A Promotional Plan - Weebly · 2019-09-18 · for Cargo Cosmetics. The plan includes product...

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A Promotional Plan: Bringing a Canadian Company Back Home Humber College FMPC 500 For: Anne Cramer 4 December 2014 Created By: Victoria Bumby Courtney Fancy Justine Longo Alexandra Peroni Maggy Rinaldo

Transcript of A Promotional Plan - Weebly · 2019-09-18 · for Cargo Cosmetics. The plan includes product...

Page 1: A Promotional Plan - Weebly · 2019-09-18 · for Cargo Cosmetics. The plan includes product strategy, price & level market strategy and a place and distribution strategy. Additionally,

A Promotional Plan: Bringing a Canadian Company Back Home

Humber College

FMPC 500 For: Anne Cramer

4 December 2014

Created By:

Victoria Bumby Courtney Fancy Justine Longo

Alexandra Peroni Maggy Rinaldo

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Table of Contents EXECUTIVE SUMMARY .............................................................................................. 2 CARGO COSMETICS MARKETING MIX STRATEGY .......................................... 3

CARGO PRODUCT STRATEGY ........................................................................................... 3 PRICE & MARKET LEVEL STRATEGY ............................................................................... 3 PLACE & DISTRIBUTION STRATEGY ................................................................................. 4 PAST MARKETING AND PROMOTION ................................................................................ 4

CARGO COSMETICS: THE BRAND ........................................................................... 5 LINE ................................................................................................................................. 6 FREQUENT MILES CLUB (CRM – REWARDS PROGRAM) .................................................. 7 SOCIAL MEDIA ................................................................................................................. 7 FILM & TV ...................................................................................................................... 8

PROMOTIONAL OBJECTIVES AND THEME .......................................................... 8 TARGET AUDIENCE ..................................................................................................... 9 PROMOTIONS MIX ...................................................................................................... 10

ADVERTISING STRATEGY ............................................................................................... 11 PUBLIC RELATIONS STRATEGY ...................................................................................... 13

PROMOTION BUDGET ............................................................................................... 15 APPENDIX A ................................................................................................................... 17 APPENDIX B ................................................................................................................... 19 APPENDIX C ................................................................................................................... 20 APPENDIX D ................................................................................................................... 21 APPENDIX E ................................................................................................................... 22 BIBLIOGRAPHY ........................................................................................................... 27

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Executive Summary

The following is an integrated marketing communications plan (IMC) designed

for Cargo Cosmetics. The plan includes product strategy, price & level market strategy

and a place and distribution strategy. Additionally, this plan will include a new

promotional strategy that will include an advertising plan along with a public relations

plan that will include promotions, sponsorships and special events.

Cargo Cosmetics is a professional Canadian cosmetic company with a simple

concept that aims to deliver professional results that are easy for Canadian women to

achieve. Our plan seeks to introduce not only a new, fresh look but also a great concept

that will give us the opportunity to enrich our brand image. Since Cargo is a brand that

has been in existence since 1996, we want to make sure we enhance current brand

awareness, as well as bringing a new concept to future customers.

Advertising and public relations are the two key components of our promotions

mix. We will have a 2-page spread in ELLE Canada Magazine and Cosmetics Magazine,

which will help us reach our target customer, the free spirited and confident 25-39 year

old woman. These advertisements will consistently use an effective message strategy

emphasizing our brand. We will also promote on high-traffic Canadian beauty blogs,

providing samples to bloggers and have hired a public relations consultant to help us

reach our consumers through social media outlets. We also feel a great strategy is to

promote our brand through special events such as World MasterCard fashion week,

where we will work alongside designers providing all makeup for the event, have product

displays and distribute samples.

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Cargo Cosmetics Marketing Mix Strategy

Cargo Product Strategy

Cargo Cosmetics started in 1996 as a line that was used by the industry’s top

artists. After winning multiple awards, Cargo was recognized as one of the most creative

and innovative brands on the beauty scene (About Us). Cargo continues to impress with

face, eye, cheek, lips, HD, and even swimmable (water resistant) cosmetic creations.

Cargo is able to capture a wide target audience with the line and range of products

they offer. Most widely known for their “lip-quads,” development and widening of their

product offerings has allowed them to capture an even larger audience, keeping up with

major competitors in the beauty industry.

