Tim Hortons - Weeblychelseyphillips.weebly.com/uploads/2/4/9/0/24906253/marketingimc.pdf ·...

Nickie ChoiLindsay Elliott

Chelsey PhillipsAlexandra Maraldo

Tim HortonsIntegrated Marketing Communication Plan

Table of Contents

Executive Summary..................................................................................... Page 1

Tim Hortons as a Corporation..................................................................... Page 2

Overview of Corporation.............................................................................

Brand Review............................................................................................. Page 6

SWOT Analysis.......................................................................................... Page 7

Market Positioning..................................................................................... Page 10

IMC Objectives........................................................................................... Page 10

Creative Strategy........................................................................................ Page 11

Media Recommendations............................................................................ Page 13

Campaign Flowchart................................................................................... Page 15

Budgets..................................................................................................... Page 16

Conclusion................................................................................................. Page 20

Appendices................................................................................................. Page 21

References................................................................................................. Page 24

Tim Hortons is known to be the “largest quick service restaurant chain in Canada specializing in always fresh coffee, baked goods and homestyle lunches” (Tim Hortons, 2012). Their menu provides a variety of selections including baked goods (such as cookies, muffins and donuts), bagels, soups, and sandwiches. There is, however, a very prominent gap in the products available for vegetarians despite present attempts to make their products accessible to vegetarians (such as providing soups or foods cooked in vegetable oil, as outlined in Appendix A). They do have products that are not typically seen on their in-store menu boards such as the grilled vegetable sandwich (garden vegetable light cream cheese, cucumber, tomato and lettuce) and the grilled cheese panini. Yet after these under-advertised products, options for vegetarian guests at Tim Hortons are relatively few, especially in the hot food category. The purpose of this Integrated Marketing Communication Plan (IMC) is to examine the Tim Hortons chain and provide suggestions for future marketing and branding possibilities. This plan will focus on alleviating this gap by introducing and marketing vegetarian friendly meal options.

Executive Summary

The essential proposal is to introduce three new menu options: vegetarian lasagna, vegetarian chili and a grilled vegetable panini. Through a healthy eating campaign entitled, “New Veggie Choices” to maintain the Tim Hortons marketing approach, this campaign will run six months from July to November throughout Ontario. This will be a test region to study how the product is received before becoming national. The grilled vegetable panini campaign and product will be launched in May as part of a “Summer Sandwiches” campaign. The launch for the chili and lasagna will begin in September as the seasons begin to change, with the campaign coming to completion in November.

“Our guiding mission is to deliver superior quality products and services for our guests and communities through leadership, innovation and partnerships. Our vision is to be the quality leader in everything we do” (Tim Hortons, 2012).

Tim Horton’s Mission Statement

- 1 -

- 2 - These products will be launched to run alongside the product already available in order to disrupt the already successful Tim Hortons practices as little as possible. The vegetarian chili will be pre-packaged just like the already existing chili (which consists of ground beef, kidney beans, tomato, mushroom, green peppers, onion and celery (Tim Hortons, 2012) with the exception of it being meatless. The absence of meat will be replaced by additional kidney beans and lentils. The same will be done for the lasagna (which consists of tomato sauce, ground beef, lasagna noodles, ricotta cheese, basil, oregano and garlic (CNW Group Ltd. , 2013)) and will be substituted with an eggplant option. The final menu option proposal, a grilled vegetable panini, would be served on white or whole wheat gluten free bread with tomatoes, peppers, goat cheese and eggplant.

These will be marketed in a number of ways that will be discussed throughout this report. In order to gain publicity for this product, we will capitalize on the Tim Hortons branding. Using the in-store televisions and menu boards we can easily incorporate a simple picture ad to place on the screens to gain the attention of already loyal Tim Hortons customers as well as placing ads on the Tim Hortons website. We also plan to use newspaper ads as well as radio ads in order to make the best use of the allotted budget given to us. The major challenges that may be faced consist of the implementation of the product and practise to stores, competing with other companies who also carry vegetarian options, ensuring the product sells, working within the budget and of course ensuring that we are meeting the gaps needs. This plan will discuss

these challenges in full and provide suggestions on how best to accommodate and eliminate these challenges. In conclusion, this Integrated Marketing Communication Plan (IMC) will further examine the existing menu gap for vegetarians, elaborate on the suggested methods of eliminating these gaps and will provide a structured marketing plan. It will address the objectives, the creative strategies, the media recommendations and will provide a thorough budget and explanation on how this product will be marketed. Upon completion, this plan will have demonstrated how Tim Hortons can further its “Always Fresh” branding and continue to reach its marketing objectives. On behalf of our company, Chalinix, we look forward to working with you and creating a successful and long-lasting partnership.

