products are also overpriced

What would we like them to think

Shopping for your favorite brands is quick and easy at Kmart Kmart has the low prices moms are looking for on a vast range of name-brand products they love

What is the single most persuasive idea we can convey

Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop shopping location

Why should they believe it

It is Kmartrsquos mission to improve the lives of their customers ldquoby providing quality services products and solutions that earn their trust and build lifetime relationships (Farfan 2014) Generation X mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and easy shopping experience and affordable prices on the brands and products that appeal to them

Are their any creative guidelines

bull Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media platforms using ldquoKelly Kmartrdquo

bull 30 second TV commercials full page magazine ads Social Media Internet ads smartphone app YouTube in-store display ads and direct mailemail marketing

bull Our brand personality should be portrayed as being relatable genuine and family-orientedbull Our identity standards should include our traditional red Kmart logo our new integrated creative

statement with the word ldquoreallyrdquo in italics and the Kelly Ripa promotion ldquoKelly Kmartrdquo bull The tone of this IMC campaign should be fun and informative

17

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Creative ExecutionSample Magazine Ad

bull Please see Appendices A-B to view what other examples of print distributions to reach this demographic would look like

18

Kmart IMC Plan

Creative Execution

bull Other optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using a new Kmart smartphone app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kmart shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

Kelly (photo credit searsholdingscom)

Jamie Huggins

Kmart IMC Plan

Kelly

Save time and money on what you really love

(photo credit of Kelly ladyandtheblogcom and Colgate)

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Media PlanKelly Ripa is well-liked among the Generation X mothers target audience Specifically Ripa has has been able to ldquowin over devotees with her self-deprecating good humor and wise approach to the tricky trials of child rearingrdquo (Kennedy 2009) Kmart will take advantage of Riparsquos humor and reliability to reach Generation X mothers using the ldquoKelly Kmartrdquo promotion across broadcast media digital media social media and print media

Media Objectives

1 Use broadcast media to provide coverage to 15 of the target audience over a 12 month period

2 Use broadcast media to drive 4 of the target audience to social media over a 12 month period

3 Use print media to reach 10 of the target audience in the next 12 months

4 Use digital media to reach 5 of the target audience over a 12 month period

5 Reach 15 of the target audience through social media advertisements in the next 12 months

Media Strategies amp Tactics

1 Create 30 second TV commercials to promote ldquoSave time and money on what you really loverdquo featuring Kelly Ripa

bull Frequently air 30 second commercials Monday - Sunday from 600 am - 1100 am on ABC and NBC during Good Morning America LIVE with Kelly amp Michael and The Today Show Periodically air 30 second commercials Monday - Sunday throughout the afternoon and evenings on the networks of Lifetime OWN and Oxygen

bull TV commercial ideas includebull Kelly shopping at newly designed Kmart stores bull Kelly using Kenmore appliances to make lunch for her kids at homebull Kelly using the ldquoShop Your Wayrdquo rewards app to download personalized coupons bull Kelly wearing Kmart brands at work and receiving compliments from colleagues bull Back to school commercials featuring Kelly shopping at Kmart with her kids for school

suppliesbull Christmas commercials featuring Kelly taking advantage of Kmartrsquos free layaway or

ordering online and receiving free shippingbull Kelly advertising the new ldquoKellyrsquos Favoritesrdquo print and online catalogue

bull Commercials will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented and the new creative slogan ldquoSave time and money on what you really loverdquo will be also featured in every commercial

19

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

bull In order to help drive the Generation X mothers to social media commercials will also contain the hashtag KellyKmart This will allow Kmart to help identify consumers who are watching the commercials It will also allow for Kmart to target people who are talking about specific commercials related to the ldquoKelly Kmartrdquo campaign on Facebook and Twitter

2 Create four color full page magazine ads to promote the ldquoKelly Kmartrdquo campaign

bull Print full page four color magazine ads to be featured in Cosmopolitan Redbook Womanrsquos World Good Housekeeping and O The Oprah Magazine

bull Magazine ad ideas include bull Kelly with her kids wearing Kmart brandsbull Kelly using the ldquoShop Your Wayrdquo app to find personalized coupons for her and her familybull Kelly at home using Kenmore brand appliances bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmartbull Kelly promoting the ldquoKelly Kmartrdquo sweepstakes

bull Magazine ads will use Kelly Ripa to help portray Kmart as being relatable genuine and family-oriented

3 Create Internet banner ads to promote the ldquoKelly Kmartrdquo campaign

bull Banner ads create awareness without being distracting like pop-up advertisements

bull Banner advertisements will be showcased on bull livekellyandmichaeldadtcombull Kmartcombull Google searches related to Kelly Ripa andor Kmartbull Kmart smartphone appbull ldquoShop Your Wayrdquo smartphone appbull ldquoKelly Kmartrdquo micrositebull Kmart YouTube videos or blogger videosbull Blogger websitesbull Social media (Facebook amp Twitter)