Cargo has high product differentiation, as seen on multiple blogs and websites,

their brand packaging and brand offerings stand out from the crowd. Not only is their

packaging something to remember, but also their “swimmable” products aren’t

something you find very often in the makeup industry. Without much diversification

within the product rage in recent years, Cargo Cosmetics could benefit greatly from

increasing current brand awareness and gaining new impressions. Looking to increase

product trials and brand awareness by 50% each within the next year is an attainable goal

if products become more accessible.

Price & Market Level Strategy

Cargo Cosmetics has a very competitive pricing strategy, with their “New

Essential Lip Gloss” starting at just sixteen dollars, and their “Liquid Foundation”

reaching their highest price point of thirty-six dollars (Foundation - Face). Cargo prices

fall between “drugstore” and “high-end” beauty products, which is still below “designer.”

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Professionals and consumers alike are able to easily access Cargo products (in the

United States) from well-known department stores, and a multitude of online retailers,

and with prices comparable to competitors, their diverse product line gives them

competitive advantage in the makeup and beauty industry.

Place & Distribution Strategy

Cargo Cosmetics are currently sold online at cargocosmetics.com,

beautybay.com, and beauty.com, as well as in store (and online) at Ulta Beauty,

Nordstrom, Kohls, Macy’s, Dermstore, Murale and Clicks Pharmacy, as well as on The

Shopping Channel (Store Locator). One of makeups most notable stores, Sephora, was

carrying the Cargo Cosmetics line, but due to Sephora’s ever-changing line of products,

they stopped carrying the brand in 2010.

With no major grasp on the Canadian market, this Canadian brand is looking

reestablish itself in the beauty industry and placing itself in major Canadian department

stores and makeup specialty stores, such as Sephora will help to immediately increase

brand awareness. Murale by Shoppers Drug Mart at Don Mills in Toronto, ON is a main

location to purchase Cargo Cosmetics in the Toronto area, but this isn’t a very well

known or popular beauty store.

Their current distribution strategy in Canada is definitely lacking any sort of depth

and in order to increase sales and brand awareness this needs to be turned around.

Past Marketing and Promotion

In November of 2013, RPG collaborated with Cargo Cosmetics to rebrand their

entire line. Using Cargo’s slogan “makeup to move you,” RPG created new packaging

that “depicts adventure and worldliness” as well as introduced, Chloe, the consummate

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Cargo girl, and through a campaign, we follow her on her adventures around the world

(RPG 2013).

Unfortunately, this marketing campaign has not reached the Canadian segment,

which is where Cargo began. With little magazine and newspaper articles sporadically

spread throughout Canadian media, Cargo Cosmetics has not done much to reach their

customers in recent times. American media, TV and film seems to be where they are

focusing their efforts.

Social media, film and TV promotions are discussed in greater detail throughout

the report.

Cargo Cosmetics: The Brand

Cargo is a professional makeup line with a simple concept that aims to deliver

professional results that are easy for all women to achieve. Founded by Hana Zalzal in

1996 in Canada, Cargo is used by the industry’s top artists and has gained worldwide

recognition as a creative and innovative beauty brand. The name Cargo comes from the

idea that makeup is every woman’s “cargo” (About Us).

Originally based in Toronto, it is now a multimillion-dollar company sold in

several different countries. Cargo has earned several company and product awards such

as the Red Dot Award for Product Design for the famous Foundation Pouch in 2007, and

was named Brand Packaging Magazine’s Brand Innovator of the year in 2006 (Awards).

Cargos founder was also awarded the Canadian “Top 40 Under 40” award (Hana Zalzal).

Cargo is recognized for its award winning products and unique vacation inspired

packaging, and has become a well-known and respected brand. With the free spirited

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independent traveler in mind, Cargo continues to create innovative products that are fresh

and fun and that meet every woman’s cosmetics desires (About US).

Slogan

“At Cargo, we truly believe that the journey is just as important as the destination.

Therefore we will always strive to deliver ‘makeup to move you’” (About Us).

Features

Cargo’s collection features makeup essentials and innovations. From face, eyes,

cheeks, and lip products to the HD and Swimmables collections, Cargo offers something

to fit every woman’s makeup need. Cargo also offers an array of best sellers in every

category, including Liquid Foundation featured in the award-winning pouch, and the

Texas Liquid Eyeliner, which was Women’s Health’s Beauty Award Winner in 2014

(Eyes - Best Sellers). For some of the best sellers Cargo offers a variety of shades and

colours that can be suited to each customer’s skin tone and liking.

