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Verizon iPhoneTeam
Creative Director,
Nolan Marker
Research Director,
JesseWitt
Media Planning Director,
Eric Sporinsky
Introducing theVerizon iPhone campaign team, composed of the fin-
est directors in the advertising field. TheVerizon iPhoneTeam consists of
Research Director, JesseWitt, whose in tune eye for research has helped our
team to find up-to-date reports, news casts, product and industry research
and more. Creative Director, Nolan Marker, who has years of design experi-
ence and leads the team with a creative eye and out - of - the box think-
ing. IMC Director, Chelsea Mandello, who finds the media outlets that fit
perfectly and reach our target in unexpected and exciting ways. And last
but not least, Media Planning Director, Eric Sporinsky, who is in charge of
the budget and final money allocation of theVerizon iPhone campaign.
With this team theVerizon iPhone campaign is on its way to greater revenue
opportunities.
IMC Director, Layout &
Book Design
Chelsea Mandello
Verizon iPhone
1
32
Table of Contents
Executive Summary										03
Situation Analysis											04
Creative Strategy											22
Primary Research											19
Competitive Analysis										08
Creative Executions											24
Seasonality Chart											51
Media													41
IMC														36
Executive Summary
Final Budget Breakdown & Recommendations				 52
Main issue:
Verizon wireless has clearly established itself as America’s most reliable network. With the looming release of the Apple iPhone under its dominant
network, Verizon must work to capitalize on the anticipation and hype that has built up over the five years that the iPhone has been with AT&T. Our
primary research has led us to understand that our target values the features of their mobile phone more than the features of their provider. For Verizon
to capitalize on this fact they must establish that their network is good enough to warrant users of competitor’s services to make the switch. We have
to increase the desire for the Verizon brand by relating our message closely to our target. We will do this using creative executions tailored to specific
demographics through the use of targeted media.
Research:
After our primary and secondary research we divided our target into two groups:
Primary Target (18 to 24-year-olds): This age group can be defined as trend setters who have grown up to experience rapid changes in 		
technology. Social media has changed the way they communicate among peers. This change can also be seen in the way that they use their 	
phones, preferring texting over calling and sending more than 1,600 texts per month on average.
Secondary Target (25 to 34-year-olds): This age group falls across multiple generation segments, with the oldest members of Generation Y (Milleni-
als) and youngest members of Generation X (Children of Baby-Boomers). While both segments of our target share some similarities, our secondary
target is driven more by the need to advance than the primary target. This segment uses their phones for calling and performing business tasks more
than the primary group.
	 - This campaign will emphasize targeting the Hispanic minority through the use of radio media placements.
	 - Key competitors of the Verizon Wireless service include AT&T, Sprint, T-Mobile, and prepaid phone companies.
Media
In order to reach our target on a personal level we will enact a media plan thats message is tailored to the individual engaging with it. Our selection
of a wide variety of mediums allows maximum exposure to our large target. To specifically target the multicultural demographic, we created a radio
schedule that directly targets this group. The combination of traditional and non traditional media as well as our teaser campaign allows us to meet our
target anywhere they are in their busy and always changing lifestyls.
IMC
To create further buzz with Verizon Wireless, special promotional events will be tailored around our targets interests. Keeping consitant with our tagline,
promotional events will incorporate the“better together”idea and focus on getting the target involved with the brand. These promotional efforts are
all created to increase desire for the Verizon brand nation wide.
Conclusion
Of our $70 million budget, $19,965,300 was used for non-traditional advertising. We spent $48, 602,749.76 on traditional advertising, allowing
$1,431,950.24 for contingency. Verizon Wireless is the nation’s leading wireless provider and has separated themselves amongst their competition. By
teaming up with Apple and introducing the Verizon iPhone, Verizon will continue to increase their brand equity while further separating themselves
from the competition.
Verizon iPhone Situation Analysis
4
Recent Category and Brand History
When reading the timeline, the companies are identified by the
following symbols:
Company Background & Overview
Apple Co. Verizon
The telecommunications industry is not a new invention, yet it is growing to grander heights. Since Verizon’s inception on April 3, 2000 from
a combining of Bell Atlantic and GTE, Verizon has exceeded expectations and has worked towards a more connected nation. The industry
itself has grown exponentially with the number of wireless customers exceeding 250 million. Quoted as“Businesses in the wireless industry
invested $24 billion in 2007 in infrastructure, employ 3.5 million Americans and produce an unparalleled pace of innovation in the high-tech
industry”. In the first year alone, Verizon reached 1 million customers and was the country’s number one communication provider. In 2002
the company kicked off a non-profit organization to help literacy for kids, entered the long distance market and began offering long dis-
tance service to businesses and customers. In 2003, 04, and 05 the company further expanded itself, relocating corporate headquarters to
lower Manhattan. The company began the Verizon Foundation donating $125,000 in“Good Neighbor Grants”and merged with MCI. In 2007,
Verizon made plans for a $1.5 billion investment over the next three years for construction and development of its state of the art fiber net-
work. Then January on 11, 2007 Verizon launched FiOS TV, in which ,under this network, everything could be connected to the consumer.
By June 20, more than 1 million households enjoyed FiOS. Now in 2011, the Apple iPhone has been introduced to the nations leading cover-
age service to the nation’s most reliable network.
5
2000 Verizon Forms
Acquisition of GTE by Bell Atlantic,
among largest mergers in U.S.
2005 Verizon FiOS
Verizon begins taking
orders for FiOs TV
2006 Idearc
Verizon creates a new directory
business, which now owns Verizon
Internet yellow pages directories
2008 $9.4 Billion Footprint
Verizon wins nationwide spectrum
footprint in FCC-termed licenses,
which allows Verizon to announce
Long Term Evolution (LTE) network or
the“next wave of wireless innovation”
2009 Verizon Acquires Alltel
Purchased Alltel from Atlantis Hold-
ings, expanding the company’s net-
work coverage and making services
available to nearly everyone in U.S.
2011 Verizon Acquires iPhone
Verizon acquires iPhone 4 with plans
of releasing the iPhone 5 and making
Verizon the most sought after service
and Smartphone in the nation
2007
iPhone introduced
to market
2010
73.5 million
iPhone’s sold
2008
iPhone 3G was released
in 22 countries
2000
Apple Internet strategy: iTools;
opened Apple stores across country
2006
Apple moved to
intel processor
2010
Releases iOS 4.1 for
iPhone and iPod
Target Market and Prospect
Primary target:
Geographics
Psychographics
Demographics
Secondary target:
Psychographics
Demographics
6
Brand Evaluation
Brand Awareness
Consumer Perceptions and Attitudes
User Satisfaction
Distribution
Brand Uniqueness
Adults 18-24
Early adopters are predominately white males and females age 25-34. Our target begins with the tech savvy era, whose upbringing has been
surrounded by digital and social media ranging from age 18-24 year olds, and then spanning to 25-34 year olds.
This group pertains to more trend setters rather than early adopt-
ers, though a majority of the 18-24 year olds do not have a great
deal of money, they are still heavy bloggers and media users. They
generally allow their opinions to influence the purchasing power of
older more affluent targets.
• 55% of Smartphone users ages 15-24 are female.
• Overall US Smartphone population is 55% male.
• These adults ,18-24 ,exchange an average of 1,630 texts per
month and are a heavy text/talk group.
The targets for this campaign are early adopters, influencers and
trend setters. These groups are filled with highly tech savvy genera-
tions, having grown up in an era of electronics, social media, and
cell phones. They are highly aware of their technological surround-
ings, often seeking out new more advanced technology. What
drives this group is the need for advancements. Rather than re-
searching, like the early adopters, this group tends to try the prod-
uct first then ask questions later.
• 47% of young people 15-24 own a Smartphone
• 94% of teens self-identify as advanced data users
Adults 25-34
The secondary demographic are early adopters of any race, males and
females age 25-34. This target falls into two generational areas; the old-
est members of Generation Y (millenials) and the youngest members of
Generation X (children of baby-boomers). Targets among Generation X
tend to be individualistic, technologically adept and value a conservative
balance between their work and their life:
• 91% of males/females of this age group work full-time, many in
	 tech-related areas
• Tend to be more affluent, earning an above average household income
This group is driven by the need to advance and can be described
as technology seekers. They generally are connected to everything
and work very hard to maintain their business and life on the same
playing field.
• Early adopters research their products thoroughly – 70% of early
adopters research a product before committing to a purchase
• Respond to products that can make their lives simpler, whether
by connecting their home with work or by other means
• 94% believe that technology has a positive impact on the world
7
Verizon is the leading competitor of cellular service since its incep-
tion in 2000. Verizon ranks as the highest for unaided brand and
advertising awareness, making the company the most well known
throughout the nation. The company has 86.6 million customers
and with the introduction of the iPhone 4 the number of Verizon
customers is expected to increase. Through word of mouth and ex-
cellent service, Verizon is not only the most well known, but is held
to very high standards as the most reliable wireless network. The
proof of brand awareness is in the number of satisfied customers
and the high customer turnover of 1.12%, giving Verizon the best
customer loyalty of all major U.S. carriers.
Consumer perceptions and attitudes towards Verizon and Apple
can easily be deduced from the sudden growth and popularity
of both brands. Apple is known as the sleek, smart choice, spon-
soring universities with Apple computers, and creating a firmer
awareness for the technology. Verizon is ranked the highest in
brand awareness, known as the most reliable network and both
companies hold high consumer regards for these products. Sales
of the iPhone, along with other Apple technology, are ever increas-
ing and diminishing the use of PC Windows. Verizon, despite the
company’s youth, has become a tremendous competitor to the cell
phone market, and is revered by consumers as a reliable trustwor-
thy brand, with fewer dropped calls and excellent customer ser-
vice. Verizon is a brand recommended to friends and family.
Early adopters and trendsetters are not in a certain area of the nation, but rather are all over the country, with increase concentration of big cit-
ies such as New York, Chicago, Los Angeles, Washington D.C., etc. These cities have a higher concentrated population and are areas where tech-
nology takes root for both groups to find.
Apple has been one of the fastest growing trends in history keep-
ing trend setters and early adopters at the edge of their seats. The
company has created a very strong brand awareness from their
logo, without having to use their name. Upon seeing the logo, con-
sumers are aware already upon it’s ability and performance.
Verizon is quoted as“leading the carriers”in customer satisfaction.
Of 4,040 consumers surveyed for phone carriers, Verizon topped all
other carriers in customer satisfaction and loyalty, and had fewer
dropped calls. Verizon is the industry leader in customer satisfaction
with 49% of customers saying that they are very satisfied with their
cellular service, compared to Sprint 35%, T-Mobile 23% and AT&T
23%. Verizon ranks best in number of dropped calls, with custom-
ers reporting only 1.5% of their calls being dropped over the past
3 months, compared to 2.4% for Sprint, 2.8% T-Mobile and 4.5% for
AT&T customers. Verizon customers are found to be less likely to
switch carriers.
Verizon runs on a CDMA network that uses radio waves and tow-
ers to connect customers. Unlike other services, CDMA is capable
of reaching nearly any area in the United States without the over
use of nearby towers, as it can travel in short waves over multiple
mediums. This makes the Verizon network priceless as it is able to
connect more users with little to no dropped calls or dead zones.
Apple is unique in several avenues, compared to the PC/Windows
programs and the iPhone has revolutionized Smartphones. Fo-
cusing on the iPhone, it’s unique qualities consist of multi-calling
capabilities, HD quality camera and face imaging, conference calls
without dropping or combining calls, full screen Internet connec-
tion and higher data speed.
Both company services and products are evenly distributed, and
available across the United States.
iPhone satisfaction trumps all other Smartphones. In an iPhone user
satisfaction survey, 91% were satisfied. The iPhone is used mostly
for e-mail, web, SMS and audio capabilities and is ranked as the best
for these features. 78% from the same survey said that the iPhone
was a good or excellent value, and was“more than just a phone”.
iPhone Director Competitors
Competeing Smartphones
Phone Carrier Price 3G/4G Picture Quality Touch Overall Rating
iPhone 4 AT&T, Verizon $199-299 4G HD 5- Megapixels Yes 5./5
339 reviews
Evo Sprint $149-$399 3G/4G Dual Cameras, 1GHZ Yes 4.7/5
processor 204 reviews
Blackberry Verizon, AT&T, T-Mobile, $199-$349 3G-4G Typ. Qual. No 3.6/5
(Curve & Torch) Sprint 116 reviews
MyTouch 4G T-Mobile $99-$449 4G 5.0 Megapixels Yes 4.4/5
110/120 reviews
Droid Verizon, with Android $179-$479 4G 5.0 Megapixels Yes 4.2/5
tech phones at AT&T, 222 reviews
Sprint, and Tmobile
EnV Verizon $299-$409 4G 5.0 Megapixels Yes 4.2/5
242 reviews
Competitive Summary
iPhone Director Competitors
Top 10 Mobile Phones
	 1. Apple iPhone 3GS
	 2. Samsung SCH-U450
	 3. Motorola Droid
	 4. RIM Blackberry 8500 Series
	 5. Apple iPhone 4
	 6. Apple iPhone 3G
	 7. RIM Blackberry 8300 Series
	 8. LG VX9200
	 9. Samsung SCH-U350 Series
	 10. RIM Blackberry 9700
8
The HTC Evo 4G is a Smartphone developed by HTC and
marketed as Sprint’s flagship Android Smartphone, run-
ning Windows Mobile. Unlike many other Smartphones in
the consumer market, the EVO has a large 4.3-inches (480-
by-800) TFT LCD capacity touch screen display with a pixel
density of 216 pixels per inch (ppi).
The T-Mobile MyTouch 4G is the most recent phone hype
for T-Mobile. MyTouch 4G, or Glacier, is a Smartphone
designed by HTC. This is T-Mobile’s second 4G phone, with
10 hours of talk time and Wi-Fi connection.
The Verizon Droid is the most popular phone of Android
technology and one of the major leading competitors of
the Apple iPhone. This Smartphone is Internet and multi-
media enabled and capable of multi-managing tasks. The
phone was the first to ship with free Google Maps Naviga-
tion, includes Wi-Fi networking, a 5-megapixel low light
capable digital camera, and a touch screen.
The Blackberry was one of the first generations of Smart-
phones and has gained competitive brand awareness over
the past 11 years. The Blackberry, however with the ever
expanding Smartphone development, has led to a recent
popularity decrease, though it still maintains a strong
competitive standing.
98% of iPhone users use the data
features of their phone, services that
should improve with the enhanced
speed promised by the iPhone 5
21% of Android users and
29% of Blackberry users
consider switching to the
iPhone
The average number
of apps that Smart-
phone app downloaders
have on their phone is
31% of all U.S. mobile
subscribers have a Smartphone
9
Feature Phones
Smartphones
69.1%
30.9 %
RIM Blackberry
OS 26.1%
Apple OS 28.6%
Other 19.5%
Android OS
25.8%
Total Market Share, Nov. 2010
27
Sprint: “The Now Network”Competitive Summary
Verizon Direct Competitors
AT&T:“Rethink Possible”
							 AT&T started as early as Alexander Graham Bell design of the telephone. AT&T 		
							 became one of the first companies to pair up with the Bell system in efforts to 		
							 push the communications industry to a new level. From 1984 to 1996, AT&T
							 grew as an integrated telecommunications and equipment company. In 1994
							 however, AT&T wireless became its own division from AT&T and has now grown
							 as one of the nations leading mobile service providers. AT&T has evolved from an 	
							 early adopter company to one that’s consolidated whose revenue exceeds 		
							 $123 billion. Today, AT&T has the fastest mobile broadband network and serves 		
							92.8 million wireless subscribers.
AT&T: Background
Strengths: Weaknesses:
The first national wireless carrier to launch 4G technology, Sprint Nextel is one of the
leading competitors in the cell phone provider market. Founded in 1975 with the launch
of the world’s first public data network, Sprint is a leader in innovation in the cell phone
industry. Sitting third in market share rankings, behind AT&T and Verizon, Sprint has
shown a steady decline in users over the years. With the launch of their new HTC EVO 4G
phone, acclaimed by many to be the greatest Smartphone on the market, Sprint hopes
to revitalize its growth rate and regain lost market share. Sprints latest selling point is
their $69.99 monthly plan, which includes unlimited calling, texting, and web service.
Sprint, whose current company slogan is“The Now Network”, is fighting to stay
competitive with the current leaders in the industry, AT&T and Verizon, both carriers of the iPhone. If the HTC EVO 4G phone is as
popular amongst customers as it is with critics, Sprint will be one to watch in competition with the iPhone’s launch on the Verizon
network.
Strengths: Weaknesses:
Sprint: Background
AT&T is a major competitor and has been one of the
leading phone service providers in the United States.
They have been known for being the first service to
provide the iPhone, a big step for the company and for
Apple. The company has excellent brand awareness
across the nation. Some of the strengths the service has
been commended for include:
- iPhone
- Wide store distribution
- U-verse
- Strong brand awareness
- GSM network which claims faster data speed
While AT&T is a leading phone service provider in the
nation, they have recently gained a negative attention
for having a great deal of dropped calls. The service has
been quoted as“spotty”and“Not very reliable”on public
blog sites.
The phone service, while maintaining the iPhone since
2007, has recently been plagued by the company’s
major competitor Verizon, who has now acquired the
iPhone contract, making AT&T no longer the‘go-to’com-
pany for the iPhone. Other problems that consumers
have agreed upon are:
- Poor customer service
- Gaps in network
- Slow to nonexistent Internet speed in populated areas 	
such as major cities across the nation
10 11
Sprint is a competitive cell phone service. The service
provides plans that allow free, incoming calling. The
service, while not leading in Smartphone awareness, is
commended for protecting their users from excessive
overage charges, and having family fair and flexible
plans. Some of the strengths the service has been com-
mended for include:
- One of the first U.S. cellular carriers to move network to
3G technology.
- Offers great number of multi-media options: streaming,
video and audio
- Offers“push to talk” that allows walkie-talkie style calls
Sprint is a well known service, however the service im-
age has been lost behind AT&T iPhone, Verizon’s cover-
age and has been fighting hard to break through the
clutter. Sprint has lost popularity, and has very little
stand out services that other competitors can’t imitate .
Some other minor weaknesses of the service include:
- PCS technology uses a digital network that operates on
a higher frequency than most original cell phone net-
works
- Limited towers to run service
- Limited roaming ability
Strengths: Weaknesses:
T-Mobile:“Get More”
T-Mobile USA, a subsidiary of Deutsche Telekom, has been one of the leading
sellers of cell phones since making its debut in 2002. It currently offers the na-
tion’s largest 4G network. T-Mobile is ranked fourth among the nation’s leading
cellular phone providers, with a reported 33.8 million customers as of the end
of the third quarter in 2010. The company’s current positioning,“Stick Together”
and the myFaves service emphasize the importance of maintaining and en-
hancing personal relationships through their products and services. With their
use of celebrities in the myFaves and myTouch advertisements, T-Mobile is
catching the eye of their intended audience and staying among Verizon’s top
competitors.
