imc 610: imc plan for the home depot

Integrated Marketing Communications Plan

Alaina Moore West Virginia University

IMC 610 Fall 2014

1 The Home Depot: IMC Plan

Executive Summary

In this paper, you will find the Integrated Marketing Communications Plan for The Home

Depot, targeting men and women, ages 25-35, with a college degree, without children who may

or may not own a home. A lot of research has been collected to determine The Home Depot’s

strengths, weaknesses, opportunities and threats. The target audience for this plan offers an

opportunity for The Home Depot to capture this upcoming generation of consumers and to create

brand loyalty while in the early stage of the buying life cycle. This plan outlines the marketing,

creative, media, public relations, direct marketing and sales promotion objectives and tactics

needed to capture this target audience and to make this plan successful.


Table of Contents

I. Executive Summary ...........................................................................................................1

II. Background Information ................................................................................................. 4

Values....................................................................................................................................5

Products and Services:............................................................................................................7

Financial Statistics .................................................................................................................8

Competition ...........................................................................................................................8

Current Marketing Strategies ..................................................................................................9

III. Target Audience ............................................................................................................... 11

Background Information ....................................................................................................... 12

IV. SWOT Analysis .................................................................................................................14

V. Campaign Objectives and Strategies............................................................................16

Objectives: ........................................................................................................................... 16

Strategies:............................................................................................................................ 16

VI. Integrated Creative Strategy Statement .......................................................................18

Integrated Creative Strategy Statement: ................................................................................. 18

VII. Creative Brief .....................................................................................................................19

Tactics: ................................................................................................................................ 19

Target Audience: .................................................................................................................. 19

Product Positioning: ............................................................................................................. 19

Integrated Creative Strategy Statement: ................................................................................. 20

Creative Considerations: ...................................................................................................... 20

VIII. Creative Execution .......................................................................................................... 20

IX. Media Objectives and Strategies .................................................................................. 24

Objectives ............................................................................................................................ 24

Strategies:............................................................................................................................ 24

Tactics: ................................................................................................................................ 24

X. Media Flow Chart ............................................................................................................ 28

XI. Public Relations Strategies and Tactics ..................................................................... 29

Objectives ............................................................................................................................ 29

Strategies ............................................................................................................................. 29

Tactics ................................................................................................................................. 29

XII. Direct Marketing Plan .................................................................................................... 32


Objectives: ........................................................................................................................... 32

Tactics: ................................................................................................................................ 32

XIII. Sales Promotion Plan ...................................................................................................... 33

Objectives: ........................................................................................................................... 33

Tactics: ................................................................................................................................ 34

XIV. Measurement and Evaluation Plan.............................................................................. 35

XV. Conclusion ........................................................................................................................ 36

XVI. References ......................................................................................................................... 37


Background Information

The Home Depot is the largest home improvement retailer, the fourth largest retailer in

the United States and the fifth largest retailer in the world. In 2010, they were ranked 29th on the

Fortune 500 U.S. list. They sell products to do-it-yourself (DIY) customers, do-it-for-me (DIFM)

customers and professional customers such as remodelers, general contractors, and repairmen

(Friesner, 2014).

The Home Depot was founded in 1978 by Bernie Marcus and Arthur Blank. The two

founders brought investment banker, Ken Langone, and merchandiser, Pat Farrah onboard to

help bring their vision of a one-stop shopping experience for the do-it-yourselfer to life when

they opened the first two stores on June 22, 1979 in Atlanta, Georgia. The first stores were about

60,000 square feet and stocked 25,000 SKUs, which was much larger than the average hardware

store at that time. Associates were able to offer great customer service, helping customers

through various projects. They undergone a lot of product knowledge training and even offered

clinics so customers could really learn how to do-it-themselves. The Home Depot revolutionized

the home improvement industry by aiding customers, supplying them with the tools they needed

and saving them money. Bernie and Arthur created the customers' bill of rights at The Home

Depot. This meant the customers had the right to assortment, quantities and price and trained

associates on the sales floors who were willing and able to take care of them. They had a "what it

takes" philosophy about customer service meaning they were building relationships with their

customers, rather than making transactions ("Our Company: History," 2014).

In 1981, The Home Depot went public on NASDAQ and in 1984 moved to the New

York Stock Exchange. For two decades, the company saw tremendous growth. They opened

their first store in Canada in 1994 with the acquisition of Aikenhead's home improvement


centers. In 2001, they opened their first store in Mexico through the acquisition of Total HOME,

and 2006 opened stores in China after acquiring The Home Way, a 12 store chain ("Our

Company: History," 2014).