Line Face Bronzer

Primer Powder Concealer Foundation Moisturizer/Mattifier

Eyes Eyeliner Brows Mascara Palettes Eye Shadow

Lips Lip Colour Lip Gloss Liner

Cheeks Blush Powders Colour Sticks

Collections & Accessories HD Swimmables

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Kits Brushes Suited to a Tea

(Cargo Cosmetics) A complete list of Cargo cosmetics best sellers can be found in Appendix A. Cargo is currently sold at: Cargocosmetics.com, Ulta and Ulta.com, Nordstrom and

Nordstrom.com, Macy’s, both in store and online, Dermstore, Beautybay.com,

beauty.com, and Clicks Pharmacy. In Canada, you can also find CARGO at Murale by

Shoppers Drug Mart, both online and in stores, as well as through the Shopping Channel

(Store Locator).

Frequent Miles Club (CRM – Rewards Program)

Cargo believes in valuing our customer and we want to show this in a fun way.

We aim to maintain customer relationships by offering a CRM program. Keeping our

brand image and travel themed products in mind, we offer the Frequent Miles Club

Rewards Program. This rewards program is free to join and offers very exciting benefits.

Customers receive 1 mile for every $1 USD spent. Customers can then redeem 100 miles

for $5 USD worth of product. Member benefits also include exclusive invites to local

Cargo events at participating stores, an exclusive annual birthday gift, a personal sales

day to receive 10-15% off, and up to 2x the miles on purchases made during our beauty

week (Frequent Miles Club). A complete rewards break down is shown in Appendix B.

On behalf of Cargo, thank you for traveling with us!

Social Media

Cargo remains current and on top of fashion trends, and strives to reach

consumers and the public through e-commerce and all the relevant social media

platforms. As a verified Authorized.net merchant, we offer online shopping and a

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complete look at our collection on our website. You can also find us on Facebook,

Twitter, YouTube, Instagram and Pinterest, or just by searching for #CARGOcosmetics.

Like our product designs, CARGO’s social media is fun, colourful and fresh.

www.cargocosmetics.com @cargocosmetics #CARGOcosmetics

Facebook: 31,807 likes

Twitter: 32.3K followers

YouTube: 443 subscribers

Instagram: 10.6K followers

Pinterest: 733 followers

*Stats as of December 1, 2014 Film & TV

Makeup is a necessary tool in the production of film. This has always been true

when it comes to giving characters personality, but is especially relevant today, as high

definition has become the norm. High definition cameras can show off every tiny pore

on the skin and that’s why makeup is so important. We created our CARGO HD line,

originally called CARGO blu-ray, as a line of high-definition friendly makeup (Cargo

Cosmetics puts star power into Products, 2011). CARGO cosmetics have been featured in

many films and television shows. Most recently it has been seen on the hit TV shows

Nashville, Girls, How I Met Your Mother and Modern Family. CARGO also helped to

create the unique and colourful characters in Tim Burton’s Alice in Wonderland (Cargo

On Set TV/Film). A full list of TV & film can be found in Appendix C.

Promotional Objectives and Theme

The ultimate objective of our promotional plan is to raise brand awareness.

According to our secondary survey research, Cargo currently owns a small- if not almost

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obsolete percentage of the Canadian cosmetic market place. Our goal is that in one years

time, at least 50% of people surveyed will be familiar with what Cargo is, and have tried

at least 1 product (Peroni, 2014). That is a projected increase of 15% from our current

respondent results in brand awareness, and approximately a 43% increase in use, leading

to hopefully a 43% increase in sales.

Fashion week is attended by thousands of trend seeking individuals, as well as

broadcasted around the globe through social media outlets (About, 2014). Providing

samples at Fashion Week, and sending product packages to Beauty Bloggers and

YouTube Beauty Gurus to review and test, will also publically promote the quality of our

products. We expect the online world to be the main source of communication for our

target consumer. Through our sponsorship with World MasterCard Fashion Week, we

expect brand awareness to increase exponentially.

In addition, the use of printed advertisements in Elle Magazine will reach

consumers who are not as active in the online or fashion world. Therefore, expanding our

brand footprint in the cosmetic industry. As we have set high goals for our company, our

6-month contract with a well-established public relations firm will help generate buzz,

manage press releases, generate ideas, and promote events.

