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Evans Cooper

763 Promotions
Professor Cory Quach
August 20, 2017
Table of Contents
Mr. Burberry Fragrance.................................................................................... 4
Executive Summary: Campaign Proposal................................................. 5
Fragrance Overview.......................................................................................... 6
The Fragrance Industry: An Overview..................................................... 7
The Fragrance Industry: Top Selling Mens Cologne in2017........... 9
Burberry: The Company................................................................................... 10
Burberry: Company Overview.................................................................... 11
The Burberry Customer................................................................................. 13
Burberrys Recent Digital Strategy............................................................ 14
The Launch of Mr. Burberry......................................................................... 16
Why Market to the Gay Community............................................................ 17
Consumption in the Gay Community..................................................... 18
Brands that Market to the Gay Community........................................... 20
Proposed IMC for Mr. Burberry Cologne................................................... 21
Mr. Burberry Cologne IMC........................................................................... 22
Campaign - Social Media............................................................................. 23
Campaign - Video and Displays................................................................ 24
Campaign - Special Events.......................................................................... 25
Campaign - AdWords..................................................................................... 26
Campaign - Postcard Mailers...................................................................... 27
Campaign - Registration cards at Events and Internet Pop-ups... 28
Mr. Burberry Campaign: Budget................................................................ 29
Mr. Burberry Campaign: Flowchart ......................................................... 30
Mr. Burberry Campaign: Evaluation Methodologies......................... 31
References............................................................................................................ 33
Mr. Burberry Fragrance

Mr. Burberry is Burberrys newest scent. It is a warm, sen-


sual and woody scent that features fresh and aromatic
top notes of tarragon, cinnamon, patchouli, amber and
smoky vetiver.

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EXECUTIVE SUMMARY:
Campaign Proposal
Proposed Campaign:
Given the spending power of gay males in the U.S., we recommend that Burberry target
the gay U.S. population with a strategic marketing campaign to increase the sales of its
newest cologne: Mr. Burberry.

The Goal:
Target middle and upper gay men in the U.S. to increase Mr. Burberry cologne sales by
5%-7% percent.

Campaign Message:
Dont Resist You

Burburrys history is in its trench coat -- which represents resistance, territory, and fight-
ing to defend a position or way of being. The history of the gay community exemplifies
all of those attributes. Likewise, gay men exemplify those attributes everyday as they
wake up and engage in everyday interactions. At the same time, after fighting through
the day, gay men like romance and sophistication, to be loved and to be sensual with
someone whom they love; and to enjoy dressing up nicely and going to dinner to cele-
brate life and achievement.

The Campaign Strategy:


We propose to show two ads consistently of two types of persona:

1) Gay Couple: two men, well-dressed, displaying romance and longevity.

2) Single Gay Guy: representing that single, spunky, outgoing gay guy who likes style
and fashion.

The IMC strategy will include social media, print, and special events as presented herein.

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FRAGRANCE MARKET
OVERVIEW

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THE FRAGRANCE INDUSTRY: AN
OVERVIEW1

Summary of Consumer Behavior in Fragrance:


According to The NPD Group, Inc., 63% of adult males ages 18-
64 wear fragrance at least occasionally, with 23% indicating they
use it all of the time.

Forty percent of men who wear a scent have one signal fra-
grance that they use.

Nearly 40% of males ages 18 64 never use fragrance.

Mens scents are experiencing a lift in eau de parfum (EDP) -- a


richer concentration not traditionally used by American men.

EDP is a niche and emerging category, likely embraced by early


adopters who are generally more sophisticated users.

Prestige retail dollar sales of mens EDP reached $51.0 million in


the 12 months ending February 2015 (Mar 14-Feb 15), almost
doubling in sales from two years ago.

The increased purchase of mens variety packs is a among the


latest trends today in fragrances, as mens variety packs experi-
enced growth of 54% in 2015.

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THE FRAGRANCE INDUSTRY:
AN OVERVIEW
Pychographics of Mens Cologne Buying Habits:
Eight in ten men use some type of scented product, whether a body
spray or fine fragrance.
Among male adults, when choosing a scent, the most important factor
was that their partner liked it.
Men also shop for a long lasting fragrance that can be worn every day
and for all occasions.
Once men choose a scent, they often stick to it, and once men settle on
a fragrance, they remain very loyal to the brand that makes their favor-
ite scent.
Because men know what theyre looking for, they are more likely to
purchase online. But when theyre looking to buy a new fragrance, men
still flock to brick-and-mortar stores, compelled by the ability to try on
several different scents before committing.2

Direct-to-Consumer Sales:
The NPD Group reported that mens fragrance occupied 2% of US di-
rect-to-consumer (DTC) beauty sales, trailing behind womens fragrance at
11%. DTC beauty sales include consumers buying from department store
websites, online-only beauty retailers, and TV or home-shopping retailers.