4 Use ad targeting and purchase promoted trends tweets accounts to advertise the ldquoKelly Kmartrdquo campaign on Twitter

bull Kmart will purchase promoted trends (hashtag topics that are currently trending) and promoted tweets (individual tweets that are highlighted) to advertise the ldquoKelly Kmartrdquo campaign on Twitter Kmart will promote hashtag trends such as KellyKmart and it will promote tweets like ldquoKellyrsquos coming to Kmart Get ready for some big changes KellyKmartrdquo Consumers will view promoted tweets in two sub-formats Tweets that appear in their Twitter feed even if they dont follow ldquoKelly Kmartrdquo and tweets that are paid to appear in response to their searches on Twitter (Edwards 2013)

bull Kmart will also take advantage of Twitterrsquos promoted account option for its ldquoKelly Kmartrdquo account ldquoThe promoted account ad goals are to increase the number of relevant followers to a Twitter profile The ads are featured in Twitter search results and within the lsquoWho To

20

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Followrsquo section Promoted accounts are suggested to users based on ad targeting on desktops and mobilerdquo (Raehsler 2014)

bull Lastly Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter Ad targeting will allow Kmart to use its ldquoKelly Kmartrdquo campaign to ldquolink performance back to interestsrdquo In addition it will allow Kmart the following options to target its ads by interests by gender by followers through keyword matching by television through different device and platform options by geography and through tailored audiences (Raehsler 2014)

5 Purchase sponsored stories and promoted posts and publish page post ads to advertise the ldquoKelly Kmartrdquo campaign on Facebook

bull Kmart will purchase sponsored stories to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoSponsored stories are built around user activityrdquo Kmart will pay to highlight a company-related action that its followers have already taken on Facebook or within the Facebook app ldquoThat action is shown to a userrsquos friends either in the sidebar or in News Feed Sponsored Stories cannot be used to reach an audience that is not connected to the page or app through a friendrdquo Some examples of user-related actions and activities are page ldquolikesrdquo check-ins link shares and claim offers (Darwell 2013)

bull Kmart will also publish page post ads on its ldquoKelly Kmartrdquo Facebook page Page post ads can be ldquolinks photos videos offers events questions or statusesrdquo (Darwell 2013) For example the ldquoKelly Kmartrdquo Facebook page could contain a page post ad of Kelly Ripa using a Kenmore appliance at home with her family or it could show a status talking about the ldquoKellyrsquos Favoritesrdquo catalogue All users have the option to view these types of ads

bull Lastly Kmart will purchase promoted posts to attract more users and traffic to its ldquoKelly Kmartrdquo Facebook page ldquoPromoted Posts are page posts that get additional paid reach in News Feed among fans and friends of fans as a result of using the pagersquos Promote buttonrdquo This type of advertisement is only shown to a pagersquos existing fans but they do have the ability to reach friends of fans as well (Darwell 2013)

Media Flow Chart

bull Please view Appendix C to see an example of what the media flow chart for this section of the IMC plan would look like

21

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Public Relations Plan Public Relations Objectives

1 Increase brand visibility and favorability among the target audience by 10 within a 12 month period

2 Generate at least 10 positive major news reports about Kmart through publicity over the next 6 months

3 Increase positive social media traffic among the target audience by 15 within a 12 month period

4 Increase Kmart credibility through philanthropic community events and sponsorships geared towards the target audience by 20 over the next 12 months

5 Use PR strategies to help reduce the Kmart employee turnover rate by 8 within a 12 month period

Public Relations Strategies amp Tactics

1 Increase brand visibility and favorability among the target audience by redesigning the ldquoKmart Caresrdquo website and writing fact sheets and press releases about all of the changes taking place at Kmart

bull Redesign the ldquoKmart Caresrdquo website to include an improved blog-style format to appeal to the target audience Regularly post articles on new products and brands that will be featured at Kmart Feature reviews of Kmart brands or products (clothing beauty DIY etc) sent out to popular bloggers Allow consumers to comment on reviews an postings In addition consumers would have the option to review products or share DIYs from products they purchased at Kmart and even rate them Lastly include links to the blog on the Kmart website and social media channels

bull Increase brand visibility and favorability by writing creative and innovative press releases that will capture the attention of the news media and the intended target audience Create marketplace excitement by featuring the new ldquoKelly Kmartrdquo promotion and writing fact sheets that detail these new changes that are taking place within the company Win credibility among targeted consumers through publicizing Kmart philanthropic community events Improve overall consumer satisfaction with the Kmart brand by promoting Kmartrsquos new comprehensive employee training and rewards programs and arouse interest in the Kmart brand by discussing upcoming remodeling of Kmart stores Ensure all communications are highly visible to all audiences and include hot-links to social media channels Reach out to the appropriate media networks and magazines to cover the stories

2 Generate positive news reports by holding press conferences reaching out to major media networks and encouraging a strong media presence at corporate and local events

