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MKTG1266 Marketing Communication Integrated Marketing Communication Plan
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STAGE 1
1. Situation Analysis
1.1 Internal Analysis
Kellogg Co sells its products in over 180 countries and manufactures in 18 countries. It has a
strong portfolio of brands in breakfast cereals including Rice Krispies, Coco crunch, Frosted
Flakes and Special K. The company has both global and regional brands and has over the
years expanded some regional brands. Kellogg has focused on building a healthy image for its
products, cutting sugar and salt content in many of its cereals, targeting weight-conscious
women with the Special K and Nutri-Grain brands.
1.2 External Analysis
Depressing sales of children’s breakfast cereals in mature markets is also a growing concern
over sugar levels in brands marketed at children. Kellogg has acted pre-emptively in some
cases such as voluntarily adding vitamin D to a range of brands including Coco crunch and
Froot Loops in 2011 in response to parental concerns over nutritional content. Kellogg is very
sensitive to criticism of its brands. These criticisms may bubble under the surface in the
emerging markets but they are not as vocalised and neither have government regulation or
parental lobby groups become as aggressive.
1.3 SWOT
Strengths Weaknesses
- Kellogg’s is largest global market share for
Cereals (42%)
- Strongest brand recognition and advertising
recollection
- Very attractive packaging for kids due to it
being colourful
- Rich in vitamins
- Product is high in sugar level
- Artificial coloring used in product.
- Damaged reputation of Kellogg’s due to
market recalls.
Opportunities Threats
- Growing demand for healthier food
- Develop mobile device applications
- Product and services expansion
- Strong competition from other established
cereal brands
- Cheaper house brands
- External pressure from health awareness
groups against product advertisement
targeted at kids
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2. Identification of Marketing Problem or Opportunity
In 2010, Kellogg was reported to have recalled over 28 million boxes of numerous cereal
brands, including Froot Loops, due to unusual flavour and smell. (Pepitone 2010) This may
have caused consumers to lose their trust in Kellogg’s. Hence, our campaign will address the
negative perceptions and attitudes towards Froot Loops that may have developed from this
recall.
Other than the mass recall, consumers feel that Froot Loops have high sugar content,
associating the cereal as junk food and an unhealthy kid’s food. Additionally, they are facing
marketing issues such as targeting children in their advertising and not using real fruit in their
cereal. This campaign will therefore highlight the nutritional benefits that Froot Loops
contains, dispelling the image as an unhealthy food and position Froot Loop as a top breakfast
cereal choice in consumers’ mind.
3. Marketing Objectives
The main marketing goal would be to increase the sales volume of Froot Loops in the
Singapore market. We aim to increase currents sales by 3% for the year 2012-2013.
Currently, Kellogg’s is ranked 4th
as one of the leading breakfast cereal therefore one of the
objectives would be to improve their brand position.
Another primary marketing objective would be to continue to be the leading breakfast cereal
brand in the market. According to the information in 2008, Kellogg’s hold majority of the
breakfast cereal’s market share in Singapore. This was followed by Nestle with 29%, Kraft
foods and Quaker Oats co, with 18.8% market share each. In 2009, Kellogg’s still maintained
as its position as the leading brand with a 51.2% market share. (GMID category) With the
ever changing environment, Kellogg’s may face several changes in consumer’s behaviour
such as the parent having to work very hard and having lesser time to prepare meals for their
kid. The breakfast cereal market thus turns into a highly competitive field, with each brand
fighting for the consumer’s attention.
4. Positioning
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High Price
High Fun
Factor
Low Price
Low Fun Factor
Froot Loops
Honey Crunch Cornflakes
Koko Krunch
Honey Stars
Fruity Pebbles
Waffle Crisps
Frosties
ChocosChex
. . .. ..
. .
In the product position map, the various cereals that are similar to Froot Loops are
categorized together and ranked according to how expensive and fun they are perceived to be.