T-Mobile: Background
T-Mobile is the third largest cellular phone service in the
United States and is the fastest growing company next
to Verizon Wireless. T-Mobile has recently pushed itself
forward into the spotlight with a new campaign rec-
ognizing the My-Touch 4G. The campaign has brought
consumers to them through low priced phone plans and
also for ranking well in two national wireless satisfac-
tion surveys. Some of the strengths the service has been
commended for include:
- Low priced plans in industry
- A second place ranking to Verizon
- A top carrier award
Some weaknesses of T-Mobile, besides its recent popu-
larity, is that T-Mobile has one of the smallest coverage
areas. The company operates on both GSM cell phones
and service on a single PCS digital band, which labels
that in order for the service to work on another carrier’s
network the network must not only use GSM but PCS as
well. Other weaknesses include:
- The company only recently introduced 3G coverage,
lagging behind competition.
- Fairly new company with little to no brand awareness
- PCS and GSM service, making roaming difficult for the
phone
- Smallest coverage areas
12 13
Indirect Competitors
Prepaid Phones: TracFone, Net 10, Boost, and Straight Talk Wireless:
TracFone wireless is a prepaid mobile phone provider, with over 12.5 mil-
lion customers, that offers five phone services; TracFone, NET 10, Safe link
Wireless, Straight Talk and Senior Value Cell Phone. The most prosperous
and popular of these phones are Straight Talk wireless which offers prepaid
plans of $30 limited plans, $45 unlimited text, web and minutes plan and
then varying plans of unlimited yearly plans. It is a Verizon CDMA network
while AT&T and T-Mobile are on the GSM networks. Straight Talk offers 14
phones, and is continually introducing new phones to the public. They offer
3G coverage and consider themselves an“all you need”plan.
Strengths: Weaknesses:
Prepaid phone services have become recently popu-
lar due to the recession over the past couple of years.
The service offers phones on a CDMA and GSM service,
which allows the phones to have service in a majority of
the country. The service allows a constant monthly pay-
ment for minutes or service, and has been a very useful
service for those who don’t want to pay a great deal of
money for service. The service has basic phones, but has
some similar advanced models mocking newer, pricier
phones without the over-extended payments. The big
strength of the service is its availability and cheap costs.
Some of the strengths the service has been commended
for include:
- Phones that allow Internet access, and unlimited
service for $45 a month compared to $80 - $100 services
- Many phone choices to choose from
Some weaknesses of prepaid phones are the lack of
Smartphone or newer technology. The phones are
intentionally lagging, due to the cheaper service. If the
phones were to be of better quality than the services
would make for a more competitive market. A final
weakness is the poor customer service quality.
- Regular phone/ No Smartphones available
- Need a monthly card for service
- Phones do not have multitask, conferencing
capabilities as more advanced phones have
14
Product Specs
The Product:	
		
The Features:
Apple iPhone
Verizon Plans
Psychographic Targeting
15
$49 - 8GB
$199 - 16GB
$299 - 32GB
The Price:
Dimensions:
Weight:			 Height:			Width:				Depth:
4.8 ounces (137 grams)	 4.5 inches (115.2 mm)	 2.31 inches (58.6 mm)	 0.37 inch (9.3 mm)
•Built-in rechargeable lithium-ion battery
•Charging via USB to computer system or power adapter
•Talk time:
	 Up to 7 hours on 3G
	 Up to 14 hours on 2G (GSM model only)
•Assisted GPS
•Digital compass
•Wi-Fi
Display
• Fingerprint-resistant oleophobic coating on front and back
•Retina display
•3.5-inch (diagonal) widescreen Multi-Touch display
•960-by-640-pixel resolution at 326 ppi
Audio and Video Formats
• Video recording, HD (720p) up to 30 frames per second with
audio
• 5-megapixel still camera
• VGA-quality photos and video at up to 30 frames per second
with the front camera
• Tap to focus video or still images
• LED flash
• Photo and video geotagging
Individual Plans, Family, Prepaid, Mobile Broadband
Apple Dedicated Smartphone Interested
The Doubtful or Unsatisfied AT&T User iPhone Interested Verizon User
The Apple Dedicated users are forward thinking individuals
who enjoy simplicity in technology. This person is interested
in ease of use, and the sleek , simple, clean design of Apple prod-
ucts. This group, though they might not have an iPhone, but
they appreciate the Apple design, and already trust that Apple
is a reliable product. This group knows from word of mouth,
first hand experience and research that Apple is a capable prod-
uct that is also in high market demand. This group of individu-
als is generally tech savvy, interested in products that they can
rely on, and that they can enjoy without the hassle of down-
loading programs or having to read user manuals. The Apple
Dedicated user ranges from all ages, and is both male and fe-
male. To reiterate, they trust apple, and so when looking for
products over different mediums they trust what they know.
The AT&T User is like any other individual with no specific de-
fining characteristics. Some are content with their phones and
their service, similar to any customer of any product, so long
as there isn’t a strong brand loyalty, then there is always an op-
portunity for change. Many of the AT&T users chose their ser-
vice because of their family, friends or the phones that were
only offered by AT&T. These users, like any, would be will-
ing to embrace change if the product they were interested in
switching to made the switch as easy as possible. These users
could be anyone who is currently using the service, but who
has grown tired of their service, for any reason. Continuing,
these are individuals who are interested in switching servic-
es, but are unsure as to what service would be best for them.
These individuals are already Verizon customers, but do not
have the Verizon iPhone. These individuals are Verizon loy-
al, and have been with the service long enough to continue
their contracts. There are two groups within this user psycho-
graphic. One of the subgroups involve individuals who wait-
ed for the iPhone, and stayed dedicated to Verizon, but when
their contract expired they had no choice but to renew their
contract with a phone other than an iPhone. Now that Veri-
zon has acquired the iPhone they want to switch, but they do
not want to be charged for upgrading their phone. The sec-
ond subgroup are individuals who didn’t wait for the iPhone
and weren’t particularly awaiting it’s arrival. However, now
that Verizon has acquired the iPhone they are interested in
upgrading to or renewing their contract with the iPhone.
The Smartphone Interested individual is not anyone of a specif-
ic age or gender.This individual could be anyone from the trav-
eling salesman to the college photographer. This individual is a
realist, but is also adventurous. Individuals such as these like to
go wherever they want, whenever they want. Though indepen-
dent, they are still very involved, staying social and interactive,
even on their adventures and allowing others to be able to keep
up with them. For this individual, having phones and computers
is another way to keep in touch, and so no matter where they
are,orhowoftentheytraveltheyareabletokeepupwithfriends
and family. The Independent enjoys being able to spread their
wings,andprefertechnologytobeasleastconfiningaspossible.
16
Brand Capsules
Sarah, 24, is a recent college graduate and an already on the rise business women. She may
be young, but right out of the gate she had an internship followed by an immediate job
for an insurance company. She is always running papers, or running for leisure, so in many
ways Sarah is literally always on the go. Sarah has been on the AT&T network since she first
received a phone at the age of 16. She started off with the network because of her family
being on the AT&T land line service, and eventually a cell phone family plan. She trusts what
she knows works, from foods, phones and even work plans.“If it works then why change?”is
her model, and comes from her father who was a tough Marine and believes in sticking with
what you know. She is, however, always willing to try something new, and believes that with
enough research and digging, resolutions can be made. She isn’t really looking for a new
phone, or service, but she has recently been hearing from her friends and coworkers that
Verizon has a better service than AT&T. She is skeptical and not quite to the point of switching
unless Verizon is able to reach her personally. She is a questionable buyer, and would be will-
ing to switch only if she feels there is a real benefit for her.
Maria, 39, is a well-grounded photographer with an eye for life. She is always on the move,
but has her own shops around the country that sell her work. Her lifestyle is what many
would not consider, but for her, life is simple, adventurous and she loves it. Maria loves color
and follows her Hispanic heritage showing her style through her photography. Maria keeps
up with technology, but makes sure everyone is able to keep up with her. She looks for tech-
nology that helps her not only stay connected, but that also keeps her life flowing seamlessly.
She loves iPhone, but has found over recent years that the AT&T service isn’t up to her stan-
dards. She can’t make long trips, because her service may be dropped and she is starting to
hate the confines of her phone. She feels as though she is on an invisible leash and she’s tired
of it. She’s looking for a way to keep her favorite phone, but lose the part she strongly dislikes,
her service. She wants a new service that will follow her wherever she wants to go, even if
that includes down a river in the Grand Canyon or to a majestic hot spring in Yosemite Park.
Maria has decided that her service needs to be as nationally adventurous as she is, without
any complaints or dropped calls.
Brand Capsules
Damon, 32, is an early adopter, working for a small technology firm in Chicago. He lives with
his wife and two kids in an affluent neighborhood just outside of the Chicago area. Damon’s
day-to-day routine involves working on his computer, reading the paper on his iPad, or listen-
ing to his iPod on his commute, keeping him continually involved with technology. His home
is full of the latest and greatest technology including phone and internet service, to keep
up with his blogs, email, etc. While reading reviews of the latest product, Damon also blogs
about and writes his own comments and reviews. It was his love for technology innovation
that brought him to his job of helping others make decision for products. He takes trips to
the gym twice a week, and tries his best to keep up with hot topics and social life outside of
work. When he isn’t at work, or on his computer, he is relaxing in his comfortable chair and
enjoys just being with his family. He also enjoys watching prime time television, like CSI with
his wife, to watching cartoons with his children. Damon loves his family, his job, and technol-
ogy. He is a proud early adopter.
Tom, 19, has recently graduated high school and is preparing to move on to college to
further his education. Tom works hard while preparing for his fall college classes, working
part-time at a low paying retail store and conditioning for baseball. Tom, like many college
students, is part of his family’s cell service, Verizon, because of the family plan. He doesn’t pay
his own phone bill, and as a new college freshman he doesn’t really plan to any time soon. He
has worked out a deal with his parents that as long as he keeps his grades up then he gets to
pick out his own phones and his parents will continue paying his service. He has owned his
current flip phone for two years and uses it to keep in touch with friends and will soon use it
to call home. Tom’s phone contract expires in a month just in time for him to start college. He
has been researching and saving his money from his job for a new phone, and has decided
on the one that he finds both stylish, user friendly and useful. He wants to be able to surf the
web, watch movies, and download apps, and the iPhone might be the perfect fit. Tom is not
only an influencer, but also a partial buyer so he is ready to take a leap for the new iPhone on
the Verizon service.
17
18
Primary Research
Focus Group
The campaign objectives took direction from the key insights of our focus group. The first group contained individuals who were all iPhone 	
users on AT&T‘s service to talk about how they use their iPhone. The second focus group contained individuals who were Verizon users to talk
abo their service. Both groups were asked a series of qualitative questioning, dissecting their current phone service, motivation and 		
reasoning for their choice in service, as well as phone usage, benefits/issues, and thought processes behind their purchasing patterns. Both
groups provided a small sample size, to the buying habits and shopping behaviors of the primary target.
Problems & Opportunities
Problem
Previous competition with ads from Verizon and AT&T – We cant
tarnish AT&T’s brand image because we are selling the same product
under a different network.
Opportunities
Capitalize on Verizon’s larger coverage for a network – establish why
Verizon is the premium wireless network through merging the #1
Smartphone with the #1 network.
Problem
Opportunities
Verizon is selling a phone that has been on AT&T’s network for 5
years.
Although customers have waited 5 years for the iPhone on Verizon,
the anticipation has increased the hype – Verizon’s consumers already
have an established image of the iPhone so Verizon’s focus can be on
the coverage.
Problem
Opportunities
We have to balance Verizon’s image and Apple’s image
simultaneously. The campaign has to be unique to Verizon but stay
consistent with Apples identity
Consumers have a positive perception of both brands already. Verizon
is an established brand as well as Apple.
Problem
Verizon’s national network is limited to the United States (CDMA
vs. GSM). Features vary from network to network under the iPhone 	
including data speed.
Opportunities
The CDMA coverage is better than that of GSM. Verizon’s focus is
restricted to the United States while AT&T has to deal with coverage
overseas. CDMA is quicker so it supports why the iPhone will be better
to consumers in the United States, which is the focus of this campaign.
Problem
AT&T has already established themselves as carriers for the iPhone
– Consumer loyalty might side with AT&T limiting customers for the
Verizon iPhone.
Opportunities
Verizon has the better network for coverage. If loyalists of the iPhone
under AT&T’s network see it more beneficial to switch networks, it will
strengthen Verizon’s brand image
19
AT&T User Insights
The purpose of the AT&T focus group was to learn about what it is
that makes the iPhone such a desirable product and what 	
improvements they would like to see in their service.
“I love apple technology, and iPhone was just the next best thing.”
“I have AT&T iPhone, more so because of the Apple product than the
AT&T service.”
“If you could show me that Verizon has better service then I would
switch.”
“Love the combination of phone and iPod”
Verizon User Insights
The purpose of the Verizon focus group was to learn what features of
the Verizon network help to make it the most dominant service provider
in the marker.
“Verizon was one of the first companies to do unlimited texting and I’m a
huge texter”
“I feel like when Verizon says that they have a wide coverage area I 	
actually believe them”
“...also a good signal everywhere because the kids that I work with , they
have AT&T and if they end up going downstairs, or down the wrong
hallway then they don’t have service, but I have Verizon and I have 	
service everywhere I go”
The goal of the focus groups was to understand the strengths each product has to offer and to effectively capitalize on those strengths when
relating to our targets and other consumers.
Comparing the Services
Customer Satisfaction
Dropped Calls
Verizon is the industry leader in customer satisfaction with
49% of customers saying that they are“very satisfied”with
their cellular service, compared to Sprints 35%, T-Mobile 23%
and AT&T 23%. Their satisfaction revolves around dropped
call percentages, customer service and market interest.
Verizon also ranks best in fewest number of dropped calls with
customers reporting only 1.5% of their calls being dropped over
the past 3 months, compared to 2.4% for Sprint, 2.8% T-Mobile
and 4.5% for AT&T customers. Verizon customers are less likely
to switch carriers compared with any other network. People
said on other carriers that if they were to switch, it would likely
be to Verizon.
Due to the percentage of dropped calls, customer loyalty for
carriers depreciates. Verizon, having the fewest dropped calls
reports that only 7% of customers say they would switch, com-
pared to Sprints 10% and T-Mobile 14%.
Research
Secondary Research - Mintel Reports/ Academia Mobile Reports
Over the past 3 years the economy of the United States has been in
a slow recession, leading to unemployment. The unemployment has
been a major deterrent for spending; house purchases, holiday shop-
ping and thrifting. While the hiring process has begun to pick up, the
economy was still in need of review for the proper targeting for the
Verizon iPhone Campaign.
The economy has improved as of 2010, though the official unem-
ployment rate as of May, 2010 was still very high, measured from the
U-6 unemployment was 16.6%, or over 20 million people, roughly,
are still out of work. However, despite the recession, and unemploy-
ment, research shows that cell phone service subscriptions did not
decline, but from CTIA estimates the number of wireless connections
increased to 285.7 million, up 12% from 2007.
Cellular services have increasingly come to be viewed as an essen-
tial rather than a luxury, especially for those whom are still unem-
ployed and searching for an occupation.
4 G network has been an ever rising star among the Smartphones of
the new era in technology. Phones are no longer a driving product
for simply calling another individual, but another demand seeks the
cellular attention, with consumer demands of Apps (Applications),
Video calling and video chat Capabilities. Apple has included its new
FaceTime user, allowing Wi-Fi video call with anyone else with the
same phone capabilities. Video chat has become popular on PCs, and
younger generations are becoming more interested in the phone
video FaceTime, 33% of 18-24 year old group interested in talking to
their cell phones and being able to see who they are talking to on
their cellular screen. Moving forward, this interest in the younger gen-
eration has revived the data traffic levels on cellular network.
Video Network Continued:
Based on 1,832 Internet users aged 18+ who own a cell phone
“I would love to see the person I’m talking to on my cell phone”
Topic of Video and Smartphone Capabilities
The Economical Effect on Cell Phones & Services
				 Agree(%)
Total				19
Gender:
Male				20
Female			18
Age:
18-24				33
25-34				24
35-44				17
45-54				17
55-64				13
65+				10
Household Income:
$50k - 74.9k			 19
$75k - 99.9k			 18
$100k+			19
The respondents that are more
interested in video conferenc-
ing, and more technological
advancements are the younger
generations, though they may
not be of the affluent index
that is able to purchase the
advancements in phones.
Similarly, in another study,
older respondents are more
interested in design factors
such as size and type of phone
( flip, slider, etc.). In comparison
to younger respondents, who
aren’t as fully interested in the
aesthetics of the phone, but are more interested n high battery life, as
well as features such as large screens, full keyboards and high-quality
cameras. This isn’t to say that younger generations don’t care about the
look of phones’instead they are open to considering new types of prod-
ucts that might redefine what should be considered a“phone”, in order
to get the functions that they want and need.
20 21
Creative Strategy
Business Objectives
Advertising Objectives
Affective:
Conative:
Cognitive:
Target Market
Demographics
1) Consumption: Increase amount of Verizon customers by 10% while
increasing Verizon iPhone users by 5%.
1) Establish brand loyalty to Verizon and the Apple iPhone by
demonstrating Verizon’s reliable service and iPhone’s unique
2) Strengthen Verizon’s brand equity and awareness through the 	
use of strong comparison advertising and IMC events.
3) Interest the target to switch to Verizon or begin pre-ordering the 	
Verizon iPhone 5, which is rumored to launch this summer.
4) Create a“water cooler”campaign that will be discussed by the 	 	
1) Persuade current Verizon and Apple customers to become
influencers for users of AT&T and other cell phone services.
2) Involve current customers and consumers with IMC and
outdoor participatory events.
3) Influence a movement to not only purchase the iPhone 5 but to	
have faith and desire for Verizon service (including FiOS TV, home	
phone, and Internet).
1) Portray Verizon as the most reliable network.
2) Depict the iPhone as the best Smartphone on the market
now paired with the most reliable network.
3) Inspire desire for the Verizon brand and it’s services.
Positioning Claim Support
Tone
Verizon’s current campaign,“Rule the Air”is used to make customers
feel secure within their network. “It’s a new brand campaign. It’s just
meant to describe how our network empowers our customers,”Verizon
spokeswoman Brenda Raney told Fierce Wireless. In this campaign we
are dealing with two of the most successful companies in their respected
fields. With this in mind, we can position the combination of Verizon and
Apple iPhone as one of the greatest merges in business history, compar-
ing it to other popular pairings. Using the tagline“Some things just go
better together,”we will show a comparison between Apple and Verizon
and other great combinations of items, people, or characters. Through
our ads we will show how Verizon’s acquisition of the iPhone has com-
bined the world’s greatest phone with the world’s greatest network. It
is not very often that the greatest merge to work together, and we will
make this point clear in our creative executions and IMC events. Our job
for this launch is not to position these companies as number one in their
markets because they have already achieved such status. Our job is to
increase the gap even further between Verizon and iPhone, and their
competitors.
Consumer Promise
Our promise is that Verizon’s service and coverage combined with the
worlds #1 Smartphone, the Apple iPhone, will meet your needs bet-
ter than any other phone on the market. The coverage will prevent any
hiccups in downloading media, searching the web, SMS messaging, and
phone calls so you can rest assured that your network is reliable in any
and all situations. Our promise to consumers is any Verizon iPhone user
will find the satisfaction in our large coverage and appreciate a phone
that can work speedily and properly at all times. We also promise to make
their switch to the Verizon network and the Apple iPhone a smooth and
easy transition. Programs and services will be established to take care
of the hassles involved in switching networks, a primary concern of our
focus group participants.
Verizon is working to establish themselves as the number one cell phone
provider available through their acquirement of the Apple iPhone, and to
increase desire for the Verizon brand and it’s services.