22

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

bull Generate press conferences to discuss the new changes coming to Kmart such as the ldquoKelly Kmartrdquo promotion philanthropic community events new employee training and benefits programs and upcoming remodeling of Kmart stores etc Make sure each reporter receives a media kit containing relevant information about the press conference

bull Reach out to major media networks and send out brief press releases discussing the changes that are taking place within Kmart

bull Encourage the presence of media at any press releases and corporate or local events sponsored by Kmart

3 Increase positive social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo social media channels inclusion of social media sharing tools consistent consumer engagement and quick responses to any negative media

bull Increase social media traffic among the target audience through the creation of ldquoKelly Kmartrdquo Facebook Twitter and Instagram pages Regularly share social media content (advertisements polls contests updates videos and pictures) across all 3 media platforms and implement social sharing tools to each medium Also include social sharing tools on the ldquoKelly Kmartrdquo microsite This will help create awareness and encourage 3rd party blogging and sharing

bull In addition link the ldquoKelly Kmartrdquo social media pages to the main Kmart social media accounts and webpage For example share some of the ldquoKelly Kmartrdquo videos advertisements and pictures on the main Kmart pages to create cohesiveness and more awareness

bull Frequently engage with and thank customers on Facebook Twitter and Instagram on all Kmart-related social media accounts

bull Research and address any negative social media postings within 12 hour of their original post time if possible Either respond to these posts personally or if there are many negative posts about the same concern respond with a generalized post that addresses it

4 Increase Kmart credibility by hosting local community-based philanthropic events and sponsorships directed at children

bull Focus on Kmartrsquos dedication to families by hosting local community-based events and sponsorships directed at children These events will generate positive publicity and help PR create a more credible overall image for the Kmart brand Throughout the United States each Kmart would be responsible for hosting the event and directing it towards the specific wants and needs of the community

bull Kmart would use these events to not only attract the attention of its target market but also help raise money for non-profit organizations throughout the community For example Kmart could partner the Humane Society and host a pet adoption day or Kmart could partner with a local childrenrsquos hospital and help raise money for sick kids

bull At each event there would be child-related activities such as music photo-booths face-painting food games balloon-artists characters in costume etc

23

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

bull Local Kmart stores would be required to hold at least 2 of these events per year

bull Before the events each Kmart store should reach out to local media to publicize the story and encourage a strong media presence at the events Flyers promoting the events would be available in Kmart stores and detailed descriptions of the events could be found online

5 Help reduce Kmart employee turnover by writing frequent newsletters and press releases about new employee training programs and reward programs Publicize the changes on social media in order to help reduce customer dissatisfaction

bull Use PR strategies to help reduce the rate of employee turnover and encourage better communication policies Kmart would begin the process by allowing employees the option to vent anonymously about any problems they see within the company Newsletters would be sent out to all employees regarding this venting process as well as upcoming new positive changes

bull After the venting process is complete Kmart would review the information and begin to implement regional employee training programs All departments would be required to attend these training sessions and there would be specific classes and lessons geared towards each department Kmart would also implement online training programs that could be completed from work or home This combination of online and regional training would help employees to become more knowledgeable about the company and their positions Newsletters would once again be sent out to all employees regarding the training programs Information about the programs would also be posted on the Internet through press releases and on social media

bull In addition Kmart would put into practice the concept of having regular staff meetings at each individual Kmart store These staff meetings would allow employees and managerial staff the opportunity to communicate clearly with one another about new developments within the store employee benefits problems andor questions Employees could find out more information about the staff meetings through regional weekly newsletters

bull Finally Kmart would implement an employee reward program to reward employees for outstanding work behavior or ideas The reward program would help Kmart staff to feel more motivated and needed It would also help increase employee retention levels Rewards could include bonuses recognition speeches plaques promotions paid-vacations team incentives and nominations Newsletters would be sent out to all employees about the new employee rewards programs Information about the programs would also be posted on the Internet through press releases and publicized on social media Employees who are rewarded would be featured on Kmartrsquos website and in a regional newsletter

24

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Direct Marketing Plan Direct Marketing Objectives

1 Obtain a click-through rate of 3 among the target audience for digital and social media links contained in the weekly email newsletter in a 12 month period

2 Obtain an overall response rate of 4 among the target audience for all discount codes that will be printed in future monthly mailing promotions over a 12 month period

3 Obtain at least 10000 new names in the target audience database due to the ldquoReward Offered Cardrdquo located in the ldquoKellyrsquos Favoritesrdquo catalogue in a 12 month period

4 Obtain an overall response rate of 2 among the target audience for the $15 Kmart credit that will be issued for referring family and friends to the ldquoKellyrsquos Favoritesrdquo catalogue over a 12 month period

