As a team our challenge was to create an ad campaign that would competitively place the Kindle FIre next to or above the Apple iPad in the eyes of our target market 18-24 year olds. Spring 2012.
1. AMP Groupe
Eugene Lee
Laura Hinkel
Marketing 321- Kristy Haefelin
Section 20468 Vijeta Malhotra
Professor Nankin Niamh Soraghan
2. Table Of Contents
Executive Summary………………3
Creative Brief:
Situation Analysis: Objectives………………….………..45
Company History…………………5 Brand Advantages
Company Overview……………..6 & Disadvantages………………...46
The Product………………….…….7 Target Audience Profile…….……...47
Product Strategy……………….…8 Campaign Characteristics………..48
Pricing Strategy………………,…..9 Reason to Believe……………….…..49
Promotion……………………....…10 The Advertisements…………….......50
Below The Line Programs…………..56
Placement Strategy…………….12
Sales Promotion…………………..57
Current Media Use……….….…,,13
Direct Response………………….58
Current Positioning…………,…...16
Sponsorship……………………….59
Industry Research……………...,..17
Media and Budget………………….60
Competition………………………21 TV Advertising………………………..61
Consumer Research…..……...…23 Print Advertising……………………..63
Target Audience…………………26 Internet………………………………..64
Media Habits……………………..28 Budget Breakdown…………………65
Primary Research…………………32
Bibliography………………………...66
SWOT Analysis……………………43
3. Executive Summary
The Kindle Fire is the newest tablet to the market. It is owned by
Amazon, Inc., the world’s largest and most trusted online retailer. While
the Kindle Fire increased the tablet market by 14% in one quarter, the
target segment of 18-24 year olds view the Kindle Fire as cheap and of
low status compared to the ―Fire’s‖ fiercest competitor, the New iPad.
Research done by AMP GROUPE has found the target market to be
heavy consumers of media that seek sleekness that will give them status.
The ―Fire You Can Play With Campaign‖ gives the segment a vicarious
experience with the Kindle Fire.
Our integrated marketing campaign has both below and above the line
marketing tactics to reach our target audience. Traditional media such
as TV and Print as well as online and promotional advertising will help
create awareness among the target market and increase sales.
Niamh Soraghan
Kristy Haefelin3
5. The beginning of a business plan….
1
Company History
July 1995 After funding is secured, Jeff Bezos launches Amazon.com on the
World Wide Web.
1997 838% increase in sales; sales grew from $15.7million in 1996 to
$147.8 million.
July 1999 Amazon.com expands the offerings available by creating
Amazon Toys and Amazon Electronics
November 2000 First Free Super Saver Shipping Offer (Orders over $100) is
introduced and the Marketplace is launched.
2006 Launch of Amazon Web Services (AWS)—cloud computing
November 2007 Amazon broke into the E-reader market with the introduction of
the Kindle and the Kindle 2 in February 2009.
September The Kindle Touch, Kindle Fire and Amazon Silk are introduced
2011
1
Amazon Company Profile as found from the "Business & Company Resource Center." Accessed March 18, 2012.
Laura Hinkel 5
http:galenet.galegroup.com.rlib.pace.eduservletBCRCvrsn=unknown&locID=nysl_me_pace&srchtp=glbc&cc=1&
c=1&mode=c&ste=74&tbst=tsCM&tab=4&ccmp=Amazon.com Inc.&mst=amazon&
6. …Led Amazon to become one of the largest online retailers…
Company Overview
Continuous focus on the consumer and
long term goals to achieve a strong Mission Statement:
brand and market leadership. 2
―Our vision is to be earth’s most
Amazon is constantly evolving customer centric company;
technological innovation to provide to build a place where
customers with what they want 2:
people can come to find
Low prices
and discover anything they
Free shipping on orders $25 and above.
Vast selection of products and brands
might want to buy online.‖ 3
Convenience
―Invention is in our DNA and
―1-Click Shopping‖ gives the customer a
convenient checkout experience. technology is the fundamental tool
Amazon Silk
we wield to evolve and improve
every aspect of the experience we
―Buy Once, Read Everywhere‖ Kindle
apps. provide our customers.‖ -Jeffery P.
2
Personalized selling gives the customer a Bezos, President
tailored and express shopping
2
experience.
Bezos, Jeffrey P. Amazon.com Inc., "2010 Shareholder Letter." Accessed March 18, 2012. http:// phx.corporate-
ir.net/External.File?item=UGFyZW50SUQ9OTA4ODB8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1.
3
Amazon.com Inc., "FAQs" Accessed March 18, 2012. http://phx.corporate-ir.net/phoenix.zhtml?c=97664&p=irol-faq.
Laura Hinkel 6
7. …And introduce the Kindle to the retail market…
The Product
THE KINDLE FIRE
Offers a one-click payment The Kindle Fire comes
option so Kindle owners pre-loaded with an
can purchase without re- email app, which can
entering a password each be set up to any email $199.
time. 5 service, Amazon’s Silk
Browser, Netflix, Hulu
With partners such as
and Pandora.
