NSAC jcpenny Plans Book

8/10/2019 NSAC jcpenny Plans Book

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updatejcpenney

Brigham Young University - Idaho

Brigham Young University - Idaho


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update Table of Contents

Executive Summary2Situation Analysis4Research5Campaign Strategy10Creative12Execution

26Summary30

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update Executive Summary

Challenge

jcpenney requested a proposal for an integrated marketing campaign that wouldacquire, retain and increase the shopping frequency of female customers ages 25-34. Paradigm identied specic goals to accomplish this task. Focusing on sales,perception and awareness, the proposed campaign will acquire a 10% increase of newfemale customers while retaining no less than 90% of current customers. Additionally,the campaign will boost jcpenney above Kohls in Brand Choice while improving

positive feedback to 60%.

ResearchParadigm conducted detailed research to determine the habits, perceptions andattitudes of the proposed target market. Content analysis, original surveys, focus

groups, and a secret shopper experiment composed our primary research. Key ndingsrevealed a denitive truth that most shoppers associated jcpenney with a demographicset aged 10 years older than desired. Thorough secondary research utilized market

research databases including Mintel, Ad Age and other credible sources.

Target MarketPrimary Target: Females, aged 25-29Busy with their careers and social lives, this target is highly mobile and reliant onemerging media and technology. This half of the target market provides the greatestopportunity for creating life-long, brand-loyal consumers.

Secondary Market:Females aged 30-34No less busy than their younger counterparts, this target has shifted their discretionaryspending from themselves to their children. This group relies on social media andfriends to nd the best deals and most valuable shopping experiences.

Tertiary Target:JCP Rewards CustomersAlready loyal customers of jcpenney and responsible for a large portion of all sales,this group is important to the brand and cannot be ignored.

most shoppersassociated

jcpenney witha demographic

set aged 10years olderthan desired.

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Creative StrategyExtending beyond jcpenneys current Every Day Matters brand positing strategy,Paradigm has formulated an advertising strategy that will convince 25-34 year oldwomen that jcpenney provides everything these women need to constantly updatetheir personal style. In a highly connected world, updates are an important method

women use to celebrate and share the big and small moments of their lives. Whetherit is the most exciting event of the day or the greatest event to-date, jcpenney is ready

to help its shoppers update.

PromotionsParadigms promotional suggestions will appeal to the target markets desire to getgreat deals on the styles they want. All promotions will be tangible marketing executionsthat will aid in achieving all of the proposed objectives.

PublicRelations

Keeping in sync with the other marketing messages, Paradigm will stage eventsthat bolster jcpenneys current efforts of giving back to the communities it serves.

Furthermore, Paradigm suggests continual analysis of public perceptions of the brand.

MediaPlanA careful allocation of media spending has been crafted to reect the current mediaconsumption of the target audience. A mix of Internet, television, radio, outdoor, andnon-traditional media will ensure that the marketing messages will meet consumers

where they spend their time.

EvaluationParadigm will use surveys, content analysis, analytic tools and jcpenneys internaldatabase systems to continually evaluate and track the campaigns successes in

meeting its objectives.

Whether it isthe most excitingevent of the

day or thegreatest event

to-date, jcpenneyis ready to

help its shoppersupdate.

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Situation Analysis

A timeless department store chain, jcpenney is no stranger

to the retail market. Over 100 years old, it has evolved into astore where millions of families turn for affordable fashionsand home accessories. Over time, jcpenney has seenchanges in the fashion world, the consumer markets, andits own business model. Advertising, the bridge betweenonsumers and companies, is changing just as rapidly. Withonline tools at their disposal, consumers can easily ndbetter deals.

Online tools have become more valuable to the consumerin the current days of economic uncertainty. With job losses

and soaring prices, American women are holding tighterto their wallets and spending less. They are savvy whenit comes to price shopping, and quick when it comes tospotting a deal or trend that will keep money in their pocketsand get more for their dollar. Online media has fostereda growing trend of social shopping and coupon blogs.Twitter feeds tip shoppers on the best deals of the moment.Companies like Groupon have popularized social buyingto save money.

A constant stream of door-busting sales is standard, static

and expected. Its important to have special discounts forshoppers, but value can get lost in the noise. To avoid gettingdrowned out by its competitors, jcpenney must adapt to thisnew environment, change its advertising strategy, and setthe brand apart in the minds of 25-34 year olds in a new andunique way.

In the late 90s, jcpenney was decentralized and lostits identity. This was even more evident when we talked

to consumers about jcpenney. Many have memories of

going to jcpenney with their parents to get school clothesand other items. However, they dont have many recentmemories that reect those same events. It seems thatas the company lost its identity, the consumers developedone of their own to take its place. As these youth grew up,the store became more and more outdated in their eyes.Other department stores like Macys, Kohls and Targetstrengthened in the meantime. Now those stores appearto better relate to consumers than jcpenney. In a marketwhere 30 is the new 20, it is crucial for companies to relateto todays customers and their current attitudes.

jcpenney has made changes since the start of thismillennium. It has clearly developed a unied voice againand brought in new brands to improve its image. jcpenneyhas the potential to make Every Day Matter for its currentand potential customers as well. The problem is none ofthat seems to matter right now to 25-34 year old women.The research makes it clear that consumers are not awarethat jcpenney has updated, nor that it is ready and willing tokeep them updated every day.

updat

e

4

In a marketwhere 30 isthe new 20,it is crucial for

companies torelate to todayscustomers andtheir currentattitudes.