On the top of the price list would be Post Cereals’ Waffle Crisps followed by Nestlé’s Honey
Stars, although the latter is slightly more fun, with them using their bear astronaut icon and
rocket shaped cereals to increase its fun factor. Froot Loops is priced as cheaper then the two
mentioned, but is regarded as higher in fun factor with its colorful cereal and usage of Toucan
Sam. Below them would be Kellogg’s Chocos Chex and Nestle’s Koko Krunch, chocolate
cereals which are not as fun although Koko Krunch is fast approaching with its heavy
advertising on television of the cereal. Priced even lower would be Kellogg’s Frosties whose
icon is the Frosties Tony is one of the most recognizable cartoon characters around, making it
fun. Post’s Fruity Pebbles is priced way lower then Froot Loops, but due to its colorful nature
and coupled with its usage of the popular cartoon, the Flintstones, to front its cereal, it is
definitely higher in the fun factor. Lastly, at the other end of the price and fun spectrum would
be Kellogg’s Honey Crunch Cornflakes, with cornflakes being regarded as a boring basic
cereal by many. Of course, this list of cereals provided is not exhaustive, but it provides a
good sample of the cereal market that aims to target children.
5. Communication Objectives
5.1 Category Need
Our main target market consists of two categories, parents and kids. We aim to provide
different information to each category to satisfy their various needs. Parents tend to pay more
attention to information regarding their kids’ health and safety needs, while children only give
attention to exciting visuals. Therefore, one of our communication objectives would be to
present different information to our different target market category, addressing to our
respective categories’ needs.
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5.2 Brand Awareness
Brand awareness can be classified as brand recognition and brand recall. Brand recognition
occurs when consumers are able to identify the brand with the category. Customers must
recognize the Froot Loops icon, Toucan Sam, building up brand awareness in the consumer’s
mind. Brand recall is making customers’ think of Froot Loops when they think of kids
cereals, with it being the first to come to the mind.
5.3 Brand Attitude/Preference
As mentioned in the identification of marketing problem, Kellogg’s product recall may have
created a negative perception and attitude towards the brand. In addition, Froot Loops contain
41 % sugar level in each box. Therefore, we aim to correct these negative attitudes and
influence their preference towards Froot Loops. Our strategy is to change the consumer minds
about Froot Loops is a healthy product. Kellogg’s created and launched new types of Froot
Loops such as Froot loops with Fibre to help to curb those negative perceptions. Lastly,
Kellogg’s ultimately wants to create long-term relationship with their customers.
5.4 Brand Purchase/Action Intention
Action intention is very important for marketer analyze the purchasing of product in market.
For instance, marketer must study why customer will chose to buy Froot Loops product and
stop buying breakfast cereal meal of other company. Besides, marketing also need to find out
what customer want and need to increase sale of Froot loops. For example some customer
review that they Froot Loops added fibre, which lead them more likely to purchase product.
In addition Create promotion offer for customer such as buy two Froot Loops with cheaper
price, which also encourage target audience to make a mental commitment to purchase this
breakfast cereal meal
6. Campaign Budget
Communication
Mix
Budget (S$)
TV Commercial 612,000
Newspaper Ads 471,168
Bus Ads 42,000
Bus Stops Ads 220,000
Bonus Gifts 5,000
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Communication
Mix
Budget (S$)
Scratch & Win Coupons
13,200
Sponsorship 20,000
Event Marketing 7,260
Publicity 250,000
Total 1,640,628
7. Campaign Target Audience
7.1 Brand Loyalty
Being loyal to a brand can be referred to as having a psychological attachment to the brand.
By focusing on the experience, credibility and consistency, Froot Loops is able to encourage
repeat purchases and thus brand loyalty in consumer.
To create brand loyalty, Froot Loops must develop a total brand experience towards their
consumer. In this case Froot Loops can focus on the fun elements, experiencing the colourful
cereals will be the fun parts for the kids. Furthermore, Froot Loops must maintain their
credibility towards their customers. As a cereal food, Froot Loops can convince their
consumers by creating a good image. In the end, a consistent brand image is the most
important element in enhancing brand loyalty.