The Home Depot developed strategic product alliances with industry- leading

manufacturers to offer the most exclusive assortment of products to customers. Through a

combination of national brands and proprietary products like Ryobi® tools, RIDGID® tools,

BEHR® paint, LG® appliances and Toro® and Cub Cadet® lawn equipment, the company set a

high standard for innovative merchandise for the do-it-yourselfer and the professional contractor

("Our Company: History," 2014).

Values

The Home Depot's values guide the beliefs and actions of all associates. They believe their

values are the fabric of the Company's unique culture and are vital to their success. They also

believe they give them a competitive advantage in the marketplace. According to their website,

"associate pride and their "orangeblooded" entrepreneurial spirit are distinctive hallmarks of their

culture" ("Our Company: Values", 2014). Their values include:

1. Taking care of our people:

The key to our success is treating people well. We do this by encouraging associates to

speak up and take risks, by recognizing and rewarding good performance and by leading

and developing people so they may grow.

2. Giving back to our communities:

An important part of the fabric of The Home Depot is giving our time, talents, energy and

resources to worthwhile causes in our communities and society.


3. Doing the right thing:

We exercise good judgment by "doing the right thing" instead of just "doing things right."

We strive to understand the impact of our decisions, and we accept responsibility for our

actions.

4. Excellent customer service:

Along with our quality products, service, price and selection, we must go the extra mile to

give customers knowledgeable advice about merchandise and to help them use those

products to their maximum benefit.

5. Creating shareholder value:

The investors who provide the capital necessary to allow our company to grow need and

expect a return on their investment. We are committed to providing it.

6. Building strong relationships:

Strong relationships are built on trust, honesty and integrity. We listen and respond to the

needs of customers, associates, communities and vendors, treating them as partners.

7. Entrepreneurial spirit:

The Home Depot associates are encouraged to initiate creative and innovative ways of

serving our customers and improving the business and to spread best practices throughout

the company.

8. Respect for all people:

In order to remain successful, our associates must work in an environment of mutual

respect, free of discrimination and harassment where each associate is regarded as a part

of The Home Depot team.


Products and Services:

The Home Depot offers a variety of innovative merchandise and services for its customers

because they believe that for most people, their home is the biggest financial and emotional

investment they make. Their goal is to help consumers create the home of their dreams whether

they want to do it themselves or have it done for them. They offer specialized support and

services for professional contractors and tradespeople to ensure they have access to everything

they need on the job site ("Our Company: Stores, Products and Services," 2014).

Today, the Home Depot has more than 2,200 locations throughout the United States

including the territories of Puerto Rico and the Virgin Islands, and have stores located

internationally in Canada, Mexico and China. Each store averages 105,000 square feet with

approximately 23,000 additional square feet of outside garden area. Each store has about 40,000

different kinds of materials, home improvement supplies, appliances and lawn and garden

equipment. Items do vary by store because they stock merchandise that matches what an area's

market demands. They also offer a low price guarantee to beat competitors' prices. Their website

and mobile app are also available to customers and provide another way to shop for products.

They will also do special orders if the item you are looking for is unavailable ("Our Company:

Stores, Products and Services," 2014).

The Home Depot offers a variety of services for its customers. Home Services are available

if customers do not want to take on a project themselves. They offer national installation services

through a pre-screened independent contractor for a variety of products. They provide customers

with Free How-To Clinics which allows them to get hands-on experience. Their classes are

offered every Saturday and Sunday. They also have the largest garden club in the world. They

provide Kids Workshops which allows children to have fun and learn new skills, and more than

1 million children have built their first toolbox at one of the Kids Workshops. For their

professional customers, the Home Depot offers special services and support to make them more


successful at the job site. More 1,900 stores offer a contractor service desk which gains them

access to loyalty programs, a pro bid room to handle large customer orders with volume

discounts, direct ship programs, credit programs and other specialty sales initiatives. In 2002, the

Home Depot Foundation was formed and have granted more than $270 million to nonprofit

organizations to improve homes and lives in local communities. Since 2008, the Home Depot

Framing Hope Program has donated $100 million worth of products to over 1,400 local

charitable partners to renovate and rebuild homes. In 2010, The Home Depot announced a goal

of cutting energy use in their stores by 5% by 2015, reducing energy use by 20% since 2004

("Our Company: Stores, Products and Services," 2014).