Overview of Corporation

- 3 -

The Tim Hortons chain is a proud Canadian company that is known for its “…top quality, always fresh product, value, great service and community leadership…” (Tim Hortons, 2012). They started out in 1964 as a small chain specializing in coffee, baked goods and “homestyle lunches” from Hamilton, Ontario that quickly expanded into a national trademark (Tim Hortons, 2012). In 1995, Tim Hortons teamed up with Wendy’s International, Inc., which allowed it to not only grow as a company within Canada but also allowed it to begin expansion into the United States. By 1995 there were 3,000 stores across Canada and 600 locations within the United States (Tim Hortons, 2012). By March 2006 Tim Hortons had made the decision to separate and become a publicly traded company. On September 29th, 2006 it opened its shares to the public and is now traded on the NYSE and TSX (Tim Hortons, 2012).

Tim Hortons faces a very large variety of competition, not only with other companies that specialize in coffee, but as well “all restaurants in the Quick Service category (burgers, subs, pizza, and so on” (Tim Hortons, 2012). Not only will it be competing against these markets, but as well any restaurants or establishments that boast a healthy selection or cater directly towards the vegetarian market will be in direct competition of the Tim Hortons “New Veggie Choices” campaign. Such companies possibly consist of Subway, Extreme Pita, Cultures and Freshii (especially in the mall districts).

One of the challenger companies that Tim Hortons will face the most competition may be McDonalds. They are currently changing their image to encourage a dine-in atmosphere with healthy options such smoothies and salads, as well as vegetable wraps directed at vegetarians and meat-free options (McDonald’s, 2013). Specifically, on August 27th 2013 McDonald’s delivered a press release entitled, ‘Veggies? Canadians Asked. McDonald’s Listened’. McDonald’s introduced two new meatless meals: the new Signature McWrap Mediterranean Veggie and Santa Fe Veggie Wrap (McDonald’s, 2013). It would be advisable that Tim Hortons begins to market their competitive products so that the competition does not continue to get ahead.

Competitive Analysis

- 4 -

Environmental Responsibility

In keeping with trends, more and more consumers are holding companies accountable for being socially and environmentally responsible in the way they conduct business. Restaurants such as McDonald’s practice corporate social responsibility by having programs that support sustainable land, anti-litter and waste reduction campaigns and open forums to encourage honest communication between themselves and their consumers. Tim Hortons competes with this by employing various forms of corporate social responsibility. Inside their restaurants they offer their customers the choice of china dishware when customers are dining inside the establishment in order to cut down on waste. As an added incentive to cut down on waste, any refill done with the use of their Tim Hortons reusable mug is given a ten cent discount (Tim Hortons, 2012). Within their communities they are leading sponsors of community clean up events. As well, Tim Hortons is working hard to create a recyclable coffee cup. At the moment, their signature coffee cups are one of the most prominent types of litter that can be seen in urban centres. The Tim Hortons website placed a statement on their website to support this: “We have anti-litter messages on all of our packaging items, including a "Do Not Litter" message on all of our take-out cups. Sadly, many people do not pay attention to these messages but we continue to work with other members of our industry to tackle the litter problem in a meaningful and effective way” (Tim Hortons, 2012). In this way, the Tim Hortons Corporation strives to not only compete in the environmental awareness sector of business, but also works to gain community recognition for its efforts.

Advertising and Promotion In terms of advertising and promotion there are a number of methods that can be used. In the past, companies such as McDonald’s have relied on media mediums such as radio, newspaper ads, billboards and sponsorship with the most prominent form being television. They also are heavily involved with social media, connecting their different platforms from their website (such as their Twitter account). Their website is a major hub for their advertisements as it connects all of their press releases, nutritional information, contact information, restaurant details and much more. They also incorporate competitions such as McDonald’s Monopoly to drive sales and advertising. In comparison, Tim Hortons also uses their social media such as Twitter and Facebook to drive their marketing. Games and competitions are also a factor in their marketing campaign with the infamous ‘Roll Up The Rim To Win” campaign. Tim Hortons also uses sponsorships, television, radio and newspaper and print ads.

Buyer and Consumer Analysis

The last couple of years have seen a drastic increase in the markets of health and well-being products as well as those of vegetarian/healthy eating options. This is a prime time for Tim Hortons to be capitalizing and joining this rising market. In 2003, 4% of Canadian adults followed a strictly vegetarian diet (927 thousand out of a 23 million population). This number was estimated to show possible growth of a further million people to follow the trend. It is also expected that the market will double to a potential of well over $2.8 billion (Oliveira, Published 2004, Reviewed 2011).