7.2 Creative Targets
Froot Loops main target audience is the kids, therefore the initiator in purchasing the product
will be the kids itself. The decider for the kids will be the parents since they have
authoritative power and financial means to make choices regarding which breakfast cereal to
buy. In addition, family members and friends become the most influential groups. Finally, the
purchaser would still be the parents.
7.3 Behavioural Sequence Model
Purchasing Froot Loops requires limited decision making as Froot Loops is classified as a low
involvement product category. The information search process can be from internal and
external but behaviour sequence model is mainly limited to internal search. The internal
information search such as memories and personal experience is consulted when consumers
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make the decision to purchase the product on the other hands external information from
independent sources is rarely used. For alternative evaluation, Froot Loops can be classified
as evoked or consideration set, since their brand image is better than competitor. According to
the research from Smarty Pants, the research is “kids top most 100 loved brands”, from the
past three years Froot Loops keep maintaining their good brand image. This campaign will
run for 12 months, the location will be in Singapore.
8. Creative Brief
1. Marketing Objectives
- Kellogg’s company dominated with 51.2% market share
- The marketing objective would be to continue being the leading brand
- Froot Loops’ marketing goal is to continue to increase the sales volume by 3%.
2. Communication Objectives
- To make consumers aware that Froot Loops is beneficial to the kid by publicising
knowledge to parents.
- To build up the brand image in customer's mind and brand loyalty
- To stimulate a want or desire of consumers.
- To attract attention from the kids through brand logo and product design
3. Corporate and / or Brand Positioning
- Froot Loops is positioned as a nutritious, delicious, middle range priced cereal.
- Target market is children from 5 to 11 years of age.
- Its RDB would be it being fun and colourful 4. Brand Character
- One key phrase is 'fun and nutritious that is an essential part of a child's diet'.
- It also portrays a bright, cheerful and light hearted personality.
- Other describing words would be like 'colourful', 'exciting' and 'happy’
5. Target Audience Profile
- Demographics of target audience would be kids aged from 5 to 11 years old.
6. Main Message / Communication Focus
- The main message to be communicated is it is a nutritious and healthy meal, being a
good cereal to start off the day.
- It is also seen as fun, colourful and sweet.
7. Support / Permission to Believe
- Froot Loops has been consistent in their packaging iconic mascot, Toucan Sam,
- Their colourful and informative printing on the cereal boxes evokes a happy emotion
while highlighting the nutritional benefits.
- Long standing brand reputation allowed them to build trust and support among
parents.
8. Current Audience Attitudes / Perception / Behaviour
- Froot Loops have high sugar content, associating the cereal as junk and unhealthy
kids cereal.
- Other issues are targeting children in their advertising and not using real fruit
- Cnn.com reported that Kellogg's recalls 28 million boxes of several cereal brands.
- Affects the perception and consumers’ attitude and result in negative behaviour
from consumers which need to be changed.
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9. Desired Target Audience Response
- Positive attitude towards Froot Loops.
- The kids should feel motivated, excited and happy to purchase Froot Loops
- TOMA (Top of Mind Awareness) The first brand that comes to consumer’s mind must
be Froot Loops.
- Froot Loops ultimately wants to achieve brand loyalty from its target audience.
10. Communication Evaluation
- The response can be shown from the level of recall and recognition, emotional
reaction, persuasive impact, sales volume and market shares.
- Several ways to measure are bruzzone test, psychological test, Ipsos-ASI Next*TV
method, and IRI’s Behavior scan.
11. Executional Manditories
- The brand's iconic mascot, Toucan Sam appears in all of the Froot Loops' TV
commercials, print advertisements as well as the company website.
- The brands image is represented by the colourful Froot Loops' logo therefore it will be
included in all advertorials. 12. Budget
TOTAL = S$ 1,640,628 (refer to 6. Campaign Budget)
STAGE 2
9. Creative Strategy
9.1 Development of TV advertisement
The 1st scene shows an unhappy kid eating her fruit and vegetables while her mum doesn’t
know how to make her enjoy eating vegetable. The scene will move on to Toucan Sam
entering the kitchen providing the mum with the cereal substituting the vegetables and fruits.