-Through their use of the CDMA network, Verizon has established them-
selves as America’s most reliable network.
-Established in April 2000, from a combining of Bell Atlantic and GTE,
Verizon has grown to acquire more customers than any other cell phone
provider.
The“Some things just go better together”campaign expresses how
previous iPhone users, while pleased with their cell phone, weren’t quite
satisfied with their service. With the inclusion of Verizon as a carrier of the
iPhone, we are providing a better experience and 100% satisfaction for
iPhone users. We will emphasize this by comparing the combination of
Verizon and Apple iPhone to other favorable and relatable pairings. The
ads will be clean, simple, and easy to recognize. Using a pattern of“this +
that”this campaign will provide a simple but effective message. Whether
it is bacon and eggs, Snoopy and Woodstock, or Chicago and Pizza, our
pairings will represent how Verizon and iPhone are better together. The
strongest aspect of this campaign will be its media specificity. Whether
it be the combination of Hammer + Nail in a DYI magazine execution,
or NYC +Broadway plastered on a NYC transit bus, our ads will reach the
audience for which they are intended. Since we are in charge of the initial
launch of the iPhone on the network, we will be running a teaser cam-
paign as well. This teaser campaign will include both TV and OOH execu-
tions like the one’s mentioned above, with taglines that read,“A better
pair is coming.”Once the launch date occurs, the OOH prints will be
replaced to include the message“Some things just go better together.”
This message will work well visually and relates to our target because of
their pop culture knowledge and interest in icons.
Restrictions
- Apple is now a partner with both AT&T and Verizon therefore advertis-
ing needs to be delicate in comparing coverage with AT&T.
- Necessary to create executions that fit within the brand identities of
both Verizon and Apple.
2) Build hype for product launch: Through the introduction of a teaser
campaign we will increase hype and pre-order sales of the Verizon
iPhone.
3) Brand Desire: Increase loyalty and desire for Verizon service among 18-
24 year-olds. From our focus group we learned that customers are far more
loyal to brands/types of phones than there are service providers.
Psychographics
Geographic
22 23
capabilities
The secondary demographic are early adopters of any race, males and
females age 25-34. This target falls into two generational areas; the old-
est members of Generation Y (millenials) and the youngest members of
Generation X (children of baby-boomers). Targets among Generation X
tend to be individualistic, technologically adept and value a conservative
balance between their work and their life:
• 91% of males/females of this age group work full-time, many in
	 tech-related areas
• Tend to be more affluent, earning an above average household income
This group is driven by the need to advance and can be described as
technology seekers. They generally are connected to everything and
work very hard to maintain their business and life on the same playing
field.
• Early adopters research their products thoroughly – 70% of early
adopters research a product before committing to a purchase
• Respond to products that can make their lives simpler, whether by
connecting their home with work or by other means
• 94% believe that technology has a positive impact on the world
Early adopters and trendsetters are not in a certain area of the na-
tion, but rather are all over the country, with increase concentration
of big cities such as New York, Chicago, Los Angeles, Washington D.C.,
etc. These cities have a higher concentrated population and are areas
where technology takes root for both groups to find.
Creative Executions: Teaser Series
In order to expose consumers to the launch of the Verizon iPhone we decided to use billboards. Billboards will be one of
the two mediums used to display our“A better pair is coming”message. Billboards deliver high frequency at various loca-
tions and help build reach over an extended period of time. With our teaser campaign running for three months prior to the
release of the Verizon iPhone, we feel that the presence of billboards in heavily trafficked areas will cause commuters to talk
amongst their peers about the product launch. Verizon and Apple have both used billboards previously to introduce new
products. Billboards work best when displaying a clean and simple message and our teaser campaign executions are just
that, clean and simple.
24 25
Creative Executions: Out-of-Home Series
After the Verizon iPhone is launched on Febru-
ary 14, 2011 all of our teaser billboards will be
converted into our post launch billboards dis-
playing the message,“Some things just go bet-
ter together.”We are using billboards in the top
ten DMA’s in order to reach the largest amount
of people possible. Our target will view this bill-
board routinely on their daily commute to work
and school. The iPhone is a mobile device and
our target is busy and active. The billboards crisp
red background will be strong and empowering,
catching the eye of the consumer as they race
quickly along the interstate. By advertising on
billboards we can reach them while their desire
for a mobile phone is greatest.
BusWraps
City bus wraps will be location specific depicting the featured city plus an item that city is known for. These buses will reach
our target by relating a tradition, place, or event the city is known for with the combination of Verizon and iPhone. The
theme of the campaign‘Some Things Just Go Better Together’is conveyed through the use of comparison advertising. The
objective is to not only increase awareness of the Verizon iPhone but to also instill a desire to join the Verizon network with
the iPhone.
Interactive Bus Shelter
Digital billboards can be used to instantly update information at the
speed of the Internet. Interactive ads allow consumers to engage with
the brand and have a personal experience with the advertisement’s
message. We will place interactive digital billboards on bus shelters in
New York, Los Angeles, and Chicago allowing our target to engage with
our brand message,“Some things just go better together.”Waiting bus
passengers will have the ability to slide items in place to form a pair
they feel“just goes better together.“ By allowing our target to interact
with our ads, it will increase the recall rate and ad efficiency.
26 27
Creative Executions: Print Series
After the introduction of
the iPhone 4 to Verizon,
print executions willbe re-
leased the campaign theme,
‘Some things just go better
together’. This theme will
be demonstrated through
images of well known pairs;
i.e. hammer and nail, bacon
and eggs, spaghetti and
meatballs, etc. These execu-
tions will be throughout
high reach magazines, that
are popular for the primary
and secondary targets. Each
ad will be specific to the
magazine it is featured in
with food executions placed
in cooking magazines,“Ham-
mer and Nail”in home and
improvement magazines
and the“Rock and Roll”ad
in Rolling Stones etc. These
executions will fit with the
magazine theme and there-
fore relate to the individual
reading it. This objective
helps to reach the individual
on their level, and entice
them to look further into
possibly purchasing the 	
Verizon iPhone.
Creative Executions: Online Series
+
+
+
Some things just go better together.
+
When dealing with the launch of a product, building hype for the release date is extremely important. This is why we de-
cided to spend $12 million on a national teaser campaign. Starting in November we will use television commercials and
billboards to increase excitement for the launch of the iPhone. We will use a pulsing schedule in order to enhance desired
anticipation and draw their interest without over exposure. By only advertising on two mediums we aren’t hitting the target
over the head with our message, and we reach them in a respectful manner. We simple want to inform our target that“a bet-
ter pair is coming.”
28 29
The TV spots will feature a man
going through his morning
routine. As he is getting ready,
he discovers that he is miss-
ing things that work together
to help him prepare for the
day. As the commercial comes
to an end, the man grabs his
iPhone and heads to work. Just
like the things that go togeth-
er in your morning routine,
Verizon and Apple go togeth-
er to provide the best pos-
sible combination of network
coverage and phone. Some
things just go better together.
Creative Executions: 1 Min. Video Series
Spot 1: An alarm clock begins to
sound and is quickly turned off.
Spot 10: He sits down and begins
to eat with his hands.
Spot 5: He puts his shoes on
without socks.
Spot 9: The man opens the draw-
er and can’t find a spoon.
Spot 4: The man gets dressed and	
discovers that he doesn’t have any
socks.
Spot 8: He tries to pour milk but
it’s empty.
Spot 3: He only has a small wash-
cloth to dry with.
Spot 7: The man pours himself
some cereal.
Spot 2: A man begins to take a
shower.
Spot 6: The man is out of tooth-
paste, so he brushes without.
Spot 11: The man fixes his tie as
he walks out of the kitchen.
Spot 13: Tagline appears followed
by Verizon and Apple logo.
Spot 12: He grabs his iPhone and
leaves for work.
30 31
Magazine Wraps
Magazines hold a very high reach among
our targets. Magazine wraps are an effec-
tive interactive non-traditional piece that
the consumer has to interact with, build-
ing awareness for iPhone and Verizon.
Cost: $3,674,288.16
Taxi iPhone
Taxi’s and rental cars are a popular mode of transportation for the tourist and
business aspect, as well as any outliers within the target. iPhones will be at-
tached to backseats in taxi cabs, as well as on the dash of rental cars, for the
consumer to enjoy while in the automobile. This will allow the consumer the
ability to interact with the phone, while otherwise they might not go out of
their way to try. The iPhone will be able to surf the Internet, have popular ap-
plications on it, such as Facebook, and Google maps, and already installed apps
for the individual to browse.
Cost: $ 1,650,000
Creative Executions: Non-Traditional Series
Verizon iPhone Photo Booth
Verizon iPhone Photo Booths will be placed in malls and shopping
centers in 5 major cities across the country . Each booth will be specific
to the city it is placed in. The photo booth will have background im-
ages of the cities well known attractions. In addition to the pictures
being free of charge, the images can be directly uploaded to the con-
sumers Facebook or sent via Wi-Fi to the users phone. An iPhone dock
will be located inside the photo booth for those who already have an
iPhone. This will allow customers to download the images straight to
their phone.
Cost: $315,000
Angry Birds Interactive
This interactive execution will be projected on a large
screen that resembles an iPhone turned sideways.
It will feature one of the most popular games for a
Smartphone, Angry Birds. This game will be open to
people of all ages and will be played by movement
recognition technology. This Angry Birds interactive
execution will create interest, not only for the game
which can be bought via the Apple App network,
but but also draw awareness to the Verizon iPhone. A
Verizon logo will appear on a plaque next to all inter-
actives executions.
Cost: $225,000
32 33
Creative Executions: Mobile & Social Media
Facebook
Mobile
Twitter
Some things just go
better together.
Game resumes in :05
+
Social media has overtaken pornography as the #1 activity on the
web.. Recognizing this increased popularity, it was necessary to ac-
commodate the targets habits. This involved changing the Facebook
and Twitter profile pages to keep up with the targets needs. The Face-
book page will be focused on customer service and promotion while
the Twitter page will serve as a conversational tool to simply interact
with customers and enhance the Verizon brand image, as well as
cross promote contests mentioned on Facebook. The objective is to
increase awareness and brand recognition for Verizon through the
campaign tagline. The tagline, which implies the combination of ser-
vice and the number one Smartphone, as the better pair/ choice for
consumers. Our Twitter page will have daily tweets suggesting“cool”
apps and request to“tell us what you think”enhancing the interac-
tion. Facebook will serve as a promotional tool allowing customers
and non-customers to see information, news, and offers regarding the
Verizon brand.
This simple mobile ad will be sent only to Verizon customers. The purpose is
to ensure to the current Verizon customers that they are on the best network
curbing cognitive dissonance. Customers who own a Verizon iPhone will have a
sense of pride when viewing the ad. Verizon customers who don’t, will view it as
another effort by Verizon to make their service the best. The best coverage, the
best plans, the best phone, finally all under one network.
34 35
IMC
Better Together Music Festival
Objective: Create hype through promotion and develop excitement about the Verizon iPhone introduction, and the cam-
paign theme‘Better Together’. To raise awareness nationwide for the Verizon iPhone and increase design for the Verizon
iPhone 4, as it becomes available.
Strategy: To excite our target over all demoograph-
ics and psychographics, famous bands will reunite
for a Music Festival, making the introduction of the
Verizon iPhone unforgettable. Further spread brand
awareness to our target.
Tactics: Well known bands cost $3.6 million and up-
wards. This includes stage costs and the property for
the event. The total cost, before revenue will range
an estimated $5 MM. The iPhone is priced at $149,
and the music festival will be a good opportunity to
increase pre-order sales. Verizon shirts will be made
and sold for a low cost to enhance sponsorship dur-
ing the event.
Rationale: This is a great way to reach every gen-
eration of our target becuase music interests all
demographics. This is a good way to increase aware-
ness of our campaign message by implementing it
to promote the event. Through this Music Festival
Verizon is bringing the greats back together.
Event Cost: $4,300,000
Music Festival Shirts Verizon iPhone Better Together Music Festival Poster
IMC
Family iPhone Kiosk
Verizon iPhone Family Kiosk: location at Walt
Disney parks in California and Florida
Objective: Allow AT&T customers the ability to switch their ser-
vice to the Verizon family plan with minimal hassle.
Strategy: To run a monthly Verizon kiosk during prime tourist
seasons, at well known family theme parks, This will allow those
who on a competitor’s family phone plan to switch with as little
trouble as possible.
Tactics: The Verizon Kioskwill be a friendly side step to the family vacation, and is there for family plans. The main reason
for this event is to help those on a family plan upgrade their phones, and switch services all without the hassle of going to a
store. The patrons will be able to switch numbers, and take over current contracts no matter what other carrier the consum-
er is on. The consumer will be able to walk into the tent, pick a phone and a plan, and walk out of the tent with the same
number the same day.
Rationale: Primary research concluded that many us-
ers of other services would be willing to switch carri-
ers if the opposing carrier made more efforts to come
to them. We also found that many of the customers
were with their current service, not because of loyalty
to the service, but because it had been a family plan
decision. In order to change service providers it would
be necessary for the entire family to switch.
Event Cost: $5,000,000
Average Event attendance: 1,435,000
36 37
Better Together Family Mini-series Contest
Objective: Produce family interaction and partici-
pation for the Verizon iPhone. Also create aware-
ness and desire for Verizon’s service plan through a
promotional contest.
Strategy: To create a family mini-series contest,
that allows families to compete for a Verizon spon-
sorship that would give the family free iPhones and
a years worth of service for free. The families will
compete by entering mini-videos explaining why
they are“better together.”
Tactics: There will be an interactive online voting site that will be complete with rules and an entry form. Users who are
not entering can view the entrants videos and vote on which family they believe should win. The family will be competing
against thousands of other families across the nation and multiple rounds will be held until a winner is ultimately selected.
Rationale: Many consumers are interested in obtaining free products, and are willing to compete for the chance for free
service. Phones and plans are used by 91% of consumers in America, making phones and services a valuable commodity.
This contest will bring awareness to the iPhone and Verizon, by placing the videos on Verizon’s site for others to go online
and vote for their favorite family. This will increase traffic to the site and increase desirability for the phone and service.
Event Cost: $710,000
Promotions: Kiosks
The most telling insight we heard from our focus group participants was that they aren’t loyal to a specific network provider.
They are much more concerned with the mobile phone itself, and convenience is the most influential factor in making them
switch providers. With this in mind, we needed to come up with a way to make switching easier and more efficient. We will
be allocating kiosks to be used as switching stations in malls, parks, city centers, and other designated areas. These kiosks
will serve as a way for Verizon to meet our customers where they are, allowing them to switch to the iPhone without paying
a cancellation fee. These kiosks will be introduced in the top 5 DMAs across the country.
38 39
Event Cost: $2,500,000
Media Objectives and Strategies
Objectives Strategies
To influence the primary and secondary
target to purchase the iPhone on the 	
Verizon service plan.
Target
Geography
Seasonality
Reach/Freq.
To provide advertising and promotion
across the nation, heavying up in larger
metropolitan areas to reach a larger per-
cent of the target audience.
To maintain the campaign goals, reaching
the target audience over the course of No-
vember 2010 to November 2011, without
sacrificing impact through overexposure.
To reach 75% of the target within the first
6 months of the campaign, during the
awareness months in which the campaign
will be focused on informing theabout the
upcoming product launch.
To purchase media which most effectively reaches
the target audience, based on their purchasing,
reading and viewing habits. As well as their inter-
ests and behavioral trends.
To provide advertising and promotion across the
nation, heavying up in larger metropolitan areas
to reach a larger percent of the target audience.
To create awareness through an effective media
seasonality selection across the medium/vehicles
without overexposing and damaging the cam-
paign.
To advertise in different locations that hold high
metropolitan communities, during various times
throughout the campaign season, reaching the
target over various mediums and developing, over
time, a product and brand awareness and desire.
IMC Budget Breakdown
Total IMC Spending: $12,510,000
Music Festival			$4,300,000
Family Kiosk			$5,000,000
Mini Series			 $710,000
Promo Kiosk			$2,500,000
IMC Flowchart November December January February March April May June July August September October November
Music Festival
Kiosk
Fam. Contest
Promo Kiosk
40 41
Magazine Mo. Insterts Ad Size Circulation Cost/Insert CPM Tot. Aud. GRIMPS Total Cost
Esquire 6 3 full page 4C 715,000 $60,237 84.25 3,147,000 2145000 $180,711.00
Cosmopolitan 6 3 full page 4C 3,046,229 $237,000 77.8 18,315,000 9,138,687 $711,000.00
Vanity Fair 6 3 full page 4C 1,252,101 $98,325 78.53 6,890,000 3756303 $294,975.00
Vogue 6 3 full page 4C 1,240,800 $149,847 120.8 12,030,000 3,722,400 $449,541.00
New Yorker 6 3 full page 4C 1,040,103 $46,001 44.23 4,611,000 3120309 $138,003.00
Fortune 6 3 full page 4C 868,000 $78,650 90.61 3,356,600 2604000 $235,950.00
In Touch Weekly 6 3 full page 4C 810,189 $75,340 92.99 8,343,000 2430567 $226,020.00
Forbes 6 3 full page 4C 933,747 $64,400 68.97 6,032,000 2801241 $193,200.00
People 6 3 full page 4C 3,553,420 $274,800 77.3 43,528,000 10,660,260 $824,400.00
GQ 6 3 full page 4C 894,005 $80,181 89.69 6,773,000 2682015 $240,543.00
ESPN Magazine 6 3 full page 4C 2,059,269 $141,798 68.86 14,621,000 6177807 $425,394.00
Fitness 6 3 full page 4C 1,555,217 $87,560 56.3 6,196,000 4665651 $262,680.00
Men's Health 6 3 full page 4C 1,859,643 $110,095 59.2 11,886,000 5578929 $330,285.00
Better Homes & Gardens 6 3 full page 4C 7,644,011 $391,100 51.2 12,477,000 22,932,033 $1,173,300.00
Game Informer 6 3 full page 4C 3,611,000 $57,687 15.98 15,587,000 10833000 $173,061.00
Totals 90 45 31,082,734 1,953,021 1,077 173,792,600 93,248,202 $5,859,063.00
Company Discount 0.85%
Amount Discounted $49,802.04
Final Spending Amount $5,809,260.96
Budget: Magazines
Magazines are used throughout the primary and secondary targets. Many of the target are heavy readers of magazines,
either for information, news, or pure entertainment purposes. Magazines hold a large amount of potential, with a high pass
along rate and shelf life and high reach. The magazines selected, held high reach in categories of women 18-34, men 18-34,
and appropriateness for the psychographics of the overall target. Esquire, New Yorker, Forbes, and similar magazines were
chosen to reflect the older more affluent target with household income of $40k +. The New Yorker is one of the most widely
read magazine and runs weekly, while Fortune and Forbes are bi-weekly magazines and will receive ad placements in four
of their special edition pieces. Other magazines such as Cosmopolitan, Vanity Fair, Men’s Health, etc. reach both inside and
outside the target , and will run during the more popular holidays and shopping seasons. The goal is to reach close to every
avenue of the target, from early adopters, influencers, trend-setters across all age mediums. Advertisements will be placed
over a 6 month period, always with a full page, full color ad that will be landscaped as well as portrait to increase interactiv-
ity with the ad and increase awareness.
