EXECUTIVE SUMMARY Analysis of the Compact Car Industry Compact cars are one of the most competitive markets in the industry with over 30 choices. Due to the rise in gas prices, and the eco-conscious state of todays society, small cars are expected to escalate in popularity. This is reflected in the 21% increase since June of last year. Target Target audience consists of males and females between the ages of 18 and 26, who are most likely full time students attending college. Commute to school, therefore are gas conscious and drive a compact vehicle. Primary Research After conducting a survey with 268 college students, it was found that the majority of the target audience is unaware of the Chevrolet Sonic. Main competing brands were preferred by those who participated. The internet is the best tactic in reaching the target audience. Communication Strategy and Tactics Establishing awareness is the primary strategy for the campaign. This will be executed through guerrilla marketing, social media, and a promotional event. In order to effectively communicate this strategy, a simple, direct, and fun tone will be used. To interest students, the college discount program will be emphasized throughout the campaign. Cost Analysis The campaign was based on a $100,000 budget. Cost-Benefit Analysis The most beneficial tactics were chosen based on what the target audience prefers.
SWOT ANALYSIS StrengthsWeaknessesOpportunitiesThreats Chevrolet is a recognizable brand Chevrolet is now a top contender in automotive reliability OnStar Capabilities Chevrolet continues to struggle with their image because of past reliability issues The past target market was the Baby Boomer Generation Generation Y does not consider the brand Chevrolet as a trendy, modern car Reaching out to a new target audience Changing the brand image To take advantage of new media advertising Chevrolet has massive competition in the US small car automotive market Instability in the current economic market has lead to a decrease in automotive sales Possibility of the brand being overlooked by Generation Y
COMPETITIVE ANALYSIS Competitive SalesBrand Consideration Honda is the leading competitor for Chevrolet. Only 6% of Generation Y would consider purchasing a Chevrolet vehicle because it is mainly perceived to be of fair quality. Out of the 30 choices, these are the top four competing models of the Sonic.
TARGET AUDIENCE Demographics Psychographics Generation Y (18-26 years of age) Income: $0-$12,000 Sex: Male and Female Race/Ethnicity: All Occupation: College students or recent college graduates Geographic location: California State University, Fullerton and surrounding local colleges. Household size: 1 to 3 persons Open-minded Desires a sense of freedom Technology savvy Multi-tasking Prioritizes family Question authority Involved
PRIMARY RESEARCH METHODOLOGY Research Method California State University, Fullerton Gen Y Chevrolet Sonic Internet Survey View the survey at http://www.surveymonkey.com/s/VHXS8XD http://www.surveymonkey.com/s/VHXS8XD View the results at https://docs.google.com/document/pub?id=1ZDQfHzN cueYqVJhBm73tS6GAC3_WuRVO1iRfV_pzJMA https://docs.google.com/document/pub?id=1ZDQfHzN cueYqVJhBm73tS6GAC3_WuRVO1iRfV_pzJMA Sample Method A convenience sample of people between the ages of 18- 26 within the Orange County area. Sample size: 268 (117 males and 151 females)
KEY INSIGHTS OF PRIMARY RESEARCH Product AwarenessMedia Consumption Q: How aware are you of the new 2012 Chevrolet Sonic? Result: 71% are unaware. Q: Which type of media do you most commonly use? Result: The internet is the most commonly used media.
KEY INSIGHTS OF PRIMARY RESEARCH Directions: Rank in order of importance. (1 being the most important and 5 being the least important) Q: What features do you look for when purchasing a vehicle? Result: Price is the most important and engine is the least important.
LIMITATIONS & OPPORTUNITIES Problem Generation Y is aware of Chevrolet but they do NOT trust the brand Opportunity Gain consumer trust by showing the reliability of their products Problem Chevrolet is trying to reach a new target audience, however; Generation Y is unaware of the Sonic Opportunity Change their advertising tactics from traditional to modern in order to cater toward Generation Y
OBJECTIVES Marketing To sell 20 vehicles within the campaign year. To increase awareness of the Sonic from 29% to 80% amongst Generation Y. Communications To establish awareness of the Chevrolet Sonic o Generation Y currently does not view Chevrolet as a top car brand To gain preference by displaying the overall performance and value of the Sonic o Generation Y prefers Honda. o Research proves that compact cars are socially acceptable To emphasize purchase of the Chevrolet Sonic through the use of interactive and promotional campaigns
CREATIVE STRATEGY Target Audience: 18 - 26 year olds Objective: To establish awareness and develop sales through non- traditional media. Strategy: To convince the target audience to purchase the Chevrolet Sonic instead of leading competitors because it is an affordable, technologically advanced vehicle that will give you everything that one desires. Considerations: Use the Chevrolet bowtie logo Use the word giveaway in all communications Use the appropriate disclaimers Vehicle images should be grounded and not appear to float in the air Tone: Simple, direct, and fun 1) Edventure Partners & Chevrolet. (2011). Chevrolet sonic marketing challenge: Case study.
EVENT Cost: $50,000 Experience the Ride The college campus event will showcase two Chevrolet Sonic vehicles as an opportunity for students to learn more. One of the vehicles will feature a virtual driving experience (VDE) where participants will be invited to sit in the Sonic. The virtual reality allows students to test drive the vehicle while remaining stationary. Surrounding digital screens and sounds will provide attendees with a real life experience. The VDE will last for approximately 3-5 minutes to allow every participant an opportunity to experience the ride.