Financial Statistics

The Home Depot has done well in the last four years and continues to grow. Their

revenue in February 2014 was $78.8B, which increased $4B over 2013. It has risen $10B since

2011. The cost of goods sold in 2014 was $51.4B which gives The Home Depot a gross profit of

$27.4B. They decreased sales devoted to selling, general and administrative costs from 21.90%

to 21.06% which contributes to their net income increasing from $4.5B in 2013 to $5.4B in 2014

("HOME DEPOT INC (HD: New York Consolidated): Financial Statements - Businessweek,"

2014).

Competition

The primary competitors of The Home Depot are Lowe’s, Ace Hardware, Menard and

True Value. Other competitors include Walmart, Target, Sears, Kmart, Amazon.com and

Sherwin Williams. Lowe’s has actually been around a little longer than The Home Depot, but

trail behind in market share. They have about 400 less stores than The Home Depot. They target

the same market as The Home Depot, but Lowe’s has more female shoppers than The Home

Depot. However Home Depot’s male shoppers are spending much more. While the Home Depot


is ahead of Lowe’s in the home improvement industry, they are a serious competitor and need to

remain ahead of the curve.

Current Marketing Strategies

The Home Depot has had many successful marketing campaigns including "Let's Do

This" which is geared towards getting projects done. Their slogan "More Saving. More Doing" is

very identifiable with the brand. They have made successful efforts to increase their presence in

social media, which includes Facebook, Twitter, Tumblr, Pinterest and their app. They have even

used YouTube for how-to instructions and product help (Belch & Belch, 2015, p. 514).

The Home Depot has been successful on Twitter and have campaigns such as

#LetsDoGameDay where they partnered up with ESPN College Game Day and tailgate with


major college teams. They have also started @TeamDepot, which is a part of The Home Depot

Foundation, and provides home improvements to the homes and lives of U.S. veterans. They are

doing a special Celebration of Service campaign until Veteran’s Day this November. Another

social media channel that has been successful is YouTube.com, where they post how-to videos

for various projects.


Target Audience

Meet Emma Wilson and Derrick Hernandez. Emma is from Charlotte, North Carolina,

and Derrick is from Katy, Texas. Newly engaged, they met at the University of North Carolina in

Charlotte where Emma studied Psychology and Derrick studied Graphic Design. They moved to

Nashville, Tennessee after Derrick was offered a job with a design firm six months after they

graduated. Emma is working on her master’s degree at Middle Tennessee State University in

Special Education and working as a Career Counselor at a local high school. They have an

apartment in East Nashville, which is an upcoming neighborhood with a younger demographic.

They have been in Nashville for about a year, and they both love everything the city has to offer.

They are constantly on the go between work and the entertaining nightlife that Nashville

has to offer. They enjoy being young and in the early stage of their lives, and are very focused on

their careers. When they are home, they catch up on their favorite TV shows on hulu.com, and

don’t feel the need to pay for regular cable. They stream everything online and are very tech

savvy. Social media is also a huge part of their routines. Emma is obsessed with her Pinterest

boards and regularly uses her smartphone to get more ideas of things to do around the house.

Derrick is a big video gamer and loves watching YouTube for the latest information about

upcoming products.

Together, they have a Household Income of around $80,000 per year, which is just below

the average in Nashville. They are not ready to buy their first home, but they want to improve

their apartment so that it doesn’t look like they’re in college anymore. They want to entertain

friends and family without committing to any major renovations. They also are not looking to

start a family for at least five years because they really want to focus on themselves and become

established in their careers.


Background Information

The Home Depot has many target markets. While the largest demographic, population

wise, is that of the aging Baby Boomers, retailers tend to agree that one of the most important

consumer demographics is a large portion Generation Y, which in more general terms are

college-educated adults in their mid to late 20s and early 30s who haven't yet had children.

Although this group has been labeled "generation debt" due to many taking out student loans that

will require decades to repay and having grown up in the credit card era, they are very optimistic.

This group is who retailers are aiming their marketing efforts toward to gain loyalty (Smith,

2012).

The members of the mid-20 to mid-30 demographic aren't just linked by their age. Many

members of this group are college-educated and are perceived as having more discriminating

tastes. They also have a wider exposure to the range of products and services available to them

and the experience to research their choices and make the best decision on which products best

fit their needs. The members of this group being childless is significant in that discretionary

income may be spent on what they want and to fulfill immediate needs and items from the list of

wants, especially with respect to electronic goods. Most of the members of this group are living

on their own for the first time and are setting up their households, either independently or with a

partner or roommate. They are beginning their careers and are purchasing items that give the

sense of being well-off. This is why The Home Depot may appeal to their group because they

carry products that are viewed as essential to establishing one's home (Smith, 2012).

