Clayton Limited Editions

Daniel Green
March 8, 2010
J610
Introduction to Marketing

Professor Brian K. McCarthy

Introduction
My father's brother, James Green, is a jeweler who works primarily with precious metals and
stones. However, James caters to an even smaller demographic than most jewelers: the pierced
set. Clayton Limited Editions, named for my cousin, creates handcrafted, one-of-a-kind jewelry,
to be inserted through the skin, for individual clients as well as selling wholesale product to
piercing and tattoo parlors. Clayton Limited Editions, originally based out of San Francisco, now
located in Ashland, OR, has a very small marketing budget, limited marketing plan and a
functional, but unappealing, website.
In this marketing plan you will find recommendations, based on market analysis and
successful marketing models implemented by mainstream jewelry businesses to increase
awareness, recognition and revenue for Clayton Limited Editions.

Marketing goals
It is the goal of Clayton Limited Editions (CLE) to increase revenue through targeted marketing.
Through targeted marketing CLE hopes to grow awareness, recognition and revenue in a rather
conservative manner. Since CLE is currently a three-person operation, it is not the goal of CLE
to expand notoriety faster than it can create product because it wants to accommodate demand.
CLE feels, and I agree, that it would be detrimental for CLE to focus to^broadjbo soon.
Identifying and focusing on a specific segment would allow CLE to grow awareness semi-
organically leading to the most effective form of marketing: word of mouth.
CLE is most interested in creating a recognizable, respectable image for its company due
to its continued commitment to creating elegant and stylistic jewelry. The goal of CLE is to
increase demand so much within the first year that it become necessary to double its workforce.
In order to reach this goal CLE will need to increase revenue by 85% over its 2009 numbers.
Additionally, CLE would also like to see its sales grow by $75,000-$ 100,000 after one year.

Product/Service
CLE offers quality and affordable body piercing jewelry to a specific segment of the pierced
population. CLE has a wide range of items to choose from, including one of the largest selections
of natural and man-made gems anywhere, all in 14K gold. CLE makes the highest quality gold
jewelry and offers the purchaser the option to create custom pieces based on specific preferences
and needs.
 In addition to these current options, I suggest that CLE begin working with a wider range
of metals beyond white and yellow gold. By introducing these new metals (platinum, silver,
tungsten, etc.) to CLE's selection, a wider population of pierced consumers will be engaged to
purchase their jewelry from the industry's only jeweler to offer these choices. CLE already offers
10 different options of jewelry patterns and 25 gem stones in four different settings. Currently,
this range in variety does not exist with other body piercing jewelers. However, by adding to the
selection a wider variety of minerals to choose from, CLE would become the only option
available for the discerning, affluent and eager to impress set of the pierced population.
In the last 20 years body piercing has become more common among college students and
middle-class professionals. "Body modification.. .has experienced rapid growth.. .People who
drive Volvos are now considering piercings." (Adams) This demographic is increasingly affluent
and increasingly particular about the ways in which they express themselves.
In the United States 10.1% of Men and 36.7% of Women are pierced. 26.9% of this
population is pierced in locations other than the ear. (Carrol, Roberts & Myhre) CLE caters to
this demographic. As Adams pointed out in his study, the population of pierced individuals is
growing in number and becoming less conspicuous among the greater population. As the demand
grows among the pierced population, so too will the tastes of this group. CLE should position
itself to reap the benefits of being an originator in the high-quality, high-class segment of body
piercing jewelers.
CLE is different from the competition because it currently offers selections not readily
available to people being pierced. Typically, when someone is pierced at a tattoo or piercing
shop the consumer chooses a simple, cheap, stainless-steel piece of jewelry to fill the new hole.
The selection is based on what is available in the respective shop, and most shops don't carry the
amount of stock necessary to showcase each and every type of jewelry available. However, CLE
has begun partnering with shops in Portland, Phoenix and San Francisco to showcase CLE
creations.
Additionally, on the CLE website, CLE offers the consumer the option to create a one-of-
a-kind piece of jewelry. This option isn't standard in the industry.

