Fashion Icon Jason Wu Livens up Target
Presented By •Lindsay Buglino •Lithera Forbes •Saneeta Harris •Gerson Gibbs •Kierstan Tucker-McCullough
Issue Target is losing focus in womenâ€™s apparel, which represents over 10% of total sales. Isaac Mizrahi did not renew his contract with Target for the 2009 year Target will have to replace $400 million to $500 million of lost revenue
Framing the Opportunity Introduce a fresh new fashion line by famed designer Jason Wu Due for Release Spring 2011 Target young women aged 21-30 Modern and Glamorous Apparel
Shopper Facts Approximately 80% of Target shoppers are female Percentage of Sales: Apparel & Accessories 2006: 22% 2007: 22% 2008: 20%
Shopper Facts A survey of 1,011 adults were given a choice of Kmart, Wal-Mart and Target. 16% - incomes of $20,000 or less 23% - incomes of $20,000 to $29,000 26% - incomes of 30,000 to $39,000 29% - income of $40,000 to $74,000 47% - income of $75,000 or more. - large disposable income Survey Age Demographics: 33% - 18 to 29 prefer Target 33% - 30 to 49 26% 50 to 64 18% - 65 or older.
Who is Jason Wu? Leading American designer Combines modern lifestyle dressing with the spirit and detailing of haute couture Emphasizes woman's hourglass silhouette Utilizes the most luxurious fabrication and detailing Relaxed and youthful attitude
Why Jason Wu? He is acclaimed! Fashion Group International's Rising Star Award -2008 Nominated for the Vogue Fashion Fund Award â€“ 2008 Nominated for Swarovski Award for Womenswear - 2009, 2010
He dresses the hottest stars! Reese Witherspoon, Camilla Belle, Natalie Portman, Diane Kruger, Jessica Alba, Diane Kruger, Kerry Washington & Michelle Obama Fun, flirty, classy designs
Marketing Strategy Online & Offline, Personal & Mass Communication
Internet Marketing- create awareness of new line through interactive website
Individualization and Interactivity surveys, emails, online ads, banners, real time customer service, rich media
Television, Magazines, Circulars, Radio, Billboards, Public Relations, Press Release
Online Strategy Target.com Spotlight launch on website two weeks out using Strategic Placement of Promotion Specialized web tools Customization, Individualization & Interactivity Community
Utilize Customer Database Existing and Newly acquired
Social Networking & Blogs Ads and content
Target.com Promotion Placement
Week Prior Week of Launch Free Gift with purchase First 4 weeks of Launch
Share With a Friend Exclusive Jason Wu Blog
GET READY FOR SUMMER WITH The EXCLUSIVE Collection STAY COOL WITH HOT FASHION TRENDS
IN STORES NOW!
The Jason Wu
IN STORES NOW!
2 Iâ€™s Individualization
Style Guide with virtual models Real Women, 3 body types Create Your Own Look - partnership with Myfashionplate.com
Video Clips Mobile text alerts: Meet Jason Wu at Target May 22, 2011 at 1:30pm 1275 Caroline St NE, Atlanta, GA 30307 404-260-0200 www.target.com for more info Target fashion insider, show this code at checkout JW235 to receive extra 10% off any Jason Wu item. Valid in store only 5/5/11 - 5/15/11.
Social Networks Facebook, Twitter, and YouTube 7Cs •Content – (Digital subject matter on the website) • YouTube videos, commercials •Customization – (Relationship built on shared interest) • User have the ability to customize their own pages utilizing social networks. •Connection – (network of links of links between company site and customers) • Social networks include company links within the companies customized page. •Communication
– (Dialogues that unfolds between the website and users) • (Broadcast) information exchange
Twitter Twitter is a rich source of instantly updated information. It's easy to stay updated on an incredibly wide variety of topics. 14, 987 â€“ Followers Marketing specials will be rapidly communicated with potential customers. Our company will also recommend that more efforts are made to increase the number of followers that the company has.
YouTube Channel Views: 116,497 Total Upload Views: 492,606 Joined: January 06, 2006 Subscribers: 980 Site includes fashion section â€“ We will spotlight launch on social sites two weeks prior to release date. For example commercials, Interviews with Jason Wu.
Facebook Fans - 1,007, 720 Videos â€“ Facebook provides a customized video section. As indicated in our marketing section we will launch videos two weeks prior to initial launch date to inform potential clients on our new brand. Customized Section â€“ Facebook also gives users the ability to add customized sections. We will include a section promoting the launch of our line to assist with marketing and promotion.
Mobile Technology In January 2008, 10.8 million people accessed the Web through mobile phones daily; the rate increased 107 percent to 22.4 million in January 2009. Weekly access didn't quite double, jumping from 10.3 million in January 2008 to 19.3 million in 2009, an 89 percent increase. Those who used the mobile Web on a monthly basis numbered 36.9 million in 2008 and 63.2 million in 2009, a 71 percent jump. In 2009, Target expanded their technological facilities to take advantage of multichannel retail strategies. Creation of new apps to facilitate the increased usage of Mobile Technology. http://www.youtube.com/watch?v=DUj-KXpVKlE Our team plans to take advantage of these new innovations by featuring our new line on all apps.
Financials â€“ 2006 - 2008 Product
commodities Electronics, entertainment , sporting goods and toys Apparel and accessories Home furnishings and dĂŠcor
Financials 2007 Revenues/Apparel and Accessories Revenue (22%) • $ 61,471,000,000 – Total • $ 13,523,620,000 – Apparel and Accessories 2008 Revenues/Apparel and Accessories Revenues (20%) • $ 62,884,000,000 • $ 12,576,800,000 Difference • $ 446,820,000 Goal – Increase percentage to 25% • $ 62,884,000,000 • $ 15,721,000000
Financials Advertisement cost are expensed at first showing or distribution of the advertisement and were $ 1,233 million, $ 1,195 million, and $ 1,170 million for 2008, 2007, and 2006. Advertising vendor income that offset advertising expenses was approximately $ 143 million, $ 123 million, and $ 118 million for 2008, 2007, and 2006, respectively. Newspaper and media broadcast made up the majority of advertisement cost in all three years. Cut advertisement cost 10% by going green and making specials available via web. Total Reduction â€“ $ 123,300,000
References http://searchenginewatch.com/3633213 - By Enid Burns, Search Engine Watch, Mar 17, 2009 http://sites.target.com/images/company/annual_report_2008/documents/ 2008_target_annualreport.pdf - Target Annual Audit, retrieved on April 19, 2010 http://finapps.forbes.com/finapps/BuyHoldSellAnalysis.do?tkr=TGT http://188.8.131.52/search? q=cache:8__2fsKl7oEJ:bakerretail.wharton.upenn.edu/documents/Barney sLovesTarget.doc+target+losing+revenue+in+women %27s+apparel&cd=2&hl=en&ct=clnk&gl=us http://findarticles.com/p/articles/mi_m4021/is_2002_Nov_1/ai_93089469/ http://phx.corporateir.net/External.File? item=UGFyZW50SUQ9MTI1MnxDaGlsZElEPS0xfFR5cGU9Mw==&t=1