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Research

Research SummaryParadigm conducted thorough and detailed researchto learn as much as possible about the proposed targetmarket of 25-34 year old women. Valuable primary andsecondary methods gave insight into this powerful targetmarket. Content analysis, original surveys, focus groups,and secret shopper responses composed our primaryresearch. The principle tool was a 10-question onlinesurvey, in which 450 women aged 25-34 participated.A secondary survey was conducted to determine morespecic perceptions. In addition to the online survey,

we interpreted information from multiple databases andbusiness publications as a secondary research method.Finally, we collected and analyzed the responses of 13Secret Shoppers we prepared with an assignment and sent

into stores in a variety of states.

Content AnalysisResearch began in the place where the target market goes:The Web. We conducted content analysis of 436 Tweetsabout jcpenney during the fall of 2010. The Tweets were

coded and counted as positive or negative. The graphic tothe right shows a breakdown of the negative and positivecontent mentioning jcpenney.

50.6% of tweets had a positive view of jcpenney

69% of positive tweets talked about good salesor clothing they found at jcpenney

31% talked about good service, usually withinthe jcpenney salon, portrait studio, or customer

service department

49.3% of tweets noted a negative perception

44% of these tweets included derogatory content

36% mentioned poor customer service

64% mentioned low quality products

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The jcpenney brand is highly recognizable

The brand ranks as average in regards to fashion

Quality, affordability and store cleanliness ranked higherin order of importance for consumers than designer

brand selection and customer service

jcpenney is associated most heavily with the age groupof 35-45

The target market perceives the clothing selection to beoutdated

The target market is highly drawn to deals

Online Surveys

In other ndings from our survey, popular terms used todescribe jcpenney, demonstrate as shown a range ofconsumer perceptions. Of the negative descriptions given,most focused on the perception of jcpenney in the mindsof survey participants as a store for women older than 35.This was evident by the words they used to describe thebrand.

The secondary survey asked questions regardingpurchasing habits, marketing perception and overallsatisfaction with shopping experiences. The following

results revealed insights about the target market:61% shopped online for clothes and accessories

50% could recall television ads from jcpenney in thelast month

58% reported a somewhat positive shoppingexperience

Armed with information from the content analysis, wecomposed an online survey. The survey asked questionsregarding perception of the store and its competitors.From our primary 10-question online survey, the followingconclusions became apparent:

6

outdated

Mom

boring

old

cheap

jcpenney is associated most

heavily with the 35-45year old age group


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Focus GroupsParadigm gathered women aged 25-34 into a seriesof focus groups. These women were asked questionsregarding purchasing behavior, shopping trends andtheir perception of jcpenney. The most prominent nding

was the shift in purchasing behavior that was a result ofmotherhood. Mothers stated that they found they spentless on their own style and more on their childrens needs.

DatabaseMiningExploring business databases and publications, we foundvaluable information that gave insights into the targetmarket. We found that women of this age group are likelyto head directly to the clearance rack when shopping.They also use the Internet to plan out shopping trips. Ofthe demographic, 38% say coupons entice them to shop atstores they do not frequently visit, while 80% want loyaltydiscounts for repeat customers. These women are highlylikely to use online coupons, with 68% using them regularlywhile 92% pass along information about deals or nds toothers. Over 90% of the women this age carry cell phonesor mobile devices.

However, women are not leaving traditional media behindwhen it come to advertising. The average number ofmagazines read by women in the ages of 25-34 is 11.4 permonth.

Challenges the target market found when shopping forclothes in 2010 included: not being able to afford stylesthey prefer and being unable to piece together an entireoutt at a single store.

Over 90% ofthe womenin this age

group carrycell phones ormobile devices.

7

SourcesNielsen/NetRatingsExperian

Simmons NCS/NHCSMintel IntelligenceMediaMark ReporterMediaFlightPlan.comAdage Data CenterCenter for Media Research

Small Biz TrendscomScore

FacebookTwitteriStockPhotoPitchEngine

jcpenney.net


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Secret Shopper ExperienceParadigm asked thirteen shoppers to participate in a secret

shopper experience in the following states: Maryland,Minnesota, Pennsylvania, Utah, Colorado, Californiaand Idaho. Each participant was asked to go to theirlocal jcpenney store and locate a shirt meeting specicqualications. They were to interact with an employee andspend at least 15 minutes in the store. They were then toevaluate the experience using the survey we provided. TheSecret Shoppers answered questions regarding service,cleanliness, and their ability to accomplish the task. Eachparticipant received $5.

Most shoppers said the store was average. They wereall able to complete the task of nding the shirt. It tookeveryone 5-10 minutes. The clothing selection wasgenerally considered wide. However, those shopping instores located in smaller population areas marked it asaverage, or low range of brands.

The most alarming data from this research were theresponses regarding jcpenney associate service. Theirattentiveness was ranked as average and belowaverage. Secret Shoppers noted that many were standing

around instead of straightening the clothing. Several said,it was hard to nd help. The employees seemed moreintent on socializing than servicing. A major complaint wasthat the employees were hard to distinguish from regularcustomers: They didnt have name tags.

The responses regarding the cleanliness of stores across

the country varied greatly. Some said the store was veryclean, while others said clothes were on the oor and inthe aisles. Some stores were said to be dusty. Othersrated cleanliness as average.