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Segmentation and targeting
CLE's target market are people who have piercings that understand the difference in quality
between a standard stainless steel piece of jewelry and a platinum, gold, silver or tungsten
product. Additionally, CLE will focus on the upper-class segment within the pierced market.
Catering to the tastes of this growing segment will allow CLE to differentiate itself from the
other manufacturers in the field. CLE's target customer is an eclectic, affluent individual who
sees value in adorning his or herself with only the highest quality and most reputable jewelry
available.
According to the study by Carrol, Roberts & Myhre over 93 million people in the United
States are pierced. Of this set, over a quarter are pierced in places other than the ears. The size of
CLE's potential target market is roughly 23 million people. Now, it'd be unrealistic to say that
CLE would infiltrate the consciousness of this many people, but the market available is
incredibly large.
Of the 23 million pierced people in the US, CLE would be best served by marketing to
newly pierced people and the population of affluent pierced people.
These segments are being targeted for multiple reasons. Newly pierced people are
potential long-term purchasers of jewelry. Their tastes are susceptible to evolve and become
more selective. As their preferences become more particular CLE will be ready to cater to their
needs. Affluent people are liable to want to adorn their pierced holes with only the finest jewels
and minerals. CLE will be ready to cater to their needs, as well.

Positioning
CLE should position itself as the.creme de la creme in the field of piercing relative to its
competition. Other piercing jewelers exist, but CLE should create a message that it is "The
Only" option available for the population of pierced people with discernable tastes.
CLE's customers should feel they're buying the highest quality body piercing jewelry
available when they reach for their wallet. There are other brands available but only one brand
takes into consideration the tastes and preferences of its customers to create one-of-a-kind pieces.
Over time the perceptions of pierced people in regards to CLE should change. The
perceptions should trend more favorably regarding style and quality. See Figure 1 and Figure 2.
For the pierced population, with discriminating tastes, who cannot find a quality, stylistic
brand of jewelry from which to adorn their bodies comes: Clayton Limited Editions. CLE is a

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brand that caters to the tastes and preferences of each and every customer. CLE provides you the
ability to design your own jewelry based on the styles and components you prefer. Unlike most
body piercing jewelers, CLE allows you the opportunity to create one-of-a-kind jewelry from
over 5,000 possible arrangements. CLE offers only the highest quality gem stones, metals and
handmade designs. "Fill your holes with class. "

Channel of distribution
CLE distributes its product wholesale to tattoo and piercing shops. Additionally, CLE has a
website from which customers can choose from a selection of jewelry or create individual pieces.
Currently, CLE attends piercing conventions on an infrequent basis. I would suggest that
CLE begin attending these conventions frequently. There is a piercing convention in March,
2010 in Las Vegas that CLE is planning to attend.
It is necessary for CLE to maintain a presence at locations where piercings occur. Point-
of-purchase displays will create increased awareness regarding CLE's brand. As individuals are
pierced they'll choose the jewelry that best defines their personality. Having CLE's product
available will illustrate how self-expression and status can be communicated with one piece of
jewelry.
Also, it is important for CLE to update its website. The website should be updated to
create an image of prestige and class, while maintaining its core values of quality and self-
expression.
Lastly, piercing conventions are a great place to create brand awareness. Typically there
are hundreds of vendors, piercers and jewelers vying for attention at these conventions. CLE
would benefit by setting up a booth to sell its product. Also, CLE could display its most
expensive product to illustrate the type of quality and craftsmanship that conies with the CLE
brand.

Price
CLE's current prices vary depending on the style and materials of the jewelry. Product prices
range from $30 - $350 per piece. Individual prices are determined by cost of materials, labor and
shipping. Wholesale prices are arranged between the vendor and CLE. Once an established price
has been determined between the parties, the vendor will markup the price anywhere from 5% -
15%.

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 CLE's jewelry is more expensive than most body piercing jewelry. However, the quality
of the product, labor-intensive craftsmanship, and wide range of options available creates an
impression of prestige, class and value not found with other body piercing jewelry.