Direct Marketing Tactics

1 Increase the click-through rate by creating a ldquoKelly Kmartrdquo email newsletter with clickable buttons and links to Kmartrsquos website the ldquoKelly Kmartrdquo microsite Kmart Cares blog andor all social media accounts

bull Search Kmart databases for customers that fall within the target market category of Generation X mothers and send out weekly email newsletters (3xrsquos per week) to those consumers to help promote the ldquoKelly Kmartrdquo campaign The newsletters would feature a catchy subject-line to encourage the reader to open it For example ldquoBOGO Free on Joe Boxer - Online and In-storesrdquo Another example could be ldquoFREE SHIPPING ON EVERYTHING- Today Onlyrdquo

bull Upon opening the email readers would see the banner which would contain the Kmart logo and the ldquoKelly Kmartrdquo promotional tagline Below the banner each newsletter would contain a short personalized greeting to welcome the audience Readers would then be presented with main offer It would stand out from the rest of the information (printed in a different font andor color) be easy to read and be simple to understand The main offer would vary by newsletter but it would always be relevant to the subject-line Some examples of main offers include gift ideas featured products coupons sales referrals social media contests and sweepstakes The content of the newsletter would be located underneath the main offer Again it would be easy to understand and it would further describe the main point in short concise paragraphs

bull Besides containing information the email newsletter would also contain relevant imagery clickable buttons or links (to Kmartrsquos website ldquoKelly Kmartrdquo microsite or Kmart Cares blog) social media icons (to allow for sharing and obtaining traffic) an app store icon (to lead users to the downloadable Kmart app) and a feedback or survey invitation (located at the bottom of the newsletter)

25

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

2 Increase the response rate by using discount codes printed on monthly mailings

bull Create a mailing list specifically for the target audience of Generation X mothers and send out direct mailings once a month to those consumers The mailings would be the size of a postcard and be printed on glossy card-stock There would be no envelope

bull ldquoKelly Kmartrdquo Example On the front of the postcard customers would see a picture of Kelly Ripa shopping at Kmart the Kmart logo and the new creative slogan ldquoSave time and money on what you really loverdquo On the back of the postcard consumers would read ldquoBig things come in small packages right Here are some BIG savings to celebrate Kelly coming to Kmartrdquo Below those statements there would be 1 offer printed on the postcard itself The offer would include a 15 off discount code on new brands and products exclusive to Kmart It would also be targeted at brands or products mothers are more likely to purchase

bull Kmart customers could take the postcard into their local Kmart store and purchase the advertised items or brands that were featured At checkout a store associate would scan the coupon code on the postcard to give the customer their discount and keep track of the effectiveness of the direct mail campaign

bull The imagery and postcard theme would vary every month For example besides promoting the ldquoKelly Kmartrdquo campaign the ldquoShop Your Wayrdquo rewards program could be promoted via monthly mailings

3 Obtain at least 10000 additional names in the distribution database of the new ldquoKellyrsquos Favoritesrdquo catalogue and increase the response-rate by using $15 credit rewards for referring family and friends

bull Create a small catalogue for Kmart called ldquoKellyrsquos Favoritesrdquo that would be sent out to the target audience once every 4 months and also be featured online The catalogue would be around 15-20 pages in length and it would feature ldquoKellyrsquos Favoritesrdquo ldquoKellyrsquos Favoritesrdquo are mid-range priced products from Kmart that Kelly Ripa loves Some category examples are home goods furniture shoes apparel and jewelry In addition these products are all Kmart exclusives Every time the catalogue is released it would contain a new set of ldquoKellyrsquos Favoritesrdquo Each catalogue will also contain at least 1-2 items that are only available in the catalogue If consumers wish to purchase those items they must do it through the catalogue or online via the Internet catalogue

bull For customers that chose to take advantage of the online catalogue they would have the additional option to add any product to a personal ldquo(Customer Name) Favoritesrdquo page Consumers could view this page by logging in to their Kmart account Items on this page could be shared on social media accounts Specifically if a consumer ldquolikesrdquo a particular item online in the catalogue they would then have the option to share it on Facebook or Twitter On Facebook for example their friends would see a link with a picture of the item and a subject-line promoting the Kmart catalogue and that individualrsquos favorites page If their friend clicks on the link they would be prompted to submit their email and mailing address to begin receiving issues of the catalogue

bull Include a ldquoReward Offeredrdquo card in the ldquoKellyrsquos Favoritesrdquo print catalogue The ldquoReward Offeredrdquo card would give Kmart customers the option to submit the names addresses and email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue If

26

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online the original customer will be rewarded with a $15 Kmart credit to spend with their next catalogue purchase and free shipping for that same order

27

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Sales Promotions Plan Sales Promotions Objectives

1 Improve the features and benefits of the Shop Your Way rewards program leading to a 5 increase in new memberships among the target audience over a 12 month period

2 Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3 among the target audience in a 12 month period

3 Obtain a 3 redemption rate among the target audience for coupons offered on the ldquoShop Your Wayrdquo smartphone app in a 12 month period

4 Obtain at least 75000 entries for the ldquoKelly Kmartrdquo sweepstakes leading to a 1 increase in sales among the target audience in a time period of 120 days

5 Increase website traffic among the target audience by 2 during the ldquoKelly Kmartrdquo sweepstakes in a time period of 120 days

