maytag presentation

Maytag Corporation Media Plan

AIMED MediaGina Citarella ~ Joelle Harari

Erin Penha~ Bradley Weiss

Agenda1. History

2. Problem

3. Objectives

4. Current Situation

5. SWOT Analysis

6. Competition

7. Target Audience

8. Business/Media Goals

9. Media Choices

10. Timing and Placement

11. Budget Breakdown

12. Flowchart

13. Thinking Ahead

History

• First established washer brand in 1907

• Company mission founded in effort “to build quality appliances from durable and long-lasting materials”

• Developed into brand that carries a variety of home appliances

Source: JD Power Associates

History• Maytag laundry appliances last

longer than any other brand on the market

• In the 60’s, creative producers generated the bored “Maytag Repairman” in TV spots

• Maytag was acquired by Whirlpool in 2006

Source: JD Power Associates, Mergent Online

Problem

• Maytag seen as an “old” brand

• Strong competition from brands with innovative designs

Objectives

• Reinforce brand image

• Increase brand loyalty

• Explore new market

Business Goals

• Change preference from the top three consumer-rated brands of washers to Maytag brand washers

• Challenge the competitors on points of durability and innovation

• Reach out to building operators and owners of rental units

Media Goals

• High frequency • Innovative media space• Change preferences of consumers and

businesses

Current Situation- Industry• Increase in laundry equipment units in

households

• Steady competition

• Saving energy

Source: SIC 3633 Household Laundry Equipment, US Census

Current Situation- Industry

Current Situation- US Housing Trends

• Growing housing markets• Need for new appliances with new homes

being built• Seasonality of moves

Source: SIC 3633 Household Laundry Equipment, US Census

US Move-ins

Source: U.S. Census – Seasonality of Moves and Duration of Residence

City Growth

Map of Sunbelt

Source: Map from Answers.com

Maytag’s Strengths

• Sole focus on laundry equipment

• Strong brand image

• Research and development

• Well-known, positive company icon

• First established washer brand

Source: Datamonitor

Maytag’s Weaknesses

• Product recall

• Synonymous with “old brand”

• Poor feedback from television advertisements

Source: Consumer Surveys

Maytag’s Opportunities

• Increase sales with B2B

• Increase in housing markets

• Use of new repair man

• Baby boomers who are familiar with brand

Maytag’s Threats

• Competing brands emphasizing unique and innovative design

CompetitionLG

• Large-scale electronics manufacturer

• Laundry appliances make up 16% of sales

• High-energy star rating

• Aesthetic appeal

Kenmore• Part of Whirlpool

Corporation • Aligned with K-Mart

and Sears as part of advertising campaign

• Targets affluent audience through “innovation” theme

GE

•Distributes washers for the mass business

•Priorities focused on emerging markets, consumer spending and products, and energy efficiency

Source: Mintel, JD Power Associates, Hoovers.com, LGE.com, Ge.com

Competitive SpendingBrand 2005 Ad spend 2006 Ad spend Change 2005-06

  $million $million %

All appliances:      

Kenmore 52.7 51.1 -3

GE Consumer Products 24.7 32.1 30

Whirlpool 42.8 31.8 -25.7

Electrolux 17 7.4 -56.5

Maytag 71.8 1.2 -98.3

Washer/dryer specific:      

Kenmore 21 21.1 0.4

Whirlpool 14.2 17.9 25.7

LG 0 13.9 -

Source: Mintel

Target UniverseTotal US Women=

113,113,000

Source: MRI+: Automatic washing machine bought in last 12 months

Target Audience• Women 35 – 54 (43,558,000)• B and C Counties• At current home < 1 year= 20,186 (Index 157)• Live in southern US (Index 114)• Now married/ engaged (Index 113/ 117)• Have children between 12-17 years old (Index

136)

Source: MRI+

Target Audience

• Building Development Managers

• Offices in southern United States

• People who will use Maytag as a selling point in multifamily housing purchase

Locations

Table 6: Housing Unit Estimates for the 100 Fastest Growing Counties With 5,000 or More Housing Units in 2006: July 1, 2005 to July 1, 2006

Rank Geographic AreaHousing Unit Estimates Change, 2005 to 2006

July 1, 2006 July 1, 2005 Number Percent

1 Pinal County, AZ 126,854 108,771 18,083 16.6

2 Sumter County, FL 40,667 35,786 4,881 13.6

3 Kendall County, IL 30,879 28,145 2,734 9.7

4 Lee County, FL 341,150 312,720 28,430 9.1

5 Flagler County, FL 46,652 42,787 3,865 9.0

8 Rockwall County, TX 23,997 22,102 1,895 8.6

14 Osceola County, FL 109,892 102,186 7,706 7.5

15 St. Johns County, FL 80,369 74,850 5,519 7.4

16 St. Lucie County, FL 125,530 117,019 8,511 7.3

19 Walton County, FL 40,042 37,422 2,620 7.0

22 Brunswick County, NC 68,996 64,642 4,354 6.7

25 Yuba County, CA 27,072 25,437 1,635 6.4

26 Union County, NC 63,677 59,908 3,769 6.3

Source: US Census

Locations1 Los Angeles,

California• #2 for fastest growing cities in California • 2 suburbs in range of the City are among the top housing gainers since 2000