Brand
The current website for Clayton Limited Editions appears outdated. The logo is the letter 'C'
being intersected by the letter 'L'. It's simple and not eye-catching. The website's colors and
fonts look as if the site is trying to appear Greek. Now, this is probably due to the fact that James
Green is Greek. However, not all his customers are. I would suggest that CLE rebrand itself to
appear more contemporary without appearing trendy. Trends die. Simple, elegant fonts on a
silver or gray background will allow the images to pop off the screen.
Also, creating a tagline would benefit CLE's image. CLE's products are quality, classy,
expensive jewelry to be inserted through the skin in places other than the ear. Obviously, this
product caters to a less than conservative crowd. I feel this demographic of people would
appreciate and embrace a somewhat less than serious phrase which encompassed the core values
of CLE. "Fill your holes with class. " CLE's customers could refer to themselves, and be referred
to, as "Classholes."

Marketing Communications
Customers should be aware that Clayton Limited Editions offers only the highest-quality body
piercing jewelry. You only get one body and if you're going to put holes in it, you should fill
those holes jewelry that illustrates the type of person you are: one-of-a-kind.
There are multiple approaches CLE should take in communicating its message and
marketing its product to consumers:
Direct Mail: When an individual is pierced he or she, by law, needs to fill out an identification
and indemnification waiver. This waiver includes the patron's address. CLE should partner with
as many piercing and tattoo shops as possible to buy or solicit that information. The piercer
would create a list each month of individuals who were pierced and CLE would mail postcards to
these people. The postcard would also act as a 5% discount coupon on CLE's website.
Additionally, the postcard would have the tagline, photos of merchandise, CLE's website
address, and locations where the customer could find local retailers.

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TradeShpw: As illustrated earlier, CLE will need to make frequent and regular appearances at
trade shows. By keeping a consistent presence at these events, patrons and vendors will become
more aware of the quality and craftsmanship associated with CLE's merchandise. At the trade
show CLE would distribute coupon postcards (minus local retailer information) to passersby.
The postcard would allow the consumer to acquire a catalog of CLE's jewelry. This catalog
currently exists and is distributed only upon request.
Social Media: Currently CLE has no social media presence at all. It is vital that CLE create a
Facebook page, blog and potentially a Twitter feed. The Facebook page would act as a conduit
from which interested parties could easily find CLE's sales website. As was noted earlier, the
population of pierced people is growing in size and class. As piercing continues to become more
popular among college students and the middle-class it becomes even more essential that CLE
create a place for its consumers to congregate. Additionally, a Twitter feed could alert followers
when a "secret sale" is going to take place or when a new line of jewelry would be available for
purchase.
Guerilla: People like free stuff. With every purchase from the CLE website and CLE vendor,
CLE would give a sticker(s) that says, "Classhole!" It could be reasoned that as these stickers
proliferate among the younger pierced set, these stickers would begin appearing on subway
platforms, stop signs, railings, car bumpers, etc. Additionally, CLE would ship a small badge
type button to its customers that say, "I'm a Classhole. Are you?" Some people may inquire
about the button, to which the customer may explain the definition of the symbol and why they
are part of the "in-crowd" whereas the uninitiated individual would be left out until he or she got
their own piece of CLE jewelry.
s«.Qr«»|fr f n^ii^e Optimization: Currently, CLE isn't in the top 50 hits of a Google search for
"body piercing," "body jewelry," "body piercing jewelry," or, "body modification jewelry." It is
essential that CLE spend some of its advertising budget to create the opportunity for consumers
to stumble into its website.

Key Success Factors

The success of this marketing plan depends heavily, I feel, on the design element of the new
website, the postcards and the content on the Facebook page. Additionally, partnering with tattoo
and piercing shops who feel they have a vested interest in CLE's success would greatly increase
the probability of success. Maintaining exclusive distribution through certain retailers and

Green.6
promoting CLE's brand will increase sales revenue. However, most important to the success of
this marketing plan is locating and reaching out to the demographic of people that are interested,
and engaged in the piercing world. This demographic will ultimately decide if paying extra for
•-- _ — -- — i ii i

platinum, gold, silver and tungsten is worth the investment over a stainless steel piece of jewelry.
CLE creates^high-quality products and the craftsmanship speaks for itself. Unfortunately
the product can't market itself. However, once a large enough base of loyal and returning
customers has been established and regularly engaged, the product's quality will begin to elicit a
greater interest in Clayton Limited Editions.