Sales Promotions Tactics

1 Improve the Shop Your Way rewards program and increase new memberships by offering birthday rewards special discounts and allowing coupons to be directly loaded to the card

bull Currently Kmart offers its consumers a reward program called ldquoShop Your Wayrdquo rewards Members earn 10 points for every dollar they spend at Kmart Sears and ShopYourWaycom Those points can then be redeemed on future purchases (Points for Progress 2014) Under this IMC plan the Shop Your Way rewards program would be upgraded Instead of just offering ldquopoint rewardsrdquo the program would begin to offer birthday rewards and special discounts for loyal shoppers For example during a customerrsquos birthday month Kmart would send them a $10 reward if they are apart of Shop Your Way Shop Your Way members would also be rewarded every 4 months for frequently shopping at Kmart These rewards could include special savings access to special shopping events $5 or $10 rewards or a free product These rewards could be redeemed both online and in-stores

bull Besides offering birthday rewards and special discounts Shop Your Way members would also have the added benefit of being able to add Kmart coupons to their Shop Your Way rewards card For example at checkout the customer would give their card to the cashier to scan Once the card is scanned all discounts and coupons they loaded would be applied to their purchase This would alleviate the need for the customer to bring in multiple coupons yet still allow Kmart to track the success of any campaigns or promotions going on at that time

2 Increase sales by offering various point rewards for Shop Your Way related social and mobile media interaction and sharing

28

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

bull Shop Your Way members would begin earning points for ldquosharingrdquo or ldquore-tweetingrdquo social media content posted by Kmart For example if a consumer shared a tweet from Kmartrsquos or KellyKmartrsquos Twitter page they would earn 5 points to redeem on future purchases At certain times during the year there would also be more points available for consumers to earn

bull Consumers would also be able to earn points by following Kmartrsquos social media accounts For example if a Shop Your Way member started following Kmart on Twitter they would earn 30 points

bull Shop Your Way members could also earn points through mobile loyalty For example if a consumer performed a mobile ldquocheck inrdquo at the their local Kmart (on Facebook Foursquare etc) they would earn 10 points This action could be done up to 2 times per week In addition Shop Your Way members could earn points by signing for SMS text alerts This would be a 1 time option and every Shop Your Way member who opted for Kmart SMS text alerts would earn 50 points Finally members could earn points for reviewing products online or via the Kmart smartphone app For every product reviewed members would earn 5 points

3 Offer personalized prices to consumers via the Shop Your Way smartphone app to track and grow redemption rates

bull Kmart will begin offering weekly personalized prices to customers via the Shop Your Way smartphone app ldquoPersonalized offers can drive up sales by increasing the number of customer visits to stores and lsquobasket sizersquo industry lingo for total purchasesrdquo (Kharif 2013) Therefore instead of trying to compete with Walmart and offer the ldquolowestrdquo prices Kmart will instead offer its consumers personalized prices based on their shopping history The coupon list would contain 100-150 coupons and they would be sorted by relevance to each shopper For example if one mother typically bought a lot of baby products she would see those listed first However if another mother never bought baby products those would not be the first coupons she would see Upon viewing the coupon list consumers would be able to choose the ones that they want and have them loaded to their ldquoShop Your Wayrdquo rewards card As stated above the card could be scanned at checkout and all previously chosen coupons would be immediately applied to the purchase

4 Obtain 75000 entries for ldquoKelly Kmartrdquo sweepstakes by offering promotional codes to encourage more Kmart purchases

bull Rules The ldquoKelly Kmartrdquo sweepstakes would run for 120 days Every time a customer would make a purchase at Kmart Kmartcom or through the ldquoKellyrsquos Favoritesrdquo catalogue they would receive a promotional code of generated letters and numbers printed on their receipt The code could be entered online via the ldquoKelly Kmartrdquo microsite on the ldquoKelly Kmartrdquo sweepstakes page All Kmart consumers could enter the sweepstakes multiple times It would solely be contingent on how many times they shopped at Kmart during the 120 day period and submitted the promotional codes on their receipts

bull Prizes All winners would be picked randomly The more promotional codes they submit the better chance they have of winning The grand-prize winner would win an all-inclusive 3 day trip to NYC for 2 The grand-prize winner would also attend and be featured on LIVE with Kelly and Michael and receive a $1500 gift card at Kmart There would be 2 runner-up

29

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

winners They would each receive a $1000 Kmart gift card There would be 4 third place winners Each winner would receive a $500 gift card to Kmart Lastly there would be 10 other winners chosen who would receive $100 Kmart gift cards