The 3rd
scene to 7th scene demonstrates the five vitamins that Froot Loops contains, one for
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each colour. The whole advertisement will end with the slogan “Kids love it, Parent believe in
it” and with the scene of the child hugging her mum.
9.2 Newspaper Advertisements
By advertising the sales promotion through newspaper, we aim to increase parents’ curiosity
about the brand, enticing them with sweepstakes and lucky draws, especially to housewives.
This will grab their attention and increase their motivation to process the information. Parents
are not only buying Froot Loops for their children’s health benefit but also allow them to have
a chance to win the grand prize.
9.3 Bus advertising
The all red SBS bus symbolize Froot Loops’ iconic red brand image. The hot red bus would
be a prominent vehicle which will be able to draw the attention of any passer-bys.
A medium size Toucan Sam mock-up will be mounted on top of a single decker bus which
will help increase brand awareness as well as strengthen the image of Fruit Loops. This
unconventional mode of advertising will be able to leave a longer lasting impression in
consumers’ minds.
9.4 Advertorial Posters - Bus Stops
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The slogan, “Kids love it, Parents believe in it”, creates an emotional connection between the
brand, the children and their parents. The posters will highlight Froot Loops’ nutritional
benefits which are able to relate to those health conscious parents. In addition, QR codes on
the poster pose as an effective method in which consumers are able to directly access and gain
more information from the website. This saves consumers’ time as they are able to access the
website anytime which aids the buyer decision process.
10. Media Strategy
10.1 Behavioural Sequence Model
Consideration at
each stages
What decision stage
Need Arousal Information,
Search, and
Evaluation.
Purchase Usage
Who
(Decision roles
involved)
Parents; Kids Friends, Promoter Customers Children, Teen
ages.
Where
(Where the stage
occur)
Television,
Poster, Flyer,
Newspaper
Internet, Booth,
supermarket.
Super market,
Department
store, mini-
marts,
convenient store
Home, School.
When
(Timing of stage)
- Food fare, Health
promotion board
booth
Promotion
period
-
How
(How it will occur)
Attractive, Fun,
healthy,
convenient.
Informative Flyer,
Samples, trial.
Chose product
and finish
transaction.
(With or
without
promotion)
Post-purchase
dissonance, Use
the product and
gain experience.
10.1.1 Need Arousal.
We strategy would be to influence customers to recognise the need for Froot Loops from
advertisements through TV commercial, newspaper and posters at bus stops. Through the fun
and attractive commercials, consumers’ need to purchase Froot Loops can be amplified. As a
result, the consumer will be encouraged to seek out more information about the brand.
10.1.2 Information Search and Evaluation.
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Consumers will tend to search for information and opinions from their immediate social circle
such as family members, friends as well as promoters. Moreover, food fair is also a good
source of information as informative flyers and samples will be handed out to interested
customers. They are also able to use the internet and research on other consumer’s past
experience and opinion in community forums.
10.1.3 Purchase.
Purchase is the phase when the customer decides to buy the Froot Loops. Parents often
purchase the product at supermarket (fair price, cold storage) or mini-marts (Cheers, 7-
Eleven). Base on this stage, we can analyze the buying behaviour of customer and their
intention, so more promotion will be created to increase the sales of Froot Loops.
10.1.4 Usage
This stage will cover the product usage and post purchase dissonance. This happens after
customer tried Froot Loops and gained experience from it. The kid can consume Froot Loops
by their own time at home and school. The consumer is able to voice out their experience to
others through word-of-mouth and will either choose to continue purchasing Froot Loops or
stop using it.
10.2 Media Plan
The media plan illustrates all the print advertisements for Froot Loops that we planned to
implement throughout the year. A thorough analysis of the plan shows a heavy amount of
advertising being done simultaneously in the month of July, which actually would be the start
of one of our sales promotion, which would last for four months till the end of October.