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Appendices

Body Piercing Jewelers and Distributors

Current Perception Map

of Body Piercing Jewelry

Body Candy
Piercing Dot

Fresh Trends The Chain Gang

Quality

Monster Steel

Predicted Perception Map

of Body Piercing Jewelry

Body Candy
Piercing Dot

Fresh Trends The Chain Gang

Quality

Monster Steel

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Clayton Limited Editions

One Year Revenue Forecast:

In Dollars In Dollars
2009-2010 2010-2010
April '09 $5,000.00 April '10 $7,200.00
May '09 $5,800.00 May '10 $8,000.00
June '09 $6,200.00 June '10 $8,900.00
July '09 $6,900.00 July '10 $10,000.00
August '09 $7,500.00 August '10 $10,980.00
September '09 $7,200.00 September '10 $10,050.00
November '09 $7,000.00 November '10 $9,000.00
December '09 $7,800.00 December '10 $9,500.00
January '10 $5,900.00 January '11 $9,000.00
February '10 $6,200.00 February '11 $9,300.00
March '10 $7.000.00 March '1 1 $10,100.00
total: $72,500.00 total: $102,030.00

,sooooo 2009-2010 Revenue

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Clayton Limited Editions

Marketing Expense Budget:

In Dollars In Dollars
Direct Mail: Social Media:
Postcards $500.00 Facebook n/a
Printing $500.00 Twitter n/a
Catalogs $3,000.00 Blog n/a
Postage $1.000.00 total: n/a
total: $5,000.00
Search Engine Optimization:
Trade Show: total: $3,000.00
Postcards $250.00
Printing $250.00 Guerilla:
Buttons $200.00 Stickers $400.00
Stickers $200.00 Buttons $400.00
Catalogs $1,000.00 total: $800.00
Fees $500.00
Travel $3,000.00
Lodging $1,500.00 TOTAL: $16,100.00
Food $400.00
total: $7,300.00

Marketing Expense Budget

5% ^^W

19% sA • Direct Mail:

1 Trade Show:
• Search Engine Optimization:
*^ * Guerilla:

45%
Resources

Adams, Josh. Bodies of Change: A Comparative Analysis of Media Representations of Body

Modification Practices, State University of New York, Fredonia. Sociological
Perspectives, Volume 52, Number 1, 2009

Cardona, Mercedes M., Economic Gold Rush Spurs Rash of Jewelry Ad Efforts, Advertising
Age, Vol. 71, Issue 40.

Carroll, Sean T. MD; Riffenburgh, Robert H., PhD; Roberts, Timothy A. MD; and Myhre,
Elizabeth B. CPNP, MSN. Tattoos and Body Piercings as Indicators of Behaviors,
Pediatrics, Vol. 109, No 6 June 2002.

Cueno, Alice Z., Tiffany, Advertising Age, Vol 68, Issue 26.

Fitzgerald, Kate. Jewelry Ads Sparkle in Context of Fashion Staple, Advertising Age, 9/13/2004,
Vol. 75 Issue 37, pS-8-S-14, 2p,

Sandry, Andrea & Seiter, John S. Pierced for Success? Communication Research Reports, Fall
2003, Volume 20, No 4, p287-298.

Green. 11
Student:

Section of paper Meets Comment

expectations?3"
Introduction 'i

Marketing goals
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Product/Service '!*~' f U'*st. *

overview
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Segmentation & 6
targeting

f
Positioning
I f

Channel of
distribution
y

Price

Brand •1. T2?

Marketing
communications

Success factors

Budget

Appendices

Research ^f

Organization &
.A
writing

Total
**V". »

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* A score of 2 means the high expectations of the MSC program have been met. 1 means below expectations, 3 means above
expectations.