Budget: Teaser
Teaser
Network Vehicle Length Freq. Rating Viewers Cost/Insert GRP CPP Total Cost
CBS NCIS Special(s) 30 sec 4 3.8 15,335,000 150,708$ 15.20 39,660.00$ $602,832.00
FOX American Idol (Wed) 30 sec 4 7.9 21,180,000 420,655$ 31.60 53,247.47$ $1,682,620.00
FOX American Idol (Thurs) 30 sec 4 6.4 22,627,000 392,255$ 25.60 61,289.84$ $1,569,020.00
ABC Dancing With the Stars 30 sec 4 5.3 22,627,000 167,821$ 21.20 31,664.34$ $671,284.00
ABC Grey's Anatomy 30 sec 4 4.3 13,091,000 188,385$ 17.20 43,810.47$ $753,540.00
ABC Modern Family 30 sec 4 7.5 10,800,000 193,635$ 30.00 25,818.00$ $774,540.00
Total $6,053,836.00
Disc. 0.85%
$ Disc $51,457.61
Total Spend $6,002,378.39
Billboards
Television
Cities Population(000) GRPs T-Face 4 wk Circ (000) Total rate(4 week)
New York 12,094.70 15 29 51,590.00 $536,790
Los Angeles 12,788.60 15 38 53,412.80 $295,450
Chicago 6,219.50 15 20 25,872.00 $168,000
Philadelphia 4,535 15 13 20,893.60 $103,350
San Francisco 4,852 15 13 20,996.40 $95,550
Boston 4,291.60 15 12 18,681.60 $173,580
Dallas Ft. Worth 4,163.90 15 8 17,763 $67,200
Washington D.C. 4,393.40 15 23 19,238.80 $184,000
Houston 3,944.90 15 6 16,699.20 $36,600
Atlanta 3,058.10 15.00 8 13,418 $28,000
Total $1,688,520
Months x3
=
Total Spending $5,065,560
We are dealing with the launch of a prod-
uct, so building hype for the release date
is extremely important. This is why we
decided to spend $12 million on a teaser
campaign. Starting in November we will
use television commercials and billboards
to build excitement for the launch of the
iPhone. We will use a flighting schedule
in order to increase anticipation within
our target and draw their interest without
over exposure. By only advertising on two
mediums we aren’t hitting the target over
the head with our message, and we reach
them in a respectful manner. We simply
want to inform our target that“a better
pair is coming.”
42 43
Budget: Internet
Website Type	
  of	
  Ad #	
  Mon Imp/Mon Grimps CPM Cost/Mon Total	
  Cost
Facebook ROS 9 500,000.00 4,500,000.00 $50.00 $25,000.00 $225,000.00
Twi6er Banner-­‐Top 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
YouTube ROS 9 500,000.00 4,500,000.00 $50.00 $25,000.00 $225,000.00
Pandora Banner 9 500,000.00 4,500,000.00 $50.00 $25,000.00 $225,000.00
Pandora Pre	
  Roll 9 350,000.00 3,150,000.00 $43.43 $15,200.00 $136,800.00
Hulu Pre	
  Roll 9 350,000.00 3,150,000.00 $43.43 $15,200.00 $136,800.00
Facebook Youtube	
  Banner 9 500,000.00 4,500,000.00 $0.80 $400.00 $3,600.00
Google Search 9 100,000.00 900,000.00 $500.00 $50,000.00 $450,000.00
Yahoo Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
Amazon Search 9 100,000.00 900,000.00 $500.00 $50,000.00 $450,000.00
Amazon Ad	
  Box 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00
Overstock Search 6 100,000.00 600,000.00 $500.00 $50,000.00 $300,000.00
People Banner 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00
ESPN Banner 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00
Men's	
  Health Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00
Cosmopolitan Banner 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00
New	
  Yorker Banner 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00
SportsIlustrated Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00
Foodnetwork.com ROS 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00
CollegeHumor Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00
Fark.com Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00
Digg.com Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00
ABC Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
NBC Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
Fox Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
CBS Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
MSN Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
The	
  Wall	
  Street	
  Journal Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
N.Y.	
  Times Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
USA	
  Today Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
Washington	
  Post Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00
Pogo-­‐Scrabble Game 6 100,000.00 600,000.00 $20.00 $2,000.00 $12,000.00
Pogo-­‐Word	
  Whomp Game 6 100,000.00 600,000.00 $20.00 $2,000.00 $12,000.00
Pogo-­‐Boggle	
  Bash Game 6 100,000.00 600,000.00 $20.00 $2,000.00 $12,000.00
Pogo-­‐Bejeweled Game 6 100,000.00 600,000.00 $20.00 $2,000.00 $12,000.00
Total 12 12,000,000.00 91,200,000.00 $2,227.66 $575,800.00 $4,975,200.00
Our Internet advertisements will be placed in a
variety of different media in order to target the
various areas of our demographic. In order to have
a well rounded media strategy we are targeting so-
cial media sites, entertainment sites, magazine sites
and online newspapers. Social media and enter-
tainment sites are a highly visited medium for our
primary target of 18-24 year olds. Users spend an
average of more than 13 hours per week on social
media and entertainment sites. We are choosing to
advertise on various network sites because our tar-
get is a high consumer of television entertainment.
Because of their active lifestyles many users are
watching their shows online compared to live tele-
vision. The magazine sites featured in our media
plan are also featured in our magazine print media.
These magazines are the top rated magazine media
for our demographic. Newspapers are gradually
gravitating to an online status. A high percentage
of our users get there news from online news sites
compared to print media.
Budget: Non-Traditional
Non-Traditional
Medium Cost/Item Circulation City Freq. Freq. Months Total Project Cost
Magazine Wraps $0.08 7,654,767 - 1 6 $3,674,288.16
Photo Booth $10,500 - 5 1 6 $315,000
Interactive iPhone $7,500 - 5 1 6 $225,000
Taxi iPhone $2,200 - 5 25 6 $1,650,000
Total Spending $5,864,288.16
Non-traditional, similar to guerilla advertising though not as intense, is designed to interest the target through unexpected
measures. The non-traditional that was chosen was meant for an effective medium that already interacts with the consum-
ers. Magazines are popular and have a high reach among the target audience. Therefore, magazine wraps and inside ads
increase awareness for the product. The total projected cost was estimated from the circulation of six of the higher reach
magazines, using a monthly magazine wrap for an interactive and interest placement. The interactive iPhone, will be in five
major cities in the nation. It will be in place for six months to increase hype and excitement for not only the product, but
also for the more popular applications such as Angry Birds. The Photo booth will also be included in the top five of the ma-
jor cities to reach a majority of the primary and secondary target. The larger the awareness, the better chances to increase
demand. Finally the taxi iPhone will be featured in roughly 125 cabs. Though there are a large majority of taxis in the major
metro areas, the execution is to be surprising to the target rather than over baring. These trial phones will also be placed in
rental cars to further the awareness of consumers.
44 45
Billboard
Cities DMA Population(000) GRPs T-Face 4 wk Circ (000) Total Rate (4 week)
New York 12,094.70 5 10 17,842 187,300
Los Angeles 12,788.60 5 13 18,272.80 $113,425
Chicago 6,219.50 5 7 9,055.20 $66,500
Philadelphia 4,535 5 4 6,428.80 $31,800
San Francisco 4,852 5 4 6,541.20 $31,200
Boston 4,291.60 5 4 6,227.20 $60,900
Dalllas Ft. Worth 4,163.90 5 3 6,661.20 $25,200
Washington D.C. 4,393.40 5 9 8,839.60 $68,400
Houston 3,944.90 5 2 5,566.40 $12,200
Atlanta 3,058.10 5 3 5,031.60 $11,100
608,025
Months x9
5,472,225.00
x15% discount
Total Spending 4,651,391.25
Our billboard media plan focuses on 10 major cities. These cities were chosen because they are the 10 ten DMAs in the
country. The amount of billboards placed in each city will vary according to that city’s specific DMA. The cities with the
highest DMA will contain the most billboards and continue in descending order. Each billboard creative execution will be
specific to the city it is located in. Each execution will have a direct relation with what that city represents or is known for.
Budget: Out-of-Home
Network Vehicle Length Freq. Rating Viewers Cost/insert GRP CPP Total Cost
CBS NCIS Special(s) 30 sec 6 3.8 15,335,000 $150,708 22.80 39,660.00$ $904,248
CBS Amazing Race 30 sec 5 3.2 4,222,000 $111,520 16.00 34,850.00$ $557,600
CBS Survivor: Redemption Island 30 sec 5 3.1 11,340,000 $135,268 15.50 43,634.84$ $676,340
FOX Glee 30 sec 5 2.9 4,371,000 $220,435 14.50 76,012.07$ $1,102,175
FOX Bones 30 sec 5 2.8 7,845,000 $132,250 14.00 47,232.14$ $661,250
FOX American Idol (Wed) 30 sec 6 7.9 21,180,000 $420,655 47.40 53,247.47$ $2,523,930
FOX American Idol (Thurs) 30 sec 6 6.4 22,627,000 $392,255 38.40 61,289.84$ $2,353,530
FOX House 30 sec 5 3.4 4,510,000 $108,722 17.00 31,977.06$ $543,610
ABC Dancing With the Stars 30 sec 6 5.3 22,627,000 $167,821 31.80 31,664.34$ $1,006,926
ABC The Bachelor 30 sec 6 5.8 8,769,466 $121,791 34.80 20,998.45$ $730,746
ABC Grey's Anatomy 30 sec 5 4.3 13,091,000 $188,385 21.50 43,810.47$ $941,925
ABC Modern Family 30 sec 6 7.5 10,800,000 $193,635 45.00 25,818.00$ $1,161,810
NBC Community 30 sec 5 2.2 5,600,000 $52,000 11.00 23,636.36$ $260,000
NBC Law and Order SVU 30 sec 6 5.4 7,450,000 $135,000 32.40 25,000.00$ $810,000
NBC The Office 30 sec 5 4.9 8,400,000 $213,113 24.50 43,492.45$ $1,065,565
Total Broadcast $15,299,655
Cable
MTV Fantasy Factory 30 sec 6 1.7 1,700,000 $54,000 10.20 31,764.71$ $324,000
USA White Collar 30 sec 6 1.3 1,700,000 $50,000 7.80 38,461.54$ $300,000
TBS Conan 30 sec 6 1.1 1,100,000 $30,000 6.60 27,272.73$ $180,000
BET The Game 30 sec 6 2.7 5,400,000 $57,000 16.20 21,111.11$ $342,000
USA Psyche 30 sec 6 1.3 3,573,000 $45,000 7.80 34,615.38$ $270,000
USA Royal Pains 30 sec 6 1.1 5,600,000 $45,000 6.60 40,909.09$ $270,000
HIST Pawn Stars 30 sec 6 3.4 6,739,000 $77,000 20.40 22,647.06$ $462,000
HIST American Pickers 30 sec 6 3.1 6,022,000 $71,000 18.60 22,903.23$ $426,000
ESPN SportsCenter (late) 30 sec 6 0.7 4,771,000 $38,000 4.20 54,285.71$ $228,000
Total Cable $2,802,000
Overall Total $18,101,655
Discount 0.85%
$ Discount $153,864
Total Spend $17,947,791
Budget: Television
Our target is very diverse in their likes and dislikes because of the broad scope of individuals. Because this is a national
campaign advertising a loyal brand, television was purchased on some of the highest ranked national shows to ensure we
were meeting them and getting max exposure for our dollar. Primetime shows will feature our advertisements year round
and will be supported by some of the popular cable television shows that hit our target. A large portion of our budget was
spent on television strictly because of the volume of the target. A continuous schedule in television was necessary to ensure
maximum exposure to the brand.
46 47
Budget: Radio
Our radio is specifically targeting the multicultural demographics of our target. Radio was purchased in 10 of the top 25
DMA’s and on radio stations that are popular with this specific target. The multicultural demographic has the highest influ-
ence from the radio so it is important that we meet them where their interests are strongest. It is vital that every part of our
target gets exposure to the ads and they feel a unique connection between them. The stations that were selected are all in
Spanish, and we will accommodate by having our executions the same.
City Station Format Daypart Day of Week Freq. Weeks Length Cume GRP CRP Total Cost
San Fransico KATD-AM Hispanic 3 -7 pm Monday-Friday 5 24 30 sec 4.5 22.5 899.00$ $107,880.00
San Fransico KVVF-AM Latin Hip-Hop 3 -7 pm Monday-Friday 5 24 30 sec 0.9 4.5 899.00$ $107,880.00
San Fransico KEST-AM Multicultural 6 - 10 am Monday-Friday 5 24 30 sec 1.5 7.5 899.00$ $107,880.00
Los Angeles KLAX-FM Mexican 6 - 10 am Monday-Friday 5 24 30 sec 2.3 11.5 1,083.00$ $129,960.00
Los Angeles KLYY-FM Hispanic 6 - 10 am Monday-Friday 5 24 30 sec 1.4 7 1,083.00$ $129,960.00
Los Angeles KXOL-FM Hurban 3 -7 pm Monday-Friday 5 24 30 sec 2 10 1,083.00$ $129,960.00
Los Angeles KSSE-FM Hispanic Top 40 3 -7 pm Monday-Friday 5 24 30 sec 1.5 7.5 1,083.00$ $129,960.00
Sacramento KLMG-FM Spanish AC 3 -7 pm Monday-Friday 5 24 30 sec 2.3 11.5 225.00$ $27,000.00
Sacramento KRCX-FM Mexican 6 - 10 am Monday-Friday 5 24 30 sec 1.5 7.5 225.00$ $27,000.00
San Diego KLQV-FM Hispanic Oldies 6 - 10 am Monday-Friday 5 24 30 sec 2.6 13 193.00$ $23,160.00
San Diego XHTY-FM Regional Mexian 3 -7 pm Monday-Friday 5 24 30 sec 1.1 5.5 193.00$ $23,160.00
New York WADO-AM Spanish Talk 3 -7 pm Monday-Friday 5 24 30 sec 0.6 3 1,405.00$ $168,600.00
New York WCAA-FM Latin Hip-Hop 3 -7 pm Monday-Friday 5 24 30 sec 1.6 8 1,405.00$ $168,600.00
New York WSKQ-FM Hispanic 6 - 10 am Monday-Friday 5 24 30 sec 3.5 17.5 1,405.00$ $168,600.00
Miami Ft. Laud WPOW-FM Top 40 6 - 10 am Monday-Friday 5 24 30 sec 5 25 194.00$ $23,280.00
Miami Ft. Laud WMXJ-FM Classic Hits 3 -7 pm Monday-Friday 5 24 30 sec 3.2 16 194.00$ $23,280.00
Houston KEYH-FM Hispanic 3 -7 pm Monday-Friday 5 24 30 sec 0.4 2 264.00$ $31,680.00
Houston KHCB-AM Hispanic Christian 6 - 10 am Monday-Friday 5 24 30 sec 0.9 4.5 264.00$ $31,680.00
Houston KOVE-FM Spanish Adult Hits 6 - 10 am Monday-Friday 5 24 30 sec 3.6 18 264.00$ $31,680.00
Chicago WGCI-FM Urban Contemporary 3 -7 pm Monday-Friday 5 24 30 sec 4 20 362.00$ $43,440.00
Chicago WOJO-FM Regional Mexican 3 -7 pm Monday-Friday 5 24 30 sec 3.4 17 362.00$ $43,440.00
Chicago WLEY-FM Variety 3 -7 pm Monday-Friday 5 24 30 sec 2 10 362.00$ $43,440.00
Chicago WMVP-FM Sports 3 -7 pm Monday-Friday 5 24 30 sec 1.5 7.5 362.00$ $43,440.00
Dallas KDFT-FM Hispanic Christian 3 -7 pm Monday-Friday 5 24 30 sec 0.8 4 296.00$ $35,520.00
Dallas KLNO-FM Mexican 6 - 10 am Monday-Friday 5 24 30 sec 5.4 27 296.00$ $35,520.00
Dallas KEGL-FM Hispanic 6 - 10 am Monday-Friday 5 24 30 sec 2.4 12 296.00$ $35,520.00
Dallas KESS-FM Mexican 6 - 10 am Monday-Friday 5 24 30 sec 1.4 7 296.00$ $35,520.00
San Antonio KCOR-AM Hispanic 6 - 10 am Monday-Friday 5 24 30 sec 0.7 3.5 81.00$ $9,720.00
San Antonio KLEY-FM Hispanic 3 -7 pm Monday-Friday 5 24 30 sec 2.5 12.5 81.00$ $9,720.00
San Antonio KROM-FM Hispanic Contemporary 3 -7 pm Monday-Friday 5 24 30 sec 5.3 26.5 81.00$ $9,720.00
TOTAL $1,936,200.00
Total Spending $1,645,770.00
Budget: Out-of-Home
Bus Wraps & Bus Shelters
Bus	
  Wraps
DMAs 4	
  week	
  Cir.	
   Reach Freq. GRPs CPM CPP 	
  4	
  wk	
  rate/bus Total
New	
  York(Suburbs) 20,406,000 0.93 5 4.665 $1.29 $5,623 $5,246 $26,230
Los	
  Angeles	
  Transit	
   27,406,901 0.93 5 4.64 $0.64 $3,754 $3,484 $17,420
Washington	
  D.C.	
  Transit 9,960,700 0.93 5 4.665 $1.56 $3,323 $3,100 $15,500
San	
  Antonio	
  Transit	
   33,006,001 0.30 5 1.495 $0.45 $9,839 $2,942 $14,710
Philadelphia	
  Transit	
   9,969,601 0.94 5 4.685 $0.87 $1,841 $1,725 $8,625
Houston	
  Transit 19,530,160 0.92 5 4.6 $1.41 $5,978 $2,640 $27,500
San	
  Francisco	
  Transit 99,884,000 0.89 5 4.45 $0.28 $6,180 $5,500 $27,500
Total	
   $137,485
Months x6
Total	
  Spending $824,910
InteracSve	
  Bus	
  Shelter
DMAs Reach Freq. GRPs4	
  Wk	
  Rate Total
New	
  York(Suburbs) 0.56 5 2.8 $9,850 $49,250
Los	
  Angeles 0.79 5 3.95 $8,640 $43,200
Chicago 0.77 5 3.85 $7,890 $39,450
Total $131,900
Months x6
Total	
  Spending $791,400
Total	
  Spending $1,616,310
48 49
91% of the US population has a cellular device. Of this population, 31% has a Smartphone and it is projected that by the
end of 2011, Smartphones will reach the majority. With this vast majority of the population diving into mobile devices, it is
important that Verizon meets them on a minimal, but consistent level. Because the product advertised is a phone, we don’t
want to water down the message and over expose the brand through pop-up text ads and videos. A small, but consistent
rate of advertisements to this target should give the appropriate exposure to the brand to this popular segment of the mar-
ket. What may look like deficiencies in mobile advertising from this campaign are partnered and strengthened by our social
media advertising. 96% of generation-Y has joined a social network and an incredible 80% of people access their twitter ac-
count via their mobile device. The combination of social media and mobile advertising, as well as support from Internet ads
support the mobile media purchases.
Budget: Mobile
Budget: Social Media
Executions Months Mess./Mo Cost Total Cost
Text 12 250,000 0.15$ $37,500
Total Spending $450,000
Mobile Games
Executions Months Imp./Mo Gross Imp CPM Cost/Mo.
Words With Friends 12 450,000 5,400,000 $30 $15,000
Angry Birds 12 450,000 5,400,000 $30 $15,000
Monopoly BHN 12 450,000 5,400,000 $30 $15,000
Total $540,000
Total Mobile Spending $990,000
Total Budget Toward Social Media $1,490,100
50 51
Flowchart
Seasonality Nov. Dec. Jan. Feb. March April May June July August Sept. Oct. Nov.