Target Audience

Chloe, the “consummate” Cargo girl, as said by RPG, is currently on an adventure

around the world, whether literally or figuratively, and Cargo Cosmetics wants to be her

go-to brand. Target audience members for our promotion are single or married women

between the ages of 25 and 39 with an average income of $55,000+ a year. A free spirited

woman with unlimited confidence and the need to discover, learn and grow. Finding

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channels that would directly meet these characteristics and help to bring Cargo branding

and target market back home to Canada was an easy decision.

Choosing ELLE Canada Magazine as one of our most prominent promotion tools,

we greatly took into consideration their readers and target demographic. “The ELLE

Canada woman is stylish, informed and witty. She follows international fashion and

beauty trends, but she also wants to know what’s happening in her own country” (ELLE

Media Kit 2014). In the past year, ELLE readers have typically gone to the spa, the opera

and the ballet, as well as have a high interest in unfamiliar destinations for vacation travel

(ELLE Media Kit 2014). We feel as thought ELLE readers and Cargo Cosmetic wearers

share many qualities that position ELLE Magazine as the number one platform to reach

our target customer.

Not only do we want to reach the “Chloe’s” but also all of her friends. The jet

setting, curious, and rambunctious woman that knows exactly what she wants and where

she is going to get it. Cargo believes that “the journey is just as important as the

destination” and providing “makeup to move you” is our way to assist on any journey in

life (About Us).

Promotions Mix

Cargo Cosmetics is a professional makeup line that is used by the industry’s top

makeup artists (cargocosmetics.com) that has been a large player in the Canadian

cosmetics industry since 1996. Our promotions approach will allow us to enhance the

company’s image and make consumers aware of the concepts behind the brand, and make

it a go-to item for every fashion savvy female Canadian. With the development of other

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cosmetics in the industry, we want Cargo to be a brand that is memorable, easily

recognizable and more accessible to our growing target market.

Cargo Cosmetics will have the opportunity to increase our brand equity and with

our promotions, we hope to become the go-to brand for women seeking reliable and high-

quality cosmetics. In order to start building a strong brand, Cargo will start with highly

effective marketing efforts with a main focus on Advertising and Public Relations.

Through these promotional tools, we will start building potential consumers/customers

and giving exposure to our brand and our products. In order to start this new launch

successfully, Cargo will start building new customers by implementing innovative

advertisements through print, online, media and online beauty blogs as well as through

Public Relations and Special Events.

Advertising Strategy

To achieve the primary objective of versatility awareness the strategies employed

in advertising include: social media, beauty blogs, online advertising and print

advertising. Advertising will play a main role in our promotions mix and is one of the

most important aspect in our marketing strategy with a main goal of drawing more

attention, along with customers, to our business. This is where almost a third of our

budget is going. As our target audience is a busy, fashion savvy 25-39 year old Canadian

woman that loves to travel, a 2-page spread primarily in ELLE Canada and will also be

placed into Cosmetics Magazine will be most efficient in advertising to our consumer.

Cargo Cosmetics will utilize an effective message strategy for our print advertisements,

which will be conveyed through our message of being the jet-setting, rambunctious

woman our consumer is or aspires to be. The text that will be emphasized in our ads will

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be: stylish, beauty, jet setting. This will be demonstrated and consistent throughout our

ads and informing our viewers about the brand and the concept we are trying to get

across. The makeup itself will be the main focal point in the ad, and the overall visuals

will demonstrate color, uniqueness and a fresh, clean look. Examples of print ads, as well

as social media advertisements, can been seen in Appendix D.

The spread in ELLE will run between five to nine times per year in order

consistent yet cost efficient. Elle Canada is the go-to fashion magazine covering fashion,

beauty and style for Canadians and Cosmetics is another Canadian publication heavily

read by Canadian women cosmetic consumers and cosmeticians. It is published every

two months to meet specialized needs of Canada’s beauty advisors/cosmetics working at

the retail counter in drug and department store arenas. Each issue educates the readers on

what’s new in color cosmetics, fragrances, skin care, hair care and all other health and

beauty categories (cosmeticsmag.com).

We will be planning a double page spread (DPS), featuring the latest items along

with the best sellers from the Cargo collection. The media will include a two full-page

and full-color print advertisement, as well as online advertisements. We will start placing

ads in January 2015 and will continue throughout the year. We will also consider other

magazines that target our consumers providing our primary ads prove successful.