5 Increase website traffic during the ldquoKelly Kmartrdquo sweepstakes by offering promotional codes that must be entered online

bull As stated above the ldquoKelly Kmartrdquo sweepstakes will last for a time period of 120 days In order to increase sales and website traffic promotional codes would be printed on customer receipts from Kmart Kmartcom and the ldquoKellyrsquos Favoritesrdquo catalogue Every time a consumer would make a purchase in-store online or via the catalogue they would receive a receipt with a generated promotional code printed on the bottom of it In order to be eligible for the sweepstakes the customer must submit the code on the ldquoKelly Kmartrdquo sweepstakes page of the ldquoKelly Kmartrdquo microsite Links to the sweepstakes page would also be found on Kmartrsquos main website email newsletters regarding the sweepstakes and across all social media channels Consumers could enter multiple codes depending on how many times they shopped at Kmart during the 120 period

30

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Measurement amp Evaluation PlanMeasuring and evaluating the effectiveness of Kmartrsquos $20 million IMC plan is integral to its working success and it offer Kmart advantages such as avoiding costly mistakes evaluating alternate strategies increasing advertising efficiency and determining if objectives are achieved (Belch amp Belch 2012) Using the pre-tests and post-tests proposed below along with thorough research Kmart is likely to see positive results from these evaluations

Pre-testing

1 Concept testing for ads and campaign themes

bull Concept testing will be implemented to measure the future success of ads and campaign themes found throughout this IMC plan Concept testing will be completed via focus groups and Internet surveys

bull Focus group characteristicsbull Made up of 8-10 female membersbull Ages of 31-45 bull Stay-at-home traditional mothers bull Working traditional mothersbull Working single mothers

bull Test market areasbull Northwest Seattle WAbull Southwest San Diego CAbull North Chicago ILbull South Houston TXbull Northeast New York NYbull Southeast Charlotte NC

bull Some of the main ideas focus groups will be evaluating are as follows the overall message of this IMC plan the new creative statement the use of Kelly Ripa as a spokesperson and the overall message of the ldquoKelly Kmartrdquo campaign

bull Internet survey participant characteristicsbull Female bull Ages 31-45bull Must be mothers (traditional single working or stay-at-home)

bull Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X mothers the new creative statement and rough sketches of print ads and TV storyboards found throughout the ldquoKelly Kmartrdquo campaign

2 Comprehension and reactivity tests for advertisements headlines and illustrations

31

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

bull Comprehension and reactivity tests will be implemented through focus groups and group interviews The purpose of these tests is to assess responses to rough sketches of future ads headlines and illustrations found throughout the media plan public relations plan direct marketing plan and sales promotions plan Respondents will discuss colors used typeface overall design of ads etc

3 Copy testing of finished print messages

bull Finished and rough print ads will be evaluated through the use of copy testing Copy testing will expose groups to different print ads found throughout the media plan and direct marketing plan This type of testing will take place in the respondentslsquo homes Copy testing will measure the respondentsrsquo ldquoemotional responses to ads assessing metrics such as enjoyment engagement likes and dislikes to address overall emotional responserdquo (Belch amp Belch 2012)

4 On-air testing of broadcast media

bull On-air testing will be implemented in order measure the respondentsrsquo recall of the broadcast media ideas proposed in this IMC plan The primary metric being employed in this style of testing is ldquothe number of persons able to recall the ad and its messagerdquo (Belch amp Belch 2012) The respondentsrsquo level of recall will help predict the success of the ads

Post-testing

1 Recognition tests for print media

bull Recognition tests following Starch test methodology will be administered to measure the success of all print media related to this IMC plan These tests will assess the impact and effectiveness of ads in a single magazine across multipledifferent magazines and over time (Belch amp Belch 2012) For example the ads for this IMC plan will be found in Womanrsquos World O Cosmopolitan Redbook and Good Housekeeping magazines

2 Tracking studies for broadcast media print media and sales promotions

bull Single-source tracking studies will be administered to track consumersrsquo retail behavior after being exposed to broadcast media This method will track the effects of different ad budgets different ad copy versions and ad-related sales in this campaign using single-source tracking systems such as Scan-Trak Behavior Scan and IMS (Belch amp Belch 2012)

bull Tracking studies will also be administered to specifically measure the success of broadcast media and print media These studies measure the effects of ldquoadvertising on awareness recall interest and attitudes toward the ad andor brand as well as purchase intentionsrdquo (Belch amp Belch 2012) While this type of tracking will used for both the print and broadcast media found throughout this IMC plan it will mainly focus on the latter Tracking studies will be administered through phone surveys mail surveys and personal interviews

bull Awareness tracking studies will also be used to ldquocount the number of inquiries coupon redemptions and sweepstakes entriesrdquo for tactics found in the sales promotions section (Belch amp Belch 2012)

32

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

3 Number measurement for sales promotions and direct marketing

bull Sales promotions and direct marketing efforts such as emails coupons sweepstake entries website hits and catalogue requests would best be measured through an actual number of participants ie quantitative data Computers scanners other electronic devices and data entry systems would allow Kmart to keep track of the total number of participants in the many proposed sales promotion and direct marketing tactics found throughout this IMC plan