There are many psychological and sociological variables that influence the purchasing

patterns of this target market. First, members of this demographic tend to seek immediate

gratification. In a world of needing everything now, members are generally ready to make a

purchase on the spot. Although they have many tools to conduct research, they rely heavily on

word-of-mouth and media-generated buzz. They typically do not need persuasion by the sales


associate because they are already sold. Adding to the immediate gratification factor, consumers

in this group tend to seek a convenient and fast shopping experience. They expect sales staff to

be available but prefer avoiding interaction because they view themselves as self-sufficient and

knowledgeable about the products they buy (Smith, 2012).

Another huge factor is a change in the mindset of Generation Y, which are now being

called "Generation Right". Though they are more socially liberal and accepting of different

lifestyles, according to the polling company Ipsos Mori, they are likely to be more politically

Right-winged than the generations prior at the same age. An odd statistic that defines this group

is the trend of partying is decreasing for young adults unlike generations before. The idea of

young adults acting more mature is a huge benefit to retailers like The Home Depot as owning or

remodeling your home is a more traditional idea. DIY mania has taken over, especially among

females in this group thanks to Etsy.com and Pinterest. Gardening is now the fifth most popular

leisure activity among young adults, and the New York Times called this group the "New

Domestics". They are more into clean living and wholesome hobbies in comparison to the "Sex,

Drugs and Rock-N-Roll" mindset of previous generations at the same age (Dove, 2014).

Members within the mid-20s to mid-30s are completely different than generations before

them. They are somewhat more mature and ready to make purchases for their new home earlier

in their lives. Because of their need for instant gratification, this group doesn’t need as much

attention on the sales floor as other markets because the majority already know what they are

planning to buy once they walk into the store. They are an emerging group of self-sustainable

and independent consumers who want to learn more about doing things on their own. The Home

Depot has many products that this group is looking for and now just need to shift their efforts

into drawing them into their stores. One huge benefit of capturing this group now and building

loyalty to the brand is that they will grow and mature with the brand as they enter into different

phases of their lives.


SWOT Analysis

The U.S. home improvement retail industry is a mature industry characterized by a high

degree of market concentration and homogenous product line. The Home Depot is the leader in

the industry, taking up 58% of the annual $129 billion dollar revenues. Lowes is the industry’s

second-largest company taking up 39% of the annual revenue making them their biggest

competitor (Hellman, 2014). After completing the SWOT analysis for The Home Depot, it’s

easy to see that they have many important strengths including overall awareness of the brand.

The Target Audience is already aware of The Home Depot and what they offer, and they already

trust that they are getting the most trusted brands in the industry.

There are a few internal threats from within the past ten years that are still being resolved.

Prior to 2007, the management in place didn’t have the company’s values in mind when making

decisions which left employees and customers unsatisfied. The Atlanta-based company’s stock

prices had stagnated, and the company was losing ground to its rival, Lowe’s which prompted

criticism for higher management. Since 2007, management has been working to regain the trust

of their employees and customers (Banjo, 2014).

However there are a few threats in targeting this audience. In conjunction with the U.S.

housing market, the target audience’s homeownership trends are a huge threat. This group in the

past has seen a huge decline in homeownership mainly because they just missed the Hosing

Crisis causing fear among these buyers, but we are seeing this slowly start increasing some in the

last two years. The good news is that the trend of them living with their parents is starting to

decrease, meaning they are beginning to live on their own or with roommates (Kolko, 2014).

This is an opportunity to create brand awareness and loyalty to this market now while they are

just beginning their independence so that when they are in the market to buy their first home,

The Home Depot is who they turn to, differentiating them from the competition.


A huge opportunity is to increase social media and online presence, which will reach the

target market much more effectively than more traditional channels. The behaviors of this group

is much different to that of earlier generations, which is why it’s important to reach them on

more non-traditional channels. Increasing awareness of the mobile app is a huge opportunity for

this audience as they are more likely to shop on their mobile device.