Fox, CBS, and NBC
Universal, Amazon Prime Whispersync technology allows
members have access to the Kindle user to sync and
easy streaming of over access content
100,000 Movies and TV (notes, data, library, movies, e-
Shows. 5 books, etc.) where they left
off, across all of their devices. 4
4
Amazon.com Inc., "Amazon's Innovations for Our Planet." Last modified 12/2011. Accessed March 18, 2012.
http://www.amazon.com/b/ref=gw_m_b_corpres?ie=UTF8&node=13786321.
5
Patel, Kunur. "Amazon Kindle Fire Ignite Tablet Media Consumption." AdAge, Sept 28, 2011.
http://adage.com/article/mediaworks/amazon-kindle-fire-ignite-tablet-media-consumption/230086/
7
(accessed March 15, 2012).
Kristy Haefelin
8. …In order to fulfill the needs of consumers…
Product Strategy
Jeff Bezos, CEO at Amazon, says “ We
don’t look at the Kindle as a tablet. We
look at it as a service. “ 6
Forrester Research Analyst Sarah
Rotman Epps explains the trends in the ―Jill Ambrose, chief marketing
Tablet Market: ―It’s about the officer of CourseSmart, a
services‖ She Says: ―What you can do leading digital textbook
with the device—which is why provider, commented that her
company is not interested in
Apple, Amazon, and Barnes and supplying content for e-readers
Noble have succeeded in the U.S. because students want devices
where pure hardware plays have that do more than just one
6
failed.‖ 7 thing.‖
6
Friedman, Stan. "The Shape of Things to Come." Library Journal. 137. no. 3 (2012). http://
search.proquest.com.rlib.pace.edu/abiglobal/docview/ 918980125/1356DE2196F7752F5EB/6?accountid=13044
(accessed March 15, 2012).
7
Whitney, Lance, and First . "One-third of U.S. adults will own a tablet by 2016, says report ." CNET News, March 7, 2012.
http://news.cnet.com/8301-1023_3-57392478-93/one-third-of-u.s- adults-will-own-a-tablet-by-2016-says-report/ (accessed March Kristy Haefelin 8
9. …At a price that is affordable for everyone…
8
Pricing Strategy
THE KINDLE FIRE
EXPEDITURE
“CFO Tom Szkutak
says that Kindle sales
grew 177% over the
last holiday season” 9
8
Rassweiler, Andrew. "Amazon Kindle Fire Costs $201.70 to Manufacture .‖ isuppli.com. (2011).
http://www.isuppli.com/Teardowns/News/Pages/Amazon-Kindle-Fire-Costs-$201-70-to-Manufacture.aspx
(accessed March 15, 2012).
9
9
"The New Kindle Family." (online forum message). Amazon Press Releases. Novem 28, 2011. http://phx.corporate-
ir.net/phoenix.zhtml?c=176060&p=irol- Kristy Haefelin
10. …with promotions to attract a variety of consumers…
Promotion Strategy10
AMAZON.COM
Free Cloud Storage up to 5GB for any Amazon User
Amazon Prime
Amazon Prime Members experience free two-day
shipping, unlimited instant streaming of Movies and TV
Shows, thousands of book for just $79 a year
Amazon Student
Members of Amazon student can be an Amazon Prime
Member for 50% less the price
Amazon Mom
Free for Amazon Prime members, members of Amazon
Mom receive 20% off diapers and wipes along with other
exclusive deals and discounts
10
Amazon, Inc, "Free Cloud Storage." Accessed March 15, 2012. https://www.amazon.com/clouddrive/learnmore. Kristy Haefelin 10
11. …to whom Amazon offer’s an array of services…
Promotion Strategy
THE KINDLE STORE
The Kindle Fire Newsstand has over 400 magazines and
newspapers. Conde Nast gave Kindle Fire owners who signed up
before March 1, 2012 an exclusive free three-month trial of up to 17
top magazines including Vanity Fair, GQ and Glamour. 11
The Kindle store gives the user recommendations for apps they
may like and offers a weekly free app to users. Apps have been
given for free originally costing $10. 12
Kindle Owners Lending Library: Growing for Amazon Prime
Members that have a kindle. Users can now borrow books for free
onto their Kindle Fire. 13
Commercial Free Streaming
Books are offered at $9.99 or less
Free One Month Trial of Amazon Prime
11
Amazon, Inc, "Free Cloud Storage." Accessed March 15, 2012. https://www.amazon.com/clouddrive/learnmore.
12
"Kindle Fire Newsstand." (online forum message). Amazon Press Releases. Novem 11, 2011. http://phx.corporate-ir.net/phoenix.zhtml?
c=176060&p=irol-
13
"Kindle Owners Lending Library." (online forum message). Amazon Press Releases. Febru 12, 2011.
http://phx.corporate-ir.net/phoenix.zhtml?c=176060&p=irol- (5)
Kristy Haefelin 11
12. …as well as a wide variety of places to purchase.
Placement Strategy14
The Kindle can be found online on Amazon.com among
many other online retailers.