Additionally, ELLE Canada and Cosmetics Magazine both engage readers and the

digital online community, which further extends our audience. As previously stated in our

Target Market portion of the promotional plan, ELLE Canada is extremely prominent

among our specific target market, we feel as though these readers and Cargo Cosmetics

consumers share many of the same qualities and will be our number one platform to

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reach our target customer, and will be where the majority of our advertising budget will

be spent.

Advertising both online and in print magazines is an effective way to

communicate with large audiences and to quickly generate our brand image. Our

advertising objective is to focus on promoting the versatility of our brand, as well as

increasing our appeal to potential consumers with colorful eye-catching double page

spreads and online advertisements. Internet advertising will consist of banner

advertisements that will be placed primarily on popular high-traffic Canadian beauty

blogs such as www.beautycrazed.ca, www.beautyeditor.ca and www.glittergeek.ca. Each

advertisement will display our latest items, and will provide a link to our website.

Additionally, we will provide samples to popular beauty bloggers and partner up with

these bloggers to reach a new audience in an informal way and further develop our brand

by accessing a new audience.

Public Relations Strategy

In addition to our advertising for Cargo Cosmetics, Public Relations is another

critical component to our brand’s promotion. We will hire an external Public Relations

consultant to handle our press and information during the first half of our launch

(duration of 6 months). The consultant will be from a Public Relations firm/agency and

will be in charge of monitoring public communications and providing confident

information about our brand to our target market. This will be done through mass

communications, various social media platforms such as YouTube, Facebook, Twitter,

Instagram, etc. The need for a Public Relations consultant in our plan will be there to

constantly update information, answer inquiries and be ready to provide information to an

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audience at any time. It is our role to inform our consultant about our business

concept/strategy as well as the company’s beliefs, history, background and our goals

going forward with our new launch.

The tactics used in our primary strategy will be to maintain our consistent brand

image throughout all promotional outlets and to drive brand awareness. As more news is

consumed on blogs, social media and other various informal communication outlets, we

must focus on our brand being more creative and demonstrate the ability to stand out

from many other various cosmetic brands. Another element of Public Relations that we

will include in our promotion is a Special Events and Sponsorship. We would like to be

involved in sponsorship for events that are specifically geared towards our consumer

market. We think that an event such as World MasterCard Fashion Week held twice a

year in Toronto will be a great way to get our brand’s name out there and for consumers

to easily access our products. Other examples of Special Events can be Cosmetic

tradeshows, Women’s Lifestyle Events, etc. These events will also give the company a

way to communicate in person to hear about the company and our products.

We will provide a sample selection of our new and best-selling items in sample

gift-bags that will be used to handout at major runway shows. We will also provide all

makeup for fashion week, and will work alongside designers to create and design total

looks. We will also have product displays that will allow easy access and tangibility for

consumers. This will be an important platform to showcase our items, as well as for

potential customers interested in the beauty/fashion industry to test out our product and

garner attention from the press.

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Promotion Budget

As Cargo Cosmetics is not publically open about their finances, promotional

budgets cannot be accurately set on financial parameters. Our budget is based on the

task-oriented method in which we have set our desired goals (Hercky, Pasqua, and

Herman, 2014). These promotions are meant to advance our communications with our

current and potential customers. This task-oriented method allows our promotions to be

the driving force of our marketing strategy. We have allotted approximately $220,000

towards 2015’s promotional budget. In 2012, Cargo was acquired by TPR holdings,

which only invests in companies with revenue of at least 2.5 million (Investment Criteria,

2014). We can assume we are spending approximately 10% of our revenues on

promotional objectives.

Total promotional budget: $219,473 (See Appendix E for breakdown) Total cost for PR agency (6 months)……………………………………….……$12,000 Total cost for advertising……………………………………………….………..$78,850

o Elle Magazine double page spread 5-9 times per year………………...$41,430 o Cosmetics Magazine double page spread 2 times per year………..…...$26,020 o Beauty blogger gift packs……………………………………...………$11,400

Total cost to sponsor WMCFW…………………………………...……………$128,623 o Staffing/Makeup Artists………………………………………...….$54,000 o Cosmetic product & supplies at retail………………………….…..$17,046 o Equipment and lighting…………………………………….………$10,702 o Giveaway bags at retail………………………………….…………$46,875

 

Cargo’s integrated marketing communications plan consists of many promotional

tools to help build brand awareness. Through our promotional outlets we will maintain

our consistent brand image and drive brand awareness. With a carefully selected budget

in line with our promotional strategies, we want to stand out as the go to cosmetics line

by taking a creative approach. From print spreads in  ELLE and Cosmetics magazine,

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banner ads on the web, blogs posts, and other advertisements to sending out samples and

reaching the media through the use of public relations and working with special events

such as World MasterCard Fashion week, we believe our promotion plan will be

successful.