The opinions regarding the layout of the store also variedamong customers. One participant felt the womensdepartment was very spread out and not in a centrallocation. She added that the dressing rooms were hard tond and that the vast selection was too confusing.

Nearly every Secret Shopper commented on jcpenneysgood sales. They enjoyed the sale prices and describedthem as great, but found the non-sale items were pricedhigher than they expected for those styles and quality ofproducts.

Additional comments: a low quality Dillards, so-so storeand OK store.

The Secret Shopper research points to the followingconclusions:

a low qualityDillards

Associate service and professionalism requiresimprovementInconvenience in location of departments within thestoreCleanliness is a key concern to customers whenshoppingSales and affordability are key boosts to the shoppingexperience

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S

9

WWEAKNESSES

Seen as unfashionableAdvertising focused on sales and promotion ratherthan brand buildingBrand perception associated with those at least 10years older than target market

Benecial partnershipsDepartmental offeringsTop-performing companyNational brand recognitionIn-store and online shopping

Affordable in relation to competitionSTRENGTHS

OPPORTUNITIES

Grow brick and mortar and Internet marketsIncorporate new logo and current rebrandingIncrease use of social media and social marketingIncrease email and text promotions to target marketCreate life-long, brand-loyal, young women shoppersProvide high-style, exclusive brands to appeal towomen aged 24-29

O

TTHREATSCompetition from competing department storesBrand perceptionassociated with older generationTarget market skeptical of a forced youthful, relevant

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Campaign Strategy

Objectives

Based on jcpenneys long-term plans and marketingstrategy, Paradigm recommends several objectives tofocus jcpenneys advertising and media efforts. Dividedinto three important categories, these objectives will worktogether to improve jcpenneys bottom line.

Target Market

Looking at the data, trends, perceptions and attitudesthat compose the 25-34 year old female demographic,Paradigm distinguished three target markets that will bestmeet jcpenneys objectives.

Overall, these women lead refreshingly transformativelives. Constant change is their only consistent attribute.However, research statistics and our focus groups made itclear that motherhood is the transformation that makes themost signicant impact on purchasing habits, trends andattitudes. Motherhood changes those in this market from

highly self-indulgent to more seless, conservative buyers.

Knowing that 76% of women want more stores for womenover 25, Paradigm proposes making the younger half ofthe demographic the primary target market, since theyprovide the greatest opportunity to build life-long, brand-loyal consumers.

update

Surpass Kohls, the most direct competitor of stand-alone stores, in the Key Brand Metric Ranking ofBrand Choice by the end of the year

Using online content analysis and surveys, raise

positive feedback to at least 60%

Perception

Increase visits to jcp.com and jcpenneys Facebookpage by 20%

Increase number of 25-34 year old jcp Rewardsmembers by 10%

Awareness

SalesIncrease sales over the next year to $19 billion,reversing the 12% drop of the past two years

Increase new female customers ages 25-34 by 10%from the current 3.8 million to 4.2 million

Retain over 90% of current jcpenney customers

Increase shopper frequency from 3.3 to 4.3 shopping

experiences per year

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The Parent PatronThe Parent Patron is on the higher end of the target set, at30-34 years old. Shes likely to be married, working part-time,and earning a household income of around $54,000 a year.Around the time she got married she also had her rst child.When she got married and started a family, her buying habitsshifted and became focused more on her children and less onher and her husband. When it comes to shopping, she seeksconvenience and great prices. Shes made cutting couponsand keeping up with coupon blogs one of her hobbies andloves the feeling of getting great deals. She loves to sharethose deals with her friends and family by sending them anemail or posting a link to Facebook.

The Single ShopperAged 25-29, the Single Shopper is younger and more

likely to be single. Busy with her career and making nearly$49,000 a year, dating is casual and frequent, but marriageand children are in the distant future. Leading a highlysocial life, it is important to the Single Shopper to alwayslook good when she goes out. Not wanting to look drabat work, she is sure to bring a stylish look to the ofce.She just moved into a new apartment and her currentfurniture and decor are lacking. Social media is integralto this shoppers life. Staying connected with her friendsand linking with other professionals is implemented in herdaily routine. Highly mobile and hardly store loyal, she is a

challenge for jcpenney to attract because she is less likelyto shop at a department store, other than Target. She iscautious with her money and usually shops the sales but has

the freedom of discretionary personal spending.

The Ruthless RewarderThis female buyer is one of the jcpenney Reward customers.She has not been a victim of the stagnant stigma that affectsother shoppers in her age group. Many of her friends shopelsewhere, while she is a frequent visitor of jcpenney storesand jcp.com and she realizes the benets of the rewardprogram. She still shops at other stores often to buy itemsthat are on sale, but has had good experiences nding thefashions she needs with jcpenney clothes and accessories.When people ask her where she got that cute outt she isntafraid to tell them and they are surprised to hear jcpenney.

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Target Markets


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Creative

Campaign Tactics

Using jcpenneys current Every Day Matters brandpositioning strategy and the emotional connection it hascreated with customers, Paradigm will help the companyguide its 25-34 year old female customers and potentialcustomers to see the benet of updating because everyday matters.