Sold in over 16,000 stores across the United States. (2)
Best Buy, Target, Wal-Mart, Staples, Sam’s
Club, RadioShack, Office Depot and others.
Places such as Best Buy allow shoppers to play with
the Kindle Fire and the rest of the Kindle Family in
store before making a purchase.
Kristy Haefelin 12
14
"The New Kindle Family." (online forum message). Amazon Press Releases. Novem 28, 2011. http://phx.corporate-ir.net/
phoenix.zhtml?c=176060&p=irol-
13. Amazon uses a multitude of media to advertise….
15
Current Media Usage
TELELVISION PUBLIC RELATIONS
Commercials Press Releases
Events
DIRECT INTERACTIVE
Email to Kindle users Online advertisements
and Amazon Social Media
members Website
15
Murph, Daren. Amazon Kindle Fire tablet unveiled: Android-based, 7-inch display, $199 price tag , "Engaget.com." Last
Vijeta Malhotra 13
modified September, 28, 2011. Accessed March 18, 2012. http://www.engadget.com/2011/09/28/amazon-fire-tablet-
unveiled-7-inch-display-199-price-tag/.
14. …Which results in an increase of product awareness…
16
Current Media Usage
AD IMPRESSIONS
The Kindle Fire has seen a nearly 19% per day increase in
ad impressions since its release in Nov. 2011.
This amounts to hundreds of thousands ad impressions on
a monthly basis
According to Millennial Media, the Kindle Fire’s growth in
sales has slightly outperformed that of the iPad’s when it
was first released in 2010.
16
Heussner, Ki Mae. Kindle Fire Outpacing First iPad Amazon tablet's ad impressions have grown 19% daily since
Vijeta Malhotra 14
launch, "Adage.com.‖Last modified December 20, 2011. Accessed March 18, 2012.
http://www.adweek.com/news/advertising-branding/kindle-fire-outpacing-first-ipad-137221.
15. …due more specifically because of their commercials.
17
Current Media Usage
COMMERCIALS
―Three Kindles are still less than that…‖ commercial:
http://www.youtube.com/watch?v=sulfQHdvyEs
The commercial clearly states that at
only a fraction of the price of an iPad,
the Kindle Fire is superior in terms of
content as well as more affordable.
Vijeta Malhotra 15
17
Kim, Eugene. New iPad vs. Kindle Fire: Which Tablet is Right for You?, "pcmag.com." Last modified March 14, 2012.
Accessed March 18, 2012. http://www.pcmag.com/article2/0,2817,2401547,00.asp.
16. …And the positioning that sets it apart from competitors.
18
Current Positioning
Amazon’s positioning of the Kindle Fire has been very
simple and straightforward thus far; they have positioned
on price.
With Apple as the obvious rival, Amazon’s rationale
behind positioning on price is the fact that the iPad is
among the most expensive in the tablet market.
By offering a more affordable alternative, Amazon is
trying to reach out and build bridges for more customers
in emerging markets.
16
18
Johnston, Norm. New iPad vs. Kindle Fire: Which Tablet is Right for You?, "wpp.com." Last modified October, 2011. Accessed
March 18, 2012. http://www.wpp.com/wpp/marketing/digital/kindle-fire-the-ipad-killer.htm. Vijeta Malhotra
17. Consumers are ready and willing to purchase...
19
Industry Research
According to a survey
from Forrester
Research, 24 % of the
1810 US online adults
aged 18+ voted they
would consider buying
an Amazon Kindle Fire
second to the iPad.
The survey was
conducted in
September of 2011
before the Kindle Fire’s
release date.
19
Lunden, Ingrid. "Forrester: No Android Tablet Has More Than 5% Share vs iPad. How Does Amazon’s Kindle Fire
Kristy Haefelin 17
Compare? ." TechCrunch.com (blog), March 05, 2012. http://techcrunch.com/2012/03/05/forrester-no-android-
tablet-has-more-than-5-share-vs-ipad-how-does-amazons-kindle-fire-compare/ (accessed March 15, 2012).
18. …but have several features to evaluate…
Industry Research
The tablet industry is focusing on the following four points:
Portability
Size and Weight of the Tablet are becoming big factors for creators when
they produce a tablet. Single tablet brands are making tablets of multiple sizes.
37% of USA tablet owners use their device at work 7
Connectivity and Interfacing
Wi-Fi and/or 3G/4G
To have the ability to stream videos, music, and other content across multiple platforms is a
huge deal. This means a consumer will have one account, for example, Amazon consumers
can access their video streaming account on any tablet, computer, or internet connected TV.
This functionality is also addressed through the cloud and is becoming a dominant feature in the
tech world. 6
Content
Consumers want access to as much content as possible. The ability to stream, download
books, music and games through different apps is highly desired. Consumers are looking for
media rich tablets. 6 Apple’s app store’s slogan ―there’s an app for everything‖ lets consumers
know that Apple can provide them with a large variety of content. 6
Price
For the Apple iPad the consumer is one with disposable income and is not effected by price6
those that are more price conscience would perhaps go for the Kindle Fire or the Nook. Tablet
creators want to give consumers the best value by pricing their tablets fairly according to what
the tablet has to offer.