- 5 -

Healthy living and vegetarianism are two increasingly popular trends, as is noted by Roy Kingsmith, director of marketing for Yves Veggie Cuisine: “When this company started, probably 90 percent of our customers were true vegetarians, now it’s only 10 percent vegetarians and 90 percent consumers who are simply looking for an occasional ‘healthier’ meal” (Oliveira, Published 2004, Reviewed 2011). Therefore it is advantageous for Tim Hortons to market such a product at this time as it will reach multiple market segmentations including vegetarians, those looking to cut back on meat consumption and those simply looking for a variety in their healthy eating habits.

Description

We have chosen a three item “veggie options” addendum to the Tim Horton’s menu. The first of the items that we have chosen to launch is a grilled vegetable (tomato, pepper and eggplant) and goat cheese Panini sandwich, which would be served on a choice of white or whole wheat bread. The second item is vegetarian lasagna made with eggplant in place of meat. Our final addition is a vegetarian chili option which substitutes the meat in the original recipe with kidney beans and lentils.

- 6 -

Key Features/Benefits:

The key feature of our new menu items for Tim Hortons are that they are vegetarian, which opens up our target audience by including both vegetarian and health conscious individuals. Previously, vegetarian lunch/dinner options were limited to their bagels and grilled cheese Panini, as well as the garden veggie sandwich. This increased variety also appeals to existing Tim Hortons customers as it increases their choices.

We believe that the addition of more vegetarian options will result in market share growth as it will be more appealing to a wider audience to include more health conscious and vegetarian individuals. We believe this will also improve Tim Hortons’ image as it will show that they are appealing to the healthy eating trend as well as potential customer concerns about the availability of healthier alternatives.

Place in Industry

Brand Review

- 7 -

Strengths Weaknesses • Appealing to vegetarians and

health conscious individuals • Trendy (goat cheese) • Healthy (grilled vegetables are low

fat, and whole wheat bread is available)

• Ingredients not all in Tim Hortons’ locations. They would have to source ingredients that are not already stocked

Opportunities Threats • Potential to expand target market

and appeal to a larger demographic, specifically to attract health conscious consumers who would not have considered eating at Tim Hortons previously.

• Availability of ingredients may be uncertain

• Potentially not popular, vegetarians may opt for the existing grilled cheese Panini

• Competition already has many vegetarian options

• Potentially expensive to produce

- 8 -

Strengths Weaknesses • Appealing to vegetarians and

health conscious individuals • Lasagna reintroduced annually as a

seasonal menu item, this aligns with our marketing timeline

• Seasonal (hot foods tend to do better in colder months), which limits sales potential

Opportunities Threats • Hearty and filling option will appeal

both to vegetarians and non-‐vegetarians

• Can be paired with existing lasagna promotional campaign (limiting costs for marketing)

• Potential to attract health conscious consumers who would not have considered eating at Tim Hortons previously.

• Competition has already launched vegetarian options



- 9 -

Strengths Weaknesses • Original recipe can be easily

adapted with the substitution with beans and lentils for the meat

• Chili can be pre-‐made so that it does not have to be made on site, limiting food stock problems at store levels

• Seasonal (hot foods tend to do better in colder months)

• Ingredients not all in Tim Hortons’ recipes. They would have to source ingredients that are not already stocked

Opportunities Threats • Warm and hearty, comfort food is

appealing to a large demographic, and giving it a healthier twist will make it even more appealing

• Potential to attract health conscious consumers who would not have considered eating at Tim Hortons previously.


• Competition has already launched vegetarian options


- 10 -

Market Positioning

We believe that Tim Hortons’ market position will benefit from the addition of the New Veggie Choices menu as their competition has already launched vegetarian/healthy options, most notably McDonalds’ new vegetable wraps (McDonald’s, 2010-2013). Appealing to the vegetarian and health conscious consumer will increase sales, which will increase Tim Hortons’ market share. This could also increase the market itself as individuals who had previously been opposed to eating fast food due to dietary concerns may consider ordering from Tim’s.

IMC Objectives The marketing communications program we have outlined in this project will result in increased sales of the new Veggie Choices Menu items. It will do this by increasing awareness through the channels stated in this report. We believe that by increasing awareness of these new menu items, we will also increase sales.

Given the budget, we have tried to have our advertising reach as many potential customers as possible. This is especially true based on our focus on advertising within public transit and outdoors as health conscious individuals are likely to also be environmentally conscious and therefore we are likely to hit our target demographic best using billboard and transit marketing options. We also hope to appeal to those who are already loyal to Tim Hortons, whether they come for the available breakfast options or just for beverages, through the use of the in-store television screens.