Therefore, we plan to increase the promotion awareness by advertising on all three
newspapers for the first three weeks of July.
From the media plan, it can be observed that posters in the bus stops will advertise
alternatively with those advertisements on the buses itself. Bus advertising would only
be carried out for the entire month of June and December. Children having their
holidays would usually spend most their time outdoors rather than indoors and for that
reason, our team arranged bus advertorial to occur during the holiday months, where
the buses travel around increasing exposure and awareness.
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10.3. Media Choices
10.3.1. Television
Television will be the main advertising medium for Froot Loops as we would be able to reach
mass audience and can create a stronger impact on the target audience’s minds. The media
chosen for the Froot Loops advertisement will be Channel 5, Channel 8 and OKTO Channel.
The table below illustrates the different time slots in which the commercial will be broadcast
through the different TV channels.
MON TUE WED THU FRI SAT SUN
Channel 5
20:00-21:00 20:00-21:00 20:00-21:00 20:00-21:00 15:00-16:00 9:00-10:00 9:00-10:00
20:00-21:00 15:00-16:00 15:00-16:00
20:00-21:00 20:00-21:00
Channel 8
20:00-21:00 20:00-21:00 20:00-21:00 20:00-21:00 15:00-16:00 9:00-10:00 9:00-10:00
20:00-21:00 15:00-16:00 15:00-16:00
20:00-21:00 20:00-21:00
OKTO
15:00-16:00 15:00-16:00 15:00-16:00 15:00-16:00 15:00-16:00 9:00-10:00 9:00-10:00
20:00-21:00 15:00-16:00 15:00-16:00
The reason for the increase in the frequency of commercials towards the end of week is quite
clear. It allows us to expose advertisements and commercials to those families who prefer to
stay home during the weekends and relax themselves by watching television. The 8pm-9pm
time slot on weekdays can be considered as a prime time to advertise, seeing that during this
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period, most of the kids and parents should be relaxing themselves after a long day at work or
school.
Frequency and Cost
The commercial will be advertising for 30 seconds, and cost S$1,000. Every week, we plan
broadcast 12 times for each channel.
(Number of weeks x 12 ads each weeks x advertising cost)
Channel 5 : 19 x 12 x 1,000 = S$228,000
Channel 8 : 16 x 12 x 1,000 = S$192,000
OKTO : 16 x 12 x 1,000 = S$192,000
Total advertising cost for television advertising equates to S$ 612,000.
10.3.2 Newspaper
Though kids are Froot Loops’ main target audience, we have identified their parents as the
key influencer and decider when making a decision. Newspaper advertisement can therefore
be used to distribute information to parents and influence their perception. Hence newspaper
such as Straits Times, The New Paper and mypaper will be utilized to advertise the brand.
Frequency and Cost
The newspaper ads will be advertise on Monday and Wednesday, while the cost of printing
the advertisement per quarter page in Straits Times is S$14,382, S$ 3,080 for mypaper and S$
2,400 for The New Paper.
(Advertising cost on Sunday and Wednesday) x number of weeks
Straits Times = (S$ 14,382 + 14,382) x 12 =S$ 345,168
myPaper = (S$ 3,800 + S$ 3,800) x 9 =S$ 68,400
The New Paper = (S$ 2,400 + S$ 2,400) x12 =S$ 57,600
The total advertising cost for newspaper is S$ 471,168.
10.3.3 Bus advertising
By placing advertisements on buses, it enables maximum exposure to consumers all over
Singapore. We have strategically chosen four bus services with the advertisements placed on
them. These bus services include bus service number 12, 198, 100 and 76. Bus number 12
covers from East to Central, while number 198 covers from West to Central. Bus number 100
covers from West to South and number 76 covers from North to East. This implies that the
buses will travel in all major areas in Singapore and this allows people in the neighbouring
areas to be exposed to the advertisement on those buses.
Frequency and Cost
The advertising will go on for 2 months in the month of June and December.