Kristy Haefelin 18
19. …to find the tablet right for them.
20
Industry Trends
• According to CNET Tablet creators are focusing on three things:
Budget, Premium and Mutant. Tech tactics to differentiate.
The Budget
Tablet creators that are concerned with budget are offering
devices that can do the most, have the most technological
power and still be available to consumers at a low cost.
The Premium
A tablet with the sleekest design. Tablets that fall under this
category are comparable to the Apple iPad. These tablets are
thin, have high resolution, and aesthetically pleasing.
The Mutant
This category involves tablets that are unique in design and
function. Tablets that belong here are those that fold in
half, and can go under water without being damaged.
Kristy Haefelin 19
20
Bell, Donald. CNET, "Tablets: Bruised and confused at CES 2012 ." Last modified January 14, 2012. Accessed
March 15, 2012. http://ces.cnet.com/8301-33378_1-57358766/tablets-bruised-and-confused-at-ces-2012/.
20. Through advertisements, they can be educated.
Industry Trends
Research on tablet advertising has found that users prefer ads
that take advantage of features such as
video, interactivity, and 360-degree views and other eye
catching features. 21
Apple’s commercial for the New iPad is all about the ―profound‖
technology that created the highest resolution tablet to date. 22
Kindle Fire advertisements show an easy to consume device with an
anti-glare screen at a low cost with up to 5GB free cloud storage. 23
For the Nook it’s all about being the fastest lightest tablet with
celebrity endorsers to prove it. 24
21
CONCANNON, G. "The Difference Between Mobile and Tablet Advertising The Difference Between Mobile and Tablet Advertising ." Advertising Agency Blog
(blog), February 21, 2012. http://www.advertisingagencyblog.com/automotive-advertising/the-difference-between-mobile-and-tablet-advertising (accessed
March 15, 2012).
22
Apple, Inc, "TV Ad: This Good." Accessed March 15, 2012. http://www.apple.com/ipad/videos/.
23
Reisinger, Don. CNET, "Amazon fires shot at iPad's screen glare, price in new Kindle ad ." Last modified February 9, 2012. Accessed March 15, 2012. http://
news.cnet.com/8301-13506_3-57374017-17/amazon-fires-shot-at-ipads-screen-glare-price-in-new-kindle-ad/.
24
Kristy Haefelin 20
Barnes and Noble, "TV Ads: Introducing NOOK Tablet."
Accessed March 15, 2012. http://www.barnesandnoble.com/u/NOOK-TV-Ads/379003318/ .
21. With a variety of features comes a variety of competition…
Competition
TOP COMPETITIORS THE FACTS:
Apple iPad ―As tablets are expected
Samsung Galaxy Tablet to overtake the volume of
sales of laptops by
Barnes and Noble Nook 2015, more companies
are producing
Asus Eee Pad tablets, which increases
Motorola XOOM the competition for the
Kindle Fire.‖ 25
Acer ICONIA
―In 2012, tablets are
Sony Tablet forecast to sell 94 million
Toshiba Thrive units, a 53% jump from the
62 million sold in 2011.‖ 26
With a high number forecast in sales, the drive in competition increases and makes it
more necessary to differentiate and make the Kindle Fire more appealing than other
tablet computers.
25
―Kindle fire lights up tablet market‖ October 10, 2011. GMID. Acquired February 20, 2012.
26
Whitney, Lance. ―iPad’s share of tablet market to dip to 62 percentthis year‖ Cnet. February 22,2012 http://news.cnet.com/
8301-13579_3-57382808-37/ipads-share-of-tablet-market-to-dip-to-62-percent-this-year/#ixzz1nc59Icbu Niamh Soraghan 21
22. …And the Kindle Fire is a fierce competitor.
27
Competition
SALES 2011 MARKET SHARE 2011
Brand Units Sold
(Millions) Apple ipad
Apple 40.5 Barnes and Other, 17
Noble Amazon
Samsung 6.1 % Kindle Fire
Nook; 5%
Amazon 3.9 Samsung
Samsung
Galaxy
Barnes and 3.3 Galaxy; 9%
Noble Apple iPad; Barnes and
62% Noble Nook
Asus 2.1 Amazon Other
Other 9.4 Kindle
Fire; 6%
Total 65.2
The Kindle Fire is expanding the tablet market and
already gaining a considerable amount of the market share.
They have the potential to increase that number in future quarters.
Niamh Soraghan22
27
―Can Any Competitior Catch the iPad?‖ E-Marketer, March 7,2012 http://www.emarketer.com/Article.aspx?
R=1008886&ecid=a6506033675d47f881651943c21c5ed4
23. …With a huge opportunity to become stronger.