33

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

ConclusionThe integrated marketing communications (IMC) approach seeks to ldquogenerate both short-term financial goals and long-term brand and shareholder valuerdquo by planning developing executing and evaluating ldquocoordinated measurable persuasive brand communications programs over timerdquo (Belch amp Belch 2012) This IMC plan follows that approach by allowing Kmart to strategically integrate all of its communications functions in order to present one cohesive message across all platforms In addition this synergistic approach will allow Kmart the opportunity to grow throughout 2014

Since its origins in 1899 Kmart has been known for its strong corporate history (Corporate History 2014) Though it has felt the test of time and suffered from various financial issues this IMC plan offers Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers market Generation X currently encompasses 44 to 50 million Americans and mothers make up 69 of this massive market (Wang Parker amp Taylor 2013) Mothers also offer Kmart a staggering $24 trillion market to tap in to (Walter 2012)

This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host Kelly Ripa (also a Generation X mother) to promote Kmartrsquos new ldquoKelly Kmartrdquo campaign and the new creative slogan ldquoSave time and money on what you really loverdquo Kelly Ripa will also help present Kmart as being a genuine relatable and family-oriented brand across all areas of traditional and digital media

The objectives included in this plan are both measurable and attainable while the strategies and tactics are well thought-out and heavily researched This IMC plan will use a combination of those objectives strategies and tactics across media public relations direct marketing and sales promotion platforms in order to meet the original campaign goals of

bull Improve the features and benefits of shopping at Kmart leading to a 2 increase in sales in 6 months among the target audience

bull Improve Kmartrsquos overall brand-perception by 5 within 8 months among the target audience

bull Increase awareness of Kmart and its brands by 15 within 12 months among the target audience

bull Reduce poor customer satisfaction by 20 within 12 months among the target audience

bull Increase purchases at Kmart by 3 within 12 months among the target audience

This IMC plan will build upon Kmartrsquos mission of ldquoimproving the lives of our customers by providing quality services products and solutions that earn their trust and build lifetime relationships (Fairfan 2012) In addition Kmart stands to gain a substantial share of the retail market by tapping into the Generation X demographic hiring Kelly Ripa as a spokesperson and following the objectives strategies and tactics found throughout this IMC plan By adopting an IMC approach now Kmart can ldquoavoid duplication take advantage of synergy among promotional tools and continue to develop efficient and effective marketing communications programsrdquo now and in the future (Belch amp Belch 2012)

34

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Appendix ADirect Marketing Mailing Example

bull This is an example of a direct marketing mailing that would be sent out to Generation X mothers It would be printed on glossy card-stock and the washer and dryer would be Kenmore appliances In addition it would contain a coupon for detergent printed on the back

35

Kmart IMC Plan

Appendix 1Creative Execution Example

33

Kmart IMC Plan

Kelly

Save time and money on what you really love

Let us help make your everyday tasks a little more

enjoyable

(Kelly photo credit housekaboodlecom)(Kelly photo credit housekaboodlecom and Electrolux)

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Appendix BSample Magazine Ad Example 2

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

36

Kmart IMC Plan

Appendix 2Sample Magazine Example

bull Other creative execution optionsbull Kelly with her kids wearing Kmart brandsbull Kelly using the Shop Your Way app to find personalized coupons for her and her family bull Kelly shopping in a newly designed Kmart store bull Kelly tweeting about Kmart and its brands KellyKmart

34

Kmart IMC Plan

Save time and money on what you really love

KellyKmart(photo credit of Kelly youtubecom)(Kelly photo credit youtubecom and Electrolux)

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Appendix CMedia Flow Chart

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

Television

ABC

NBC

Lifetime

OWN

Oxygen

Magazines

Cosmopolitan

Redbook

Womanrsquos World

Good Housekeeping

O

Banner ads

LIVE

Kmartcom

Google searches

Kmart app

Shop Your Way app

37

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Media Plan Mar rsquo14

Apr rsquo14

Jun rsquo14

July rsquo14

Aug rsquo14

Sept rsquo14

Oct rsquo14

Nov rsquo14

Dec rsquo14

Jan rsquo15

Feb rsquo15

ldquoKelly Kmartrdquo

microsite

Kmart YouTube videos

Blogger YouTube videos

Blogger websites

Social media accounts

Twitter

Promoted accounts

Promoted tweets

Promoted trends

Ad Targeting

Facebook

Sponsored stories

Promoted posts

Page post ads

38

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

ReferencesAbout Kmart (2014) Sears Holdings Newsroom - About Kmart Retrieved January 20 2014 from

httpsearsmediacomkmartkmarthtm

Berg M D (2013 November 25) Is Kmarts Risque Holiday Ad Ringing HollowAdvertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-s-risque-jingle-

balls- holiday-ad-ringing-hollow245403

Bradford H (2012 July 18) Target Launches Smaller CityTarget Stores To Appeal To Urban