EVENT A photographer and DJ will be available for entertainment at the event. A link to all the pictures will be sent to students who enter their email. All the pictures will be watermarked with the Chevrolet Sonic logo. Food and drinks will be provided. All attendees will receive a reusable satchel bag containing a pen and information about the vehicle. The bag will be offered in six colors which represent those of the Sonic and have a handle that resembles a seatbelt. Experience the Ride Activities Giveaways
GUERRILLA MARKETING Skid Marks A distinct set of skid marks will span throughout the Cal State Fullerton campus catching students attention and ultimately leading them to the Chevrolet Sonic on campus event. Upon completion of the event, the skid marks will remain and lead to a large quick response code. Cost: $10,000
Quick Response Codes A quick response code is a two- dimensional barcode that people can scan using a smart phone application that will direct them to a specific website. With the growth of technology, QR codes are becoming more popular. Quick response codes will be placed on buildings within the Cal State Fullerton campus and lead to the Chevrolet Sonic website. GUERRILLA MARKETING Cost: $10,000
Chevrolet Intersection The Chevrolet Intersection will be featured within the major cross- streets of the college campus. In the center of the intersection, a huge Chevrolet bowtie will be clearly visible as well as the word, Sonic in the adjacent crosswalks. This advertisement will be seen by both people driving and walking. Cost $10,000 GUERRILLA MARKETING
Cheer On with Chevrolet Cost: $10,000 A personalized hand stamp featuring the Chevrolet bowtie logo and the word Sonic will be used at the entrance of Cal State Fullerton sporting events. GUERRILLA MARKETING
Promotional Video Date Night Cost: $3,000 A promotional video on YouTube will demonstrate that the Chevrolet Sonic is everything that one desires. The cost will cover advertising the video on main search engines such as Google, Yahoo, and MSN using key words. Advertising the video will increase the audience viewership within the campaign year.
Social Media Support: Generation Y spends more time online than watching television. About 1.8 hours a day has gone towards checking Facebook accounts, making Facebook the most commonly used form of social media. On average, 33 hours a month are spent on social media sites. Plan of Action: Continue the use of social media networks, specifically Facebook, Twitter, and Google + for the Chevrolet Sonic to provide the opportunity for anyone to learn more about the product. 1)NAS. (2009). Internet usage in the United States. http://www.nasrecruitment.com/docs/white_papers/Internet_Usage_United_States.pdf. 2)Marketing Charts. (2007-2011). Gen Y chooses texting, email over socnets. Watershed Publishing. http://www.marketingcharts.com/television/gen-y-chooses-texting- email-over-socnets-10811/pmn-gen-y-hours-spent-social-networking-october-2009jpg/. 3)Ott, A. (2010). How social media has changed the workplace. http://www.fastcompany.com/1701850/how-social-media-has-changed-the-workplace-study.
PAY WITH A TWEET Pay with a Tweet is a payment system through social media networks where people pay by spreading the word about a product or brand. When paying with a Tweet individuals have the opportunity to receive a key chain flash drive on a first-come first-serve basis. The flash drive will contain information regarding the College Discount Program as well as additional information about the Chevrolet Sonic. Cost: $8,000 (flash drives) Giveaways
MEDIA STRATEGY Target Audience: 18-26 years Geographic Coverage: Local communities surrounding California State University, Fullerton. Continuity: Some media tactics will be executed year round whereas others will be emphasized during certain seasons due to higher traffic. Reach is more important because we want to increase awareness for the new product. Rationale: Use non-traditional media tactics in all creative executions. The majority of the budget will be devoted to the event whereas the remaining will be distributed throughout the rest of the tactics.
MEASUREMENT STANDARDS & EVALUATION METRICS TacticMetrics Event10,000 people will see the event 5,000 people will participate at the event 500 people will take the opportunity to view the photographs Guerrilla MarketingSkid Marks: 30,000 individuals will view the advertisement QR Codes: 30,000 individuals will view the advertisement 5,000 individuals will take action Hand Stamp: 10,000 individuals will receive and view the hand stamp Intersection: 67,000 individuals will see the advertisement Social MediaFacebook: 300,000 people will become a fan of the page Twitter: 3,000 people will become followers Google +: 15,000 people will add the Chevrolet Sonic to their fan circle Pay with a Tweet1,500 will participate Promotional Video250,000 people will view the video (campaign year)
COST / BENEFIT ANALYSIS Media TacticCostBenefit Event $50,000 Approximately 40,000 students attend a college Guerrilla Marketing $40,000 Approximately 130,000 people will be exposed͵ Social Media$0 (FREE) Approximately 1 billion accounts exist͵ Pay with a Tweet $8,000 Approximately 175 million people worldwide have a Twitter account Promotional Video $3,000 YouTube is used 30 billion minutes per month 1)Admissions and Records. (2010). California State University, Fullerton. www.fullerton.edu. 2)Albanesius, C. (2011). 25 million Google+ users, does it matter? http://www.pcmag.com/article2/0,2817,2390356,00.asp. 3)Carlson, N. (2011). How many users does Twitter really have? http://articles.businessinsider.com/2011-03-31/tech/30049251_1_twitter-accounts-active-twitter-user-simple-answer. 4)City of Fullerton Traffic Volumes. (2008). City of Fullerton, California. http://www.ci.fullerton.ca.us/civica/filebank/blobdload.asp?BlobID=5226. 5)Marketing Charts. (2011). Bing, YouTube top sites with most yoy visitor growth. Watershed Publishing. http://www.marketingcharts.com/direct/bing-yahoo-top-sites-with-most-yoy-visitor- growth-17181/.