Our plan will help to expose our product and attract potential customers and will

therefore build on our consumer base. We feel that by using advertising and public

relations strategies, keeping a consistent message throughout, and putting a creative spin

on our approaches, will help build our brand and show the world that Cargo really does

provide “makeup to move you.”

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Appendix A Cargo Cosmetics best sellers.

Face (Face - Best Sellers)

Eyes (Eyes - Best Sellers)

Cheeks (Cheeks – Best Sellers)

Lips (Lips - Best Sellers)

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HD (HD – Best Sellers)

Swimmables (Swimmables – Best Sellers)

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Appendix  B  

Cargo Cosmetics “Frequent Miles Club” Rewards program break down.

(Frequent  Miles  Club)  

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Appendix  C

TV      Nashville  Girls  The  Newsroom  Anger  Management  New  Girl  Trophy  Wife  How  I  Met  Your  Mother  2  Broke  Girls  Brooklyn  Nine-­‐Nine  Enlisted  Cougar  Town  Dads  Sean  Saves  The  World  Hannibal  Hawaii  Five-­‐O  American  Horror  Story  Modern  Family  Nikita  The  Mindy  Project    

Film    Insidious  (2010)  Everybody  Loves  Whales  (2010)  Starring:  John  Krasinski,  Kristen  Bell  &  Drew  Barrymore  Tim  Burton's  Alice  in  Wonderland  (2010)  Starring:  Johnny  Depp,  Anne  Hathaway  and  Helena  Bonham  Carter  Iron  Man  2  (2010)  Starring:  Robert  Downey  Jr  and  Gwyneth  Paltrow  The  Joneses  (2010)  Starring:  Demi  Moore,  David  Duchovny  Born  to  be  a  Star  (2010)  Starring:  Christina  Ricci  Fame  (2009)  Starring:  Kelsey  Grammer  and  Megan  Mullally  Obsessed  (2009)  Starring:  Beyonce,  Ali  Larter,  Idris  Elba  and  Jerry  O'Connell .  Major  Movie  Star  (2008)  Starring:  Jessica  Simpson  The  Women  (2008)  Starring:  Meg  Ryan,  Annette  Bening,  Eva  Mendes  and  Jada  Pickett  Smith  Winged  Creatures  (2008)  Starring:  Jennifer  Hudson,  Kate  Beckinsale  and  Forest  Whitaker  Finding  Amanda  (2008)  Starring:  Matthew  Broderick  and  Brittany  Snow  Rockett  (2007)  Starring:  Sharon  Stone  and  Lucy  Liu  Over  my  Dead  Body  (2007)  Starring:  Eva  Longoria,  Paul  Rudd  and  Jason  Biggs  When  a  Man  Falls  in  the  Forest  (2007)  Starring:  Sharon  Stone  I  Now  Pronounce  You  Chuck  and  Larry  (2007)  Starring:  Adam  Sandler,  Jessica  Biel  and  Kevin  James  Hairspray  (2007)  Starring:  John  Travolta,  Michelle  Pfeiffer  and  Christopher  Walken      

(Cargo On Set TV/Film)  

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Appendix  D  

Example of a Cargo Cosmetics print advertisement.

(Cargo Cosmetics – Beauty Drugs) Example of a social media advertisement.

(Cargo Cosmetics 6 Must Have Items)

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Appendix  E  Total  cost  for  PR  agency  (6  months)…………………………………………………………$12,000    

-­‐ Budget based on the generalization that the cost to hire a public relations firm begins at about $1800 per month (The Cost of PR Activities and Hiring a PR Agency, 2014). Total cost based on 6 months.