Consumer Research
With so many
Tablet 18-24 year olds
consumers to gain, the are not heavy
ownership is purchasers in
higher Kindle Fire has the
regards to
amongst opportunity to gain a handheld
people with a large percent of computers or
higher level of e-book
market share. readers. 28
education.29
In September
Tablet ownership Men and Only 29% of 2011, in a survey by
is higher amongst women are Americans Pew Internet and
people with equally likely owned at American Life
higher household to own a least one Project, 78% of
incomes. 29 tablet.29 tablet or people answered
―No‖ to owning a
e-reader. 29
tablet computer.28
28
MRI Medimark REPORTER http://ureporter.mriplusonline.com.rlib.pace.edu/selectdemo.asp
29iPad, Kindle Fire Sales help Number of Tablet Owners to Soar over Holiday Season:Pew. The Huffington Post.
Niamh Soraghan 23
http://www.huffingtonpost.com/2012/01/23/ipad-kindle-fire-sales_n_1222693.html January 13, 2012. Acquired on
March 30, 2012.
24. They understand what is desired in a tablet…
Consumer Research
THE 18-24 YEAR OLD SEGMENT:
Tablets are used to
35% of students ages 18-29 check weather
answered ―often to using a They want to reports, get
laptop, smart-phone or tablet experience headlines and local
computer during class time. 30 what cannot news updates, find
be easily out about local
83% of people replicated on restaurants and
access the a PC. 31
internet on a cell business’, read
phone, tablet or Consumers purchase books, magazines, a
other device.30 tablets for the unique nd newspapers, and
experience of having watch television
intuitive user programs and
interface, content, appli movies.30
cations and services at
30
hand. 31
Pew Internet and American Life Poll. As discovered on the iPoll Question Detail Database. March 4, 2012.
Niamh Soraghan 24
31Milanesi, Carolina. ―iPad and Beyond: The Future of the Tablet Market. Gartner. September 2, 2012. Accessed
on April 4, 2012.
25. …Who their target is…
Consumer Research
The educated target segment
Is over 600% more likely to to be a full-time student of
any kind.
38.7% of the females 18-24 are full time college
students while 27.5% of males 18-24 are a full time
college student.
31.6% females 18-24 and 41.8% of males 18-24
have graduated high school.
More than half of the target About 13% are Black or African
demographic are white. American.
Nearly 6% are Asian. 12.1% females 18-24 and 14.5%
males 18-24 are of another race.
Demographic Information from Simmons Database, accessed on April 4, 2012 Kristy Haefelin 25
26. …And who the target desires to be…
Target Audience
THE 18-24 YEAR OLD SEGMENT:
They enjoy taking risks 32
They like to stand out in a crowd 32
They want to get to the top in their career 32
They crave
They like be in control of people and resources 34
high
They want to be viewed as brave and courageous 34
They want to pursue a life of challenge & novelty 35 status
They believe people copy what they do and and
what they wear 34
They want to be funny and amusing 33
recognition
They like to try new things 33
32 SIMMONS Chart #1. See appendix
33 SIMMONS Chart #2. See appendix.
Niamh Soraghan 26
34 SIMMONS Chart #3 See Appendix.
35 SIMMONS Chart #4 See Appendix.
27. …as well as how to reach that target.
They pay attention to bus and taxi cab ads, but train
advertisements receive more attention of all transportation ads
They are not frequent listeners of the radio
Our target
They notice billboard ads. looks to
media for
They spend less time watching TV because of the information
Internet. and
entertainment
The Internet has changed how they receive information
about product and services
They expect advertising to be entertaining
They like ads that make them laugh. Kristy Haefelin
Niamh Soraghan 27
28. There are specific networks our target likes to watch….
Media Habits 36
According to Simmons males and females
between the ages of 18-24 watch
MTV, ABC, Comedy Central, TBS, USA Network
and VH1 the most above other channels.
72.3% of females aged 18-21, 70.4% of females
aged 22-24, 63.8% of males 18-21 and 65.9% of
males 22-24 watch Prime Time TV Monday
through Saturday 8pm-11pm and Sunday 7pm-
11pm
These statistics show that the prime time TV
bracket is the best time to advertise to the target
demographic.
Demographic TV Viewership, Simmons. Accessed April 4, 2012
Kristy Haefelin 28
36
29. …as well as preferred online activity…
Media Habits 37
Online Activities
100.0%
90.0% Women 18-21
80.0% Women 22-24
70.0%
60.0% Men 18-21
50.0%
40.0% Men 22-24
30.0%
20.0%
10.0% The target
0.0% demographic is
using the web
mainly for email
along with other
activities. They like
to stream
videos, share
photos, download
music and chat
with friends.
37 Demographic Online Activities from Simmons Database, accessed on April 4, 2012 Kristy Haefelin 29
30. …and applications that keep them tuned in…
Media Habits 38
Web Apps Used
100.0% Women 18-21
90.0%
80.0% Women 22-24
70.0%
60.0% Men 18-21
50.0%
40.0% Men 22-24
30.0%
20.0% This graph shows
10.0% the web apps
0.0%
Adobe Acrobat…
Windows Media…
that the target
Radio@Netscape
AIM
Yahoo! Music
Kazaa
AOL Music
iTunes
Rhapsody
Weather Bug
Yahoo! Messenger
Connect Player
Napster
Real Player
Winamp
Lime Wire
demographic
MSN Messenger
have used over
the past year.