Holiday Shopping3:
According to data from Deloittes 29th Annual Holiday Shopping Survey ,
more than half of consumers use perfume or cologne. When it comes time
for holiday shoppers to stock up on gifts for their loved ones, one in five
will opt to give cosmetics, fragrance, or a health and beauty aid.

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THE FRAGRANCE INDUSTRY: TOP
SELLING MENS COLOGNES IN 2017
Competitors:

1. Bleu De Chanel
2. Guess Seductive Homme Blue
3. Ralph Lauren Big Pony Red #2
4. Gucci Guilty
5. Dolce & Gabbana Pour Homme
6. Homme by David Beckham
7. Jean Paul Gaultier Le Male Terrible
8. Issey Miyake L
9. Nautica Aqua Rush
10. Eau de Lacoste

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BURBERRY: THE COMPANY

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Burberry: Company
Overview
The History:

Established in 1856, Burberry, Plc is a British luxury fashion house


founded by Thomas Burberry. The first shop opened in the Haymarket,
London, in 1891. The company manufactures and distributes trench
coats, ready-to-wear outerwear, fashion accessories, fragrances, sun-
glasses, and cosmetics. The company is headquartered in London,
England.

The company originally focused on the development of outdoor at-


tire. Besides being credited for designing the first trench coat, which
was worn in WWI, Burberry also is noted for the creations Gabardine,
a completely breathable and waterproof; this fabric was exclusive-
ly made for the brand. The fine quality and durability of Gabardine
helped to popularize the company.

Burberry was an independent family-controlled company until 1955,


when it was reincorporated.

Competitors:

The fashion house has dressed notable actors, world leaders, musi-
cians, and athletes. Some of its major competitors include the top
leading brand luxury lines in the world: Chanel, Gucci, Prada, Louis
Vuitton, Yves Saint Laurent and Hermes, to name a few.

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Burberry: Company
Overview
Recent Marketing Campaigns:

Some of Burberrys campaigns include the launch of Mr. Burberry, where


Burberry partnered with GQ to promote the launch; the launch of its Cat-
Lashes, a part of its beauty brands, using Pinterest, its latest social media
attempt; and a childrens wear line.

Burberry spends a tremendous amount of its dollars on consistent mar-


keting and pushes all of its lines, including cosmetics, menswear, wom-
enswear, and accessories.

Corporate Direction:

According to Business of Fashion, Burberry shares have drop significantly


and that is due to the competition in Chinese market and waning desir-
ability in China and the U.S. Senior management of Burberry have stated
that their new focus now is to regain their desirability in both of these
countries.

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The Burberry Customer
The primary Burber-
ry customer base is
upper-middle class
to upper class.

The median age is


39.

Middle-aged wom-
en dominated their
consumer demo-
graphic.

Over 42% of Burb-


erry sales comes
from Asia.

The top motivators


that induce follow-
ing and purchasing
are status, aspira-
tional association,
product quality,
and brand reputa-
tion.

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Burberrys Recent
DIGITAL Strategy
Past5:
In 2006, Burberry management decided they wanted the brand to become the
first fully digital luxury company. Digital now has become a core component
of how Burberry runs its business. Burberry started by turning user-generated
content into its own social media platform. One example is the Art of the Trench
video, which was launched in 2009. Since the release of Art of the Trench, Burber-
ry has been among the first to test new social media channels and developments
and note its response. The company jumped on Snapchat and Periscope, and
tested Instagrams video ads and Twitters buy buttons as they rolled out. At the
end of 2014, Burberry upgraded its mobile site, which resulted in its mobile reve-
nue tripling.

CEO Christopher Bailey cited digital technology as central to the brands way of
thinking. For customers, that means they have access to the brand in a way that
was previously unheard of in the luxury world. Burberry can also now access its
clients online, in-store or on mobile.

Their focus on digital has landed the company at the top of digital think tank of
L2s 2015 Fashion Digital report. This report is an annual index that ranks top
fashion brands on their successes and failures in digital commerce and marketing.
Burberry out-ranked 82 other brands in digital for its mobile platform improve-
ments, a digital microsite, social engagement and brand visibility.