Advertising StrategyParadigms advertising strategy for jcpenney will convince25-34 year old women that jcpenney provides trendy andrelevant apparel and home furnishings for every stage

of their rapidly changing lives. Supported by jcpenneyswide-range offering of every day and special day itemsand services, customers will nd jcpenney enables them toupdate every day. A fresh, renewed, connected and socialtone will frame this strategy.

update

Creative StrategyThe 25-34 year old women of our nation use social mediato chronicle both everyday and once-in-a-life-time events.Parties, promotions, or pregnancies, boyfriends, businessmeetings and babies, the modern womans life is hardly

boring no matter her chosen life path. Every day bringssomething new. Everything new is worth sharing. Todayssocial media make sharing easier than ever and eachupdate is like a mini celebration. Behind jcpenneys newlook and new day comes the update. Whether it is themost exciting event of the day or the greatest event to-date, jcpenney will update its customers with the latest andgreatest affordable fashions and furnishings.

Todays socialmedia makessharing easier

than everand eachupdate isl ike a minicelebration.

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Banner ad


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GreaterFacebookDealsjcpenney took the reins early and rolled out its FacebookDeals in November 2010. To further capitalize on thisopportunity, we recommend the offer of greater discountswhen multiple people check in to jcpenney using Facebook

Places. This will encourage customers to bring theirfriends. We recommend that jcpenney also partner with themalls or city areas where they are located to offer deeperdiscounts when consumers check in to businesses in thevicinity, to encourage more foot trafc. When people checkin nearby, Facebook Deal notications of promotions will

entice them to make a visit to jcpenney as well.

Win an Update Facebook EventParadigm recommends using jcp.com in conjunctionwith facebook.com/jcp, to create a promotional sectionthat allows people to submit pictures of themselves orfriends and family that are in need of a fashion update.Customers participating in the photo uploads will have theopportunity to share a status and link on their Facebookwall that will advertise this giveaway, as well as link themto jcp.com to enter and view the entries. Site visitors willhave the opportunity to vote on the posted pictures and theve nalists will be posted to jcpenneys Facebook page.There, everyone who has liked the jcpenney page will beable to like the photo of the person they feel is most inneed of a fashion update. The winner will receive a $1,000gift card from jcpenney to be used in-store or online.

SocialMediaAs addressed, use of social media like Facebook andTwitter is essential for communicating with the women of theselected target market. Therefore, Paradigm recommendsspecic practices to encourage online participation and to

foster entertaining and uplifting experiences.

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TraditionalParadigm will fuse traditional and new media to create aunique campaign carefully crafted to appeal to the targetmarket. Based on the provided research that shows theacclimation of 25-34 year olds to social media, a strong

correlation between social media updates and updates instyle will be communicated at all levels.

Through print and magazine placements, jcpenney willhighlight the differences between dated and updated items.We will feature different merchandise categories featuredonline and in stores. This line of advertisments will alsobring awareness to items carried by jcpenney that arelesser known like electronics and tness equipment.

Advertising will highlight specic brands and fashion lines

carried exclusively by jcpenney. Our research indicatedthe value women place on wearing brands that appeal totheir own lifestyles and situations.

Through traditional television ads, jcpenney will showdifferent life events in which people need to update. Newboyfriends, new babies, new jobs, or new attitudes allcall for a status update and a style update. jcpenney willalways be ready to update all the essentials for every majorand minor change.

jcpenney willalways be readyto update allthe essentials

for every majorand minorchange.

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Radio

Update,because everyday matters

Radio ads will reinforce the concepts displayed in printand televion advertising. Radio spots will also be usedto bring awareness to fashion lines carried by jcpenney.

TARGET MARKET

SFX: GIRLS HEELS ON CEMENT WALKING TO CAR. GETS IN CAR. DOOR CLOSES. PUSHES BUTTONS

ON PHONE. STARTS CAR AND BEGINS DRIVING.

SFX: DING! (AN EMAIL UPDATE FROM HER PHONE)

ELECTRONIC FEMALE VOICE: YOU HAVE TWO NEW UPDATES. FIRST UPDATE. JASON IS NOW

SINGLE

FEMALE DRIVERS VOICE: HMMM, I LIKE THAT UPDATE.

ELECTRONIC FEMALE VOICE: SECOND UPDATE. THE ALDO BRAND AT JCPENNEY HAS JUST

INTRODUCED ITS CALL IT SPRINGCOLLECTION.

FEMALE DRIVERS VOICE: WOO-HOO! NOW THATS WHAT I CALL AN UPDATE!

SFX: CAR SPEEDS UP.

VO: CELEBRATE LIFES DAILY UPDATES WITH DEALS FROM JCPENNEY. VISIT US ONLINE AT

JCPENNEY.COM OR GET THE JCPENNEY DEALS APP FREE FOR YOUR PHONE.

VO: UPDATE, BECAUSE EVERY DAY MATTERS.

REWARDS CUSTOMERS

SFX: HEAR CRICKETS CHIRPING AND WOMENS TEETH CHATTERING.

WOMAN 1: CAN YOU PASS ME MY GLOVES?

WOMAN 2: WHERED YOU PUT THEM? I CANT SEE ANYTHING!

WOMAN 1: W HAT WERE WE THINKING? ITS SOOO EARLY!

WOMAN 2: WE WERE THINKING WE WERE GOING TO GET SOME AMAZING DEALS AT JCPENNEY

BEFORE EVERYONE ELSE! ONLY A COUPLE MORE HOURS.

VO: DONT WASTE YOUR TIME WAITING AROUND FOR A GOOD DEAL! JCPENNEY CUSTOMERS, GET

THE REWARDS YOU DESERVE WITH UPDATES FROM THE JCPENNEY UPDATE APP. YOU CAN CHECK

YOUR REWARDS ACCOUNT AND GET THE LATEST SALES UPDATES AND COUPONS RIGHT FROM YOUR

PHONE!