2 Chicago, Illinois •3rd fastest growing county in the US, Kendall county close by•Much of target audience is located in the North Central

3 Dallas, Texas •Rockwall county is in the top 10 fastest growing US counties•Dallas is at crossroads of Oklahoma, Arkansas, and Louisiana

Source: US Census, Forbes, MRI+

Locations4 Tampa, Florida •Sumter, Lee, and Flagler Counties are

ranked in the top 5 fastest growing counties in the U.S.•Sunbelt

5 Phoenix, Arizona •Pinal County - #1 fastest growing county is within 2 hour radius•Sunbelt

6 Charlotte, North Carolina

•Raleigh and Charlotte ranked in Forbes Top 10 Best Housing Markets in the U.S.•Sunbelt

Source: US Census, Forbes, MRI+

Character Profiles

Putting a face on the target audience

Claire

• Age: 51 (Baby Boomer)• Hometown: Charlotte, NC• Job: Real Estate agent/

Homemaker• Salary: $55,000• Family: 3 kids, college and

beyond

Source: Consumer Surveys

Claire

• Daily Routine: commute to work, daily errands

• Hobbies: gardening, home improvements, family visits and travel

• Media Use: Magazines, Internet, Newspaper, Outdoor

Source: Consumer Surveys

Jack and Leah• Age: 35 and 33

(Generation X)• Hometown: Boston,

MA Tampa, FL• Job: Financial Advisor,

Account Manager• Salary: $150,000• Family: Married with 1

child, planning more

Source: Consumer Surveys

Jack and Leah• Daily Routine: Drives son

to school and sports practice, goes to gym, grocery store

• Hobbies: Shopping, exercising, online browsing

• Media Use: Magazines, Newspapers, Internet, Outdoor

Source: Consumer Surveys

Keith

• Age: 38

• Hometown: Tempe, AZ

• Job: Building Development Manager

• Salary: $90,000

• Family: Wife and one kid, planning more kids

Source: Consumer Surveys

Keith• Daily Routine: Hour drive

to Phoenix office. Sees billboards, uses cell phone, so radio ineffective.

• Hobbies: Watches TV, goes out to dinner, sports (scores in newspaper), family time

• Media Use: Newspaper, Internet, Magazines, Outdoor

Source: Consumer Surveys

Media Choices

MagazinesPros

• Specialized readers • High pass-along

factor• Longer shelf life• Quality of creative

execution• Detailed product

information

Cons• High Cost• Low priority medium

Newspaper

Pros• High Index• Localized• Reach both targets• Portable• Detailed product

information

Cons• Short shelf life

Outdoor

Pros• Visual reinforcement• Morning and after

work drive• Daily repetition

Cons• Limited product

information

Internet

Pros• High index• Research tool• Increase in online

traffic and purchasing

Cons• Clutter• Washer/Dryer

purchasing is not impulse purchase

Media Indices- FemaleMedia Index

Newspapers (Q2) 133

Magazines (Q2) 118

Internet 116

Outdoor 114

Television 96

Radio 93

Source: MRI+: Automatic washing machine bought in last 12 months

Media Vehicles

Media vehicles chosen to reach target audiences based on MRI+ indices, Mintel

reports and consumer surveys

Magazines

Newspapers

Outdoor

Internet

• Google.com searches• health.msn.com• lifestyle.msn.com• CNN.com

Character Media Profiles

Magazine- Better Homes & Garden, USA Weekend, Woman’s Day

Newspaper- The Charlotte Observer

Outdoor- Highway billboards

Internet- health.msn.com, Google.com

Magazine- Woman’s Day, USA Weekend, Architectural Digest

Newspaper- The Tampa Tribune

Outdoor- Highway billboards

Internet- iVillage,com, CNN.com

Magazine- Building Design + Construction, Architectural Digest, USA Weekend

Newspaper- The Arizona Republic

Outdoor- Highway and construction billboards

Internet- CNN.com

Google.com,

Timing Strategy• Pulsing strategy• Pre-Summer – Summer months• May: the “move-in-month”

Budget BreakdownMedia Dollars Spent Percent of Total

Magazines $ 2,546,161 30%

Newspaper $ 3,416,966 40.2%

Internet $1,316,995 15.5%

Outdoor $ 1,219,878 14.3%

Total ~$8,500,000 %100

Flowchart

Please see hard copy

Future Work

• May “Tag”: May promotional event/ tag coupons on laundry related products

• Construction tarp advertisements

• More interactive media

• NBC.com during Summer Olympics

Measuring Results

• Amount of units sold in target city DMAs

• Mailed registration forms to profile purchaser

• Amount of units sold through B2B for housing developments

Conclusion

• By using the four types of media, we can accurately select our target audience and frequent our messages

• The vehicles we have selected will reach businessmen associated with growing housing sector and women consumers

Thank You for considering AIMED Media’s Media Plan!!!