Strengths: Brand Awareness

Industry Leader

Strong Media Tactics

High Quality Products and Services

Patents

Product Alliances

Number of Locations

Loyalty Programs

DIY Workshops

Weaknesses: Brand Differentiation

Weak Online Presence

Product Recalls

Opportunities: Create Loyalty within Target Market

before they are homeowners

Larger Social Media Presence

Utilizing Mobile App

Online Presence

More interactive abilities within store, online and with mobile app

Associate training program

Threats: Declining Housing Market

Competitors’ rising industry revenues

Target Market’s Homeownership

Trends


Campaign Objectives and Strategies

Objectives:

Based on the SWOT Analysis, the campaign objects are:

Increase overall sales by 20% within 12 months among target audience

Increase awareness of DIY possibilities for members by educating our target audience

Increase social media presence by increasing frequency, improving content and targeting

specific audience

Increase online purchasing by 20% from last year

Increase use of mobile app by 30% among target audience

Create more interactive advertisements and features in-store and through the app

Strategies:

To meet the objectives stated above, the following strategies are in place:

To increase social media presence, we plan to increase the consumers’ awareness of the

brand on channels like Twitter, Facebook, Pinterest, YouTube and Tumbler. The target

audience spends on average 17.4 hours per week on social media. We want to increase

the frequency of advertising on these channels and also make these advertisements more

interactive, influencing users to become involved with the messages.

One of the major opportunities is continued efforts to increase The Home Depot’s online

presence. Last year, online sales of the company 50% to $2.7 billion, making up 3% of

total sales. This is a huge opportunity to tap into the online market even further,

especially being that the target market prefers online shopping. This group of consumers

research products prior to buying and want to have a place to give their feedback of the

items they are buying.


We will also increase awareness for The Home Depot mobile app by giving users

exclusive offers for using and purchasing from their mobile devices. We know this will

directly influence our target audience since 50% of this group uses their smartphones to

research products.

Combining our efforts to create more interactive advertisements for our target audience,

we want to influence this group once they are in the store as well by installing touch

screen displays in specific locations within the store. Our audience are 216% more likely

to be influence to purchase by the use of in-store touch screen displays.

Along with the Marketing Strategies listed above, The Home Depot has an opportunity to

improve its customer service by providing its employees with even more opportunities to learn

about all of the products that are available to purchase in-store and online. Great customer

service is what will differentiate them from the competition, and it’s important to train associates

on how to sell to this group. Their target audience does not need a stereotypical sales pitch in

order to make a purchase. They need employees who are there to answer questions when they

have them and to help determine which product is the right choice for them. They have typically

done the research and are ready to purchase prior to walking into the store, but they need

employees who are able to steer them in the right direction. This doesn’t mean they can’t upsell,

being that millennials are 52% more likely to make impulse purchases than previous groups. It’s

also 33% more important for a sales associate to make a Generation Y customer smile than it is

for a Baby Boomer, so employees need to be personable and really be authentic.

These strategies will enable The Home Depot to complete the marketing objective of

increasing sales by 20% within this target audience. Many of these customers are just starting

out, and may not be in the market to purchase a home or to do a major renovation. However they

are trying to become more independent by learning skills now to help them when the time comes


to make those major purchases. That is why we will push our DIY programs to educate them on

ways they can improve their homes or apartments. The Home Depot needs to build those

relationships now so that they are the only brand they trust as their buying matures.

Integrated Creative Strategy Statement

Integrated Creative Strategy Statement:

Let’s turn your first place into the place to be!

Rational Benefits

Mobile App

Online Shopping

Improving Home

Free Education

Competitive Prices

Quality Products

Emotional Benefits

Actually oing It Yourself

Independence

Builds Confidence

Promotes Creativity

Rejected Creative Statements

• I did this myself!

•We did this ourselves!

• I t was just an idea I had.

• Let 's turn your first apartment into the t ime of your life.

• Let 's make your place look like you got that big promotion.

• Let 's turn your DIY Board into reality.

• Let 's make them think you spent a fortune.

• Let 's proudly say, "I made it myself."


Creative Brief

To increase sales by 20% within 12 months among the target audience by increasing exposure to

the brand through more untraditional channels, such as social media and the mobile app.

Tactics:

To support the long-term goal of capturing this target audience which will create loyalty

to The Home Depot brand for many years.

To increase the use of the mobile app among the target market.

To increase brand recognition by emphasizing social media channels such as Twitter,

Facebook, YouTube, Pinterest and Instagram in campaign efforts

Target Audience:

The large portion of Generation Y in their mid-20s to mid-30s who are college educated and

haven’t had children yet; HHI $50K+. They may or may not own their home.

What do they currently think?

