Marketing plan of LOreal Melbourne Fashion Festival

mart political program of LOreal Melbourne direction fiestaListed as a not for profit validation since 1996, the Melbourne spurt fiesta Ltd, now known as the LOreal Melbourne Fashion Festival, has ever been at the forefront of the path innovation. Over the years, the LMFF has become wiz of Australias apex expressive style occurrences and focuses on betoken markets that be fashion orient, social oriented and a mixture of both. The numbers advantage can be recognised by the efforts made by many individuals and businesses that have been with the brass instrument for many years.On March 14, 2011, the LMFF launched Fashion Full Stop Decades of Australian Fashion, an issue that celebrated designers, along with many labels and styles that have shaped Australias history in fashion. With just the tag ends ranging from $79 to $39, 4000 fans filled the Melbourne Convention and Exhibition Centres plenary auditorium. collectible to this, the suit has been deemed a humo ngous priority in future intends and an extremely important fortune to raise the profile of the organisation (LOreal Melbourne Fashion Festival Pty Ltd, 2011) in that respectfore the main(prenominal) objective of this event is to be recognised both guinea pigly and externally as the leading(p) event of its kind and stimulate activity stain directions the retail, clothing, footwear, and creative sectors.The mapping of this market forge is to identify LMFFs many strengths, weaknesses, opportunities and threats and these essential be used in union with some(prenominal) merchandise strategies, actions and a cypher of $47 200 to eventually achieve the overall objective. Although the companys strengths and opportunities outweigh the organisations weaknesses and threats, the growing competition at heart the fashion fabrication and changes in the selling environment need to be of focus. For the event to be a success, the organisation must modify or maintain the strategi es and actions to directly echo these changes. exit InformationThe aim of the Fashion Full Stop Opening track event is to celebrate and conjure iconic designers, labels, styles and moments from the 1960s to today, stimulate gross revenue and present Melbourne as a precinct full of design superiority.Assessment of the market EnvironmentInternal EnvironmentStrengthsSince the LMFF initiated in 1996, the unique LOreal stigmatise cipher has flourished make upd station aw beness, recognition and emotional value to its train audiencesHas built a reputable media profileHas been able to grow and raise a different run away of activitiesShowcases many strong brand names and sponsors gross sales within Melbourne and other parts of Australia have skyrocketed sum upd staff attitude towards the event, opinions to the highest degree the event, and expertise and experience during the eventWeaknessesCertain markets are not pore, e.g. unhopeful income earners. This may be tendencyal as the event focuses on exclusivity.Due to the lack of detail just about the event in regards to online advertize, television advertisements and more, antecedent customers may have a perception that the event may be equal to the previous year or be resembling to competition. outside(a) Environment3.21 Micro-EnvironmentCompetitive analysis and Venn DiagramDirect competitors (offer similar, hardly fairly differentiated events) include localizationPricesTarget MarketOfferings and/or SalesDate and timeRosemount Australian Fashion calendar weekSydney akin(predicate) uniformSimilarDifferentMercedes Benz Fashion FestivalBrisbaneSimilar, only offer relax eventsSimilarAchieved an step-up of 61% on slating sales and 33% on attendance in 2008(Lindsay Bennett marketing, 2010)DifferentMotorola Melbourne Spring Fashion WeekMelbourneN early on all events are freeSimilarVery similarDifferentPerth Fashion FestivalPerthSimilarSameVery similarDifferentNew Zealand Fashion WeekAuckland (ou tside Australia)Very similarSimilarVery similarSameSimilar offeringsPartyEclectic headspring knownSOCIALHIGH PROFILEINTERNATIONALIndirect competitors (seek to leave behind the same benefits to the consumers, but in a different form) include manner Fairy Folk FestivalFuture Music FestivalMoomba Festival3.22 Macro Environment PESTE AnalysisPolitical forces/legal and regulatory influencesThe LMFF is indispensable to uphold and adhere to many political and legal regulatory practices and the virtually important includeDrinking laws all underage visitors must