VO: UPDATE, BECAUSE EVERY DAY MATTERS.


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Digital Billboards

Outdoor digital billboards will display current tweets andFacebook statuses of actual customers. Updates willfeature positive experiences, nding great deals, or anew realization about jcpenney. The displayed postswill be continually updated. Knowing that the targetmarket depends heavily on ratings and reviews by otherconsumers, this tactic will bring shoppers voices to thefront of the campaign.

Similarly, these outdoor displays in heavily foot-trafckedareas will, on occasion, display digital coupons. Passers-

by can take a photograph of the display with their phoneor camera and redeem the coupon on their next purchaseat jcpenney. This is designed to increase foot-trafc tothe store and bring a level of interactivity between the

consumer and the brands communications.

updatejcpenney

uploaded from

Kmart?!...this is #JCPenney,

top of the line buddy!!!

updatejcpenney JEANSALE

20%OFF

Takea pictureofthisbillboardandrecieve2 0% OFF a pair ofJeans

Bus WrapsBus wraps designed so that passengers appear to bewearing the latest designs printed on the bus wrap willincrease exposure and generate chatter among viewers.

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Escalator IllusionEscalator ads will showcase images of clothing and homeitems attached to the individual steps. An image of a

shopping bag will be attached to the oor where the stepsdisappear, giving the illusion that the items are owinginto the jcpenney shopping bag. The jcpenney and updatelogos will be incorporated, communicating to customersthat they should update their shopping bags at jcpenney.

The ads will run inside malls with a jcpenney store.

IconUpdatesMany recognizable icons and brand personalities lackfashion sense. jcpenney will take the opportunity toupdate their style. Betty Crocker, Little Debbie, Wendy,

Mrs. Butterworth and the Sun-Maid Raisin girl are a fewof the personalities that will get a complimentary fashionupdate from jcpenney. Street artists will be hired to createimages of these and other brand personalities wearingmodern fashions. Their artwork will be found on the sidesof buildings and sidewalks. Their art will be displayednext to traditional jcpenney posters of the same fashions.Passers-by will be able to make a visual connection ofthe use of jcpenney clothing to give makeovers to iconicimages. This tactic has potential of going viral and earningmedia impressions as people post photos of the designs to

the web. No direct competitor brand images will be used.

Guerilla

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Bus Stop Dressing Roomsjcpenney will bring the virtual dressing room to theoutdoors at bus stops with mirrored panels that displayoutts sold at jcpenney. The updated bus stops willlet people have the chance to try on outts offered instores by posing in front of the mirrors with the clothing.Pictures taken by phone may then be posted to Facebookor Twitter which will increase exposure and provide freeonline advertising.

jcpenney

update Outfit


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Promotions

24-DayChristmasCountdownSince the majority of jcpenneys sales take place during the

winter holiday months, jcpenney will stage a major event inDecember. Known as the 24 Day Christmas Countdown,jcpenney will offer fantastic daily deals. Using Facebookand Twitter updates, jcpenney will inform its followersand fans of exclusive daily deals up until Christmas. Onlypeople connected with jcpenney via their social networkswill receive notications of the update-deal of the day. Thiswill drive trafc to jcpenneys pages and will encourageparticipation among followers. Updating customers withdeals that enable them to update themselves will play onthe dual meaning of the word, update.

Personalized Gift CardsTo create an opportunity to appeal to the Parent Patron ofthe target market, Paradigm proposes offering personalizedgift cards in celebration of baby showers, birthdays andMothers Day. Grandmothers, mothers-in-law and close

friends will be able to bring photos into jcpenney storesand upload cherished images of the gift-recipients childrenor family to an onsite photo-kiosk. There they will be ableto place an order for a personalized gift card. An onlineupload center may also be offered.

As a customized gift given to mothers from their loved onesand friends, the cards will be highly valued. Mothers will beable to show their friends the gift card and talk about thegreat buys they found at jcpenney.

The gift cards will draw mothers into jcpenney stores.Because gift cards are pre-paid this gives jcpenney andeconomical advantage. Added opportunity for additionalpurchases will result due to the drive of foot trafc generatedby gift cards. Similarly, having in-store photo-kiosks willdrive the gift-givers to the opportunity to make additionalpurchases.

This concept can be expanded to cater to other events andespecially to wedding registry users.

CelebrateMo

thersWeek

withjcpenne

y

May1stthrou

ghthe7th.

Updateyour

relationships

withyourpe

rsonalized

jcpenneygift

card!

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RedSaturdayPlaying off the popularity of Black Friday, jcpenney will holda new event called, Red Saturday on the Saturday beforeValentines Day. Key sales will include jewelry, cosmetics,and lingerie. Ads will remind the target market to get all theproducts they need to make a special day with the one theylove. Free chocolates will be offered at the checkout withadditional deals and discounts on the inside of the chocolatewrapper. Deals may include a free makeup session, hairappointment, percent discount or gift certicate to one of

jcpenneys in-store services.


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RewardsThe jcp Rewards program will be expanded to mimic the

rewards programs seen at many grocery stores. Anyonewill be able to sign up for a free Rewards card that will tracktheir purchases, savings and buying habits all online. Cardswill be linked to customers phone numbers and names sothey dont have to have a physical card but can just give aphone number and name to get the benets of the program.