The need recognized for our menu would be hunger, which affects everyone at some time. We feel as though the information we provide potential customers through our marketing program will result in a stronger position against competitors as Tim Hortons locations are well dispersed and accessible, which will lead the customer to make the decision to purchase our new products.

Creative StrategyAppeal & Tactic Recommendations

The creative objective of our New Veggie Choices program is to promote healthy alternatives. By implementing this program, we are responding to the market’s demand for healthier choices. Consumers depend on the Tim Hortons brand to continue to be dependable, in order to maintain this expectation, the company must react to the health movement and provide menu alternatives that fit this standard. This program is to associate with the lifestyles of our consumers. The New Veggie Choices projects an image of better and healthy living. This will also appeal to vegetarians, or people who simply prefer to lessen their meat consumption. The new and fresh ingredients will support the message to make a better change to improve one’s quality of life. Tim Horton’s will help their consumers achieve their goals by creating the path to a more balanced life.

Our creative strategy will be implemented in two launches to our program. The first launch will be for the summer season, promoting our New Veggie Sandwiches. This will occur starting in June until August. The second launch will occur in fall, promoting our new Veggie Hot Bowls. This will occur in September until November. Summer television commercials will be launched, displaying regular everyday people at the Tim Hortons restaurant, happily choosing the new veggie sandwiches. They will continue to enjoy their meal outside in the park, at work with their colleagues, and with their family spending quality time with each other. The setting will always be brightly lit using natural lighting, providing a fresh, energetic, and inspiring emotion. By displaying these common scenarios, consumer will have the impression that these better choices from our menu are directly correlated to enjoy the qualities of their everyday life. Fall television commercials will compass a similar style of a montage, except in

fall settings. People will be ordering their chili and lasagna in the Tim Hortons restaurant and enjoy it in the seating area of the restaurant with their loved ones. The background outside the windows will have an autumn feel; lush, yellow and red fall trees, and hot steamy beverages to enjoy with their meal. The montage will switch environments to an individual enjoying their hot bowl of chili by their fireplace at a winter cottage. These setting will be used to inspire a comfortable, cozy and relaxing atmosphere.

- 11 -

A new component to the Tim Hortons smartphone app, “Timmy ME” will be added. The new component will enable consumers to build their own sandwiches and see the nutritional content of their choices collectively. The default sandwich will be the new Grilled Veggie Sandwich, which the consumer can alter to his or her own liking. This advertises the new sandwich, as well as allows the consumer to be more health conscience about what they are consuming. By developing a honest approach, it will build more brand loyalty, and maintain the trust that the Tim Hortons brand upholds.

Radio commercials will include a dialogue between a male and a female, two colleagues having lunch on their break. The indecisive male will inquire about what the female is eating. The female will begin to describe her sandwich and how overjoyed she is that Tim Hortons has new choices that fit her needs. She will describe how she will no longer have to waste time searching anywhere else for healthier options during her lunch break. The male will order the same sandwich and agree with her satisfaction. Advertisements will be found on The Star, throughout public transportation systems (TTC, ZUM, MiWay…etc.) in Ontario, billboards on major highways, and within the Tim Hortons restaurants on windows clings and stand-alone signage. They will present a high definition photograph of the new product. The style of the advertisement will stay consistent to which Tim Hortons has promoted their campaigns in the past (refer to appendix-?). The photo of the sandwich or hot bowl will be offset to one side, while the other side will have the text “NEW Veggie Choices: Grilled Veggie Sandwich”, “NEW Veggie Choices: Vegetarian Chili”, or “NEW Veggie Choices: Eggplant Lasagna”.

- 12 -

- 13 -

In order to maintain a cohesive objective between the new program and the Tim Hortons Brand, our target audiences are communities, families as well as the working-age population. In order to reach out to our target audience several forms of media needs to be implemented, this includes television and radio commercials, advertisements in public transportation, newspapers and on billboards, and a smartphone app.

Radio Commercials:- The commercials will be heard on CHFI 98.1 and 680 NEWS- The commercials will be on high rotation during the morning (7am – 9am) and afternoon (4pm – 6pm) rush hours during the week.- The remaining spots will be distributed evenly during the day (6am – 9pm)

By distributing the radio spot in this manner will maximize the frequency the commercials will be heard by the working-age population. These will be intended to reach them during their drive to their jobs. Radios reaches a local market medium, which is suitable for the new program as it is targeted only to Tim Hortons restaurants in Ontario.

Television Commercials- These commercials will be aired Canadian networks such as Global TV, and City TV.- Daytime Shows (The Elle Degeneres Show, The Morning Show, The Talk): These shows are geared toward mothers and housewives, they need to be targeted as they usually influence how and what the rest of their family eats.- Prime time shows: this will maximize exposure since during this time period there is a wider and diverse demographic watching their television.