Bus Advertising Cost = $7,000 per bus service
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Total Cost = Cost per bus advertisement x number of buses x number of months
= S$ 7,000 x 4 x 2 = S$ 42,000
10.3.4 Bus stop advertising
Keeping our target audience in mind, we decided to place advertisements only at bus stops
that are situated around primary schools and that are highly visible to kids within the area. By
selectively placing the Fruit Loops advertisements in such bus stops, we are able to grab the
attention of school children just before they reach school and immediately after they leave
their school compound. We hope that the brand would retain in the kids mind subconsciously
and Froot Loops will be the first breakfast cereal brand that comes to their mind. Similar to
the bus advertising strategy, we will spread these advertisements throughout Singapore, with
at least one in each area. We will have nine advertisements, running in the month of April,
May, July, August, October, November, January and February.
Frequency and Cost During the month of Advertising Areas
April, May
October, November
- Outside ChongZheng Primary School, East district
- Outside West Grove Primary School along Jurong West Street 72, West
area
- Outside Zhangde Primary School along Lower Delta Road, South area
- Outside Fuchun Primary School along Woodlands Avenue 1, North
- Outside Raffles Girls Primary along Dunearn Road, Central area.
July, August
January, February
- Along Tampines Avenue 2 and
outside Geylang Methodist Primary School along Geylang East Central,
East side
- Outside Queenstown Primary School along Margaret Drive, West area,
- Outside River Valley Primary School along River Valley Road, South
area
- Outside Horizon Primary School along Punggol Central Road, North
area
- Outside Raffles Girls Primary along Dunearn Road, Central area
Total Cost = Cost advertising per month x Area x number of months
= S$2,500 x 11 x 8 = S$ 220,000
11. Other IMC Activities
11.1 Sponsorship
Froot Loops can undertake public relations sponsorship by sponsoring Soccer academies that
trains kids of the age group three years old onwards. Early exposure to the brand can only
serve to increase their awareness of it and even persuade their parents to buy it for them. The
soccer academies targeted for this sponsorship would be JSSL Arsenal Soccer School,
Brazillian Jericho Soccer Academy and Fandi Ahmad Academy. We plan to print Froot
Loops brand name and logo on the kids uniforms for all the kids in the academy. Such high
exposure will allow kids to recall Froot Loops whenever they think of breakfast cereal
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brands(top of mind awareness). At the moment, the uniforms of these suggested academies
are largely untouched by sponsor logos and they occupy the lion’s share of the market in
youth soccer training academies. In addition, these academies suggested all have websites,
thus links to the Froot Loops website and advertisements can be prominently displayed in
them.
The printing of jerseys is an irreversible process and Froot Loops tends to benefit in the long
run as only a lump sum has to be paid, and the brand exposure through the printing on the
jersey is for a relatively long time. Furthermore, there is regular exposure, with the kid
definitely having to wear the jersey at least once a week for Soccer training.
Other than increasing brand awareness of Froot Loops, this sponsorship also allows the
product to be associated with a healthier lifestyle by playing Soccer. This would align our
marketing objective to change and dispel the negative consumer perception of Froot Loops
being unhealthy junk food.
These academies will be given incentives for them to undertake the publicizing of the brand
and name of Froot Loops These academies exist primarily to earn profits and thus if the right
sponsorship sum of money is offered to them, it is very likely that they would agree.
Cost of sponsorship
A sum that can be offered would be the paying S$2,500 to the academies per 100 sets of
jerseys printed with the Froot Loops logo and name. This is inclusive of the printing cost of
$5 per jersey. Altogether, we will budget S$20,000 to get 800 jerseys printed.