be accompanied by an adult in bars and dining room (LOreal Melbourne Fashion Festival Pty Ltd, 2011).Entry refused entry is given to any person that is affected by alcoholic drink/drugs, behaves aggressively or snips the record of the LMFF or any organisation associated with the LMFF (LOreal Melbourne Fashion Festival Pty Ltd, 2011).Intellectual property in the interest of all the stakeholders, registered designs, trademarks , patents, and imitaterights all need to be respected by using intellectual property laws. It encourages technological innovation and artistic typeface in industries (Commonwealth of Australia , 2010).Economic trendsIn economic troubles, fashion, the arts and entertainment a lot get sacrificed because of a decrease in disposable income. However, the slowdown within worldwide expenditure due to the impact of the global economic crisis has had a little effect on the LMFF. In fact, consumers are still spending a large number of income, visiting the fete on an annual basis, and sponsorship is still going strong.Socio-cultural trendsAccording to Easey (2008), fashion is ultimately about change.many of these changes are brought about by designers trying to create something new to satisfy customers, but others are because of influences beyond the control of designers or manufacturers.some are within a companys control and others are way beyond it. Therefore, the LMFF opening runway enter entrust have to focus on the current needs and wants of the target market and find a way to satisfy them.Technological trendsIn several industries, the development and utilisation of new engine room gives the opportunity of modify a consumers experience. Recently, designers such as Alexander McQueen and Alexander Wang used technology to stream their fashion shows live online (Moore, 2010). The brand DKNY has also started using a barcode technology for invitations and seating arrangements for its fashion show (Moore, 2010). This type of technology could be developed for use in the LMFF opening runway show.Environmental trendsRecently, an respectable fashion forum has developed a mission to supportandpromotesustainable practices, facilitatecollaboration, raiseawarenessand provide thetoolsandresourcesneeded to reduce poverty, reduce environmental damage and raise standards in the fashion industry (Ethical Fashion Forum, 2011). Therefore, the push to become green is fairly la rge on fashion shows and designers.SWOT AnalysisSTRENGTHSWEAKNESSESEstablished in 1996Unique LOreal brand imageNot for profit organisationStimulates sales within Melbourne and several brandsPresents Melbourne as a centre of design superiorityDiverse range of activitiesUniqueStrong brand namesGood reputation fashionable shows created annually/positive track record staff attitude and opinionsStaff expertise and experienceExisting media profile/reputable media partners or sponsorsLocationCelebrity attractionAlthough variety of offerings, certain markets are not focused onPerception that customers may already know whats of offer wishing of detailCurrent marketing campaigns are shallow and not environmentally friendlyOPPORTUNITIESTHREATSIncrease visitors and attract touristsBoost retail sales and savingExposure for sponsors/volunteersUpcoming designers and existing designers to showcase talentBuild reputation of MelbourneOpportunities for the LMFF to create something differentCompetitio n/growth of other tourism areas in MelbourneLimited financeInfrastructure renewal due to increase of visitors galosh and securityMajor events throughout the year that target market take to spend time and money onHard to create quoin products/services due to continuously changing environmentIncrease in push to become greenTarget MarketConsumer InformationThere are three types of target marketsPrimary approximately 50% of attendees, hire a small amount of marketing be, go for the fashion and are true-blue to the event.Secondary approximately 30% of attendees, require a just about larger amount of marketing cost, use the fashion event as a social experience.Tertiary approximately 20% of attendees require a large amount of marketing costs go as its an event close to home.Target Markets and Market SegmentationMarket ResearchFor the purpose of improving the LMFF event and in order to determine the characteristics of the primary, secondary and tertiary target markets, secondary rese arch has been used. This information has not been directly extracted from the audience, but instead from a variety of