Teaser Flighting
Out-of-Home Pulsing
Internet Continuous
Print Continuous
Television Pulsing
Radio Continuous
Non-Traditional
Photobooth Continuous
Taxi iPhone Flighting
Interactive Continuous
Mag. Wraps Flighting
Social Media Continuous
Mobile Continuous
IMC
Music Festival Flighting
Fam. Contest Continuous
iPhone Kiosk Continuous
Promo Kiosk Continuous
Heavy-Up Placement
Regular Placement
Campaign Season November 2010 - November 2011
Final Budget Breakdown
52
Teaser 11,067,938.39$
OOH 6,267,701.25$
Internet 4,975,200.00$
Print 5,809,260.96$
Television 17,947,791.00$
Non-Traditional 5,864,288.16$
Social Media 1,490,100.00$
Mobile 990,000.00$
IMC 12,510,000.00$
Radio 1,645,770.00$
Contingency 1,431,950.24$
TOTAL BUDGET 70,000,000.00$
Recommendations
We recommend the following to Verizon:
- Continuing the music festival in the summer to build hype for 	
the proposed launch date of the iPhone 5
- Continually update the social media aspect, Twitter and 		
Facebook, to follow the company and their products
- Research efficient buyout strategies for competitor contracts
- Leverage other Verizon products, including FiOS TV alongside 	
the promotion of the iPhone

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Viphone Final

  • 1.
  • 2. Verizon iPhoneTeam Creative Director, Nolan Marker Research Director, JesseWitt Media Planning Director, Eric Sporinsky Introducing theVerizon iPhone campaign team, composed of the fin- est directors in the advertising field. TheVerizon iPhoneTeam consists of Research Director, JesseWitt, whose in tune eye for research has helped our team to find up-to-date reports, news casts, product and industry research and more. Creative Director, Nolan Marker, who has years of design experi- ence and leads the team with a creative eye and out - of - the box think- ing. IMC Director, Chelsea Mandello, who finds the media outlets that fit perfectly and reach our target in unexpected and exciting ways. And last but not least, Media Planning Director, Eric Sporinsky, who is in charge of the budget and final money allocation of theVerizon iPhone campaign. With this team theVerizon iPhone campaign is on its way to greater revenue opportunities. IMC Director, Layout & Book Design Chelsea Mandello Verizon iPhone 1
  • 3. 32 Table of Contents Executive Summary 03 Situation Analysis 04 Creative Strategy 22 Primary Research 19 Competitive Analysis 08 Creative Executions 24 Seasonality Chart 51 Media 41 IMC 36 Executive Summary Final Budget Breakdown & Recommendations 52 Main issue: Verizon wireless has clearly established itself as America’s most reliable network. With the looming release of the Apple iPhone under its dominant network, Verizon must work to capitalize on the anticipation and hype that has built up over the five years that the iPhone has been with AT&T. Our primary research has led us to understand that our target values the features of their mobile phone more than the features of their provider. For Verizon to capitalize on this fact they must establish that their network is good enough to warrant users of competitor’s services to make the switch. We have to increase the desire for the Verizon brand by relating our message closely to our target. We will do this using creative executions tailored to specific demographics through the use of targeted media. Research: After our primary and secondary research we divided our target into two groups: Primary Target (18 to 24-year-olds): This age group can be defined as trend setters who have grown up to experience rapid changes in technology. Social media has changed the way they communicate among peers. This change can also be seen in the way that they use their phones, preferring texting over calling and sending more than 1,600 texts per month on average. Secondary Target (25 to 34-year-olds): This age group falls across multiple generation segments, with the oldest members of Generation Y (Milleni- als) and youngest members of Generation X (Children of Baby-Boomers). While both segments of our target share some similarities, our secondary target is driven more by the need to advance than the primary target. This segment uses their phones for calling and performing business tasks more than the primary group. - This campaign will emphasize targeting the Hispanic minority through the use of radio media placements. - Key competitors of the Verizon Wireless service include AT&T, Sprint, T-Mobile, and prepaid phone companies. Media In order to reach our target on a personal level we will enact a media plan thats message is tailored to the individual engaging with it. Our selection of a wide variety of mediums allows maximum exposure to our large target. To specifically target the multicultural demographic, we created a radio schedule that directly targets this group. The combination of traditional and non traditional media as well as our teaser campaign allows us to meet our target anywhere they are in their busy and always changing lifestyls. IMC To create further buzz with Verizon Wireless, special promotional events will be tailored around our targets interests. Keeping consitant with our tagline, promotional events will incorporate the“better together”idea and focus on getting the target involved with the brand. These promotional efforts are all created to increase desire for the Verizon brand nation wide. Conclusion Of our $70 million budget, $19,965,300 was used for non-traditional advertising. We spent $48, 602,749.76 on traditional advertising, allowing $1,431,950.24 for contingency. Verizon Wireless is the nation’s leading wireless provider and has separated themselves amongst their competition. By teaming up with Apple and introducing the Verizon iPhone, Verizon will continue to increase their brand equity while further separating themselves from the competition.
  • 4. Verizon iPhone Situation Analysis 4 Recent Category and Brand History When reading the timeline, the companies are identified by the following symbols: Company Background & Overview Apple Co. Verizon The telecommunications industry is not a new invention, yet it is growing to grander heights. Since Verizon’s inception on April 3, 2000 from a combining of Bell Atlantic and GTE, Verizon has exceeded expectations and has worked towards a more connected nation. The industry itself has grown exponentially with the number of wireless customers exceeding 250 million. Quoted as“Businesses in the wireless industry invested $24 billion in 2007 in infrastructure, employ 3.5 million Americans and produce an unparalleled pace of innovation in the high-tech industry”. In the first year alone, Verizon reached 1 million customers and was the country’s number one communication provider. In 2002 the company kicked off a non-profit organization to help literacy for kids, entered the long distance market and began offering long dis- tance service to businesses and customers. In 2003, 04, and 05 the company further expanded itself, relocating corporate headquarters to lower Manhattan. The company began the Verizon Foundation donating $125,000 in“Good Neighbor Grants”and merged with MCI. In 2007, Verizon made plans for a $1.5 billion investment over the next three years for construction and development of its state of the art fiber net- work. Then January on 11, 2007 Verizon launched FiOS TV, in which ,under this network, everything could be connected to the consumer. By June 20, more than 1 million households enjoyed FiOS. Now in 2011, the Apple iPhone has been introduced to the nations leading cover- age service to the nation’s most reliable network. 5 2000 Verizon Forms Acquisition of GTE by Bell Atlantic, among largest mergers in U.S. 2005 Verizon FiOS Verizon begins taking orders for FiOs TV 2006 Idearc Verizon creates a new directory business, which now owns Verizon Internet yellow pages directories 2008 $9.4 Billion Footprint Verizon wins nationwide spectrum footprint in FCC-termed licenses, which allows Verizon to announce Long Term Evolution (LTE) network or the“next wave of wireless innovation” 2009 Verizon Acquires Alltel Purchased Alltel from Atlantis Hold- ings, expanding the company’s net- work coverage and making services available to nearly everyone in U.S. 2011 Verizon Acquires iPhone Verizon acquires iPhone 4 with plans of releasing the iPhone 5 and making Verizon the most sought after service and Smartphone in the nation 2007 iPhone introduced to market 2010 73.5 million iPhone’s sold 2008 iPhone 3G was released in 22 countries 2000 Apple Internet strategy: iTools; opened Apple stores across country 2006 Apple moved to intel processor 2010 Releases iOS 4.1 for iPhone and iPod
  • 5. Target Market and Prospect Primary target: Geographics Psychographics Demographics Secondary target: Psychographics Demographics 6 Brand Evaluation Brand Awareness Consumer Perceptions and Attitudes User Satisfaction Distribution Brand Uniqueness Adults 18-24 Early adopters are predominately white males and females age 25-34. Our target begins with the tech savvy era, whose upbringing has been surrounded by digital and social media ranging from age 18-24 year olds, and then spanning to 25-34 year olds. This group pertains to more trend setters rather than early adopt- ers, though a majority of the 18-24 year olds do not have a great deal of money, they are still heavy bloggers and media users. They generally allow their opinions to influence the purchasing power of older more affluent targets. • 55% of Smartphone users ages 15-24 are female. • Overall US Smartphone population is 55% male. • These adults ,18-24 ,exchange an average of 1,630 texts per month and are a heavy text/talk group. The targets for this campaign are early adopters, influencers and trend setters. These groups are filled with highly tech savvy genera- tions, having grown up in an era of electronics, social media, and cell phones. They are highly aware of their technological surround- ings, often seeking out new more advanced technology. What drives this group is the need for advancements. Rather than re- searching, like the early adopters, this group tends to try the prod- uct first then ask questions later. • 47% of young people 15-24 own a Smartphone • 94% of teens self-identify as advanced data users Adults 25-34 The secondary demographic are early adopters of any race, males and females age 25-34. This target falls into two generational areas; the old- est members of Generation Y (millenials) and the youngest members of Generation X (children of baby-boomers). Targets among Generation X tend to be individualistic, technologically adept and value a conservative balance between their work and their life: • 91% of males/females of this age group work full-time, many in tech-related areas • Tend to be more affluent, earning an above average household income This group is driven by the need to advance and can be described as technology seekers. They generally are connected to everything and work very hard to maintain their business and life on the same playing field. • Early adopters research their products thoroughly – 70% of early adopters research a product before committing to a purchase • Respond to products that can make their lives simpler, whether by connecting their home with work or by other means • 94% believe that technology has a positive impact on the world 7 Verizon is the leading competitor of cellular service since its incep- tion in 2000. Verizon ranks as the highest for unaided brand and advertising awareness, making the company the most well known throughout the nation. The company has 86.6 million customers and with the introduction of the iPhone 4 the number of Verizon customers is expected to increase. Through word of mouth and ex- cellent service, Verizon is not only the most well known, but is held to very high standards as the most reliable wireless network. The proof of brand awareness is in the number of satisfied customers and the high customer turnover of 1.12%, giving Verizon the best customer loyalty of all major U.S. carriers. Consumer perceptions and attitudes towards Verizon and Apple can easily be deduced from the sudden growth and popularity of both brands. Apple is known as the sleek, smart choice, spon- soring universities with Apple computers, and creating a firmer awareness for the technology. Verizon is ranked the highest in brand awareness, known as the most reliable network and both companies hold high consumer regards for these products. Sales of the iPhone, along with other Apple technology, are ever increas- ing and diminishing the use of PC Windows. Verizon, despite the company’s youth, has become a tremendous competitor to the cell phone market, and is revered by consumers as a reliable trustwor- thy brand, with fewer dropped calls and excellent customer ser- vice. Verizon is a brand recommended to friends and family. Early adopters and trendsetters are not in a certain area of the nation, but rather are all over the country, with increase concentration of big cit- ies such as New York, Chicago, Los Angeles, Washington D.C., etc. These cities have a higher concentrated population and are areas where tech- nology takes root for both groups to find. Apple has been one of the fastest growing trends in history keep- ing trend setters and early adopters at the edge of their seats. The company has created a very strong brand awareness from their logo, without having to use their name. Upon seeing the logo, con- sumers are aware already upon it’s ability and performance. Verizon is quoted as“leading the carriers”in customer satisfaction. Of 4,040 consumers surveyed for phone carriers, Verizon topped all other carriers in customer satisfaction and loyalty, and had fewer dropped calls. Verizon is the industry leader in customer satisfaction with 49% of customers saying that they are very satisfied with their cellular service, compared to Sprint 35%, T-Mobile 23% and AT&T 23%. Verizon ranks best in number of dropped calls, with custom- ers reporting only 1.5% of their calls being dropped over the past 3 months, compared to 2.4% for Sprint, 2.8% T-Mobile and 4.5% for AT&T customers. Verizon customers are found to be less likely to switch carriers. Verizon runs on a CDMA network that uses radio waves and tow- ers to connect customers. Unlike other services, CDMA is capable of reaching nearly any area in the United States without the over use of nearby towers, as it can travel in short waves over multiple mediums. This makes the Verizon network priceless as it is able to connect more users with little to no dropped calls or dead zones. Apple is unique in several avenues, compared to the PC/Windows programs and the iPhone has revolutionized Smartphones. Fo- cusing on the iPhone, it’s unique qualities consist of multi-calling capabilities, HD quality camera and face imaging, conference calls without dropping or combining calls, full screen Internet connec- tion and higher data speed. Both company services and products are evenly distributed, and available across the United States. iPhone satisfaction trumps all other Smartphones. In an iPhone user satisfaction survey, 91% were satisfied. The iPhone is used mostly for e-mail, web, SMS and audio capabilities and is ranked as the best for these features. 78% from the same survey said that the iPhone was a good or excellent value, and was“more than just a phone”.
  • 6. iPhone Director Competitors Competeing Smartphones Phone Carrier Price 3G/4G Picture Quality Touch Overall Rating iPhone 4 AT&T, Verizon $199-299 4G HD 5- Megapixels Yes 5./5 339 reviews Evo Sprint $149-$399 3G/4G Dual Cameras, 1GHZ Yes 4.7/5 processor 204 reviews Blackberry Verizon, AT&T, T-Mobile, $199-$349 3G-4G Typ. Qual. No 3.6/5 (Curve & Torch) Sprint 116 reviews MyTouch 4G T-Mobile $99-$449 4G 5.0 Megapixels Yes 4.4/5 110/120 reviews Droid Verizon, with Android $179-$479 4G 5.0 Megapixels Yes 4.2/5 tech phones at AT&T, 222 reviews Sprint, and Tmobile EnV Verizon $299-$409 4G 5.0 Megapixels Yes 4.2/5 242 reviews Competitive Summary iPhone Director Competitors Top 10 Mobile Phones 1. Apple iPhone 3GS 2. Samsung SCH-U450 3. Motorola Droid 4. RIM Blackberry 8500 Series 5. Apple iPhone 4 6. Apple iPhone 3G 7. RIM Blackberry 8300 Series 8. LG VX9200 9. Samsung SCH-U350 Series 10. RIM Blackberry 9700 8 The HTC Evo 4G is a Smartphone developed by HTC and marketed as Sprint’s flagship Android Smartphone, run- ning Windows Mobile. Unlike many other Smartphones in the consumer market, the EVO has a large 4.3-inches (480- by-800) TFT LCD capacity touch screen display with a pixel density of 216 pixels per inch (ppi). The T-Mobile MyTouch 4G is the most recent phone hype for T-Mobile. MyTouch 4G, or Glacier, is a Smartphone designed by HTC. This is T-Mobile’s second 4G phone, with 10 hours of talk time and Wi-Fi connection. The Verizon Droid is the most popular phone of Android technology and one of the major leading competitors of the Apple iPhone. This Smartphone is Internet and multi- media enabled and capable of multi-managing tasks. The phone was the first to ship with free Google Maps Naviga- tion, includes Wi-Fi networking, a 5-megapixel low light capable digital camera, and a touch screen. The Blackberry was one of the first generations of Smart- phones and has gained competitive brand awareness over the past 11 years. The Blackberry, however with the ever expanding Smartphone development, has led to a recent popularity decrease, though it still maintains a strong competitive standing. 98% of iPhone users use the data features of their phone, services that should improve with the enhanced speed promised by the iPhone 5 21% of Android users and 29% of Blackberry users consider switching to the iPhone The average number of apps that Smart- phone app downloaders have on their phone is 31% of all U.S. mobile subscribers have a Smartphone 9 Feature Phones Smartphones 69.1% 30.9 % RIM Blackberry OS 26.1% Apple OS 28.6% Other 19.5% Android OS 25.8% Total Market Share, Nov. 2010 27
  • 7. Sprint: “The Now Network”Competitive Summary Verizon Direct Competitors AT&T:“Rethink Possible” AT&T started as early as Alexander Graham Bell design of the telephone. AT&T became one of the first companies to pair up with the Bell system in efforts to push the communications industry to a new level. From 1984 to 1996, AT&T grew as an integrated telecommunications and equipment company. In 1994 however, AT&T wireless became its own division from AT&T and has now grown as one of the nations leading mobile service providers. AT&T has evolved from an early adopter company to one that’s consolidated whose revenue exceeds $123 billion. Today, AT&T has the fastest mobile broadband network and serves 92.8 million wireless subscribers. AT&T: Background Strengths: Weaknesses: The first national wireless carrier to launch 4G technology, Sprint Nextel is one of the leading competitors in the cell phone provider market. Founded in 1975 with the launch of the world’s first public data network, Sprint is a leader in innovation in the cell phone industry. Sitting third in market share rankings, behind AT&T and Verizon, Sprint has shown a steady decline in users over the years. With the launch of their new HTC EVO 4G phone, acclaimed by many to be the greatest Smartphone on the market, Sprint hopes to revitalize its growth rate and regain lost market share. Sprints latest selling point is their $69.99 monthly plan, which includes unlimited calling, texting, and web service. Sprint, whose current company slogan is“The Now Network”, is fighting to stay competitive with the current leaders in the industry, AT&T and Verizon, both carriers of the iPhone. If the HTC EVO 4G phone is as popular amongst customers as it is with critics, Sprint will be one to watch in competition with the iPhone’s launch on the Verizon network. Strengths: Weaknesses: Sprint: Background AT&T is a major competitor and has been one of the leading phone service providers in the United States. They have been known for being the first service to provide the iPhone, a big step for the company and for Apple. The company has excellent brand awareness across the nation. Some of the strengths the service has been commended for include: - iPhone - Wide store distribution - U-verse - Strong brand awareness - GSM network which claims faster data speed While AT&T is a leading phone service provider in the nation, they have recently gained a negative attention for having a great deal of dropped calls. The service has been quoted as“spotty”and“Not very reliable”on public blog sites. The phone service, while maintaining the iPhone since 2007, has recently been plagued by the company’s major competitor Verizon, who has now acquired the iPhone contract, making AT&T no longer the‘go-to’com- pany for the iPhone. Other problems that consumers have agreed upon are: - Poor customer service - Gaps in network - Slow to nonexistent Internet speed in populated areas such as major cities across the nation 10 11 Sprint is a competitive cell phone service. The service provides plans that allow free, incoming calling. The service, while not leading in Smartphone awareness, is commended for protecting their users from excessive overage charges, and having family fair and flexible plans. Some of the strengths the service has been com- mended for include: - One of the first U.S. cellular carriers to move network to 3G technology. - Offers great number of multi-media options: streaming, video and audio - Offers“push to talk” that allows walkie-talkie style calls Sprint is a well known service, however the service im- age has been lost behind AT&T iPhone, Verizon’s cover- age and has been fighting hard to break through the clutter. Sprint has lost popularity, and has very little stand out services that other competitors can’t imitate . Some other minor weaknesses of the service include: - PCS technology uses a digital network that operates on a higher frequency than most original cell phone net- works - Limited towers to run service - Limited roaming ability
  • 8. Strengths: Weaknesses: T-Mobile:“Get More” T-Mobile USA, a subsidiary of Deutsche Telekom, has been one of the leading sellers of cell phones since making its debut in 2002. It currently offers the na- tion’s largest 4G network. T-Mobile is ranked fourth among the nation’s leading cellular phone providers, with a reported 33.8 million customers as of the end of the third quarter in 2010. The company’s current positioning,“Stick Together” and the myFaves service emphasize the importance of maintaining and en- hancing personal relationships through their products and services. With their use of celebrities in the myFaves and myTouch advertisements, T-Mobile is catching the eye of their intended audience and staying among Verizon’s top competitors. T-Mobile: Background T-Mobile is the third largest cellular phone service in the United States and is the fastest growing company next to Verizon Wireless. T-Mobile has recently pushed itself forward into the spotlight with a new campaign rec- ognizing the My-Touch 4G. The campaign has brought consumers to them through low priced phone plans and also for ranking well in two national wireless satisfac- tion surveys. Some of the strengths the service has been commended for include: - Low priced plans in industry - A second place ranking to Verizon - A top carrier award Some weaknesses of T-Mobile, besides its recent popu- larity, is that T-Mobile has one of the smallest coverage areas. The company operates on both GSM cell phones and service on a single PCS digital band, which labels that in order for the service to work on another carrier’s network the network must not only use GSM but PCS as well. Other weaknesses include: - The company only recently introduced 3G coverage, lagging behind competition. - Fairly new company with little to no brand awareness - PCS and GSM service, making roaming difficult for the phone - Smallest coverage areas 12 13 Indirect Competitors Prepaid Phones: TracFone, Net 10, Boost, and Straight Talk Wireless: TracFone wireless is a prepaid mobile phone provider, with over 12.5 mil- lion customers, that offers five phone services; TracFone, NET 10, Safe link Wireless, Straight Talk and Senior Value Cell Phone. The most prosperous and popular of these phones are Straight Talk wireless which offers prepaid plans of $30 limited plans, $45 unlimited text, web and minutes plan and then varying plans of unlimited yearly plans. It is a Verizon CDMA network while AT&T and T-Mobile are on the GSM networks. Straight Talk offers 14 phones, and is continually introducing new phones to the public. They offer 3G coverage and consider themselves an“all you need”plan. Strengths: Weaknesses: Prepaid phone services have become recently popu- lar due to the recession over the past couple of years. The service offers phones on a CDMA and GSM service, which allows the phones to have service in a majority of the country. The service allows a constant monthly pay- ment for minutes or service, and has been a very useful service for those who don’t want to pay a great deal of money for service. The service has basic phones, but has some similar advanced models mocking newer, pricier phones without the over-extended payments. The big strength of the service is its availability and cheap costs. Some of the strengths the service has been commended for include: - Phones that allow Internet access, and unlimited service for $45 a month compared to $80 - $100 services - Many phone choices to choose from Some weaknesses of prepaid phones are the lack of Smartphone or newer technology. The phones are intentionally lagging, due to the cheaper service. If the phones were to be of better quality than the services would make for a more competitive market. A final weakness is the poor customer service quality. - Regular phone/ No Smartphones available - Need a monthly card for service - Phones do not have multitask, conferencing capabilities as more advanced phones have