Out-of-Home Media- TTC: commuters of the TTC are constantly exposed to advertising messages in the subway stations/shelters, trains, streetcars, and busses. Posters will be placed in the most commonly used subways stations and bus shelters. “Transit riders represent a captive audience that often has a need for visual stimulation” (Tuckwell, 2013), these commutes often have a typical routine, and route too and from work and home. It is a great opportunity to capitalize on this to reach out to them on a regular-basis.- Highway Billboards: placing Billboards on major highways such as the gardiner expressway and the 401 is another opportunity to reach out to regular commuters who drive.- Window clings in Tim-Hortons Restaurants: These advertisements will draw in pedestrians and people in the community.

Newspapers- The Toronto Star: Choosing a major Ontario newspaper will directly target the right audience.

Media Recommendations

- 14 -

Internet-Based Component- Smartphone App: This app will appeal to young adults who are privy to modern technological advances. This creates a notion that Tim Hortons is constantly changing in today’s world, as will not be out-of-date.

In-House Media- Playing the television commercials on their in-house televisions will strengthen brand loyalty.

- 15 -

• Start date • Campaign launches with heavy distribution in the newspaper, on the radio and on the TTC • TTC ads go up • Radio ads play 18 times per day • Newspaper ads are distributed as a full page spread, 4 times per week

June 2nd 2014

• Newspaper ads are shortened to a 2/3 page spread, 4 times per week

June 9th 2014

• Radio advertisements are cut down to 9 times per day • Newspaper ads are shortened to 1/2 a page, two times per week

June 16th 2014

• TTC advertisements come down • Newspaper ads are distributed as a 1/5 breakthrough layout, scattered 4 times throughout the month • Radio ads continue playing 9 times per day

July 27th 2014

• All advertising repeats using most recent layout and plans

June 30th 2014

• TTC advertisements go up • Newspaper ads are distributed as a full page spread, 4 times per week • Radio advertisements are heard 18 times per day

September 1st 2014

• Newspaper ads are shortned to 2/3 page spread, 4 times per week

September 8th 2014

• Radio ads are cut down to 9 times per day • Newspaper ads are shortened to 1/2 page horizontal spread, three times one week, two times the following week

September 15th 2014

• TTC advertisements come down • Radio ads continue to play 9 times per day • Newspaper ads are shortened to 1/5 breakthrouph spread, scattered 4 times throughout the month

September 29th 2014

• TTC advertisements go up for the final month • Radio ads are doubled to 18 times per day • Newspaper ads reset at all full page spread, 4 times per week

October 27th 2014

• Newspaper ads are cut down to a 2/3 page spread, 4 times per week

November 3rd 2014

• Newspaper ads are cutdown to 1/2 page horizontal spread, two times per week • Radio ads are cut down to 9 times per day

November 10th 2014

• All TTC ads come down • All radio ads stop playing • Newspaper ads stop circulationg • Campaign ends • Evaluation of campaign starts

November 24th 2014

Campaign Flowchart

- 16 -

Chalinix Marketing Group Tim Hortons: "New Veggie Choices" Media Budget 2014

Integrated Marketing

CommunicationsJune July August September October November Total

Newspaper 663,652.64$ 73,211.16$ 73,211.16$ 702,907.19$ 73,211.16$ 663,652.64$ 2,249,845.95$

Radio 435,600.00$ 306,900.00$ 306,900.00$ 435,600.00$ 306,900.00$ 435,600.00$ 2,227,500.00$

Print Signage (Toronto Transit Commission)

130,012.00$ -‐$ -‐$ 130,012.00$ -‐$ 130,012.00$ 471,681.00$

Total 1,229,264.64$ 380,111.16$ 380,111.16$ 1,268,519.19$ 380,111.16$ 1,229,264.64$ 4,949,026.95$

Media Buying Budget 2014

Tim Hortons: New Veggie Choices Media Budget

Newspaper

Radio

Print Signage (Toronto Transit Commission)

Media Buying Budget

- 17 -


June* July August September* October November* Total12 4 4 13 4 12 49

4x Full Page 4x 2/3 Page 4x 1/2 Page Horizontal

4x 1/5 Page Breakthrough





12x Full Page 12x 2/3 Page 13x 1/2 Page Horizontal 12x 1/5 Page Breakthrough

$ 663,652.64 $ 73,211.16 $ 73,211.16 $ 702,907.19 $ 73,211.16 $ 663,652.64 $ 2,249,845.95

Month # of Days in Month

Heavy Advertising

Light Advertising

Page Type Cost (Mon-‐Fri)