Cost = Cost of sponsorship per soccer academy x number of soccer academy
=S$ 2,500 x 8 soccer academy = S$ 20,000
11.2 Event Marketing
An event will be a three day competition to draw Toucan Sam, the mascot of Froot Loops
breakfast cereal. The location will be at road show near Toy R’ Us Vivocity (the flagship
store in Singapore), where we targeted the kids who are walking around the area as the
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contestants. The eventual winner gets a S$500 Toys R’ Us cash voucher, with the first and
second runners up getting S$300 and S$100 respectively. The event would be held from the
weekend of the 21st to the 23rd of December from 10am to 8pm on those days, nearing the
Christmas period where the human traffic at Toys R’ Us is the highest as this is the season to
purchase Christmas presents. This would be effectively targeting the 5 to 11 years old age
group as they form a large part of the toy store’s client. Also, by having this contest, the
image of Froot Loops being fun and colourful is also put across, with the various colours used
and children having fun drawing and using different colours.
In order to create awareness a Toucan Sam mascot will be around the scene, to encourage the
kids and have fun with them while they are trying to come up with a nice drawing. An
emcee will be hired to talk about how nutritious Froot Loops is over the speaker, broadcasting
the message to parents who are walking about, who might consider purchasing it for their
children. This is also part of our aim to promote the nutritious values of the product. The
presence of the booth will increase product awareness and the drawing of the Toucan
Sam will definitely increase the emotional attachment, and creating the fun factor; it is shown
by the mascot and the children enjoying draw and coloring the mascot out.
In the end, we publicize our Froot Loops Facebook page at the event by ensuring that
kids who take part in the contest ‘like’ the page using their or their parents’ Facebook
account. To ensure this, the winners of the contest will be announced via the page.
Also, the pictures drawn by the kids will be uploaded to the page and they will be
tagged, creating attention for Froot Loops as the kids and the parents’ friends would
be able to see their drawings of Toucan Sam and maybe attracting them to like the
page as well.
Cost of Event Marketing
Prizes given out: $900 (cash vouchers)
Venue rental: $5000
Emcee: $200 per day
Mascot: $100 per day
Students as temporary staff
to run the event: $60
Audio system: $500
Tables and chairs: $300
Materials
(Drawing paper, Coloring tools, drawing tools): $200
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Total Costs $ 7,260
11.3 Sales Promotion - Bonus gifts
A colourful spoon will be packaged with every 350 gram Froot Loops pack. Six different
coloured spoons will be available colours which includes red, orange, pink, blue, yellow and
green. This promotion will attracted kids to purchase Froot Loops products from the month
of February to March. The limited time offer while the supplies last. Basically, the percentage
value growth of children’s breakfast cereals increased by 19.92% from 2006 to 2011 in total.
Thus, the promotion will encourage consumers to support Froot Loops, which base on the
increase of children’s breakfast cereals demand. The 350 gram pack will still maintain at
usual price $ 5.45 so that kids not only can enjoy their favourite cereal, but also have fun to
collect these colourful spoons.
The bonus gift cost = Price per spoon x Number of spoons
= S$0.5 x 10,000= S$5,000
11.4 Sales Promotion - Scratch and win coupons
From July to October, Kellogg’s will have a new sales promotion, namely the scratch and win
coupons. A coupon will be inserted inside each packet of cereal. Consumers will scratch the
silver layer on the coupon to discover which prize that they have won. There is one grand
prize and five other categories of prizes. They can also text their coupon’s code to Foot
Loops’ telephone number, which is +65 9766 6676 to submit their entries for the grand prize
with the message being free of charge. This gives them another chance of winning something,
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regardless of whether they have won in the initial scratch and win contest. Announcement of
the winner will be done via the official Facebook’s page.
Grand prize: 2 package travel to Hong Kong Disney Land 3Days 2 Nights for 4 Family
members, worth $1,600 which include 3D2N stay at Largos Hotel + Return Cathay Pacific
Airline Tickets + Return Airport Transfer + City Tour.