Customers will be able to track their own rewards and savingsonline. Rewards shoppers will be eligible for exclusive in-store discounts. The real value for jcpenney will be bettertargeting for direct mail and mobile advertisements.

New Rewards customers will have exclusive advantages.Rewards customers will be able to create free personalized

jcpenney gift cards to give to friends and family. Ratherthan paying the fee for printing the personalized card, theywill only be required to pay for the amount the card carries.

Additionally, Rewards customers will receive a free one-year subscription to People StyleWatch magazine, as it is apartner of jcpenney.

Furthermore, when registering for jcp Rewards,shoppers will be given the opportunity to opt-in toreceive exclusive mobile and email updates aboutdeals, discounts and sales from jcpenney.

REDSaturday Salefebruary 10th

updatejcpenney

jewelry make uplingerie

Romance

11th

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PublicRelationsIn order to position jcpenney as the store that enableswomen to update every day, a public relations strategywill update the perception and awareness of womenabout jcpenney. The campaign will generate awareness

about jcpenneys recent changes and persuadeconsumers to update with jcpenney. The corporateimage will be improved through publicity events,

sponsorships and featured news articles.

Events

Huck Your HeelsHuck Your Heels will be the largest publicity event of theproposed campaign. The event will generate awareness

while allowing the target market to update their stylesand donate to charity by disposing of their old, worn-outheels in exchange for a promotional coupon toward thepurchase of a new pair of heels.

Huck Your Heels will be held in jcpenney parking lotsin target cities across the nation. The event will becomprised of activities and games allowing our targetmarket to physically throw out their old shoes. A heel-toss and other carnival events will entertain customers.

Knowing that 48% of women want merchandise thatsupports a cause, the old shoes in good repair willbe donated as costume items to after-school theatreprograms across America. A portion of proceeds fromthe shoes purchased during the event will also bedonated to after-school activities. This will strengthen

jcpenneys current efforts to support such programs.

The event will also be publicized with television appearanceson shows like The Ellen DeGeneres Show, as explained onthe next page.

When people check in at the event, a dollar will be donated

in their name to the Boys and Girls Club. Cash donationsfor the club will also be accepted. Facebook Deals will beused to generate additional donations at this and similarevents. These combined activities will increase awareness

of jcpenneys philanthropic activities.

48% ofwomen wantmerchandisethat supports

a cause

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Partnerships

Project RunwayTo help jcpenney garner interest from the target market,Paradigm proposes a partnership with the Lifetimetelevision series, Project Runway. Project Runway is ashow that hosts 12 contestants that compete with eachother to design fashions in a time and materials-constrainedenvironment. Professionals in the eld judge their designsand one or more designers are eliminated each week.The winner receives $100,000 to start their own clothingline and other various prizes. jcpenney would provide the$100,000 cash prize to start the clothing line and would

feature the winners designer line in select jcpenney stores.

The Ellen DeGeneres ShowEllens television show often promotes products andgood causes, invites guest appearances, and appeals tothose in our target market. Ellen also frequently holds fungames on the show. Paradigm recommends that jcpenneysponsor a game similar to the Huck Your Heels concepton the Ellen Degeneres show. Allowing guest celebritiesto take part in the game would provide exposure for theevents taking place across the nation. The guest would beasked to bring their old heels to huck.

People StyleWatchjcpenney already has a strong partnership with People

StyleWatch. With this partnership, we plan to proposean Affordable High Fashion page in the magazine thatshowcases todays high fashion with jcpenney prices. Thispage will show outts worn by celebrties and wi ll show howthe reader can get the same look using clothing offered by

jcpenney. This will work in conjunction with the PeopleStyleWatch/jcpenney commercials currently playing andwill help to increase sales and improve target audienceperception.

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Further Suggestions

PitchEngineParadigm suggests that jcpenney make use of

PitchEngine (pitchengine.com) to disperse news about theorganization. PitchEngine provides a simple and modernway for businesses to share releases regarding currentefforts, products, and movements within the company.PitchEngine allows corporations to share their content andinformation openly with bloggers, journalists and the public.PitchEngine also links the content to social media outletssuch as Facebook, Twitter or Digg, allowing followers toreceive constant information about jcpenney updates.

Search and Social Media Content AnalysisRecently, jcpenney was involved in a highly publicizedsearch engine optimization scandal that placed it atthe head of all Google searches. Even though it was acontracted rm that caused the Google search scandal and

not jcpenney, crisis management ensures that the publicretains a positive perception of the jcpenney brand.

Paradigm recommends that jcpenney employ researchinterns to monitor the Internet, specically search enginesand social media to ensure that a public relations crisis likethe Google search scandal does not happen again. Theinterns will be valuable monitors of current public perception

by doing thorough content analysis of social media.

allowing followersto receiveconstant

infomation aboutjcpenney updates

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PLANO, Texas Project Runway teams up withjcpenney to create a way for new and upcomingdesigners to showcase their talent on nationaltelevision. The winner of the competition willreceive a cash reward and the opportunity for anew line...-read more-

jcpenney

Social Networks

jcpenneySocial Media Newsroom

"Huck Your Heels" with jcpenney

Company

6501 Legacy DrivePlano, TX 75024(972) 431-1000jcp.com

jcpenney.net

Press Contact

Paradigm525 South Center St.,Rexburg, ID 83460(208) 496-1411

Interview Contact

Paradigm525 South Center St.,Rexburg, ID 83460

(208) 496-1411

jcpenney invites women to abandon their old heel s and update into new ones

PLANO, Texas In six large cities across the natio n, jcpenney will host "Huck Your Heels"inviting the women in the area to ditch their old worn-out heels and celebrate the process ofupdating with games and prizes.

jcpenney customers will bring their old ratty heels to the service department of the ir localjcpenney or to the actual event. With the donation of their old h eels, consumers will receivea promotional coupon to "buy one get one half off" their next purchase of heels.