  • 9. 14 Product Specs The Product: The Features: Apple iPhone Verizon Plans Psychographic Targeting 15 $49 - 8GB $199 - 16GB $299 - 32GB The Price: Dimensions: Weight: Height: Width: Depth: 4.8 ounces (137 grams) 4.5 inches (115.2 mm) 2.31 inches (58.6 mm) 0.37 inch (9.3 mm) •Built-in rechargeable lithium-ion battery •Charging via USB to computer system or power adapter •Talk time: Up to 7 hours on 3G Up to 14 hours on 2G (GSM model only) •Assisted GPS •Digital compass •Wi-Fi Display • Fingerprint-resistant oleophobic coating on front and back •Retina display •3.5-inch (diagonal) widescreen Multi-Touch display •960-by-640-pixel resolution at 326 ppi Audio and Video Formats • Video recording, HD (720p) up to 30 frames per second with audio • 5-megapixel still camera • VGA-quality photos and video at up to 30 frames per second with the front camera • Tap to focus video or still images • LED flash • Photo and video geotagging Individual Plans, Family, Prepaid, Mobile Broadband Apple Dedicated Smartphone Interested The Doubtful or Unsatisfied AT&T User iPhone Interested Verizon User The Apple Dedicated users are forward thinking individuals who enjoy simplicity in technology. This person is interested in ease of use, and the sleek , simple, clean design of Apple prod- ucts. This group, though they might not have an iPhone, but they appreciate the Apple design, and already trust that Apple is a reliable product. This group knows from word of mouth, first hand experience and research that Apple is a capable prod- uct that is also in high market demand. This group of individu- als is generally tech savvy, interested in products that they can rely on, and that they can enjoy without the hassle of down- loading programs or having to read user manuals. The Apple Dedicated user ranges from all ages, and is both male and fe- male. To reiterate, they trust apple, and so when looking for products over different mediums they trust what they know. The AT&T User is like any other individual with no specific de- fining characteristics. Some are content with their phones and their service, similar to any customer of any product, so long as there isn’t a strong brand loyalty, then there is always an op- portunity for change. Many of the AT&T users chose their ser- vice because of their family, friends or the phones that were only offered by AT&T. These users, like any, would be will- ing to embrace change if the product they were interested in switching to made the switch as easy as possible. These users could be anyone who is currently using the service, but who has grown tired of their service, for any reason. Continuing, these are individuals who are interested in switching servic- es, but are unsure as to what service would be best for them. These individuals are already Verizon customers, but do not have the Verizon iPhone. These individuals are Verizon loy- al, and have been with the service long enough to continue their contracts. There are two groups within this user psycho- graphic. One of the subgroups involve individuals who wait- ed for the iPhone, and stayed dedicated to Verizon, but when their contract expired they had no choice but to renew their contract with a phone other than an iPhone. Now that Veri- zon has acquired the iPhone they want to switch, but they do not want to be charged for upgrading their phone. The sec- ond subgroup are individuals who didn’t wait for the iPhone and weren’t particularly awaiting it’s arrival. However, now that Verizon has acquired the iPhone they are interested in upgrading to or renewing their contract with the iPhone. The Smartphone Interested individual is not anyone of a specif- ic age or gender.This individual could be anyone from the trav- eling salesman to the college photographer. This individual is a realist, but is also adventurous. Individuals such as these like to go wherever they want, whenever they want. Though indepen- dent, they are still very involved, staying social and interactive, even on their adventures and allowing others to be able to keep up with them. For this individual, having phones and computers is another way to keep in touch, and so no matter where they are,orhowoftentheytraveltheyareabletokeepupwithfriends and family. The Independent enjoys being able to spread their wings,andprefertechnologytobeasleastconfiningaspossible.
  • 10. 16 Brand Capsules Sarah, 24, is a recent college graduate and an already on the rise business women. She may be young, but right out of the gate she had an internship followed by an immediate job for an insurance company. She is always running papers, or running for leisure, so in many ways Sarah is literally always on the go. Sarah has been on the AT&T network since she first received a phone at the age of 16. She started off with the network because of her family being on the AT&T land line service, and eventually a cell phone family plan. She trusts what she knows works, from foods, phones and even work plans.“If it works then why change?”is her model, and comes from her father who was a tough Marine and believes in sticking with what you know. She is, however, always willing to try something new, and believes that with enough research and digging, resolutions can be made. She isn’t really looking for a new phone, or service, but she has recently been hearing from her friends and coworkers that Verizon has a better service than AT&T. She is skeptical and not quite to the point of switching unless Verizon is able to reach her personally. She is a questionable buyer, and would be will- ing to switch only if she feels there is a real benefit for her. Maria, 39, is a well-grounded photographer with an eye for life. She is always on the move, but has her own shops around the country that sell her work. Her lifestyle is what many would not consider, but for her, life is simple, adventurous and she loves it. Maria loves color and follows her Hispanic heritage showing her style through her photography. Maria keeps up with technology, but makes sure everyone is able to keep up with her. She looks for tech- nology that helps her not only stay connected, but that also keeps her life flowing seamlessly. She loves iPhone, but has found over recent years that the AT&T service isn’t up to her stan- dards. She can’t make long trips, because her service may be dropped and she is starting to hate the confines of her phone. She feels as though she is on an invisible leash and she’s tired of it. She’s looking for a way to keep her favorite phone, but lose the part she strongly dislikes, her service. She wants a new service that will follow her wherever she wants to go, even if that includes down a river in the Grand Canyon or to a majestic hot spring in Yosemite Park. Maria has decided that her service needs to be as nationally adventurous as she is, without any complaints or dropped calls. Brand Capsules Damon, 32, is an early adopter, working for a small technology firm in Chicago. He lives with his wife and two kids in an affluent neighborhood just outside of the Chicago area. Damon’s day-to-day routine involves working on his computer, reading the paper on his iPad, or listen- ing to his iPod on his commute, keeping him continually involved with technology. His home is full of the latest and greatest technology including phone and internet service, to keep up with his blogs, email, etc. While reading reviews of the latest product, Damon also blogs about and writes his own comments and reviews. It was his love for technology innovation that brought him to his job of helping others make decision for products. He takes trips to the gym twice a week, and tries his best to keep up with hot topics and social life outside of work. When he isn’t at work, or on his computer, he is relaxing in his comfortable chair and enjoys just being with his family. He also enjoys watching prime time television, like CSI with his wife, to watching cartoons with his children. Damon loves his family, his job, and technol- ogy. He is a proud early adopter. Tom, 19, has recently graduated high school and is preparing to move on to college to further his education. Tom works hard while preparing for his fall college classes, working part-time at a low paying retail store and conditioning for baseball. Tom, like many college students, is part of his family’s cell service, Verizon, because of the family plan. He doesn’t pay his own phone bill, and as a new college freshman he doesn’t really plan to any time soon. He has worked out a deal with his parents that as long as he keeps his grades up then he gets to pick out his own phones and his parents will continue paying his service. He has owned his current flip phone for two years and uses it to keep in touch with friends and will soon use it to call home. Tom’s phone contract expires in a month just in time for him to start college. He has been researching and saving his money from his job for a new phone, and has decided on the one that he finds both stylish, user friendly and useful. He wants to be able to surf the web, watch movies, and download apps, and the iPhone might be the perfect fit. Tom is not only an influencer, but also a partial buyer so he is ready to take a leap for the new iPhone on the Verizon service. 17
  • 11. 18 Primary Research Focus Group The campaign objectives took direction from the key insights of our focus group. The first group contained individuals who were all iPhone users on AT&T‘s service to talk about how they use their iPhone. The second focus group contained individuals who were Verizon users to talk abo their service. Both groups were asked a series of qualitative questioning, dissecting their current phone service, motivation and reasoning for their choice in service, as well as phone usage, benefits/issues, and thought processes behind their purchasing patterns. Both groups provided a small sample size, to the buying habits and shopping behaviors of the primary target. Problems & Opportunities Problem Previous competition with ads from Verizon and AT&T – We cant tarnish AT&T’s brand image because we are selling the same product under a different network. Opportunities Capitalize on Verizon’s larger coverage for a network – establish why Verizon is the premium wireless network through merging the #1 Smartphone with the #1 network. Problem Opportunities Verizon is selling a phone that has been on AT&T’s network for 5 years. Although customers have waited 5 years for the iPhone on Verizon, the anticipation has increased the hype – Verizon’s consumers already have an established image of the iPhone so Verizon’s focus can be on the coverage. Problem Opportunities We have to balance Verizon’s image and Apple’s image simultaneously. The campaign has to be unique to Verizon but stay consistent with Apples identity Consumers have a positive perception of both brands already. Verizon is an established brand as well as Apple. Problem Verizon’s national network is limited to the United States (CDMA vs. GSM). Features vary from network to network under the iPhone including data speed. Opportunities The CDMA coverage is better than that of GSM. Verizon’s focus is restricted to the United States while AT&T has to deal with coverage overseas. CDMA is quicker so it supports why the iPhone will be better to consumers in the United States, which is the focus of this campaign. Problem AT&T has already established themselves as carriers for the iPhone – Consumer loyalty might side with AT&T limiting customers for the Verizon iPhone. Opportunities Verizon has the better network for coverage. If loyalists of the iPhone under AT&T’s network see it more beneficial to switch networks, it will strengthen Verizon’s brand image 19 AT&T User Insights The purpose of the AT&T focus group was to learn about what it is that makes the iPhone such a desirable product and what improvements they would like to see in their service. “I love apple technology, and iPhone was just the next best thing.” “I have AT&T iPhone, more so because of the Apple product than the AT&T service.” “If you could show me that Verizon has better service then I would switch.” “Love the combination of phone and iPod” Verizon User Insights The purpose of the Verizon focus group was to learn what features of the Verizon network help to make it the most dominant service provider in the marker. “Verizon was one of the first companies to do unlimited texting and I’m a huge texter” “I feel like when Verizon says that they have a wide coverage area I actually believe them” “...also a good signal everywhere because the kids that I work with , they have AT&T and if they end up going downstairs, or down the wrong hallway then they don’t have service, but I have Verizon and I have service everywhere I go” The goal of the focus groups was to understand the strengths each product has to offer and to effectively capitalize on those strengths when relating to our targets and other consumers.
  • 12. Comparing the Services Customer Satisfaction Dropped Calls Verizon is the industry leader in customer satisfaction with 49% of customers saying that they are“very satisfied”with their cellular service, compared to Sprints 35%, T-Mobile 23% and AT&T 23%. Their satisfaction revolves around dropped call percentages, customer service and market interest. Verizon also ranks best in fewest number of dropped calls with customers reporting only 1.5% of their calls being dropped over the past 3 months, compared to 2.4% for Sprint, 2.8% T-Mobile and 4.5% for AT&T customers. Verizon customers are less likely to switch carriers compared with any other network. People said on other carriers that if they were to switch, it would likely be to Verizon. Due to the percentage of dropped calls, customer loyalty for carriers depreciates. Verizon, having the fewest dropped calls reports that only 7% of customers say they would switch, com- pared to Sprints 10% and T-Mobile 14%. Research Secondary Research - Mintel Reports/ Academia Mobile Reports Over the past 3 years the economy of the United States has been in a slow recession, leading to unemployment. The unemployment has been a major deterrent for spending; house purchases, holiday shop- ping and thrifting. While the hiring process has begun to pick up, the economy was still in need of review for the proper targeting for the Verizon iPhone Campaign. The economy has improved as of 2010, though the official unem- ployment rate as of May, 2010 was still very high, measured from the U-6 unemployment was 16.6%, or over 20 million people, roughly, are still out of work. However, despite the recession, and unemploy- ment, research shows that cell phone service subscriptions did not decline, but from CTIA estimates the number of wireless connections increased to 285.7 million, up 12% from 2007. Cellular services have increasingly come to be viewed as an essen- tial rather than a luxury, especially for those whom are still unem- ployed and searching for an occupation. 4 G network has been an ever rising star among the Smartphones of the new era in technology. Phones are no longer a driving product for simply calling another individual, but another demand seeks the cellular attention, with consumer demands of Apps (Applications), Video calling and video chat Capabilities. Apple has included its new FaceTime user, allowing Wi-Fi video call with anyone else with the same phone capabilities. Video chat has become popular on PCs, and younger generations are becoming more interested in the phone video FaceTime, 33% of 18-24 year old group interested in talking to their cell phones and being able to see who they are talking to on their cellular screen. Moving forward, this interest in the younger gen- eration has revived the data traffic levels on cellular network. Video Network Continued: Based on 1,832 Internet users aged 18+ who own a cell phone “I would love to see the person I’m talking to on my cell phone” Topic of Video and Smartphone Capabilities The Economical Effect on Cell Phones & Services Agree(%) Total 19 Gender: Male 20 Female 18 Age: 18-24 33 25-34 24 35-44 17 45-54 17 55-64 13 65+ 10 Household Income: $50k - 74.9k 19 $75k - 99.9k 18 $100k+ 19 The respondents that are more interested in video conferenc- ing, and more technological advancements are the younger generations, though they may not be of the affluent index that is able to purchase the advancements in phones. Similarly, in another study, older respondents are more interested in design factors such as size and type of phone ( flip, slider, etc.). In comparison to younger respondents, who aren’t as fully interested in the aesthetics of the phone, but are more interested n high battery life, as well as features such as large screens, full keyboards and high-quality cameras. This isn’t to say that younger generations don’t care about the look of phones’instead they are open to considering new types of prod- ucts that might redefine what should be considered a“phone”, in order to get the functions that they want and need. 20 21
  • 13. Creative Strategy Business Objectives Advertising Objectives Affective: Conative: Cognitive: Target Market Demographics 1) Consumption: Increase amount of Verizon customers by 10% while increasing Verizon iPhone users by 5%. 1) Establish brand loyalty to Verizon and the Apple iPhone by demonstrating Verizon’s reliable service and iPhone’s unique 2) Strengthen Verizon’s brand equity and awareness through the use of strong comparison advertising and IMC events. 3) Interest the target to switch to Verizon or begin pre-ordering the Verizon iPhone 5, which is rumored to launch this summer. 4) Create a“water cooler”campaign that will be discussed by the 1) Persuade current Verizon and Apple customers to become influencers for users of AT&T and other cell phone services. 2) Involve current customers and consumers with IMC and outdoor participatory events. 3) Influence a movement to not only purchase the iPhone 5 but to have faith and desire for Verizon service (including FiOS TV, home phone, and Internet). 1) Portray Verizon as the most reliable network. 2) Depict the iPhone as the best Smartphone on the market now paired with the most reliable network. 3) Inspire desire for the Verizon brand and it’s services. Positioning Claim Support Tone Verizon’s current campaign,“Rule the Air”is used to make customers feel secure within their network. “It’s a new brand campaign. It’s just meant to describe how our network empowers our customers,”Verizon spokeswoman Brenda Raney told Fierce Wireless. In this campaign we are dealing with two of the most successful companies in their respected fields. With this in mind, we can position the combination of Verizon and Apple iPhone as one of the greatest merges in business history, compar- ing it to other popular pairings. Using the tagline“Some things just go better together,”we will show a comparison between Apple and Verizon and other great combinations of items, people, or characters. Through our ads we will show how Verizon’s acquisition of the iPhone has com- bined the world’s greatest phone with the world’s greatest network. It is not very often that the greatest merge to work together, and we will make this point clear in our creative executions and IMC events. Our job for this launch is not to position these companies as number one in their markets because they have already achieved such status. Our job is to increase the gap even further between Verizon and iPhone, and their competitors. Consumer Promise Our promise is that Verizon’s service and coverage combined with the worlds #1 Smartphone, the Apple iPhone, will meet your needs bet- ter than any other phone on the market. The coverage will prevent any hiccups in downloading media, searching the web, SMS messaging, and phone calls so you can rest assured that your network is reliable in any and all situations. Our promise to consumers is any Verizon iPhone user will find the satisfaction in our large coverage and appreciate a phone that can work speedily and properly at all times. We also promise to make their switch to the Verizon network and the Apple iPhone a smooth and easy transition. Programs and services will be established to take care of the hassles involved in switching networks, a primary concern of our focus group participants. Verizon is working to establish themselves as the number one cell phone provider available through their acquirement of the Apple iPhone, and to increase desire for the Verizon brand and it’s services. -Through their use of the CDMA network, Verizon has established them- selves as America’s most reliable network. -Established in April 2000, from a combining of Bell Atlantic and GTE, Verizon has grown to acquire more customers than any other cell phone provider. The“Some things just go better together”campaign expresses how previous iPhone users, while pleased with their cell phone, weren’t quite satisfied with their service. With the inclusion of Verizon as a carrier of the iPhone, we are providing a better experience and 100% satisfaction for iPhone users. We will emphasize this by comparing the combination of Verizon and Apple iPhone to other favorable and relatable pairings. The ads will be clean, simple, and easy to recognize. Using a pattern of“this + that”this campaign will provide a simple but effective message. Whether it is bacon and eggs, Snoopy and Woodstock, or Chicago and Pizza, our pairings will represent how Verizon and iPhone are better together. The strongest aspect of this campaign will be its media specificity. Whether it be the combination of Hammer + Nail in a DYI magazine execution, or NYC +Broadway plastered on a NYC transit bus, our ads will reach the audience for which they are intended. Since we are in charge of the initial launch of the iPhone on the network, we will be running a teaser cam- paign as well. This teaser campaign will include both TV and OOH execu- tions like the one’s mentioned above, with taglines that read,“A better pair is coming.”Once the launch date occurs, the OOH prints will be replaced to include the message“Some things just go better together.” This message will work well visually and relates to our target because of their pop culture knowledge and interest in icons. Restrictions - Apple is now a partner with both AT&T and Verizon therefore advertis- ing needs to be delicate in comparing coverage with AT&T. - Necessary to create executions that fit within the brand identities of both Verizon and Apple. 2) Build hype for product launch: Through the introduction of a teaser campaign we will increase hype and pre-order sales of the Verizon iPhone. 3) Brand Desire: Increase loyalty and desire for Verizon service among 18- 24 year-olds. From our focus group we learned that customers are far more loyal to brands/types of phones than there are service providers. Psychographics Geographic 22 23 capabilities The secondary demographic are early adopters of any race, males and females age 25-34. This target falls into two generational areas; the old- est members of Generation Y (millenials) and the youngest members of Generation X (children of baby-boomers). Targets among Generation X tend to be individualistic, technologically adept and value a conservative balance between their work and their life: • 91% of males/females of this age group work full-time, many in tech-related areas • Tend to be more affluent, earning an above average household income This group is driven by the need to advance and can be described as technology seekers. They generally are connected to everything and work very hard to maintain their business and life on the same playing field. • Early adopters research their products thoroughly – 70% of early adopters research a product before committing to a purchase • Respond to products that can make their lives simpler, whether by connecting their home with work or by other means • 94% believe that technology has a positive impact on the world Early adopters and trendsetters are not in a certain area of the na- tion, but rather are all over the country, with increase concentration of big cities such as New York, Chicago, Los Angeles, Washington D.C., etc. These cities have a higher concentrated population and are areas where technology takes root for both groups to find.