sources. A useful way in identifying the reasons why several target markets visited LMFF was to create a brand bullseye, which takes into cover a variety of emotional and functional perceptions, opinions and hot buttons (Skildum-Reid et al, 2007), see concomitant 1.Consumer SegmentationThe primary target market are associated with the fashion world and are visiting the event to connect with designers, musicians, consumers, and retailers. In other linguistic process they are high profile guests who have been actively engaged with the festival throughout its history and continue to support LMFF into its future (LOreal Melbourne Fashion Festival Pty Ltd, 2011). The secondary target market enjoys socialising, spending a large amount of disposable income and are easily influenced by peers and the media. The tertiary are citizenry that are interested in the arts, but u se location and public toilet to satisfy their needs and wants.DemographicsVariablesTarget MarketPrimarySecondary develop21 5018 30GenderFemale and manlyFemale and MaleMarital StatusNoNo tuitionYesYesChildren living at homeNoNoIncomeMiddle to amphetamine class, large amount of income, between $50 000 $110 000Lower class, large amount of disposable income, equal to or less than $30 000 net profit use/ typeHigh/BroadbandHigh/BroadbandOnline purchase habitsMediumHigh and know how to buy online tickets, etcTelevision viewing preferences hire televisionPay television and free to air television institutionalise usePrivate in the public eye(predicate) and PrivateBeverage and food preferences legal injuryy and prefer alcohol and tea/coffeeCheap and prefer alcohol and sweet drinksEmployment status/occupationEmployed, usually in the fashion industryStudent, unemployed or new workerLocation two domestic and internationalDomestic and urban/metropolitan areas(Information collected from EI T Inc, 2005 Frankie, 2011 Fashion TV, 2011)PsychographicsVariablesTarget MarketPrimarySecondaryLifestyle urban center disposedEnjoys shoppingQuality orientedFrequent buying behavior implicated in the arts music, dance etcUpscale and well-offTrendyGlobetrottersValue-for-money orientedSocial status activitiesNo major responsibilitiesCity prone striking spendersPersonalityIndependent/Opinion leaderBrand and fashion apprisedVery sensitive to advertisingCompetitiveAlways searching for the newest trends and products vocalism of their social imageInfluenced by peersOutgoingOpinion formersStreet-smart(Information collected from EIT Inc, 2005 Frankie, 2011 Fashion TV, 2011) intentsOverall Business ObjectiveThe overall business objective of this event is to be recognised both nationally and internationally as the leading event of its kind and to stimulate activity across the retail, clothing, footwear, and creative sectors. overbold marketing objectivesThe objectives below conform to mark eting standards of setting objectives which are Specific, Measurable, Achievable, Results oriented, and metre bound (Skildum-Reid et al, 2007).To obtain international and national peak time stories on channel FTV, various advertisements on national tuner station NOVA, and a major advertising campaign with a colour photo in the magazine Frankie, one month before the event.To increase ticket sales domestically and internationally by 10% compared to the previous years opening runway event.To increase awareness and recognition of the brand LOreal in Australia from 20% to 35% by February 2012.To obtain five more sponsors prior to the event in order to increase funds by $150 000. trade StrategiesLink to objectiveRationaleStrategies measurement mechanism1This will achieve a large market penetration in the target markets and will encourage ticket sales before the event1.1 ply digital footage of highlights of last years event to various television and radio stations get of televised stor ies that use the visible1.2 compel opportunities for video and sound recording interviews with designers of the eventNumber of interviews1.3 Create and distribute press getups to local and international mediaQuality and acceptance of media kit2This will achieve market growth and showcase the event as being popular and well-known2.1 Release early bird tickets at a discounted price to loyal customersAdvance ticket sales and/or revenue, customer database2.2 Provide online ticket purchases through connection of event website and ticketing companyTicket sales and/or revenue, customer database of event and ticketing company2.3 Cross-promote with the event designers, singers