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Corvette Stingray Marketing Campaign Final

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Campaign Plan

The Chevrolet Corvette. Back in the 1950’s, the United States was in their own economic boom. The war was over, and the soldiers were home, and the times were roped with well to do GI’s with saved money, and the need to spend. Due to this new influx of fresh consumers, companies and businesses needed to keep up with demand; therefore, hiring skyrocketed. However, it was not just the jobs and spending that were rocking, but what products were being purchased. The economy was no longer looking for necessities to live on, but products to serve an entirely new thought: enjoyment. With this new rise in personal use for enjoyment, automotive companies seized the opportunities and began building vehicles that were strong, fast, and beautifully.

Chevrolet, Ford, and Dodge were vying for the number one muscle car. Out of this battle eventually came the Charger, Challenger, Mustang, and Camaro (just to name a few). However, even these vehicles could not compete with the Chevrolet Corvette. The Vette came out in 1953, the first of its kind. This car had it all: power, beauty, speed, and the price tag. The first 300 were actually hand-made, and made a splash to the American public and their new found wealth (Vettemasters.com, 2014). Along with the car, came one of the most illustrious advertising campaigns ever utilizing paper ads, radio, and even commercials. The ladder companies took years to come out with a comparable, but even those never made it to the stage the Vette has owned for the next four decades.

Today, the Vette is still ahead of the American automotive curve; however, is beginning to fall behind its newest rivals from Europe and Asia. This car has the entire American history in its rearview mirror, and needs to decide where to go from here. Currently, it is still the fastest, strongest, and most agile production car for its price. However, with modern day technology and engineering, the American Muscle car is quickly being forgotten due to the sports car. Although the Vette can run up and down the track with no issue, we are slowing beginning to realize the need to for speed can only be matched by the need to corner, stop, and provide all the nuances of today’s technology with regards to safety and comfort. Why spend $60,000 on an entry Vette, when you can spend $35,000 on a vehicle with all the upgrades?

That is the question Corvette, and Chevrolet in particular, need to answer. Now, Chevrolet has tried with their introduction of the Camaro that is priced less than $30,000; however, they cannot forget the Corvette, and the opportunities that still lie with such an awesome vehicle. First Chevrolet needs to figure out if this vehicle is going to go after the middle-market, or the affluent market. Right now, the Vette stands to compete with both, and is legitimately straddling two different markets and the only muscle car/sports car at that price point. Furthermore, what is it? Is it now a sports car, or is it a muscle car? The new Vette, as beautiful as it is, has no real home. If this is the case, than we need to make it a fact that Vette is its own home, and with that, comes the audacity to call itself the only one (here is the marketing).

So with that said, what are the threats? Well, as stated, Corvette have never truly had any competitors; at least directly. Porsche is the only car company that makes a comparably priced vehicle with the Porsche Boxster. However, the Boxster has all the modern day technology, but none of the engine to come close to the Corvette. Also, throwing a touchscreen in the car, does not make it cutting edge technically advanced; it makes it a weak attempt to pretend. As of right now, the company itself is doing quite well, and has the ability to begin work on making the Vette the staple of the company, not the nostalgia it continue to abuse.

In the past, this company has portrayed the Vette as the most influential vehicle ever made. Not only have they stopped this type or marketing, they have scared away from the claim that it is. They used to blast the papers, revamp full campaigns and billboards, to make the Vette splash. With this type of action, the American public, collectively, lost their minds over the notion that they could potentially own this landmark. These days, the Vette shows up at an auto show, and the biggest talk from that show, is some boat of a BMW that is not even in existence. Point: in 2014, the Corvette came out with the first Stingray (version of the Vette) since 1976, and a few people realized this (Wiki, 2014). If this were 40 years ago, again, the Country would have lost their minds.