June 30 days8 days heavy -‐ 4 per week, for 2

weeks

4 days non heavy-‐ 2 per

week -‐ Monday, Friday

1/5 Page Breakthrough $ 18,302.79

July 31 days n/a 4 scattered1/2 Page Horizontal $ 39,254.55

August 31 days n/a 4 scattered 2/3 Page $ 50,722.75

September 30 days8 days heavy -‐ 4 per week, for 2

weeks


week -‐ Monday, Wednesday,

Full Page $ 75,935.86

October 31 days n/a 4 scattered

November 30 days8 days heavy -‐ 1

per day


week -‐ Monday, Friday)

*Rates per advertisement

MonthFrequency

Type of Advertisement

Cost

Media Buying Budget 2014 -‐ Newspaper: The Toronto Star

$-‐

$100.00

$200.00

$300.00

$400.00

$500.00

$600.00

$700.00

$800.00

Thousands

Media Buying Budget: Newspaper

The Toronto Star offers different pricing per advertisement based on the size of the advert (as seen in Appendix C). To get the most out of the budget, the advertisement will run using the Monday to Friday pricing list, therefore excluding Saturday. This way more advertisements can be put out for fewer dollars, opposed to placing them in the Saturday’s paper. The advertisement will run using four different sized layouts. Since the campaign will run for six-months, June through to November, we have targeted three-months of heavy advertising and three-months of a lighter saturation. The three-months where the campaign will be heavy will be at the start of June where the “Summer Sandwich” is released. There will be two weeks where the ads will be shown four days per week, the first week being a full page spread and the second week showing a 2/3-page ad. The remaining two weeks of that month will showcase a ½ page horizontal spread. The month of September will be the release of the NEW Veggie Choices for the winter menu items. The plan for that month will be similar to the month of June however an extra ½ page horizontal spread will be added to factor in the extra Monday of the month. When available, the advertisements will run Monday, Wednesday, and Friday to spread out the campaign. The final month will be November and will follow the same distribution plan as May, to push that last bit of promotion out. In the three months with lighter saturation in distribution, advertisements will be shown four times a month, one each week to continuously remind customers of the new products. By the end of the campaign 49 advertisements will have been printed in the daily paper for a total of $2,249,845.95.

- 18 -


Month June* July August September* October November* TotalFrequency 396 279 279 396 279 396 2025

Cost 435,600.00$ 306,900.00$ 306,900.00$ 435,600.00$ 306,900.00$ 435,600.00$ 2,227,500.00$

900.00$

200.00$

Month # of Days in Month Heavy Advertising Light Advertising

June 30 days 14 days heavy -‐ 18 per day

16 days non heavy: 9 per day

July 31 days 9 per day n/aAugust 31 days 9 per day n/a

September 30 days 18 per day 16 days non heavy: 9 per day

October 31 days 9 per day n/a

November 30 days 14 days heavy -‐ 18 per day

16 days non heavy: 9 per day

Media Buying Budget 2014 -‐ Radio

Single voice

Multiple Voice

$435,600.00

$306,900.00

$306,900.00 $435,600.00

$306,900.00

$435,600.00

Media Budget for Radio AdverGsments

June*

July

August

September*

October

November*

The next media channel we felt would target customers appropriately would be to advertise on popular radio stations. Based on pricing from the professionals at Strategic Media, radio advertisements vary on time of day, length of ad, and number of voices used. The budget we arrived at was based on the maximum amount, that of $900 per advertisement plus $200 for a second voice. Using the same division of months from the newspaper channel, during the three months of light campaigning customers will hear the advertisement 9 times per day; during 3 hours of rush hour in the morning, and the ride home, in addition to the 3 hour lunch overlap. During high saturation months, June, September and November, we plan to double that to 18 times a day, still using primetime, just now at every commercial break instead of every other one. By the end of the campaign customers would have had the opportunity to hear the 30second radio spot 2025 times. The goal is to advertise on popular radio stations, both targeted to the teens to young adults, as well as more targeted to women. Vegetarianism is growing in popularity today amongst the youth in addition to the health conscious males, yet mostly females. All in all the radio advertising will cost a total of $2,227,500.