The first act in going fully digital with the launch of Art of the Trench, a microsite
that runs user-generated content of people wearing Burberrys signature trench
coat. That year, during the Spring/Summer 2010 fashion show, Burberry chose to
live stream the event, giving anyone access to the traditionally exclusive runway
action.

L2 pointed to the continued investments in both of these displays as reasons why


Burberry has forged ahead in digital. According to Reuters, the whole of the lux-
ury goods market grew only 1-2 percent in September, while Burberrys revenue
was up 11 percent.

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Burberrys Recent
DIGITAL Strategy
Present6:
In 2014, Burberry expanded Art of the Trench video to have a much bigger reach.
Art of the Trench now taps into all of Burberrys global markets, as 1.4 million people
have watched the reintroduction video and the site has received 24.8 million pa-
geviews to date. During the Spring/Summer 2016 fashion show, Burberry also went
beyond live streaming, and shared shots of the entire collection on Snapchat before
it premiered on the runway, to the tune of 100 million impressions.

Burberry has also figured out a way to capitalize on those watching its every move
on the runway something other designers have failed to do. In 2013, the com-
pany offered a made-to-order catwalk service, which sold runway pieces from the
Spring/Summer 2014 collection online and on mobile immediately after the show
ended, for a two-week period. In China, Burberry tested instant orders via text mes-
sage on WeChat. Burberrys goal is to bring the customers closer to the brand.

Burberry has a robust digital team. The content shared on platforms and on mobile
is all created internally. This includes Octobers advertising campaign on Snapchat,
with photos of each item in the ads collection shot by Mario Testino, Periscope foot-
age of a Live in London event and the mens fashion week runway, and curated play-
lists for Apple Music, where Burberry created the first brand channel for the platform.

On digital channels, Burberrys goal is to be consistent. Shoppers can now buy


online and pick up in-store, have a sales associate order for them from Burberry.com
while in-store, and access a unified shopping cart on mobile and desktop. Synchro-
nizing channels has made it easier for Burberry to expand into new markets and
enable shopping through social platforms. Burberry also ran Twitters buy button in
conjunction with a 2014 fashion show shortly after Twitter introduced the feature,
making mobile purchases instant.

Burberry has been able to successfully employ digital media in its integrated market-
ing campaign to established itself as a digitally savvy brand among other corporate
industry leaders across the board.

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THE LAUNCH of
Mr. Burberry
The Mr. Burberry fragrance
campaign launched in April
2016, including TV, print and
a directors cut film shot by
Academy Award-winning
director, Steve McQueen.

Customers were able to


personalize their Mr. Burber-
ry bottle with a monogram-
ming service available at
Burberry.com and selected
Burberry and wholesale
stores. Users were also able
to monogram their own vir-
tual Mr. Burberry bottle
using interactive advertising and to share it on Facebook, Twitter, Pinterest
and Instagram.

As part of the Mr. Burberry launch, Burberry became the first luxury brand
to have a dedicated experience in the Discover section of Snapchat. The Mr.
Burberry Discover channel offered access to a wealth of style and fragrance
content, including tailoring and grooming tips.

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WHY MARKET TO THE GAY
COMMUNITY?

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Consumption in the
Gay Community
LGBT consumers -- Spending Power of Gay Households vs. the American
General Market

LGBT consumers have 23% higher median household income;


LGBT consumers have 24% more equity in their homes;
26% of gay men say they will pay more for top quality brands;
LGBT consumers take 30% more major vacations per year; and
40% of LGBT consumers bought a new smart phone in the past year.

Estimates put the buying power of the LGBT community at over $800 billion
annually. Some marketers are realizing that they may need to adjust their plans to
accommodate this segment, or at least make sure that their marketing spending
is inclusive of this valuable target. But many brands have been slow to pick up on
the impact of the gay and lesbian consumer on their sales.

Below are three major differences between the purchasing habits of gay consum-
ers and everyone else.

Gay Shopping Habits Pay Off For Brands Same-sex households spend at
rates fairly similar to other households, when it comes to shopping for con-
sumer packaged goods. However, gay and lesbian households make 16%
more shopping trips than the average U.S. household 173 vs. 149 per year.

Gay Males Spend More Frequently Male same-sex households are espe-
cially likely to spend more frequently, shopping nearly 30% more often than
the average household. This means that brands have more opportunities
to reach LGBT consumers at retail to influence their purchase behaviors and
brand preferences.