The Home Depot is the place to go for major renovation projects for homeowners.

What do we want them to think?

The Home Depot is the place to buy everything you need for any DIY project, big or

small.

Product Positioning:

From tools to how-to workshops, The Home Depot has everything needed to complete your next

project either in-store or online, whether it’s a small DIY project or an entire renovation.

Easy-to-use mobile app that allows customers to shop from their smartphones.

Interactive guides online and in-store help you plan your next project.


Monthly DIY project packets for easy-to-make customizable projects for your home or

garden.

Integrated Creative Strategy Statement:

Let’s turn your first place into the place to be.

Creative Considerations:

Develop concepts that center around using the mobile app and online features.

Create interactive in-store and online features to aid customers in future projects.

Incorporate social media channels such as Pinterest, YouTube, Twitter, Facebook and

Instagram.

Create an idea of affordability that looks expensive.

Use the idea of social interactions with friends and family around DIY projects.

Must be translated in both print and commercial forms.

Remain fluid in terms of current campaigns.

Creative Execution

One of our ideas for creative execution is a commercial campaign that will run on

Hulu.com featuring interactive ads. There are 3 different concepts targeting the following

groups within our target market: a single man, a single woman and a young couple. All three ads

display DIY projects and use the Integrated Creative Strategy Statement. These concepts will

provide market segmentation among the target audience. We do not want to go too far away

from the current “Let’s Do This” campaign as brand recognition is very important in that I

really like the concept they use of bringing different clips together for inspiration to the

customers being shown. These ads will feature the #letsdothis hashtag, keeping familiarity with


the current ads on traditional channels. The music used in the current commercials alone is very

recognizable to the brand, and we do not want to confuse viewers. The idea behind this

execution is reintroduce the target audience to The Home Depot.

Here’s examples of the creative execution for the advertisements done for Hulu.com

subscribers. These ads will run during the corresponding television shows. The following

examples are for Gotham, New Girl, Once Upon A Time and The Mindy Project.


Media Objectives and Strategies

Objectives

Use online sources to advertise to target market over a 12-month period.

To reach at least 75% of target market a minimum of 3 times of 12-month period.

To increase use of The Home Depot app through mobile media by 30% within the 12-

month period.

Strategies:

45% of our budget will go toward advertising on Hulu.com, as this campaign will be

a huge focus and will reach a large amount of our audience with interactive ads.

30% of our budget will go toward online and mobile media including social media,

online websites sponsorships such as Youtube and Buzzfeed.com. We will also

communicate all 12 months on The Home Depot’s website and mobile app.

25% of our budget will go toward traditional media, such as TV, radio, magazines

and newspapers, specifically in areas where the DIY Block Parties will take place.

Tactics:

To meet the Media Objectives, we will use Hulu.com to promote The Home Depot to the

target market. Hulu.com has over 6 million subscribers with 60% of them being ages 18-49,

hitting our target market, and they are on over 400 million internet connected devices around the

world. Hulu allows companies to custom-create ads and sponsorships that fit your needs, which

ultimately drives higher engagements and results. Hulu charges companies 30 CPM for their

advertisements. A great things about using Hulu is they have already done a lot of the research

and know which ads are going to work in specific areas at specific times. They are also able to

integrate specific ads for the specific device the viewer is using (“Hulu Advertising,” 2014). For


The Home Depot’s Hulu campaign, we want to target specific shows that prove to have larger

groups of our target market watching. Examples include:

New Girl

The Mindy Project

South Park

The Daily Show With Jon Stewart

The Colbert Report

Saturday Night Live

Nashville

Gotham

Once Upon A Time

Key and Peele

Broad City

The Voice

Community

Bob’s Burgers

Family Guy

Brooklyn Nine-Nine

Keeping Up With the Kardashians

Parks and Recreation

Selfie

@Midnight

Late Night with Seth Myers


During the specific shows, interactive ads will be used to allow views to choose which

ad they want to see. This will empower consumers to make selections based on personal

preference, and the message is more likely to be heard. Another great feature about Hulu is that

they only charge companies if the ads are watched in 100% completion, ensuring that the money

for these advertisements is well-spent (“Hulu Advertising,” 2014).

Another way we want to reach our target market is to have interactive ads within shows,

and Hulu can make this happen. The idea behind our media is to reach our younger market by

showcasing the DIY projects that can be done at your first place. An example of integrating this

concept is by offering ‘How To’ DIY projects that are inspired by the show being streamed. An

example is for the show The Mindy Project. In this show, Dr. Mindy Lihiri’s office is one of the

many sets used throughout the show. During an episode, offer a link to a DIY project inspired

by her office, which would allow fans of the show to create a similar space at home. This is one

of many interactive ads that can used on a number of shows that Hulu has available to its

subscribers.