Media Buying Budget: Radio

- 19 -


Month June* July August September* October November* TotalFrequency (#) 1 0 0 1 0 1 3

Subway Poster (per panel) $ 26,100.00 $ -‐ $ -‐ $ 26,100.00 $ -‐ $ 26,100.00 $ 78,300.00

Subway Interior

$ 50,637.00 $ -‐ $ -‐ $ 50,637.00 $ -‐ $ 50,637.00 $ 151,911.00

Subway Vertical

$ 11,187.00 $ -‐ $ -‐ $ 11,187.00 $ -‐ $ 11,187.00 $ 33,561.00

Bus Interior $ 24,688.00 $ -‐ $ -‐ $ 24,688.00 $ -‐ $ 24,688.00 $ 74,064.00 Transit Shelter (per panel)

$ 17,400.00 $ -‐ $ -‐ $ 17,400.00 $ -‐ $ 17,400.00 $ 52,200.00

Backlit Poster $ 27,215.00 $ -‐ $ -‐ $ 27,215.00 $ -‐ $ 27,215.00 $ 81,645.00 Cost $ 130,012.00 $ -‐ $ -‐ $ 130,012.00 $ -‐ $ 130,012.00 $ 471,681.00

AdvertisementCost

(per 4 weeks)Production

Cost # of Panels

Subway Poster (per panel)

$ 2,000.00 $ 175.00 12 panels in AA stations,

backlit

Subway Interior

$ 39,637.00 $ 11,000.00 887 panels, GTA

Subway Vertical

$ 9,400.00 $ 1,787.00 100 panels

Bus Interior $ 20,188.00 $ 4,500.00 887 panels, GTA

Transit Shelter (per panel)

$ 650.00 $ 75.00 24 panels

Poster $ 4,750.00 $ 693.00 5 panels

Media Buying Budget 2014 -‐ Toronto Transit Commission

June*

September*

November*

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Media Buying Budget: Print Advertising

The final vehicle we chose to include in the media-buying budget was displaying print advertisements in the TTC (Toronto Transit Commission). For this vehicle there were many different choices to choose from. Tim Hortons NEW Veggie Choices would benefit most from 12 backlit panels of Subway posters in AA Stations, 887 interior subway panels spread throughout the GTA, and 100 vertical panels in the subway trains as well. In addi-tion there would be 887 panels inside of TTC buses spread throughout the GTA, 24 pan-els in York, Mississauga and Oakville transit shelters as well as 5 backlit billboards. This vehicle will be centered in the GTA and is heavily targeted toward customers only in the three peak months. Contracts are 4 weeks long and prices vary on type of ad and the cost for each, as well as a production fee for each panel. Print signage will cost an estimated $471,681 for a total of 1915 signs.

- 20 -

At Chalinix Marketing Group, we feel this strategy offers a wide range of advertisements to target similar individuals throughout their day. Upon completion of the campaign we will have provided a plan for a significant range of people and a wide enough geographic location to help in deciding whether or not this product could be launched to the rest of Canada and be a successful line of vegetarian options.

This Integrated Marketing Communication Plan has clearly demonstrated how Chalinix can successfully market the ‘New Veggie Choices’ campaign on behalf of the Tim Hortons chain. By introducing three new menu options (vegetarian chili, eggplant lasagna and grilled vegetable panini), Tim Hortons can provide a healthier alternative to some of their best loved products. With a successful media campaign of six months and the launch of products at various stages, this will optimize the amount of coverage of the new products throughout Ontario. The media campaign will be done through the form of radio commercials, short television ads and print advertisements. These print advertisements will be placed throughout public transportation (via bus shelters, subways, streetcars, buses, etc) as well as billboards and newspapers (such as The Star). Tim Hortons can also use media outlets that are already used for other existing products through their in-store televisions alongside their menu boards as well as throughout restaurant window clings and stand-alone signage. Chalinix has also recommended the expansion of a new smartphone app, “Timmie ME”, which allows the consumer to build their own sandwich and be conscious of the ingredients and nutritional content of their selections. Chalinix has also demonstrated a successful potential budget that has remained within the desired amount specified by the client for media purchases. It is recommended that in the future, once this six month trial period has completed, this proposed plan and product can be further expanded throughout Canada. This will hopefully produce not only increased sales for past and new product, but will also allow Tim Hortons the opportunity to gain additional loyal customers as well as provide customer satisfaction for all of their clientele.

Appendices

- 21 -

ANIMAL FATS & BY-PRODUCTS – MAY 2013

This information is accurate to the best of our knowledge. No warranty is expressed or implied regarding its accuracy. The user must determine its suitability for his own use. Please note the date of this information and be sure to update your files periodically. It is possible that we have added new products or that changes have been made to existing products that could cause the information to change. Please call our toll free guest service number at 1-888-601-1616 for updated information. Tim Hortons Research and Development 226 Wyecroft Road, Oakville, Ontario, Canada, L6K 3X7 05/03/2013

HOT BOWLS TYPE OF ANIMAL CONTENT Baked Beans (Québec only) Pork

Cauliflower & Cheese Soup (Canada only) Milk Chicken Noodle Soup Chicken, Egg, Milk