Gay Consumer Brand Loyalties Gays are more likely to pay for quality
brands and to influence others as well. When asked if it is worth paying extra
for top-of-line or cutting edge products, 26% of gay men agreed, considerably
higher than the average Americans answer to that question.

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Consumption in the
Gay Community
LGBT consumers are a source of word-of-mouth marketing for brands. Gay men (64%)
and women (65%) agreed that when they find a brand they like, they are likely to
make a point of telling their friends about it.

Although there is some disagreement about income of gay consumers compared to


the average American, most sources indicate LGBT consumers have more disposable
income. According to a survey done by Prudential in 2012, gay consumers reported
annual household incomes around $61,500, significantly higher than the national
median of just over $50,000.

Gays were more likely to have higher educations, to carry less debt, to have more sav-
ings and were less likely to be jobless with an unemployment rate of almost a point
below the national percentage. Additionally, LGBT homeowners in the survey had
significantly more equity in their homes and were better financially set for retirement.

With a constant media-driven debate reminding gay Americans of inequities includ-


ing workplace discrimination, marriage inequality, and cultural clashes, on an almost
daily basis, gays and lesbians are paying attention to brands that appear to be allies
and market to them. Not to mention, more and more progressive ally supporters of
the LGBT community are expressing their support of gay issues and are not afraid to
support LGBT- directed ads.7

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Brands that Market to
the Gay Community

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Proposed IMC for Mr.
Burberry Cologne

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Mr. Burberry Cologne IMC
We recommend the following campaign strategy:

1. Digital Media:
Burberrys historical digital campaign success stemmed from their commit to one
comprehensive message and made all channels flow seamlessly together. They used
consistent photos and videos and cross-shared technology between Twitter, Facebook,
Instagram and Pinterest. Consumers saw the same products, and the same message,
propelling to react positively to the campaign with LIKES and praising reviews, as well as
increased sales.

Given Burberrys already existing experience and success with the use of an aggres-
sive and focused digital media program, we recommend using the same model for the
distribution of a gay ad for Mr. Burberry. This would include utilization of the following
media: Facebook, Instagram, Twitter, Pinterest. Ability for registration/customer data
collection on Facebook.

2. Microsite/ YouTube
We propose a microsite with a video that links to YouTube to really animate the mes-
sage. Registration/customer data collection pop-up on microsite for target marketing/
special promotions.

3. Special Event
Major event in the top 10 highest gay populated cities in the U.S., which are New York,
Los Angeles, Chicago, San Francisco, Phoenix, Houston, Seattle, Atlanta, Minneapolis,
and Boston. Date: U.S. Supreme Court ruling in favor of same-sex marriages (Jun 26).
Post event on Facebook, Twitter, Instagram,and Pinterest. Registration cards or com-
puter input prompted at event and checkout for mailers to go out starting in November
for Christmas.

4. Mall Displays/ Shop Displays


We propose mall displays in store fronts and nearby mall atrium displays.

5. AdWords: Targeted gay sites such as gay cruises, out.com, and gay city searches.
After click, viewer has the option to register for further target marketing/special promo-
tions.

6. Mailers: From November to December for Christmas holiday, based on information


gathered at event, web registration pop-up, and Facebook registration plug-in app.

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CAMPAIGNS - Social Media

Burberry.26

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CAMPAIGNS - Video and
Displays

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CAMPAIGNS - Special Event

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CAMPAIGNS - AdWords
AdWords AdWords

Run May - Oct Run Nov - Dec

AdWords
AdWords

Run May - Oct Run Nov - Dec

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CAMPAIGNS - Postcard Mailers

Post card mailed Jun and end Oct.


Restarts in Jan and end Mar.

Tom Johson
123 Customer Lane
Atlanta, GA 30344

Christmas post card starts in Nov and ends in Dec 20th.