Total  cost  for  advertising…………………………………………………….…………….……..$78,850  

o Elle  Magazine  double  page  spread  5-­‐9  times  per  year……………………...$41,430  

 (Source:  Elle  Magazine  national  rates  2014  for  advertisements)  

 o Cosmetics  Magazine  double  page  spread  2  times  per  year……………....$26,020  

 (Source:  Cosmeticmag.com  pricing  for  advertisements)  

 o Beauty  blogger  gift  packs……………………………………..…………………..$11,400  

1  x  foundation  ($36)  +  1  x  mascara  ($22)  +  1  x  blush  ($26)  +  1  x  lipstick  ($22)    

Total  cost  per  blogger  ($106  at  retail,  $8  standard  shipping  )………………………..$114  

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100  bloggers  !  Total  cost  …………………………………………………………………………$11,400    

   

(Source  Cargocosmetics.com  for  product  breakdown.)    

Total  cost  to  sponsor  WMCFW………………………..……….………………………………$128,623  

o Staffing/Makeup  Artists……………………….…………………………………….$54,000  

According  to  Allure  magazine  freelance  work  earns  makeup  artist  anywhere  from  $75-­‐$150  (Pergament,  2014).  As  World  MasterCard  fashion  week  is  a  networking  opportunity  for  all,  we  have  decided  on  $300  per  day  as  salary  for  the  artists,  with  a  total  of  20  artists.    !  20  artists  x  7  days  (Fashion  week)  x  2  days  (training)  x  $300  =  $54,  000  

o Cosmetic  product  &  supplies  at  retail………………………………………..……..$17,046  

-­‐ Six makeup stations backstage to be used by 2-3 makeup artists. -­‐ One  station  on  the  main  floor  for  touchups  and  guests.  

Breakdown  of  product  cost:    

HD  Foundation  x  8  colour  ways:  $288  HD  Mascara  x  3:    $66  Swimmable  Eye  liners  x  6  colours:  $108  Swimmable  Lip  liners  x  4:  $72  Double  Agent  Concealer  x  6  colour  ways:  $192  Lipstick  x  12  colour  way:  $264  Lip  Glosses  x  6  colour  ways:  $96  Blushes  x  6  colour  ways:  $156  HD  translucent  powder  x  1:  $32  HD  Primer  x  1:  $32  

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Eye  shadows  x  12  colour  ways:  $192  HD  highlighter  x  2:  $60  HD  bronzer  x  1:  $30    Individual  makeup  station  product  cost……………………………….………...….…………..$1588  Total  cost  for  7  stations  ……………………………………………………………..………………$11,116  

 Cost  of  makeup  applicators:  Cost  of  makeup  brushes:  $178  x  30  units………………………………..……………..………$5340  (20  units  for  professionals,  10  units  for  interns)  

Cost  of  other  applicators  x  20  units  (q-­‐tips  $3,  sponges  $4,  makeup  remover  wipes  $12,  brush  cleaner  $10.50  ……………………………………………………………….…..$590  

(Source:  Walmart  Canada)    

- Equipment  and  lighting………………………………………..………………………………$10,702  

 

 

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Cost  14  day  rental  (stations  and  chairs)……………………………………………..………….$5452  

(Source:  Email  between  Alexandra  Peroni  and  Film  &  Event  Solutions.)  

 

Cost  for  lighting  x  7  units  at  $375/week  for  2  weeks………………………..……………$5250  (Source:  CSIrentals.com)  

 

Giveaway  bags  at  retail…………………………………………………………………………$46,875    

Breakdown  of  Costs:  1)  sample  product  2)  gift  bag  3)  flyers  1)  Full  size  mascara  at  retail  $22  x  2000  units  ……………..……………………………  $44,000  (Cargo,  2014).  2)  Gift  bag  with  logo  at  retail  $1.35  x  2000  units  …………………..…………….…………$2700  

 (Source:  Email  between  Alexandra  Peroni  and  ADD  printing  &  packaging.)  

 

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3)  Flyers  x  2000  units  …………………………………………………………….  $205  total  unit  cost  

 (Source:  Vistaprint.com/custom-­‐flyers)  

   

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"FREQUENT MILES CLUB." Cargo Cosmetics. Cargo Cosmetics, 2014. Web. 24 Nov. 2014. <http://www.cargocosmetics.com/frequent-miles-club>.

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“6 Must-Have Products: Cargo Cosmetics.” Fifteen Minute Beauty. Fifteen Minute Beauty, 16 April 2013. Web. 01 Dec. 2014. <http://www.15minutebeauty.com/2013/04/Best-Cargo-Makeup-Products.html> Other sources used:

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