  • 14. Creative Executions: Teaser Series In order to expose consumers to the launch of the Verizon iPhone we decided to use billboards. Billboards will be one of the two mediums used to display our“A better pair is coming”message. Billboards deliver high frequency at various loca- tions and help build reach over an extended period of time. With our teaser campaign running for three months prior to the release of the Verizon iPhone, we feel that the presence of billboards in heavily trafficked areas will cause commuters to talk amongst their peers about the product launch. Verizon and Apple have both used billboards previously to introduce new products. Billboards work best when displaying a clean and simple message and our teaser campaign executions are just that, clean and simple. 24 25
  • 15. Creative Executions: Out-of-Home Series After the Verizon iPhone is launched on Febru- ary 14, 2011 all of our teaser billboards will be converted into our post launch billboards dis- playing the message,“Some things just go bet- ter together.”We are using billboards in the top ten DMA’s in order to reach the largest amount of people possible. Our target will view this bill- board routinely on their daily commute to work and school. The iPhone is a mobile device and our target is busy and active. The billboards crisp red background will be strong and empowering, catching the eye of the consumer as they race quickly along the interstate. By advertising on billboards we can reach them while their desire for a mobile phone is greatest. BusWraps City bus wraps will be location specific depicting the featured city plus an item that city is known for. These buses will reach our target by relating a tradition, place, or event the city is known for with the combination of Verizon and iPhone. The theme of the campaign‘Some Things Just Go Better Together’is conveyed through the use of comparison advertising. The objective is to not only increase awareness of the Verizon iPhone but to also instill a desire to join the Verizon network with the iPhone. Interactive Bus Shelter Digital billboards can be used to instantly update information at the speed of the Internet. Interactive ads allow consumers to engage with the brand and have a personal experience with the advertisement’s message. We will place interactive digital billboards on bus shelters in New York, Los Angeles, and Chicago allowing our target to engage with our brand message,“Some things just go better together.”Waiting bus passengers will have the ability to slide items in place to form a pair they feel“just goes better together.“ By allowing our target to interact with our ads, it will increase the recall rate and ad efficiency. 26 27
  • 16. Creative Executions: Print Series After the introduction of the iPhone 4 to Verizon, print executions willbe re- leased the campaign theme, ‘Some things just go better together’. This theme will be demonstrated through images of well known pairs; i.e. hammer and nail, bacon and eggs, spaghetti and meatballs, etc. These execu- tions will be throughout high reach magazines, that are popular for the primary and secondary targets. Each ad will be specific to the magazine it is featured in with food executions placed in cooking magazines,“Ham- mer and Nail”in home and improvement magazines and the“Rock and Roll”ad in Rolling Stones etc. These executions will fit with the magazine theme and there- fore relate to the individual reading it. This objective helps to reach the individual on their level, and entice them to look further into possibly purchasing the Verizon iPhone. Creative Executions: Online Series + + + Some things just go better together. + When dealing with the launch of a product, building hype for the release date is extremely important. This is why we de- cided to spend $12 million on a national teaser campaign. Starting in November we will use television commercials and billboards to increase excitement for the launch of the iPhone. We will use a pulsing schedule in order to enhance desired anticipation and draw their interest without over exposure. By only advertising on two mediums we aren’t hitting the target over the head with our message, and we reach them in a respectful manner. We simple want to inform our target that“a bet- ter pair is coming.” 28 29
  • 17. The TV spots will feature a man going through his morning routine. As he is getting ready, he discovers that he is miss- ing things that work together to help him prepare for the day. As the commercial comes to an end, the man grabs his iPhone and heads to work. Just like the things that go togeth- er in your morning routine, Verizon and Apple go togeth- er to provide the best pos- sible combination of network coverage and phone. Some things just go better together. Creative Executions: 1 Min. Video Series Spot 1: An alarm clock begins to sound and is quickly turned off. Spot 10: He sits down and begins to eat with his hands. Spot 5: He puts his shoes on without socks. Spot 9: The man opens the draw- er and can’t find a spoon. Spot 4: The man gets dressed and discovers that he doesn’t have any socks. Spot 8: He tries to pour milk but it’s empty. Spot 3: He only has a small wash- cloth to dry with. Spot 7: The man pours himself some cereal. Spot 2: A man begins to take a shower. Spot 6: The man is out of tooth- paste, so he brushes without. Spot 11: The man fixes his tie as he walks out of the kitchen. Spot 13: Tagline appears followed by Verizon and Apple logo. Spot 12: He grabs his iPhone and leaves for work. 30 31
  • 18. Magazine Wraps Magazines hold a very high reach among our targets. Magazine wraps are an effec- tive interactive non-traditional piece that the consumer has to interact with, build- ing awareness for iPhone and Verizon. Cost: $3,674,288.16 Taxi iPhone Taxi’s and rental cars are a popular mode of transportation for the tourist and business aspect, as well as any outliers within the target. iPhones will be at- tached to backseats in taxi cabs, as well as on the dash of rental cars, for the consumer to enjoy while in the automobile. This will allow the consumer the ability to interact with the phone, while otherwise they might not go out of their way to try. The iPhone will be able to surf the Internet, have popular ap- plications on it, such as Facebook, and Google maps, and already installed apps for the individual to browse. Cost: $ 1,650,000 Creative Executions: Non-Traditional Series Verizon iPhone Photo Booth Verizon iPhone Photo Booths will be placed in malls and shopping centers in 5 major cities across the country . Each booth will be specific to the city it is placed in. The photo booth will have background im- ages of the cities well known attractions. In addition to the pictures being free of charge, the images can be directly uploaded to the con- sumers Facebook or sent via Wi-Fi to the users phone. An iPhone dock will be located inside the photo booth for those who already have an iPhone. This will allow customers to download the images straight to their phone. Cost: $315,000 Angry Birds Interactive This interactive execution will be projected on a large screen that resembles an iPhone turned sideways. It will feature one of the most popular games for a Smartphone, Angry Birds. This game will be open to people of all ages and will be played by movement recognition technology. This Angry Birds interactive execution will create interest, not only for the game which can be bought via the Apple App network, but but also draw awareness to the Verizon iPhone. A Verizon logo will appear on a plaque next to all inter- actives executions. Cost: $225,000 32 33
  • 19. Creative Executions: Mobile & Social Media Facebook Mobile Twitter Some things just go better together. Game resumes in :05 + Social media has overtaken pornography as the #1 activity on the web.. Recognizing this increased popularity, it was necessary to ac- commodate the targets habits. This involved changing the Facebook and Twitter profile pages to keep up with the targets needs. The Face- book page will be focused on customer service and promotion while the Twitter page will serve as a conversational tool to simply interact with customers and enhance the Verizon brand image, as well as cross promote contests mentioned on Facebook. The objective is to increase awareness and brand recognition for Verizon through the campaign tagline. The tagline, which implies the combination of ser- vice and the number one Smartphone, as the better pair/ choice for consumers. Our Twitter page will have daily tweets suggesting“cool” apps and request to“tell us what you think”enhancing the interac- tion. Facebook will serve as a promotional tool allowing customers and non-customers to see information, news, and offers regarding the Verizon brand. This simple mobile ad will be sent only to Verizon customers. The purpose is to ensure to the current Verizon customers that they are on the best network curbing cognitive dissonance. Customers who own a Verizon iPhone will have a sense of pride when viewing the ad. Verizon customers who don’t, will view it as another effort by Verizon to make their service the best. The best coverage, the best plans, the best phone, finally all under one network. 34 35
  • 20. IMC Better Together Music Festival Objective: Create hype through promotion and develop excitement about the Verizon iPhone introduction, and the cam- paign theme‘Better Together’. To raise awareness nationwide for the Verizon iPhone and increase design for the Verizon iPhone 4, as it becomes available. Strategy: To excite our target over all demoograph- ics and psychographics, famous bands will reunite for a Music Festival, making the introduction of the Verizon iPhone unforgettable. Further spread brand awareness to our target. Tactics: Well known bands cost $3.6 million and up- wards. This includes stage costs and the property for the event. The total cost, before revenue will range an estimated $5 MM. The iPhone is priced at $149, and the music festival will be a good opportunity to increase pre-order sales. Verizon shirts will be made and sold for a low cost to enhance sponsorship dur- ing the event. Rationale: This is a great way to reach every gen- eration of our target becuase music interests all demographics. This is a good way to increase aware- ness of our campaign message by implementing it to promote the event. Through this Music Festival Verizon is bringing the greats back together. Event Cost: $4,300,000 Music Festival Shirts Verizon iPhone Better Together Music Festival Poster IMC Family iPhone Kiosk Verizon iPhone Family Kiosk: location at Walt Disney parks in California and Florida Objective: Allow AT&T customers the ability to switch their ser- vice to the Verizon family plan with minimal hassle. Strategy: To run a monthly Verizon kiosk during prime tourist seasons, at well known family theme parks, This will allow those who on a competitor’s family phone plan to switch with as little trouble as possible. Tactics: The Verizon Kioskwill be a friendly side step to the family vacation, and is there for family plans. The main reason for this event is to help those on a family plan upgrade their phones, and switch services all without the hassle of going to a store. The patrons will be able to switch numbers, and take over current contracts no matter what other carrier the consum- er is on. The consumer will be able to walk into the tent, pick a phone and a plan, and walk out of the tent with the same number the same day. Rationale: Primary research concluded that many us- ers of other services would be willing to switch carri- ers if the opposing carrier made more efforts to come to them. We also found that many of the customers were with their current service, not because of loyalty to the service, but because it had been a family plan decision. In order to change service providers it would be necessary for the entire family to switch. Event Cost: $5,000,000 Average Event attendance: 1,435,000 36 37
  • 21. Better Together Family Mini-series Contest Objective: Produce family interaction and partici- pation for the Verizon iPhone. Also create aware- ness and desire for Verizon’s service plan through a promotional contest. Strategy: To create a family mini-series contest, that allows families to compete for a Verizon spon- sorship that would give the family free iPhones and a years worth of service for free. The families will compete by entering mini-videos explaining why they are“better together.” Tactics: There will be an interactive online voting site that will be complete with rules and an entry form. Users who are not entering can view the entrants videos and vote on which family they believe should win. The family will be competing against thousands of other families across the nation and multiple rounds will be held until a winner is ultimately selected. Rationale: Many consumers are interested in obtaining free products, and are willing to compete for the chance for free service. Phones and plans are used by 91% of consumers in America, making phones and services a valuable commodity. This contest will bring awareness to the iPhone and Verizon, by placing the videos on Verizon’s site for others to go online and vote for their favorite family. This will increase traffic to the site and increase desirability for the phone and service. Event Cost: $710,000 Promotions: Kiosks The most telling insight we heard from our focus group participants was that they aren’t loyal to a specific network provider. They are much more concerned with the mobile phone itself, and convenience is the most influential factor in making them switch providers. With this in mind, we needed to come up with a way to make switching easier and more efficient. We will be allocating kiosks to be used as switching stations in malls, parks, city centers, and other designated areas. These kiosks will serve as a way for Verizon to meet our customers where they are, allowing them to switch to the iPhone without paying a cancellation fee. These kiosks will be introduced in the top 5 DMAs across the country. 38 39 Event Cost: $2,500,000
  • 22. Media Objectives and Strategies Objectives Strategies To influence the primary and secondary target to purchase the iPhone on the Verizon service plan. Target Geography Seasonality Reach/Freq. To provide advertising and promotion across the nation, heavying up in larger metropolitan areas to reach a larger per- cent of the target audience. To maintain the campaign goals, reaching the target audience over the course of No- vember 2010 to November 2011, without sacrificing impact through overexposure. To reach 75% of the target within the first 6 months of the campaign, during the awareness months in which the campaign will be focused on informing theabout the upcoming product launch. To purchase media which most effectively reaches the target audience, based on their purchasing, reading and viewing habits. As well as their inter- ests and behavioral trends. To provide advertising and promotion across the nation, heavying up in larger metropolitan areas to reach a larger percent of the target audience. To create awareness through an effective media seasonality selection across the medium/vehicles without overexposing and damaging the cam- paign. To advertise in different locations that hold high metropolitan communities, during various times throughout the campaign season, reaching the target over various mediums and developing, over time, a product and brand awareness and desire. IMC Budget Breakdown Total IMC Spending: $12,510,000 Music Festival $4,300,000 Family Kiosk $5,000,000 Mini Series $710,000 Promo Kiosk $2,500,000 IMC Flowchart November December January February March April May June July August September October November Music Festival Kiosk Fam. Contest Promo Kiosk 40 41
  • 23. Magazine Mo. Insterts Ad Size Circulation Cost/Insert CPM Tot. Aud. GRIMPS Total Cost Esquire 6 3 full page 4C 715,000 $60,237 84.25 3,147,000 2145000 $180,711.00 Cosmopolitan 6 3 full page 4C 3,046,229 $237,000 77.8 18,315,000 9,138,687 $711,000.00 Vanity Fair 6 3 full page 4C 1,252,101 $98,325 78.53 6,890,000 3756303 $294,975.00 Vogue 6 3 full page 4C 1,240,800 $149,847 120.8 12,030,000 3,722,400 $449,541.00 New Yorker 6 3 full page 4C 1,040,103 $46,001 44.23 4,611,000 3120309 $138,003.00 Fortune 6 3 full page 4C 868,000 $78,650 90.61 3,356,600 2604000 $235,950.00 In Touch Weekly 6 3 full page 4C 810,189 $75,340 92.99 8,343,000 2430567 $226,020.00 Forbes 6 3 full page 4C 933,747 $64,400 68.97 6,032,000 2801241 $193,200.00 People 6 3 full page 4C 3,553,420 $274,800 77.3 43,528,000 10,660,260 $824,400.00 GQ 6 3 full page 4C 894,005 $80,181 89.69 6,773,000 2682015 $240,543.00 ESPN Magazine 6 3 full page 4C 2,059,269 $141,798 68.86 14,621,000 6177807 $425,394.00 Fitness 6 3 full page 4C 1,555,217 $87,560 56.3 6,196,000 4665651 $262,680.00 Men's Health 6 3 full page 4C 1,859,643 $110,095 59.2 11,886,000 5578929 $330,285.00 Better Homes & Gardens 6 3 full page 4C 7,644,011 $391,100 51.2 12,477,000 22,932,033 $1,173,300.00 Game Informer 6 3 full page 4C 3,611,000 $57,687 15.98 15,587,000 10833000 $173,061.00 Totals 90 45 31,082,734 1,953,021 1,077 173,792,600 93,248,202 $5,859,063.00 Company Discount 0.85% Amount Discounted $49,802.04 Final Spending Amount $5,809,260.96 Budget: Magazines Magazines are used throughout the primary and secondary targets. Many of the target are heavy readers of magazines, either for information, news, or pure entertainment purposes. Magazines hold a large amount of potential, with a high pass along rate and shelf life and high reach. The magazines selected, held high reach in categories of women 18-34, men 18-34, and appropriateness for the psychographics of the overall target. Esquire, New Yorker, Forbes, and similar magazines were chosen to reflect the older more affluent target with household income of $40k +. The New Yorker is one of the most widely read magazine and runs weekly, while Fortune and Forbes are bi-weekly magazines and will receive ad placements in four of their special edition pieces. Other magazines such as Cosmopolitan, Vanity Fair, Men’s Health, etc. reach both inside and outside the target , and will run during the more popular holidays and shopping seasons. The goal is to reach close to every avenue of the target, from early adopters, influencers, trend-setters across all age mediums. Advertisements will be placed over a 6 month period, always with a full page, full color ad that will be landscaped as well as portrait to increase interactiv- ity with the ad and increase awareness. Budget: Teaser Teaser Network Vehicle Length Freq. Rating Viewers Cost/Insert GRP CPP Total Cost CBS NCIS Special(s) 30 sec 4 3.8 15,335,000 150,708$ 15.20 39,660.00$ $602,832.00 FOX American Idol (Wed) 30 sec 4 7.9 21,180,000 420,655$ 31.60 53,247.47$ $1,682,620.00 FOX American Idol (Thurs) 30 sec 4 6.4 22,627,000 392,255$ 25.60 61,289.84$ $1,569,020.00 ABC Dancing With the Stars 30 sec 4 5.3 22,627,000 167,821$ 21.20 31,664.34$ $671,284.00 ABC Grey's Anatomy 30 sec 4 4.3 13,091,000 188,385$ 17.20 43,810.47$ $753,540.00 ABC Modern Family 30 sec 4 7.5 10,800,000 193,635$ 30.00 25,818.00$ $774,540.00 Total $6,053,836.00 Disc. 0.85% $ Disc $51,457.61 Total Spend $6,002,378.39 Billboards Television Cities Population(000) GRPs T-Face 4 wk Circ (000) Total rate(4 week) New York 12,094.70 15 29 51,590.00 $536,790 Los Angeles 12,788.60 15 38 53,412.80 $295,450 Chicago 6,219.50 15 20 25,872.00 $168,000 Philadelphia 4,535 15 13 20,893.60 $103,350 San Francisco 4,852 15 13 20,996.40 $95,550 Boston 4,291.60 15 12 18,681.60 $173,580 Dallas Ft. Worth 4,163.90 15 8 17,763 $67,200 Washington D.C. 4,393.40 15 23 19,238.80 $184,000 Houston 3,944.90 15 6 16,699.20 $36,600 Atlanta 3,058.10 15.00 8 13,418 $28,000 Total $1,688,520 Months x3 = Total Spending $5,065,560 We are dealing with the launch of a prod- uct, so building hype for the release date is extremely important. This is why we decided to spend $12 million on a teaser campaign. Starting in November we will use television commercials and billboards to build excitement for the launch of the iPhone. We will use a flighting schedule in order to increase anticipation within our target and draw their interest without over exposure. By only advertising on two mediums we aren’t hitting the target over the head with our message, and we reach them in a respectful manner. We simply want to inform our target that“a better pair is coming.” 42 43