Tom Johson
123 Customer Lane
Atlanta, GA 30344

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CAMPAIGNS - Registra-
tion cards at event and Inter-
net Pop-ups

x
Customer Information

Gay Ally

Name

Email

Mailing
Address

Birth
Day

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Mr. Burberry Cam-
paign: BUDGET

Total Burberry, Plc. Sales in pounds (12 months end March 1997) 2,766,000,000bp

Total Burberry, Plc. Sales in U.S. Dollars (exchange rate 1.29) $3,568,140,000

Total Marketing Expense (12 months ending March 1997, 33% of $1,177,486,200
sales)
Total Estimated U.S. Sales (as a % of U.S. stores to Total Number of $749,309,400
Stores Globally)
Total Marketing Budget for U.S. (33% of total marketing budget) $247,272,102

Cologne sales (5% of sales) $12,363,605

Budget for target market - gay men, middle to upper class (1.9%) $234,908

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Mr. Burberry Cam-
paign: FLOWCHART

APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR COST

Facebook $35,236

Instagram $16,444

Pinterest $11,745

Twitter $16,444

Microsite/ $35,236
YouTube
video
Special $23,491
Event
Displays $18,793

AdWords $58,727

Mailers $18,793

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Mr. Burberry Campaign:
EVALUATION METHODOL-
OGIES
The evaluation methodologies for campaign success will include:

Registration cards from microsite website


Registration cards from event
Registration cards from Facebook
Likes from Facebook, Instagram, and Twitter
Reviews and comments on Facebook, Twitter, Instagram and microsite
YouTube views
YouTube responses

Adwords click-throughs to microsite


Online orders through microsite
Number of purchases/sales at events when checking out and registering
Fill-in response to check-terminal question ask from sales person as she is
ringing out the client for the campaign period: How did you hear about
Mr. Burberry?
Post card mailers presented at Christmas for free give-away

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Mr. Burberry Campaign:
EVALUATION METHODOLO-
GIES
Because of changes in the economy, which affect consumer spending
across the board year by year, and the number of heterosexuals who
may come across the Mr. Burberry ads and purchase regardless, as well
as those heterosexuals who may be influenced to buy the cologne
because of a gay family member or friend, measuring absolute success
becomes more challenging.

The first step in determining whether the 5% to - 7% goal was reached


is to review the overall sales growth for the cologne at the end of the
campaign. From there, the above-mentioned indicators can be used
to better estimate the contribution impact to the total sales increase.
For example, a sales value can be calculated based on microsite sales,
event sales, the number of give-aways with the presentation of the
mailer card, and the response to How did you here about Mr. Burber-
ry? question at checkout.

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REFERENCES

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REFERENCES
1. Group, T. N. (2015, April 08). Intense, Full-Bodied Fragrance Gaining Appeal Among U.S.
Men, While Women Embrace Softer, Lighter Concentrations. Retrieved August 20, 2017,
from https://www.npd.com/wps/portal/npd/us/news/press-releases/2015/intense-full-
bodied-fragrance-gaining-appeal-among-u-s-men-while-women-embrace-softer-lighter-
concentrations/

2. Group, T. N. (2015, April 08). Intense, Full-Bodied Fragrance Gaining Appeal Among U.S.
Men, While Women Embrace Softer, Lighter Concentrations. Retrieved August 20, 2017,
from https://www.npd.com/wps/portal/npd/us/news/press-releases/2015/intense-full-
bodied-fragrance-gaining-appeal-among-u-s-men-while-women-embrace-softer-lighter-
concentrations/

3. Loyalty Rules Mens Fragrance Market. (2014, November 17). Retrieved August 20, 2017,
from https://www.emarketer.com/Article/Loyalty-Rules-Mens-Fragrance-Market/1011590

4. Top 10 Best Selling Mens Colognes Brands in The World. (2017, May 31). Retrieved
August 20, 2017, from http://www.trendingtopmost.com/worlds-popular-list-
top-10/2017-2018-2019-2020-2021/product/best-selling-mens-colognes-brands-world-
usa-india-market-famous-expensive-cheapest/

5. Milnes, D. 2., Milnes, A. 1., Chen, M. 2., Kim, A. 1., Chen, A. 1., Liffreing, A. 1., Southern, A. 1.
(2017, March 20). How Burberry became the top digital luxury brand. Retrieved August 20,
2017, from https://digiday.com/marketing/burberry-became-top-digital-luxury-brand/

6. Milnes, D. 2., Milnes, A. 1., Chen, M. 2., Kim, A. 1., Chen, A. 1., Liffreing, A. 1., . . . South-
ern, A. 1. (2017, March 20). How Burberry became the top digital luxury brand. Retrieved
August 20, 2017, from https://digiday.com/marketing/burberry-became-top-digital-luxu-
ry-brand/

7. Fuller, B. (2013, June 23). Heres How Some Brands Have Subtly Won Over The LGBT Com-
munity. Retrieved August 20, 2017, from http://www.businessinsider.com/lgbt-communi-
ty-untapped-market-consumer-brands-2013-6

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