This is a big deal, and needs to be restructured so. This year’s Corvette Stingray is different, and should have the audacity to show itself amongst the elite vehicles in the world. The safety, the technology, the speed, the excitement is all here (Wendler, 2013). This vehicle should not only compete with the center stage of the Porsche and Audi, but should take over as the number one everyday vehicle in the world (I say everyday lightly, the truth is, the next step from this car goes about $250,000). All the car needs is a marketing campaign that can handle its shear awesomeness.

The revitalization of the Chevorlet Corvette and the American Muscle Car. What we plan to do is create a reminiscent vehicle of the past; with that, we plan to reshape the automotive industry and taking back what we began nearly 70 years ago. To do this, we need to reimagine the processes we have been doing the past 40 years and capture the minds and the mystique we have forgotten. The goals, although lofty, will represent the America of the past where politics and ideas are put aside for the one common factor: the car. We will begin by building the car in its entirety in small town America.

It is all about advertising. The campaign blitz will be swift, but certainly not instant. We will begin with whispers, and talk of a vehicle so American and fascinating that it will be cloaked until the final reveal. We will take the ideas of our fan clubs, listen to the future drivers and the drivers of the past. We will pursue every square inch of this vehicle from creation. Not one part of this Corvette will have a hand-me-down, and the final product will mirror this notion.

This may be the costliest campaign ever imagined, but only then, could we capture imaginations. At the end of the two years in anticipation of the vehicle, and all of the marketing that went into it, we will reveal the final product at the World Fair. The World Fair will be hosted by us, financed in part by us, and located in Detroit. This is our chance to bring back what we once were, and bring new life into this vehicle, our company, and our city.

Objectives * Create an awe inspiring vehicle to once again capture the imagination of the world * Plan a campaign to include “leaks” created by our creative team, but still shrouding the mystery of what we are building. * Launch a website that has one purpose: Allowing the public to submit ideas for the Vette. * Unveiling: Unveil the Vette to the world with a blast marketing campaign combining print, radio, and television advertising.

Schedule and Budget * We have two years * The first three months is readying the website for launch and creating the campaign itself. * The next 6 months will go into pushing the website, and have commercials and print specifically for the website. This is where we start capturing interest from the public or to build anticipation * The next 6 months is building the vehicle, and providing the leaks to every car and auto entity (tv shows, magazines, websites, etc).
Momentum here is intensely building. We want lies and rumors, and we want them to grow and to thrive on their own. * The last month is a full blitz promoting the vehicle (still has yet to be seen), the new way of life. * Budget: 50 million * Our budget seems tight for the amount marketing we are planning to undertake. We are putting everything into this. This is also more than a car, this is getting back to where we once were as a nation. If done right, the cost of word of mouth is zero, and we can capitalize on that by keeping it secret.

Target Audiences * Audience types – Middle-aged men looking to regain their glory days. Our basic consumer will want the excitement of his 20’s and the maturity and class of today. * Buyer types – We want to come out with two vehicles. * One, where we can hit the market of the mustang and replace our Camaro. This market is more than likely younger men, and have more of a mass market induction with the same attributes as our high end Vette. The goal here is to achieve a vehicle the American public can buy, not to price them out of their dreams. * Two, this is going to be our Porsche killer. This will target middle aged men and women who are looking for that feel of they made it. This vehicle will be a true sports car with the muscle look and feel. It will handle like a Porsche, race like a Lamborghini, safe like a BMW, and feel like the American Muscle once did. This car will outperform, out maneuver, and once again reign supreme in any high end market. * Key motivations – We are bringing it back to emotion. We lost it when it went to price and numbers. Our campaign over the next two years will be all about emotion. We have been there through the Great Depression, to the boom of the 50’s, and bailout of 2008: It is time to give back. We are America, we are wild, young, free, and we are coming back. This is why we are designing a vehicle for you, this is why we are bringing back the Fair, and why we are doing it in Detroit. Out of the ashes comes the Nationalism and Patriotism that we were originally born from. * Characteristics – This is the new generation, but we are trying to go back. The Corvettes of old were bred with print and billboard. Today, we are going to do the same. We are going to take hold of the print, capture the imaginations of the talking heads; all while using modern-day media. Our audience is huge and vast, and to reach them, we need all types of media.