"Huck Your Heels" will celebrate and update in Los Angeles, Houston, Atlanta, Jacksonville,New York and Philadelphia between May and July 2012.... -read more-

jcpenney Chooses Paradigm

jcpenney Releases

jcpenney Reports February Sales Results

jcpenney Choses Paradigm Campaign Pitch

Modern Bride Unveiled Exclusively at jcpenney

jcpenney Expands In-Store Digital Experience

MNG by Mango Launches Exclisively at jcpenney

Small "Change" Adds Up to Big Difference

Paradigm wins at regional AAF competition toupdate jcpenney

BOISE, Idaho Paradig m Advertising, the AAForganization from Brigham Young University-Idaho, won the reccent AAF Competition inBoise.

jcpenney will begin implementing Paradigm'scampaign to update in 2012...-read more-

Ellen Promotes jcpenney Event

Ellen hucks her heels and invites the women inAmerica to do the same

LOS ANGELES Ellen DeGeneres ditches thesneakers and dresses up in heels to promote the"Huck Your Heels" jcpenney event.

DeGeneres rallys the crowd claiming it's time for anationwide update saying,"Seriously, throw away theones you've had since 10th grade." -read more-

jcpenney Sponsors ProjectRunway

jcpenney offers $100,000 to the topdesigner and sponsors a startup line

jcpenney

Social Media Newsroom powered by PitchEngine


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Digital Experience

Text Customer ServiceResponding to the Secret Shoppers observations that

better service is required from jcpenney associates,Paradigm suggests implementing an in-store request forassistance via text messaging. Signs posted throughoutthe departments of the store will list a number customerscan text to request assistance. The request will be routedto on-duty associates. The associate will receive the textvia a store-owned messaging device and can seek outthe customer. This will prevent the customer from havingto leave the department to nd service, allowing a longerbrowsing opportunity and attentive service. Knowing thatmore than 96% of women within the primary target market

own a cell phone of some kind, this effort would certainly beeffective to improve the in-store experience of shoppers.

jcpenney In-Store ExperienceThe jcpenney in-store experience also needs an update.Paradigm proposes combining the emerging trend of QRcodes to revolutionize the way people shop. Using QRcodes printed on the tags of in-store merchandise, women

will be able to use their smartphones to scan the item.If enrolled in an augmented reality program hosted by

jcpenney, they will instantly see the clothes superimposedon their own photo via their phone. In addition, they willsee what sizes are in stock in the store and will receivesuggestions instantly of outts that can be created withother items available in-store. If they want to try on theitem, a virtual mini map with a compass will point themto the nearest dressing room. If they want to buy theitem, they can do so instantly from their smartphoneand a receipt will print at a register nearby. The ease of

using a smartphone to shop without ever waiting in line,would hold immense appeal for the target market and isa massive opportunity for increased sales and enhancedimage for jcpenney.

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Execution

The traditional campaign will target the following areas:

Target Spot MarketsThese markets were chosen on the criteria of the television population from Nielsens 2010 DMA ranking,the number of jcpenney stores within 25 miles of the city, the average age of the population falling withinthe target market of 25-34 and the median income and city growth since 2000. Paradigm used thecriteria to pick the top ve city rankings from California, Texas and Florida as specied by jcpenney as itstargeted locations. Paradigm then chose ve more locations across the country using this same criteria.

update

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MagazinesParadigm suggests increasing media spending onmagazines for this campaign to 20.4% of the total budget.Index numbers indicate that women who have purchasedclothing during spring 2009 were 6% more likely to be heavy

magazine readers.

NewspaperIn 2009, jcpenneys total media spending on newspaperplacement was 29%. A decrease in newspaper spendingduring the update campaign to 9.1% reects the decreasein todays newspaper readership. According to the indexnumbers, women who have bought any clothing in the past12 months are only 3% more likely to be heavy newspaperreaders.

RadioBased upon the index of media demographic of householdswith one woman aged 25-34, radio spending will bedecreased from the 8% spent in 2009, to 5.8%for the 2012-2013 campaign. Only 13% percent of these women are

more likely to be heavy radio listeners. According to MintelMarketing Research for Attitudes to Internet and New MediaMarketing, 78% of the adults surveyed listen to traditionalradio.

TelevisionTelevision watching for our demographic is less thanaverage and declining, with the index of media consumptionfor households with one woman between the ages of 25-34 indicating that they are 22% less likely to be heavy

television viewers. The index for women who purchasedany clothing in the spring of 2009 indicates that they are14% less likely to be heavy television viewers. As a result,we have decreased television spending from 50% in 2009 to

25.66%for the proposed campaign.

BUDGET

Based on Advertising Age Data Center, we have calculated new media spending for jcpenney in relation to the 2009 mediaspending gures. Paradigms budget and media schedule are based on the assumption that all of our recommendationsnot listed on the schedule are outside the advertising/media budget allocated for this campaign.