and dancers through various advertising campaignsNumber and gauge of cross promotions3This will boost ticket sales and product sales before the event due to brand loyalty and recognition3.1 Offer and provide samples of LOreal products to customersNumber and frequency of customer purchases, customer opinion and s atisfaction3.2 Cross-promote event with LOreal advertisementsNumber, fictional character and success of cross promotions3.3 Start an online social page e.g. facebook to discuss the brand/product/eventNumber of visits/hits/comments/likes/followers4This will allow the event to produce better offerings in regards to the exclusivity of the event and will increase the events profile4.1 Create a sponsorship device and press kit that stands out from competitorsAcceptance of proposal and number of responses, number of proposals from competitors serve Plan work ons exertion Officer age Frame (months before event)12111098765432 outline 1.1Action 1.11 affaire FTV and NOVA representatives to find out deadline usual traffic/media aggroup upAction 1.12Collect and compose footage of event and audio interviewsPublic traffic/media squadAction 1.13Send to FTV and NOVA by deadlinePublic transaction/media group up system 1.2Action 1.21Develop an interview scriptPublic dealing/media teamActio n 1.22Contact agents of designers or designers directly and set up a meeting to interviewPublic relations/media teamAction 1.23Collect and condense interview data into clear informationPublic relations/media teamAction 1.24Send to editor of magazine by deadline along with press kitPublic relations/media teamStrategy 1.3Action 1.31Contact media representatives to find out deadlinePublic relations/media teamAction 1.32Write media release and informationPublic relations/media teamAction 1.33Develop press kits to send to magazinePublic relations/media teamAction 1.34Send to editor by deadlinePublic relations/media teamStrategy 2.1Action 2.11Contact ticketing company to inform them of intention to sell tickets to event, with prices and discharge information marketing team/Ticketing manager or suspensorAction 2.12Create online placard to advertise event and early bird discount market teamAction 2.13Send flyer to ticketing company database and event database through both mail and e-mail judicial systemStrategy 2.2Action 2.21Liaise with marketing team of ticketing company about website linkMarketing teamAction 2.22Create link within current event website with information and prices of ticketsIT team, marketing team, ticketing manager or assistantStrategy 2.3Action 2.31Develop a partnership agreementPublic relations, marketing teamAction 2.32Contact agents and set up a meeting to propose potential partnershiparrangementPublic relations, marketing teamAction 2.33Create and edit advertisement/promotionMarketingAction 2.34Inject cross-promotion into publicMarketingStrategy 3.1Action 3.11Contact LOreals sales and marketing team and set up a way to receive an x amount of samplesSales and Marketing teamAction 3.12Contact various intermediaries such as makeup counters, hair salons, fashion magazines to inform about samplesMarketing teamAction 3.13Distribute samples to intermediaries to follow through in marketing campaignsSales and distribution teamStrategy 3.2Action 3.21D evelop a partnership agreementPublic Relations, marketing teamAction 3.22Contact LOreals marketing team and set up a meeting to propose potential partnershiparrangementPublic Relations, marketing teamAction 3.23Create and edit advertisement/promotionMarketingAction 3.24Inject cross-promotion into publicMarketingStrategy 3.3Action 3.31Create a user login on facebook.comIT TeamAction 3.32Organise and dish out information and media on profile page with links to several other pages and event websiteIT Team, media team, marketing teamStrategy 4.1Action 4.11Write a marketing planMarketing teamAction 4.12Identify competitors and sponsorsMarketing teamAction 4.13Write a sponsorship proposal and press kitMarketing teamAction 4.14Send sponsorship proposal and press kit to identified sponsorsPublic relations, marketing teamContact sponsors and decide on sponsorship fundsMarketing teamMarketing BudgetThe marketing budget was based on a calculation of 20% of the total price of 4000 tickets sold in 2011.Ticket costTotal$79 x 4000$316 000$59 x 4000$236 000$39 x 4000$156 000$708 000Average$236 000Total Marketing Budget after 20%$47 200ObjectivesNeed comment/Calculation of CostsCost1Advertising/publicity costs for Frankie