Key Messages * Capture the imagination of the Country * Beat a Lamborghini off the line, beat a Porsche in the corners, and out safe the safest BMW in a crash test * With the rebuild of an icon, we will begin rebuilding a nation

Creative Considerations * Format – We want an old-school feel with new-school technology. * We will use print, web, television * Layout – We want to align ourselves with our audience and tell them we are in this together. We need to create a brand from the heart of America * Tone – Our tone is simple: Bold, confident, but humble. * Use voices from the most trusting actors, and appear to be humble for the Countries investment in us and confident for the future together “bringing us back.” * Everything we touch needs to be about the Country. If we shoot a commercial, it needs to be in America, with American colors. Everything we do will revolve around our natural/national treasures that are easily identifiable.
Resources
* Brand guidelines through Chevrolet, existing Vette Models, and the originals * Existing source materials, including business plans, technical documentation, or websites. * Competitive analysis with regards to advantages and disadvantages with every one of our competitors in either of the two markets * Legal considerations

Media Planning *

Before we get into the how, let’s get into the “who”. So maybe we cannot sell a Corvette to a family, but we all know whom we can sell it to: the middle-aged male. Chevrolet wants males from 25-35 to buy their Camaro, but the Vette should be from 35-65. There are two models, but the model we are specifically working with is the Stingray. The Stingray is meant to bring back that American made atmosphere many of the cars of today have forgotten. Our age group is 50-65 years, with an average income of over $100,000 annually, or retired with a net worth of at least $250,000. Whether they are married and feel as if their life is passed them by, or they are single and feel as if they are in their prime; this car is for them. These individuals will also be the ones that remember the Stingrays of yesteryear and should come rushing back to their once youth inspired dreams of owning their own Stingray. However, to reach these gentlemen may not necessarily be as simple as selling the Cruze is.

In order to speak to these gentlemen, we need to think like them. The majority of the target audience are later in their careers, and are probably driving some form of European vehicle. Their current vehicles are the aftermath of a family, a family of which may very well be off to college and out of the house. This man is either alone, or with their wives, and are subconsciously begging to get out of their family oriented life and into the wind where they once were. Right now they are looking for the best retirement vehicle so they can go on the trips they were never able to, go out like they have not done since children, and drive a vehicle that fits how they feel (or at least how the want to feel). Sure a Mercedes or BMW have the luxury and safety they once needed, but that Stingray of yesteryear is still left in the back of their mind. Time to bring it forward.

We do this on several fronts. We know they drive, so why not get their excitement of possibly having the driving experience of a European car, with the power and flash of American muscle. How do we reach them? According to Globalchange.com, 75% of wealth is owned by age 65, and they are mostly too busy to care about youthful ads that everyone is portraying. The truth is utilizing the magazines they pick up, the radio and television shows they watch and listen to, and even banner ads on the websites they visit will allow us to target effectively. Another way to capture their attention is the old adage of billboard ads. We can pinpoint where they are, and target them through these different media sources. However, it is not necessarily the form of advertising, but how the product is advertised.

We need to realize these gentlemen are no longer the older crowd we once thought them as. They are cool, into modern day technology, and are astute to fashion. Where we lose them, is how the advertising is done (askmen.com, 2014). Instead of trying to seduce them with a much younger woman, or interest them with someone who could be their grandchild; why no utilize someone they know, whom has aged with them? Even in Cadillac’s newest commercial, the person featured trying to market their newest sedan is roughly 20 years younger than the target audience. We should utilize an actor who is roughly their age (but has aged very well with a youthfulness look), salt and pepper hair (more pepper), fitted suit with no tie, and has the “feel” of an American middle-aged and educated man. We want them to realize the family time is over, and now it’s time to experience life for themselves. We need a slightly better-looking mirror-image of these men.