A specific example of a channel to be used for this campaign is a YouTube.com

homepage takeover. YouTube has more than 1 billion viewers each month. Of that 1 billion,

67% are between the ages of 18-34. Since the 78% of the total viewers are male, the YouTube

campaign will be aimed at the male population within our target market (“YouTube: Statistics,”

2014). The cost for a YouTube takeover is $400,000 and is sold in a package that includes

stream video ads, display ads and feature video listings (Marshall, 2013).

Another example of an online channel we will use is BuzzFeed to reach our target

market. Buzzfeed.com receives over 150 million views each month, and 50% of this group is

between the ages of 18-34, giving us a large portion of our market. Of that group 50% use their

mobile devices and 75% of its traffic come from social services, which will help us increase the


use of our mobile app by having DIY inspired articles and quizzes for its users to read about

(“BuzzFeed Advertise: Content Worth Sharing,” 2014).

We do not want to neglect more traditional channels, but Hulu.com is our primary

channel. We will air commercials on national networks, radio, specifically targeted magazines

and newspapers. Local advertising will be done in cities where the DIY Block Parties will be

held. The majority of traditional media will be heavily online since our target audience are more

easily reached online.


Media Flow Chart

Inte

rnet

News

pape

rs

Hom

e De

pot W

ebsit

e

Socia

l Med

ia

Onlin

e/Di

gita

l Adv

ertis

ing

Face

book

Twitt

er

Pint

eres

t

Blog

s

YouT

ube

Inst

agra

m

Goog

le+

Buzz

Feed

.com

Vario

us P

rint D

igita

l Edi

tions

Broa

dcas

t Med

ia

Inte

rnet

Rad

io

Pand

ora

CBS

ESPN

HGTV

Wire

d

Real

Sim

ple

Maxi

m

Men's

and

Wom

en's

Heal

th

The

Knot

Loca

l Wee

kly A

d Ci

rcul

ars

Loca

l

TV

Hulu

.com

ABC

NBC

HGTV

Carto

on N

etwo

rk

Radi

o

Maga

zines

Mobi

le A

ds fo

r Pho

ne A

pps

Mobi

le

Natio

nal

Sate

llite

Hom

e De

pot M

obile

App

3Q 2

015

July

Augu

stSe

ptem

ber

4Q 2

015

Octo

ber

Nove

mbe

rDe

cem

ber

Janu

ary

Febr

uary

Marc

h

1Q 2

015

2Q 2

015

April

May

June


Public Relations Strategies and Tactics

Objectives

To increase awareness to target audience of DIY project supplies available at The Home

Depot.

To increase the use of The Home Depot mobile app by 30%

To empower millennials to complete DIY projects for their home and to help the

community.

To raise $100,000 for The Home Depot Foundation in by Veteran’s Day 2015

Strategies

The Home Depot will sponsor the #doityourselfblockparty project where they travel to

25 cities in the country to host DIY Block Parties in younger neighborhoods and

communities.

To involve customers from all over the world, the #DoItyYourselfBlockParty will also

be made available on the mobile app.

These programs will also partner with The Home Depot Foundation to help raise money

and awareness for Veterans

Tactics

To increase awareness for millennials about the DIY options at The Home Depot, they

will travel to 25 major cities across the United States to host community DIY block parties.

These parties will be located in central areas of younger neighborhoods within those cities, and

all residents are welcome to attend. Admission will be free, but donations will be taken for The


Home Depot Foundation. There will be workshops available to everyone, and activities for

children so that parents can get involved in the projects. However our target is millennials in

their first homes, single or married, without children. Attendees will have three options to

choose from to make: a set of lamps, an indoor herb garden or a small bar. The 25 cities that

will be chosen to hold the DIY Block Parties are:

1. Colorado Springs, Colorado

2. Milwaukee, Wisconsin

3. Philadelphia, Pennsylvania

4. San Diego, California

5. Houston, Texas

6. Austin, Texas

7. Charlotte, North Carolina

8. Tulsa, Oklahoma

9. Nashville, Tennessee

10. New York City, New York

11. Miami, Florida

12. Kansas City, Missouri

13. Columbus, Ohio

14. Albuquerque, New Mexico

15. Tuscan, Arizona

16. Omaha, Nebraska

17. Boston, Massachusetts

18. Washington, D.C.

19. Denver, Colorado


20. Long Beach, California

21. Atlanta, Georgia

22. Minneapolis, Minnesota

23. Seattle, Washington

24. San Francisco, California

25. Portland, Oregon

Along with these DIY Block Parties, there will be a campaign called

#doityourselfblockparty where people from all over the world can be a part of the block parties

by uploading selfies of themselves and their projects to the mobile app where it can be shared on

The Home Depot’s social media and website. To keep the DIY Block Party going, there will be

a new DIY project uploaded to the mobile app each month for members to do at home. They

will be able to purchase the affordable DIY project kits, which include supplies, at their

neighborhood Home Depot, and a portion of the cost goes to The Home Depot Foundation.

Again, members will be able to upload pictures of each month’s projects to the mobile app to be

shared on The Home Depot’s social media.


Direct Marketing Plan

Objectives:

Reach target audience located in specific cities that will host the

#DoItYourselfBlockParty

Reach target audience that is not located in specific cities where the block parties will be

held.

To keep target market in control of what information they are receiving. We do not want

to overbear them with information, driving them away.

To remain in-line with overall marketing objectives, we want to communicate primarily

by the mobile influencing users to download and shop from their phones.

Remain strong on social media such as Twitter and YouTube, but really begin to

communicate with target audience through social media, allowing them to get involved.

Tactics:

Direct Mail invitation to DIY Block Party for those customers 25-mile radius of DIY

Block Parties. An email will also be sent to those within a 50-mile radius. Alerts will be

sent through the mobile app.

Communicate primarily through the mobile app to the DIY Club, which is targeted from

the DIY block parties.

Offer monthly emails if the customers decides to sign up.

Hold contests through social media allowing followers to remain involved in the

campaigns.

Provide a mobile update when the monthly DIY project is made available.


Update customizable options for customers who sign up for emails. It will be very

straightforward so that they are receiving the information they want, the way they want

it. This will also include a direct mail option

Sales Promotion Plan

Objectives:

Increase mobile app downloads by providing an in-store and online incentive for

downloading.

Continue the DIY Block Party throughout the year and reach the target audience not

located in the specific cities that were targeted.

To influence target market to complete surveys about their shopping experiences online,

in-store and with the mobile app.


Tactics:

Because we want our primary channel for the #DoItYourselfBlockParty to be the mobile

app, we will target our audience by offering exclusive mobile app discounts beginning in the

month of February.

Offer 20% instant discount for downloaded The Home Depot’s mobile app while in-

store. Sales associates would help assist customers if needed.

Provide current mobile app users a 25% “Thank You” discount.

Promote the mobile app through social media channels by offering the 20% off discount

online at checkout.

A DIY Club will be established for those interested in learning more about the program

and targeted to those within group. This group will receive monthly alerts via mobile app

and email about the new DIY projects that can be completed.

Provide discounts for individuals willing to complete surveys about their experience.


Measurement and Evaluation Plan

The objectives in this IMC plan is to increase sales in-store but primarily through the

mobile app and online sales to the target audience. By gathering information, these objectives

will be measured throughout the 12-month period. We will conduct both pre- and post-testing to

see how effectively we were able to meet our objectives and capture our target audience.

Prior to beginning the IMC Plan, The Home Depot will conduct a variety of test groups

to analysis how the target market feel about the brand. We want to know what their

perception is of The Home Depot and what would need to be done in order to make them

loyal.

These tests will also be conducted at the end of the 12 month period to see their

perceptions changed.

Social media metrics will also be closely watched as we begin the plan on channels such

as Facebook, Twitter, Instagram, YouTube and Pinterest. We want to make sure we are

effectively reaching our audience and make adjustments if we notice any trends.

We want to push surveys for our mobile app, online and in-store experiences so that we

can effectively make adjustments if needed.

We’ll also provide incentives for completing those surveys.


Conclusion

The Integrated Marketing Communications Plan for The Home Depot is designed to

capture the target audience in their early stage of buying to create brand loyalty, which will

enable them to continue to purchase as they go into the next phase of their lives. The marketing,

creative, media, public relations, direct marketing and sales promotions objectives and tactics are

to support the overall objective of this plan over a 12 month period. These objectives will be

evaluated and measured pre- and post-plan, and adjustments will be made throughout to support

trends. Once completed, this plan should meet its objectives.


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