and NOVA and FTVFrankie 3 x Full Page, W 210mm x H 275mm $4670 each(prenominal)(Frankie, 2011)$14010NOVA 20 x 30 second ads over 7 days, 6am 6pm prime time $50 each(Australia Trade, 2010)$1000FTV 10 x 15 minute shows over 7 days, 7pm 715pm $20 cost per grand (CPM) of 50, 000(Boone, 2009)$10 000Total$25 0102Mailing costs5,000 x letters $58c each (Australia Post, 2011)$2900Ticketing commission4000 tickets x 10% increase = (4400 x $79) x 0.01 commission$3476 printing costs2 colour copy flyers per A4 page = 2500 x A4 pages $38c each (Officeworks, 2011)$950Website developmentOverall cost (Cmather, 2011)$495Website sustainment30 hours $30 per hour(Cmather, 2011)$900Advertising and promotion for cross-promotion with designersBillboard 6m x 3m for 8 weeks $1500 per 4 weeks and a one off $300 evocation cost 2 (halves with cross-promotion)(GOA Billboard, 2011)$1650Total$10 3713Samples cost20 000 samples $10c each$2000Advertising and promotion costs for cross-promotion with LOreal25 x national light weight bus stop advertising $690 each 2 (halves with cross-promotion) (Adshel, 2011)$8 625Social WebsiteUsage is free$0Distribution costsCovered by LOreal$0Total$10 6254Printing costs20 pages x 100 booklets = 2000 colour pages 0.38c = $760 + 100 booklets x $1.95 each for binding = $195 (Officeworks, 2011)$955Mailing costs$1.20 x 100 booklets (Australia Post, 2011)$ cxxTotal$1175Overall total$47 181Monitoring and EvaluationObjective 1 beat and evaluation mechanisms includeNumber of televised stories that use the materialNumber of gained interviewsQuality and acceptance of media kitContinuous partnerships with companiesObjective 2 Measurement and evaluation mechanisms includeThe difference in the number of ticket sales and/or revenue collected in prior year and current yearCustomer database increase and loyaltyNumber and quality of cross promotionsEmployee satisfactionLMFF annual look back statisticsObjective 3 Measurement and evaluation mechanisms includeNumber and frequency of customer purchases/ LOreal annual reviewNumber and frequency of sample intakeCustomer opinion, satisfaction, perception, and behaviours through surveysNumber, quality and success of cross promotionsNumber of visits/hits/comments/likes/followers on facebook pageIncrease in ticket sales for LMFF overall eventsObjective 4 Measurement and evaluation mechanisms includeAcceptance of proposalNumber of responses from sponsorshipsNumber of proposals from competitors to sponsorsNumber of contracts signed with sponsorships compared to previous years, see appendix 2Sponsorship funds increase and resource availabilitySponsor reliability, efforts made, and perception of eventConclusion and RecommendationsThe LMFF has repositioned one of its most rece ntly popular events called Fashion Full Stop Decades of Australian Fashion. This popularity is proven by creative director, Grant Pearce, who stated in previous years, there hasnt been a show on opening night, theres just been a small presentation but this is a major theatrical show (Merhab, 2011). This success has been assisted by creating numerous objectives, marketing strategies, and an action plan that concentrates on increasing advertising, sponsorship and sales.The LMFF needs to continuously check and track the success of their initial objectives and modify or maintain the strategies and actions accordingly. These changes need to directly reflect the target markets and their various needs, wants and demands.AppendixAppendix 1.Appendix 2.Principal and organisation partners Loreal Paris, State Government VictoriaMajor Partners Herald Sun, David Jones, Sofitel Luxury Hotels, peaceable Brands, Centralpier Spirit of Docklands, SpecSavers, Paper Stone Scissors, Eye Media, Westfield , City of MelbourneEvent Partners Marie Claire, 565 Lasoo, City of Stonnington, Peroni Italy, Colonial First State Global Asset Management, Woolmark, SportsgirlOfficial return Partners Champagne Devaux, Yering Station, Lavazza, Lexus, Raffaello, Chambord, Sanpellegrino, Toll Ipec, Nine west, kikki.K, Synergy, Steve MaddenPlatinum Partners Chadstone, Deloitte, Victoria rush Club, Wilson ParkingGold Partners Middletons, Corrs Chambers Westgarth, Deutsche Bank, MyCatwalk.com, Melbournes GPO, Fashion Weekend Melbourne, Image Box, The hardly Group, Collins 234, Nikon, QV Melbourne, KookaiMedia Partners Artichoke, WGSN, Frankie Magazine, Cosmopolitan, Vogue Australia, 3AW 693, FASHIONTREND, FashionTV, Harper Bazaar, Grazia, Nova 100.3FM, InStyle, Madison, Avant Card, Hoyts, Yen