Chili Beef Clam Chowder Fish and Shellfish, Milk

Cream Of Asparagus Soup (Québec only) Milk Cream of Broccoli Soup Milk

Cream of Carrot Soup (Québec only) Milk Creamy Field Mushroom Soup (Canada only) Milk

French Onion Soup Milk, Enzymes Hearty Mixed Vegetable Soup No animal content

Italian Wedding Soup (Canada only) Chicken, Beef, Milk Italian Wedding Soup (USA only) Chicken, Beef, Milk, Egg

Minestrone Soup Pork/Beef (Flavour), Milk Hearty Potato Bacon Soup Pork (Bacon), Milk Split Pea With Ham Soup Chicken, Pork (Ham), Milk

Tomato with Whole Grain Pasta Soup Milk Turkey & Wild Rice Soup Turkey, Chicken, Milk, Egg, Gelatin (Pork), Beef

Creamy Sundried Tomato Soup Milk Creamy Chicken Rotini Chicken, Milk, Egg

Macaroni & Cheese (USA only) Milk, Egg

Swiss and Cheddar Cheese Slices contain microbiological rennet (not from animal source) Shredded Cheddar Cheese contains microbiological rennet (not from animal source) Processed Cheddar Cheese contains rennet (animal source) Processed Mozzarella Cheese contains rennet and enzymes (animal source) Cheese Tea Biscuits, Croissants and Bagels contain microbiological rennet (not from animal source) Yogurt in the Yogurt and Berries contains gelatin (animal source) The bacon, sausage and ham used on the Breakfast Sandwich are derived from pork Yogurt (USA only) for Fruit Smoothies contains gelatin (animal source) Pesto Sauce (USA only) contains microbiological rennet and enzymes (not from animal source)

Products Free of Animal Fat The following Tim Hortons baked goods have been produced without the use of animal fats and by-products (including gelatin and rennet). Please note many of these products contain milk and/or egg. Donuts & Timbits Danishes & Croissants Muffins Tea Biscuits (excluding the Ham & Cheese Tea Biscuit) Cookies Classic & Specialty Bagels

In addition: All donuts are cooked in 100% vegetable based fats and oils All donut glaze is completely vegetable based The ingredient, L-cysteine, of all Tim Hortons products is synthetic Mono- and diglycerides in all Tim Hortons products are vegetable based

Appendix A

- 22 -

Appendix B

Existing advertising for new menu items at Tim Hortons

(Tim Hortons, 2012)

- 23 -

Appendix C

The Toronto Star advertisement pricing as of 2012

References

- 24 -

CNW Group Ltd. . (2013). Tim Hortons beefs up menu with Beef Lasagna Casserole . Retrieved

from CNW: A PR Newswire Company : http://cnw.ca/g1A4

McDonalds. (2013). McCafe. Retrieved 2013, from McDonalds: http://www.mcdonalds.ca/ca/en/mccafe.html

McDonald's. (2013). McDonald's. Retrieved from Food to Feel Good About: http://www.mcdonalds.com/us/en/food/food_quality/nutrition_choices/food_to_feel_goodabout.html

McDonald's. (2013). McDonald's. Retrieved from Press Room: http://www.mcdonalds.ca/ca/en/our_story/corporate_info/press_room/articles/PR_veggie_mcwrap.html

McDonald's. Signature McWrap (R). 2010-‐2013. 23 November 2013 http://www.mcdonalds.ca/ca/en/promotions/mcwrap.html

Oliveira, S. (Published 2004, Reviewed 2011). Alberta: Agriculture and Rural Development . Retrieved from Vegeteranism : A Meatless Eating Experience : http://www1.agric.gov.ab.ca/$department/deptdocs.nsf/all/sis8739

Tim Hortons. (2012). About Us. Retrieved from Tim Hortons:

http://www.timhortons.com/ca/en/about/index.html

Tim Hortons. (2012). Hot Bowls. Retrieved from http://www.timhortons.com/ca/en/menu/soups-‐chili.html: http://www.timhortons.com/ca/en/menu/soups-‐chili.html

Tim Hortons. (2012). Frequently Asking Questions. Retrieved 2013, from Tim Hortons: http://www.timhortons.com/ca/en/about/faq.html

Tim Hortons. Tim Hortons. 2012. 2013 http://www.timhortons.com/ca/en/menu/menu-‐products.html

Tuckwell, Keith J. Think Marketing. 1st Edition. Don Mills: Pearson Canada Inc., 2013.

Tim Hortons - Weeblychelseyphillips.weebly.com/uploads/2/4/9/0/24906253/marketingimc.pdf ·...

Documents

Transcript of Tim Hortons - Weeblychelseyphillips.weebly.com/uploads/2/4/9/0/24906253/marketingimc.pdf ·...