The usage
indicates that
males and
females are
media driven.
38 Demographic Web App Usage from Simmons Database, accessed on April 4, 2012 Kristy Haefelin 30
31. …and magazines to keep them entertained and informed.
Media Habits39
Magazine Readership
100.00%
Women 18-21
80.00%
60.00%
40.00% Women 22-24
20.00%
0.00% Men 18-21
Men 22-24
Parade Magazine
People Magazine
When reading magazines the target
market seek entertainment, news and
Smartsource editorial content.
US Weekly
Time Magazine
These are some magazines that have high readership across males and females 18-24.
39 Demographic Magazine Readership from Simmons Database, accessed on April 4, 2012 Kristy Haefelin 31
33. …In order to discover more about our target we sent out a survey…
Primary Research Goal:
We designed this survey to provide us with more
insight we may have not found in our secondary
research. We were looking for qualitative research
about our target audience and tablet computers. In
this research we hoped to find what the important
attributes are to consumers so we can create an Our Survey
effective and successful IMC campaign.
Consisted of 87
Respondents
Caucasian 63%
Asian 16%
50 45%
Hispanic 9% 40 33%
30 67% FEMALE
African 6%
20 11% 9% 33% MALE
American 10 1%
Pacific 1% 0
Islander
Native 1%
American
Other 3% AGE
Eugene Lee & Niamh Soraghan 33
34. …And discovered the importance of mobile technology…
How prevalent is mobile technology (smart-
phones, tablets & laptops) in your life?
Very Prevalence Mobile technology has
Prevalent, 86
%
become prevalent to
100%
all, even more so for
80% Somewhat
consumers between the
60% Prevalent, 14 Not
ages of 18-24
% Prevalent at
40%
20%
All, 0% Mobile technology is here
0%
to stay and growing, and
Very Prevalent Somewhat Not Prevalent
no individual is free from its
Prevalent at All influence.
Video (TV
shows, YouTu
When asked to rank 1-7 what they use
Social Media
(Facebook, T
be, Movies, mobile technology for most, 1 being
etc..)
witter, Pinter
est, blogs, et
1 the most used- our results display email
1%
c..) being #1, Social Media #2 and News &
32
33% Research #3.
Email
50
Our sample shows that consumers
Shopping 52% use their mobile technology to keep
1 up with email, social media, news
1%
and research.
Research News Gaming
6 3 4
6% 3% 4% 34
35. …And the mobile devices most important to our target.
We asked our sample to rank the
products they use the most. #1 being the
most used.
Tablets Cameras
Netbooks 9% 3%
1% Our sample shows that
Mp3s
consumers use their
5% Cell cell and smart phones
Phones/ the most, followed by
Smartphon laptops and then
e tablet computers.
Laptops 44%
37%
Top 3
E-Readers
1%
Percentages were calculated using averages
35
36. We discovered they consider Amazon to be for reading and
convenience…
When thinking about mobile devices which
characteristics do you associate with the
following companies?
Social Amazon The top
Networking
1% characteristics
Quality people
Reading 12% Simplicity associate with
21% 12% Amazon is:
reading, conve
Cheap Convenien nience, and
11% ce simplicity.
15%
Best
Worst
Eco 10%
1% Brand
Friendly/Gr Loyalty
een Innovative 6%
6% 5% 36
37. …and their competitors are for quality and innovation…
When thinking about mobile devices, which
characteristics do you associate with the
following companies?
Apple has consistently topped the opinion of the sample of being:
quality, simplicity, convenience, brand loyalty, innovative, green, best, and
social networking.
The only contested characteristic was reading in which the Barnes and
Noble took first place with 39.98% and Amazon second with 32.2%.
Our research has shown that people do infer Amazon as ―cheap‖
with 17.54%.
Only 1.71% of the sample thought of Amazon as social
networking
If we want to make the Kindle Fire a
success, we have to change the attitudes of
consumers, making them associate more
positive characteristics with the company.
37
38. …yet they can all be used for the same reasons.
When using mobile devices, which activity
do you associate with the following
product types?
Our results told us:
Tablets are heavily associated with reading both books
and publications, even more than e-readers.
Tablets are slowly gaining consumer preference as the
device for reading
Besides reading tablets are associated with all features and
uses of a smartphone, laptop and mp3 but not strongly.
We concluded people use their
tablets not to replace mobile
devices, but to further enhance their
daily mobile needs.
38
39. We learned consumers prefer to make purchases in store…
When purchasing an electronic device
do you prefer to purchase the item in
person?
82% of people would prefer to
purchase an item in person.
While online
shopping is a
No
18%
convenience, peo
ple still want to
make the majority
Yes
of their purchases
82%
in a brick and
0
morter store.
20
40
60
80
100
Response
39
40. …and that reviews play an important role in their decisions.
When purchasing
cellphones, laptops, tablets or e-readers
please indicate the most influential
factor in your purchasing decision.
Price was not a strong factor.
With Amazon’s current
positioning being about
price, we need to highlight
other factors of the Kindle Fire
to increase purchases of our
consumers.