1st prize: 50 Toucan Sam Cameras 2nd prize: 100 Foot Loops bags
3rd prize: 500 Froot Loops’ T-shirts 4th prize: 1000 Froot Loops 42gram (travel packet)
Travel package cost = S$1,600 x 2 = S$ 3,200
Camera cost = Price per camera x Number of camera
= $30 x 50 = S$1,500
Bag cost = Price per bag x Number of bages
= $15 x 100 = S$1,500
T-shirt cost = Price per T-shirt x Number of T-shirt
= $10 x 500 = S$5,000
Froot Loops small package = Price per package x number of package
= $2 x 1000 = S$2,000
TOTAL COST = $3,200 + $1,500 + $1,500 + $5,000 + $ 2,000
= S$13,200
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11.5 Interactive Advertising –Facebook
Technology plays an importance role in advertising or searching for product’s information.
Nowadays customers prefer to search for information online rather than reading the
newspapers or magazine. So marketers cannot ignore the usefulness and importance of online
advertising. Froot Loops created a Facebook page where consumers can easily to find out
information about Froot Loops products as well as which sales promotion programs at
specific period. Moreover, people can share their experiences or opinions along with
suggestion about Froot Loops. All the information as well as sales promotion programs,
promotion winner announcement are up to date. Children can log in Facebook and have fun
with various ranges of educated stories or short firms as well as games that they can enjoy
reading or playing through Froot Loops page. All of this features will be provide free of
charge. Facebook were arranged attractively with convenience information heading at the left
column which are Info, Newsletter, Photos, Stories and Games, Videos, Twitter, Contest and
Promotion.
11.6 Publicity
Gaining publicity through cause related marketing is one way to help Kelloggs Fruit Loops
enhance their current brand image. By aligning the brand with non-profit organization, it can
thwart negative publicity as consumers have favourable attitudes towards cause-related
marketing.
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The Save Africa’s Children (SAC) is one of the non-profit organizations that support and care
the orphans and vulnerable children affect by HIV/AIDS, poverty and war throughout Sub-
saharan Africa and the Caribbean. Currently SAC have several on-going projects, such as the
building of community schools, church and clinic. They also have the support to celebrities
such as Denzel Washington, Kanye West and Ray Romano. We feel it would be an ideal
choice for Fruit Loops to partner up with SAC, giving aid to the children as kids are the
primary consumer that the brand is entailing.
One way Fruit Loops can get involved would be to implement a system so as when every box
of Fruit Loop purchase (350g, $5.45), Kelloggs will donate 20cents to the children in Africa.
The money donated will go to the funding to set up schools and a proper education system for
the kids there. By letting consumer know that donations by Kelloggs will be given whenever
they purchase a box Fruit Loop, it allows them to feel as if they have played a part in
participating for a good cause. This event will be publicised on Froot Loops’ cereal box for 2
months during December till January, where holidays such as Christmas would encourage
people to engage in charitable acts to give back to society.
12. Evaluation and Control
Evaluation Method Corrective action
Sponsorship - Exposure of brand
- Ensure that academy makes
kids wear their printed jerseys
every week
- Ensure that academies get
existing students’ jerseys
printed with logo as well
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- Change sponsored academy
if plans do not work out
Event Marketing - Response to competition
- Increase the attractiveness of
prize to higher values
- Change venue
- Change aggressiveness of
promoting the contest to
children in the vicinity
Bus and Bus Stop
Advertisements
- Exposure of brand to
consumers and potential ones
- Change number of buses and
bus stops advertised on
-Adjust size of advertisement
Traditional media
(Television and Newspaper
advertisements)
-Exposure of brand to
consumers and potential ones
-Viewership
-Change frequency of
advertisements
-Change length/size of
advertisements
-Change way the message is
put across
-Change color scheme to
attract attention
Sales Promotion (Bonus
Gift/Scratch and Win)
-Response of consumers -Change of free gifts or prizes
to more attractive ones
-Increase awareness of
promotion
Interactive Advertising-
-Number of ‘likes’ of page
- Response to activities on
page
-Advertising on Facebook to
promote page
-Adding on of page link to
various advertisements
-Increase in fun factor of
activities
Publicity - Change in perception of
Froot Loops and Kellogg’s by
consumers
-Increase in publicity of
campaign
-Increase in scale of donation
top related