Transcript Treo Telecommunications

Up Front Marketing
Don’t You Wish You Had it All
Together?
• Cell Phone
• Planner
• Text Messaging
• Wireless Web
• Voice Recognition!
Target Markets
• Career Professionals
• College Students
• Soccer Moms and Dads
Our Campaign Goals
•Expand market share to #1 in PDA sales
•Increase product awareness
•Establish brand equity
Handspring Trails Behind Palm
Handspring 2nd in PDA Marketshare
13%
Palm
10%
38%
5%
4%
Handspring
Compaq
HP
Casio
Other
30%
Source: ZD Net News
What’s Going On?
•Lydia - Introduction
•Emi – Print Advertising
•Jason – Internet Advertising
•Vida – Television Advertising
•Ann – Promotions and Publicity
•Jeanne – Financials and Conclusion
Print Advertising
College Students
Magazine Advertisement
• Facilitates acceptance of the ad
• Influences interpretation of the ad
• Targets with precision
Advertising Revenue on the Rise
Revenue (US$ Billions)
Revenue from Advertising Increases
20.00
17.67
15.51
15.00
10.00
12.75
11.18
13.81
5.00
0.00
1996.5
1997
1997.5
1998
1998.5
1999
Year
Source:Publishers Information Bureau
1999.5
2000
2000.5
2001
2001.5
Why Print Ads for Students?
• High readership in college students
• Ad awareness links to purchase intent
• Directly influences students
Print Ad Sample
Internet Advertising
Broad Ranging Market
Growth of Internet Audience
• Net fastest growing medium in history
• TV audiences migrating to the Net
• More women are online
Viability as Advertising Medium
• Internet has a relatively low cost
• Provides broad exposure
• Internet advertising industry grows
Increase Sales Potential
Effectiveness of the Internet
• Raises brand awareness
• Improves brand perception
• Increases potential for sales
Internet Banner Samples
TV Advertising
Targeting Stay At Home Parents
Why Television for Parents?
• Guarantees reach to audience
• Gives a thorough presentation
• Connects with audience
Major Research Findings
• Increased responsibilities in target
• Target audience is modernizing
• Target audience is growing
Target Audience Growth
Number of Stay at Home Parents Grow
25
People (Millions)
19.6
19.1
17.6
18.1
20.5
20
Fathers
Mothers
15
Total
10
5
0
1997
1998
1999
Year
Source: U.S. Census Bureau, 2001
2000
2001
Promotions and Publicity
Get It Out There
Promotional Offers
• Increases effectiveness of campaign
• Informs, persuades, reminds/reinforces
• Provides incentive for consumers
Price Promotions
Consumers Value Price Promotions
Percent of Respondents
80.00%
74.00%
70.00%
60.00%
45.00%
50.00%
38.00%
40.00%
38.00%
37.00%
37.00%
30.00%
22.00%
20.00%
10.00%
0.00%
Prices
Compare Security
Prices
Source: Apr. 2000 Jupiter Communications Inc.
Find
Items
Customer Easier
Service
Returns
Loyalty
Rewards
The Matrix Revolutions
• Introduces product to wide audience
• Brings attention to product features
• Ultimately creates brand equity
Benefits of Brand Equity
• More income from intangible benefits
• Maintains higher product awareness
• Good defense against competitors
Financial Analysis
The Bottom Line
Financial Breakdown
Media
Budget
%
Budget
Revenue
Forecast
Print Ads
$
675,000
13.5%
$
12,000,000
Internet
$
575,000
11.5%
$
9,000,000
TV
$ 2,750,000
55.0%
$
69,000,000
Promotions
$ 1,000,000
20.0%
$
10,000,000
Total
$ 5,000,000
$ 100,000,000
ROI Forecast
TV is ROI Leader
TV
2509%
For every $1 spent,
TV ads are expected
to return $25.09 in
revenue!
TV
Print Ads
Internet
Promotions
1000%
Promotions
Print Ads
1778%
Internet
1565%
Source: Up Front Marketing Finance Department
Summary
• Reach new target markets
• Achieve advertising effectiveness
• Accept our recommendations
Now That You Have It All Together!
Any Questions?