This is strong
information, because all
Amazon purchases
provide a professional Reviews: 31%
review for the consumer to
read. As well other Brand Name: 29%
comparable information. Price: 14%
40
41. Of those with a tablet, they like to use it at home...
Where do you use your tablet the most?
1. Home
Response
2. In Transit Response
3. Work School 9
Library 8
The number one 10
Work
answer people
gave in where they In Transit (Trains, Buses, etc) 18
use their tablet
most is in their Home 26
home.
41
42. And those without are more likely to purchase the Apple iPad.
Using the provided scale, please pick how
likely or unlikely you are to buy a tablet in
the near future? (2-3 months from now)
Most consumers are not interested in %
buying an tablet, there is an significant
percentage interested in purchasing
an tablet but far from the majority. 27%
25% 26%
All samplers who were very likely to 14%
purchase an tablet chose an Apple 8%
tablet.
Very Unlikely Undecided Likely Very Likely
Of those likely to purchase an tablet Unlikely
now 41% already own an tablet, the
majority being Apple tablet owners
and likely to purchase another Apple
tablet in the future.
42
43. After analyzing the results, we determined the the Kindle Fire
still has plenty of growth potential.
Strengths Weaknesses
1. Low Cost: is more accessible to 1. Low Cost: consumer’s perceive
consumers. low cost as low quality.
1. Extensive media and publication
library.
2. Does not have a built in
camera.
2. Amazon Silk enables faster and more
efficient web browsing. 3. Perceived as a second rate
iPad.
3. Eco-Friendly
Opportunities Threats
1. Content and media streaming 1. Brand Image: lack of
2. Online Media 2. Weak marketing leads to
potential loss of customers.
40
("Amazon Is What Customer-Focused E-Commerce Looks Like" 2009) Eugene Lee 43
45. Objectives
To increase Kindle Fire’s market share by 15% within one year
by influencing our target audience into believing that the
Kindle Fire is the trendiest and most technologically advanced
tablet on the market.
To increase the perception of owning the kindle fire as being
fashionable and cutting edge.
Team 4 45
46. Brand
Advantages/Disadvantages
ADVANTAGES DISADVANTAGES
Unlimited cloud storage on Limited internal storage space
Whisper-Sync
with no option to expand.
Affordable pricing.
The Kindle Fire is lightweight Lacks the built in camera and
and easily portable Bluetooth connectivity feature.
Silk web browser can play
Flash Player
Instant and easy access to
Amazon’s extensive library
of apps, e-books and other
media purchasing offerings.
Android software allows for
smooth, simple and intuitive
interface.
Laura Hinkel 46
47. Target Audience Profile
―Getting Started‖ Gwyneth- (18-21 years old) This person is
currently beginning college, or finished at least 3 years of college.
They are full time students and work less than 30 hours a week at a
part time job. They enjoy owning quality goods, but may not have
the money to do so. In this demographic, they are using the
internet more at school than they are at home or work. They admit
that they like to be the one to try something no one else has but
are not overly adventurous.
―Graduated‖ Gary- (22-24 years old) This person is either finishing
up their last year of college or graduated. They are either looking
for full time jobs or graduate school. They have taken notice at
how the internet/technology has changed their lifestyle and
preferences. They still care about being a trendsetter and trying
new products, only now they have a little extra money to do so.
―First Hand Frank‖(18-24 years old) This person has not attended
college. Works in a service, trade, or non-degree field and has a
steady income, yet, still wants to appear educated and in-style
Niamh Soraghan 47
48. Campaign Characteristics
Insight
People do not purchase the Kindle Fire because they associate low cost
items with lower profile status.
Message
The Kindle Fire promotes recognition and status because of the premium
attributes, exclusive memberships, services and benefits it features.
Umbrella Idea
We will show situations in which people live vicariously through the Kindle
Fire. We want them to feel like they are living an exciting, rare experience
while they are using the tablet, as though it were happening in real life.
Tagline
Fire you can play with
Tone
Hip, Fun, Exciting
Team 4 48
49. Reason To Believe
Amazon is a trusted retailer that has a solid costumer base
for the many years.
Amazon is the largest online retailer, they focus on
rewarding loyal customers by giving their prime members
perks and advantages through free streaming, free
books, and personalized experiences.
The company created the Kindle in 2007, this product is
vastly loved by owners. The Kindle Fire encompasses all that
the Kindle can do plus other functions that today’s tablet
consumers seek.
The Kindle Fire is the coolest tablet because you can not
only live vicariously through it but you can have a
personalized experience while using the tablet.
Kristy Haefelin 49
51. Commercial Spot #1
….camera zooms in on The man is speeding in a car Shot of the gas
Hip, young man, sitting on Shot of the
him as he presses PLAY race with an attractive pedal being
a courtyard bench with woman in the passenger speedometer
on his Kindle Fire. increasing. floored.
his Kindle Fire… seat.