  • 24. Budget: Internet Website Type  of  Ad #  Mon Imp/Mon Grimps CPM Cost/Mon Total  Cost Facebook ROS 9 500,000.00 4,500,000.00 $50.00 $25,000.00 $225,000.00 Twi6er Banner-­‐Top 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 YouTube ROS 9 500,000.00 4,500,000.00 $50.00 $25,000.00 $225,000.00 Pandora Banner 9 500,000.00 4,500,000.00 $50.00 $25,000.00 $225,000.00 Pandora Pre  Roll 9 350,000.00 3,150,000.00 $43.43 $15,200.00 $136,800.00 Hulu Pre  Roll 9 350,000.00 3,150,000.00 $43.43 $15,200.00 $136,800.00 Facebook Youtube  Banner 9 500,000.00 4,500,000.00 $0.80 $400.00 $3,600.00 Google Search 9 100,000.00 900,000.00 $500.00 $50,000.00 $450,000.00 Yahoo Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 Amazon Search 9 100,000.00 900,000.00 $500.00 $50,000.00 $450,000.00 Amazon Ad  Box 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00 Overstock Search 6 100,000.00 600,000.00 $500.00 $50,000.00 $300,000.00 People Banner 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00 ESPN Banner 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00 Men's  Health Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00 Cosmopolitan Banner 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00 New  Yorker Banner 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00 SportsIlustrated Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00 Foodnetwork.com ROS 6 500,000.00 3,000,000.00 $50.00 $25,000.00 $150,000.00 CollegeHumor Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00 Fark.com Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00 Digg.com Banner 6 500,000.00 3,000,000.00 $30.00 $15,000.00 $90,000.00 ABC Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 NBC Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 Fox Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 CBS Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 MSN Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 The  Wall  Street  Journal Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 N.Y.  Times Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 USA  Today Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 Washington  Post Banner 9 500,000.00 4,500,000.00 $30.00 $15,000.00 $135,000.00 Pogo-­‐Scrabble Game 6 100,000.00 600,000.00 $20.00 $2,000.00 $12,000.00 Pogo-­‐Word  Whomp Game 6 100,000.00 600,000.00 $20.00 $2,000.00 $12,000.00 Pogo-­‐Boggle  Bash Game 6 100,000.00 600,000.00 $20.00 $2,000.00 $12,000.00 Pogo-­‐Bejeweled Game 6 100,000.00 600,000.00 $20.00 $2,000.00 $12,000.00 Total 12 12,000,000.00 91,200,000.00 $2,227.66 $575,800.00 $4,975,200.00 Our Internet advertisements will be placed in a variety of different media in order to target the various areas of our demographic. In order to have a well rounded media strategy we are targeting so- cial media sites, entertainment sites, magazine sites and online newspapers. Social media and enter- tainment sites are a highly visited medium for our primary target of 18-24 year olds. Users spend an average of more than 13 hours per week on social media and entertainment sites. We are choosing to advertise on various network sites because our tar- get is a high consumer of television entertainment. Because of their active lifestyles many users are watching their shows online compared to live tele- vision. The magazine sites featured in our media plan are also featured in our magazine print media. These magazines are the top rated magazine media for our demographic. Newspapers are gradually gravitating to an online status. A high percentage of our users get there news from online news sites compared to print media. Budget: Non-Traditional Non-Traditional Medium Cost/Item Circulation City Freq. Freq. Months Total Project Cost Magazine Wraps $0.08 7,654,767 - 1 6 $3,674,288.16 Photo Booth $10,500 - 5 1 6 $315,000 Interactive iPhone $7,500 - 5 1 6 $225,000 Taxi iPhone $2,200 - 5 25 6 $1,650,000 Total Spending $5,864,288.16 Non-traditional, similar to guerilla advertising though not as intense, is designed to interest the target through unexpected measures. The non-traditional that was chosen was meant for an effective medium that already interacts with the consum- ers. Magazines are popular and have a high reach among the target audience. Therefore, magazine wraps and inside ads increase awareness for the product. The total projected cost was estimated from the circulation of six of the higher reach magazines, using a monthly magazine wrap for an interactive and interest placement. The interactive iPhone, will be in five major cities in the nation. It will be in place for six months to increase hype and excitement for not only the product, but also for the more popular applications such as Angry Birds. The Photo booth will also be included in the top five of the ma- jor cities to reach a majority of the primary and secondary target. The larger the awareness, the better chances to increase demand. Finally the taxi iPhone will be featured in roughly 125 cabs. Though there are a large majority of taxis in the major metro areas, the execution is to be surprising to the target rather than over baring. These trial phones will also be placed in rental cars to further the awareness of consumers. 44 45
  • 25. Billboard Cities DMA Population(000) GRPs T-Face 4 wk Circ (000) Total Rate (4 week) New York 12,094.70 5 10 17,842 187,300 Los Angeles 12,788.60 5 13 18,272.80 $113,425 Chicago 6,219.50 5 7 9,055.20 $66,500 Philadelphia 4,535 5 4 6,428.80 $31,800 San Francisco 4,852 5 4 6,541.20 $31,200 Boston 4,291.60 5 4 6,227.20 $60,900 Dalllas Ft. Worth 4,163.90 5 3 6,661.20 $25,200 Washington D.C. 4,393.40 5 9 8,839.60 $68,400 Houston 3,944.90 5 2 5,566.40 $12,200 Atlanta 3,058.10 5 3 5,031.60 $11,100 608,025 Months x9 5,472,225.00 x15% discount Total Spending 4,651,391.25 Our billboard media plan focuses on 10 major cities. These cities were chosen because they are the 10 ten DMAs in the country. The amount of billboards placed in each city will vary according to that city’s specific DMA. The cities with the highest DMA will contain the most billboards and continue in descending order. Each billboard creative execution will be specific to the city it is located in. Each execution will have a direct relation with what that city represents or is known for. Budget: Out-of-Home Network Vehicle Length Freq. Rating Viewers Cost/insert GRP CPP Total Cost CBS NCIS Special(s) 30 sec 6 3.8 15,335,000 $150,708 22.80 39,660.00$ $904,248 CBS Amazing Race 30 sec 5 3.2 4,222,000 $111,520 16.00 34,850.00$ $557,600 CBS Survivor: Redemption Island 30 sec 5 3.1 11,340,000 $135,268 15.50 43,634.84$ $676,340 FOX Glee 30 sec 5 2.9 4,371,000 $220,435 14.50 76,012.07$ $1,102,175 FOX Bones 30 sec 5 2.8 7,845,000 $132,250 14.00 47,232.14$ $661,250 FOX American Idol (Wed) 30 sec 6 7.9 21,180,000 $420,655 47.40 53,247.47$ $2,523,930 FOX American Idol (Thurs) 30 sec 6 6.4 22,627,000 $392,255 38.40 61,289.84$ $2,353,530 FOX House 30 sec 5 3.4 4,510,000 $108,722 17.00 31,977.06$ $543,610 ABC Dancing With the Stars 30 sec 6 5.3 22,627,000 $167,821 31.80 31,664.34$ $1,006,926 ABC The Bachelor 30 sec 6 5.8 8,769,466 $121,791 34.80 20,998.45$ $730,746 ABC Grey's Anatomy 30 sec 5 4.3 13,091,000 $188,385 21.50 43,810.47$ $941,925 ABC Modern Family 30 sec 6 7.5 10,800,000 $193,635 45.00 25,818.00$ $1,161,810 NBC Community 30 sec 5 2.2 5,600,000 $52,000 11.00 23,636.36$ $260,000 NBC Law and Order SVU 30 sec 6 5.4 7,450,000 $135,000 32.40 25,000.00$ $810,000 NBC The Office 30 sec 5 4.9 8,400,000 $213,113 24.50 43,492.45$ $1,065,565 Total Broadcast $15,299,655 Cable MTV Fantasy Factory 30 sec 6 1.7 1,700,000 $54,000 10.20 31,764.71$ $324,000 USA White Collar 30 sec 6 1.3 1,700,000 $50,000 7.80 38,461.54$ $300,000 TBS Conan 30 sec 6 1.1 1,100,000 $30,000 6.60 27,272.73$ $180,000 BET The Game 30 sec 6 2.7 5,400,000 $57,000 16.20 21,111.11$ $342,000 USA Psyche 30 sec 6 1.3 3,573,000 $45,000 7.80 34,615.38$ $270,000 USA Royal Pains 30 sec 6 1.1 5,600,000 $45,000 6.60 40,909.09$ $270,000 HIST Pawn Stars 30 sec 6 3.4 6,739,000 $77,000 20.40 22,647.06$ $462,000 HIST American Pickers 30 sec 6 3.1 6,022,000 $71,000 18.60 22,903.23$ $426,000 ESPN SportsCenter (late) 30 sec 6 0.7 4,771,000 $38,000 4.20 54,285.71$ $228,000 Total Cable $2,802,000 Overall Total $18,101,655 Discount 0.85% $ Discount $153,864 Total Spend $17,947,791 Budget: Television Our target is very diverse in their likes and dislikes because of the broad scope of individuals. Because this is a national campaign advertising a loyal brand, television was purchased on some of the highest ranked national shows to ensure we were meeting them and getting max exposure for our dollar. Primetime shows will feature our advertisements year round and will be supported by some of the popular cable television shows that hit our target. A large portion of our budget was spent on television strictly because of the volume of the target. A continuous schedule in television was necessary to ensure maximum exposure to the brand. 46 47
  • 26. Budget: Radio Our radio is specifically targeting the multicultural demographics of our target. Radio was purchased in 10 of the top 25 DMA’s and on radio stations that are popular with this specific target. The multicultural demographic has the highest influ- ence from the radio so it is important that we meet them where their interests are strongest. It is vital that every part of our target gets exposure to the ads and they feel a unique connection between them. The stations that were selected are all in Spanish, and we will accommodate by having our executions the same. City Station Format Daypart Day of Week Freq. Weeks Length Cume GRP CRP Total Cost San Fransico KATD-AM Hispanic 3 -7 pm Monday-Friday 5 24 30 sec 4.5 22.5 899.00$ $107,880.00 San Fransico KVVF-AM Latin Hip-Hop 3 -7 pm Monday-Friday 5 24 30 sec 0.9 4.5 899.00$ $107,880.00 San Fransico KEST-AM Multicultural 6 - 10 am Monday-Friday 5 24 30 sec 1.5 7.5 899.00$ $107,880.00 Los Angeles KLAX-FM Mexican 6 - 10 am Monday-Friday 5 24 30 sec 2.3 11.5 1,083.00$ $129,960.00 Los Angeles KLYY-FM Hispanic 6 - 10 am Monday-Friday 5 24 30 sec 1.4 7 1,083.00$ $129,960.00 Los Angeles KXOL-FM Hurban 3 -7 pm Monday-Friday 5 24 30 sec 2 10 1,083.00$ $129,960.00 Los Angeles KSSE-FM Hispanic Top 40 3 -7 pm Monday-Friday 5 24 30 sec 1.5 7.5 1,083.00$ $129,960.00 Sacramento KLMG-FM Spanish AC 3 -7 pm Monday-Friday 5 24 30 sec 2.3 11.5 225.00$ $27,000.00 Sacramento KRCX-FM Mexican 6 - 10 am Monday-Friday 5 24 30 sec 1.5 7.5 225.00$ $27,000.00 San Diego KLQV-FM Hispanic Oldies 6 - 10 am Monday-Friday 5 24 30 sec 2.6 13 193.00$ $23,160.00 San Diego XHTY-FM Regional Mexian 3 -7 pm Monday-Friday 5 24 30 sec 1.1 5.5 193.00$ $23,160.00 New York WADO-AM Spanish Talk 3 -7 pm Monday-Friday 5 24 30 sec 0.6 3 1,405.00$ $168,600.00 New York WCAA-FM Latin Hip-Hop 3 -7 pm Monday-Friday 5 24 30 sec 1.6 8 1,405.00$ $168,600.00 New York WSKQ-FM Hispanic 6 - 10 am Monday-Friday 5 24 30 sec 3.5 17.5 1,405.00$ $168,600.00 Miami Ft. Laud WPOW-FM Top 40 6 - 10 am Monday-Friday 5 24 30 sec 5 25 194.00$ $23,280.00 Miami Ft. Laud WMXJ-FM Classic Hits 3 -7 pm Monday-Friday 5 24 30 sec 3.2 16 194.00$ $23,280.00 Houston KEYH-FM Hispanic 3 -7 pm Monday-Friday 5 24 30 sec 0.4 2 264.00$ $31,680.00 Houston KHCB-AM Hispanic Christian 6 - 10 am Monday-Friday 5 24 30 sec 0.9 4.5 264.00$ $31,680.00 Houston KOVE-FM Spanish Adult Hits 6 - 10 am Monday-Friday 5 24 30 sec 3.6 18 264.00$ $31,680.00 Chicago WGCI-FM Urban Contemporary 3 -7 pm Monday-Friday 5 24 30 sec 4 20 362.00$ $43,440.00 Chicago WOJO-FM Regional Mexican 3 -7 pm Monday-Friday 5 24 30 sec 3.4 17 362.00$ $43,440.00 Chicago WLEY-FM Variety 3 -7 pm Monday-Friday 5 24 30 sec 2 10 362.00$ $43,440.00 Chicago WMVP-FM Sports 3 -7 pm Monday-Friday 5 24 30 sec 1.5 7.5 362.00$ $43,440.00 Dallas KDFT-FM Hispanic Christian 3 -7 pm Monday-Friday 5 24 30 sec 0.8 4 296.00$ $35,520.00 Dallas KLNO-FM Mexican 6 - 10 am Monday-Friday 5 24 30 sec 5.4 27 296.00$ $35,520.00 Dallas KEGL-FM Hispanic 6 - 10 am Monday-Friday 5 24 30 sec 2.4 12 296.00$ $35,520.00 Dallas KESS-FM Mexican 6 - 10 am Monday-Friday 5 24 30 sec 1.4 7 296.00$ $35,520.00 San Antonio KCOR-AM Hispanic 6 - 10 am Monday-Friday 5 24 30 sec 0.7 3.5 81.00$ $9,720.00 San Antonio KLEY-FM Hispanic 3 -7 pm Monday-Friday 5 24 30 sec 2.5 12.5 81.00$ $9,720.00 San Antonio KROM-FM Hispanic Contemporary 3 -7 pm Monday-Friday 5 24 30 sec 5.3 26.5 81.00$ $9,720.00 TOTAL $1,936,200.00 Total Spending $1,645,770.00 Budget: Out-of-Home Bus Wraps & Bus Shelters Bus  Wraps DMAs 4  week  Cir.   Reach Freq. GRPs CPM CPP  4  wk  rate/bus Total New  York(Suburbs) 20,406,000 0.93 5 4.665 $1.29 $5,623 $5,246 $26,230 Los  Angeles  Transit   27,406,901 0.93 5 4.64 $0.64 $3,754 $3,484 $17,420 Washington  D.C.  Transit 9,960,700 0.93 5 4.665 $1.56 $3,323 $3,100 $15,500 San  Antonio  Transit   33,006,001 0.30 5 1.495 $0.45 $9,839 $2,942 $14,710 Philadelphia  Transit   9,969,601 0.94 5 4.685 $0.87 $1,841 $1,725 $8,625 Houston  Transit 19,530,160 0.92 5 4.6 $1.41 $5,978 $2,640 $27,500 San  Francisco  Transit 99,884,000 0.89 5 4.45 $0.28 $6,180 $5,500 $27,500 Total   $137,485 Months x6 Total  Spending $824,910 InteracSve  Bus  Shelter DMAs Reach Freq. GRPs4  Wk  Rate Total New  York(Suburbs) 0.56 5 2.8 $9,850 $49,250 Los  Angeles 0.79 5 3.95 $8,640 $43,200 Chicago 0.77 5 3.85 $7,890 $39,450 Total $131,900 Months x6 Total  Spending $791,400 Total  Spending $1,616,310 48 49
  • 27. 91% of the US population has a cellular device. Of this population, 31% has a Smartphone and it is projected that by the end of 2011, Smartphones will reach the majority. With this vast majority of the population diving into mobile devices, it is important that Verizon meets them on a minimal, but consistent level. Because the product advertised is a phone, we don’t want to water down the message and over expose the brand through pop-up text ads and videos. A small, but consistent rate of advertisements to this target should give the appropriate exposure to the brand to this popular segment of the mar- ket. What may look like deficiencies in mobile advertising from this campaign are partnered and strengthened by our social media advertising. 96% of generation-Y has joined a social network and an incredible 80% of people access their twitter ac- count via their mobile device. The combination of social media and mobile advertising, as well as support from Internet ads support the mobile media purchases. Budget: Mobile Budget: Social Media Executions Months Mess./Mo Cost Total Cost Text 12 250,000 0.15$ $37,500 Total Spending $450,000 Mobile Games Executions Months Imp./Mo Gross Imp CPM Cost/Mo. Words With Friends 12 450,000 5,400,000 $30 $15,000 Angry Birds 12 450,000 5,400,000 $30 $15,000 Monopoly BHN 12 450,000 5,400,000 $30 $15,000 Total $540,000 Total Mobile Spending $990,000 Total Budget Toward Social Media $1,490,100 50 51 Flowchart Seasonality Nov. Dec. Jan. Feb. March April May June July August Sept. Oct. Nov. Teaser Flighting Out-of-Home Pulsing Internet Continuous Print Continuous Television Pulsing Radio Continuous Non-Traditional Photobooth Continuous Taxi iPhone Flighting Interactive Continuous Mag. Wraps Flighting Social Media Continuous Mobile Continuous IMC Music Festival Flighting Fam. Contest Continuous iPhone Kiosk Continuous Promo Kiosk Continuous Heavy-Up Placement Regular Placement Campaign Season November 2010 - November 2011
  • 28. Final Budget Breakdown 52 Teaser 11,067,938.39$ OOH 6,267,701.25$ Internet 4,975,200.00$ Print 5,809,260.96$ Television 17,947,791.00$ Non-Traditional 5,864,288.16$ Social Media 1,490,100.00$ Mobile 990,000.00$ IMC 12,510,000.00$ Radio 1,645,770.00$ Contingency 1,431,950.24$ TOTAL BUDGET 70,000,000.00$ Recommendations We recommend the following to Verizon: - Continuing the music festival in the summer to build hype for the proposed launch date of the iPhone 5 - Continually update the social media aspect, Twitter and Facebook, to follow the company and their products - Research efficient buyout strategies for competitor contracts - Leverage other Verizon products, including FiOS TV alongside the promotion of the iPhone