Shoppers The Huffington Post Retrieved January 27 2014 from http

wwwhuffingtonpostcom20120718target-citytarget-stores_n_1684484html

Dominant Generations (2000) CensusScope Retrieved March 10 2014

from httpwwwcensusscopeorgusmap_gene

Conover R (2012 November 8) Walmart Target Kmart Whos Cheapest Yahoo Shine

Retrieved January 20 2014 from httpshineyahoocomwork-moneytarget-walmart-

kmart-50-one-aged-best-161700313html

Corporate History (2014) Sears Holdings Retrieved January 20 2014 from http

wwwsearsholdingscomaboutkmarthistoryhtm

Darwell B (2013 January 11) Understanding the Difference Between Facebook Sponsored Stories

Page Post Ads Promoted Posts and Marketplace Ads Inside Facebook Retrieved March 10

2014 from httpwwwinsidefacebookcom20130111understanding-the-difference-

between-facebook-sponsored-stories-page-post-ads-promoted-posts-and-marketplace-ads

Davis R (2014 January 10) Sears Kmart Family Dollar Sales Plunge ABC News Retrieved January

20 2014 from httpabcnewsgocomblogsbusiness 201401sears-kmart-family-

dollar- sales-plunge

DInnocenzio A (2012 November 18) Walmart and Target A tale of two discount chains

CBSNews Retrieved January 19 2014 from httpwwwcbsnewscomnewswalmart-

and- target-a-tale-of-two-discount-chains

39

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

Edwards J (2013 February 7) How To Advertise On Twitter To Get The Best Results Business Insider

Retrieved March 10 2014 from httpwwwbusinessinsidercomhow-to-advertise-on-

twitter- to-get-the-best-results-2013-2

Farfan B (2014) Kmart Mission Statement - Unique In Its Own Vision Aligned With Its Parent

Aboutcom Retail Industry Retrieved January 20 2014 from http

retailindustryaboutcomodretailbestpracticesigCompany-Mission-StatementsKmart-

Mission-Statementhtm

Farzad R (2012 November 14) Attention Kmart Shoppers Flat-Line Special Bloomberg

Businessweek Retrieved January 20 2014 from httpwwwbusinessweekcom

articles2012-11-14attention-kmart-shoppers- flatline-special

Gilhool J (2013 August 26) The Power Of Just One Woman Forbes Retrieved January 20 2014

from httpwwwforbescomsites85broads20130826the-power-of-just-one-woman

Jordan S (2012) What happened to Kmart ResearchPlancom Retrieved January 27 2013 from

httpwwwresearchplancomblogp=408

Kane S (2014) Generation X Aboutcom Retrieved March 9 2014 from

httplegalcareersaboutcomodpracticet

Kennedy L P (2014) Kelly Ripas Take on Mothering WebMD Retrieved March 10 2014 from

httpwwwwebmdcomparentingfeatureskelly-ripas-take-on-mothering

Kharif O (2013 November 14) Supermarkets Offer Personalized Pricing Bloomberg Business Week

Retrieved March 10 2014 from httpwwwbusinessweekcomarticles

2013-11-142014- outlook-supermarkets-offer-personalized-pricing

Kim S (2012 May 28) Walmart Said It Plans to Roll Out More Smaller Stores ABC News

Retrieved January 27 2014 from httpabcnewsgocomBusinesswalmart-opening-

smaller-walmart-express-stores-usstoryid=16443932

Kmart (American company) (2014) Encyclopedia Britannica Online Retrieved March 10 2014

from httpwwwbritannicacomEBcheckedtopic

Our Brands (2014) Sears Holdings Brands Retrieved January 20 2014 from

40

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan

httpwwwsearsholdingscomaboutbrandshtm

Raehsler L (2014 January 29) Twitter Advertising Guide Search Engine Watch Retrieved March 10

2014 from httpsearchenginewatchcomarticle2190651Twitter-Advertising-Guide

Sears Holdings Corp Sears Launches Points for Progress Program from FitStudio (2014 January 13)

4-traders Retrieved January 20 2014 from httpwww4-traderscomSEARS-

HOLDINGS- CORP-9814newsSears-Holdings-Corp--Sears-Launches-Points-for-

Progress-Program-from-FitStudio-17800067

Schultz EJ (2012 March 19) Why Kmart Lost the Attention of Discount Shoppers Advertising Age

Retrieved January 20 2014 from httpadagecomarticlenewskmart-lost-attention-

discount-shoppers233369

Smith L amp Walker J (2014) What is a Blue Light Special WiseGeek Retrieved March 10 2014 from

httpwwwwisegeekcomwhat-is-a-blue-light-specialhtm

Walter E (2012 January 24) The Top 30 Stats You Need to Know When Marketing to Women TNW

Network All Stories Retrieved March 10 2014 from httpthenextwebcom

socialmedia 20120124the-top-30-stats-you-need-to-know-when-marketing-to-

womenzc01o

Wang W Parker K amp Taylor P (2013 May 23) Breadwinner Moms Pew Social Demographic Trends

Retrieved January 19 2014 from httpwwwpewsocialtrendsorg20130529

breadwinner- moms

41

Kmart IMC Plan