Time Count: 1 sec
Time Count: 2 sec Time Count: 4 sec Time Count: 1 sec
Time Count: 2 sec SFX: Car shifting
VO: For an experience VO: Experience Life
VO: We are all searching SFX: Car speeding faster
SFX: Car speeding towards
the camera
Shot of the speedometer They have taken the lead in
the race, and they drive off into Clip zooms out and She sits down next to him, Screenshot of the
even higher –close to
the distance shows him watching and he shows her the Kindle Kindle Fire
maxing out.
Time Count: 4 the clip on the Fire. Time Count: 3
Time Count: 1 sec VO: Couple cheers (In reality he Kindle Fire.
VO: Fire you can play
SFX: Top speed being hears a girl’s voice saying…) Time Count: 4
Time Count: 3 with
51
―Hey, what are you doing?‖ VO: The all new Kindle Fire
reached SFX: Car flying by VO: Experience fire
52. The girls quickly look up information for an The girls are rushing to get
Some excited friends rush up
underground party. ready and run out the door to
and whisper in her ear.
Trendy, young woman listening Time Count: 3 sec the party.
to music on the Kindle Fire. Time Count: 3 sec Time Count: 3 sec
Time Count: 2 sec VO: ―…to enjoy the experiences…‖
VO: ―Sometimes, in life…‖ VO: ―…you want to have…‖
Girl listening to music on the Kindle
Fire
The group of girls are sneaking After successfully making it in, they pop
up in the crowd having a blast.(Adele’s The camera shot pans
past security to get into the
―Set Fire to the Rain‖ song either being to the stage to show The camera, focused on the
party.
played and/or remixed) – only the DJ artist. stage, zooms out to show it is
Time Count: 5 sec
Time Count: 3 sec Time Count: 2 sec actually being watched on the
VO: ―…there are risks you have to take.
VO: ―Other times...‖ VO: ―there is the Kindle fire.‖ Kindle Fire.
―
(~FIRE~) Time Count: 4 sec
the main girl you saw holding it in the
beginning.
Screen shot of the Kindle Fire with the VO: ―Movies, Music, Magazines.‖
Screen shot of the Kindle Fire. (possibly
Logo and fire outline pops up.
showing the adobe flash player) Time Count: 3 sec
Time Count: 3 sec VO: ―Fire you can play with.‖
VO: ―The Kindle Fire.‖
56. Sales Promotion
We are going to offer a free e-text book from the Amazon
Bookstore when students purchase the tablet.
With the high cost of college textbooks, this would be a strong
incentive for students to buy the kindle fire tablet.
It is appealing for students not to have to carry textbooks
around. We hope the promotion drives sales not only of the
kindle fire but also textbook sales in the
Amazon Bookstore.
For this promotion we will advertise the
promotion on the Amazon website. Students
will be given a coupon code to apply when
checking out in the Amazon Textbook store.
We will allocate $250,000 for the
promotion of the free text book. Assuming
that we sell 100 Kindles at 50 colleges.
Niamh Soraghan 56
57. Direct Response
By collaborating with major retailers of the Kindle Fire such as
Target, Best Buy, and Radio Shack, we will invite their members
only, or frequent buyers to visit the store for a special demonstration
of the Kindle Fire. Not only does it make the consumer feel like a
VIP but it raises their awareness of the Kindle Fire, even if they do
not visit the store.
As a valued rewards
member, we invite you to
visit us for an EXCLUSIVE
demonstration of the all
new kindle fire JOE SCHMOE
49 GROVE ST
NEW YORK NY
Visit your closest Best Buy at 60W 23rd St.
Niamh Soraghan 57
58. Sponsorship
We will sponsor the 2012 MTV Video Music Awards.
It targets the exact demographic we are trying to
reach and awards artists of music, tv, and
movies, which can all be experienced on the kindle
fire.
―This year's VMA’s scored MTV's biggest audience in
the network's history with a record-breaking 12.4
million total viewers.‖ 41
We will allocate $4,797,326 to sponsor these awards.
Niamh Soraghan 58
41Kaufman, Gil. ―MTV Announces Dates for 2021 VMAs Movie Awards. MTV. Com.October 20, 2011
http://www.mtv.com/news/articles/1672851/2012-vmas-mtv-movie-awards.jhtml. Accessed April 8, 2012
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("Amazon Is What Customer-Focused E-Commerce Looks Like" 2009)
Shows girls listening to music on the kindle fire (maybe about a specific artist) – a friend comes up and whispers in their ears – the girls quickly look up magazine article about some celebrity rumored to be in town – (MAYBE)they run out the door (or just appear to be going somewhere) – they are sneaking in to an underground party/concert – they pop up in the crowd to (Adele’s “Set Fire to the Rain” song either being played and/or remixed) – the camera then shows only the stage and the artist/DJ– the camera pans out to show the whole concert/DJ thing is actually being watched on the Kindle Fire by the main girl you saw holding it in the beginning.Sometimes in life there are risks you want/have to take to enjoy the experiences you want to have It takes one spark to kindle (the fire) (the imagination)Sometimes in life, to enjoy the experiences you want to have, there are risks you have to take. Other times there is the Kindle Fire. Movies, Music, Magazines (etc.). The Kindle fire. Fire you can play with.