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InternetParadigm suggests boosting Internet spending from 10%in 2009 to 24.5%. The three categories included arevideo streaming sites such as YouTube and Hulu, socialmedia sites such as Facebook and Twitter, and various

fashion blogs. The index for the media demographics ofhouseholds with one woman aged 25-34 shows that theyare 31% more likely to be heavy Internet users. Accordingto Mintel Marketing Research for Attitudes to Internet andNew Media Marketing, 48% of adults 25-34 watch TVshows online,and 55% watch short videos. 72% of thisdemographic say they have a social networking prole and89% of the respondents say they visit the sites at least once

a week, with 61% visiting daily.

OutdoorWe recommend increasing outdoor spending to 14.3%.Index numbers show that women who have purchasedclothing during 2009 indicate that they are 9% more likely to

be heavily inuenced by outdoor advertising.

GuerillaParadigm suggests dedicating .2% of the budget foradvertising stunts and guerilla marketing that will generatebuzz and provide opportunities for viral marketing for the

brand.

PromotionsParadigm suggests allocating 10.6 % of the entire $100million budget to fund planned campaign promotions.

25.66%5.8% 20.4%9.1%24.51% 14.28% .2%*

Total Media Spending:$89,258.6 (million)

29*Guerilla marketing image is not to scale.

TV MagazineInternetOutdoor

guerilla

Newspaper

radio


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Summary

EvaluationBuilding the jcpenney brand is our goal and evaluating the growth of the brand through ourcampaign will be paramount. Paradigm will use continuous tracking to ascertain if we aremeeting our objectives. This will allow us to not only measure the success of our campaign but

to make any corrections, if necessary. We have already begun this evaluation by copy testingmany of our print ads. The primary target reacted favorably to these ads and indicated theyconveyed a more youthful image of the jcpenney brand.

The four sales objectives may be evaluated utilizing jcpenneys internal database systems. Tomeasure how Rewards customers interact with the brand, we will utilize data retrieved via theRewards cards to track purchasing behaviors. To measure jcpenneys new customers and theirinteraction with the brand, individuals will be invited to join jcp Rewards. This new innovativemembership will allow jcpenney to measure how often these shoppers shop at jcpenney andprovide special benet options to shoppers.

Our two perception objectives will be evaluated by using online content analysis and surveys.Much like our initial Twitter content analysis, we will use proper research methodology to samplesocial media sites and code, categorize, and count the postings about jcpenney. Surveys willbe distributed through jcpenneys current email updates and e-newsletter. We suggest that

jcpenney consider the use of an online marketing suite that can provide a comprehensiveportfolio of optimization applications for visitor acquisition, conversion, online analytics andchannel analytics.

The rst awareness objective will be tracked utilizing tools such as Google Analytics. The

second awareness objective will utilize jcpenneys internal database systems.

update

The updatecampaign willportray amore youthful

image ofthe jcpenneybrand

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SummaryParadigm is condent this update campaign will change the perception of 25-34 year oldwomen from thinking jcpenney is only for older women. By changing this perception, thecampaign will ultimately revitalize the jcpenney brand and drive the target women to its stores.

As we have outlined, the advertising and public relations centered events and tactics will raisethe perception of the jcpenney brand as requested in the case study.

These specialized events will create buzz in new media circles, on blogs, and online in socialnetworks, allowing an especially high reach and frequency during the campaign, which willguarantee increased awareness of featured brands, events, sales, and the jcpenney brand ingeneral.

We know that all of these factors will result in increased sales for jcpenney as we bring in newcustomers and increase the shopping frequency of existing customers.

In order to better relate to the target market, Paradigm will redene jcpenney as a relevant, freshand fashionable department store. We will help consumers see they have more in common withjcpenney than they think. With the help of this campaign, jcpenney will rise above its competitorsand reclaim the proper perception in the minds of its treasured customers.

jcpenney willrise above its

competitors andreclaim the

proper perceptionin the minds ofits treasuredcustomers

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Aaron BelkAaron EvansAndrew HobbsBlake JacksonBreanne ChristensenBrian FletcherCamille HatchDerrick TemplinDustin ArbogastEmerson CroxtonHaeli JohnsonHannah KnechtJacquelyn TempleJeffrey MaloneyJenessa Jensen

Jeremy BannerJulia KelleyKaytlin OxnamKyle Von MooreLaura GaileyLauren VailLee BartelmeMalvina ReedMelissa SautterMike HesseRobert BuckerRussell WallScott CooperVanessa ThurgoodZachary Allen

Amanda SmithAmber CookAmy FalkeBrady DaviesCaleb TrujilloChad YoungDarlene DameDavid ClukeyDominic BailinEmma OntiverosEric LybbertGlenna PattersonHernan BogadoJared LundJenelle Wadsworth

Jenessa MilesJosh BreretonJulie RencherJustin BrownKatelyn BickmoreKatelyn KougiasKelly BarkerKim ForemanLisa GodfreyMegan MayerNick HowardRebecca BoyleRoman DockhnovSchylar RobertsonSonya Martin

Contributing AAF Students to the BYU-Idaho Chapter NSAC Competition:


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PARAD

IGM

PARA

DIGM

BYU-Idahos Advertising Agency is made up of members from the BYU-Idaho chapter of AAF. Our goalis to create provocative campaigns using traditional and non-traditional media. Our campaigns have atradition of solid research with intelligent interpretation creating strong impressions on target markets.

Paradigm Advertising


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NSAC jcpenny Plans Book

Documents

Transcript of NSAC jcpenny Plans Book