With that said, we set to utilize print advertising first. We don’t want the full scale Stingray to be unveiled, in order to build anticipation, but we do want them to wonder. We will also not use a well-known actor, rather, we will use someone that resembles who they are. We want our target to say, “That’s me,” and have the ability to put themselves in the actor’s shoes and feel what the actor feels. The billboards are going to cost $600 per each and per month. We will take the ones strategically located just outside of the financial districts of every major city.

Furthermore on print, we will place ads in magazines and papers such as Sports Illustrated, Bloomberg, Newsweek, Time, Forbes, NY Times, LA Times, etc. The print will be the same for all of these entities: Our actor will be featured walking out of his larger home, in a suit, with a key in his hand; pictured behind him is the garage door opening unveiling the hood of this new Stingray. We will also hit radio right away with commercials explaining the new measures taken to jump start the Chevrolet revolution starting with the Stingray, and the designers of the vehicle taking interviews from every major network.

After the initial launch, we will unveil the vehicle in a primetime, national commercial spot. We will take the initial print advertisement, and finish into a 30 second spot where the garage opens fully, and as a traditional Stingray print would, the beautiful and sultry significant other will be awaiting the man for their date. The commercial will spotlight the new Stingray, with every upgrade imaginable, and how each man should see themselves. Eventually, the car pulls away with that signature rumble that can only be found on a Corvette. The new Vette is unveiled, the target has finally be introduced to it, and now the only thing that can cure their lust is to test drive it. The remainder of the ads should be strategically placed during peak times of financial channels, news channels, sports channels, and some prime-time female television shows.

We want the target to feel that flutter in the pits of their stomachs as they did when they were a child. We want them to imagine again, and to put themselves in the shoes of the unknown actor. Every man should themselves in that vehicle. For the company itself, we need brand to be recognized as America’s brand. With all of the current issues surrounding the auto industry and GM in particular, we need to make this Country forget about that and focus on the future (Car and Driver, 2014). We want the target to feel like they are being referred back to the company from an old friend; so the key to this is the actor. The story here is that GM has been with you since day one, understands where they drifted, and is coming back with your exact needs. This campaign will coincide with all their other spots for the Cruze, Camaro, and even trucks. We are American made, for Americans, and from Americans.

* See attachment 1 for storyboard and script

The Budget

The original budget to revive the Chevrolet Corvette Stingray is $50,000,000. Although this may seem extreme, we are doing more than just reviving the vehicle, we are reviving a battered brand. To put this in terms shareholders can understand, it will cost roughly $.03 per share which is a simple investment in the future of GM. Below is the broken down budget and reasoning for the costs.
The initial cost is our fee as a top advertising company. We will be working day and night to make sure the end justifies the means. We charged $750 per hour flat fee. This covers 5 days per week, for 50 weeks. We, of course, will work around the clock in order to make deadlines, but you are only on the hook for that fee broken up in normal business hours. Also, we will do simple direct mail/email campaigns once per month, for the 12 months. We will target the top 2% of the financial spectrum, and the total cost is 1.32 million. Within this cost is the flat cost of $.60 per mail piece (including postage, package, delivery, and target), for 100,000 pieces, for 12 months. The email campaign is slightly broader with a flat fee of $.05 per email.

Next is the advertising piece with regards to indirect campaigns. With this said, the total cost between magazine, billboard, and commercials is $40,464,000. The majority of this budget is the commercials which will air 8 spots for 3 nights per week, for the final 3 months of the campaign. The commercial itself will cost $500,000 to produce (this includes talent, stage, directors, etc), and $115,000 per spot. We chose Sunday nights, Thursday nights, and Tuesday nights during primetime, focusing on the top 4 channels watched by our target consumer. Also, the magazine cost has an initial $10,000 set-up, will cost $14,000 for one page layout, we will use 8 different magazines, and run the add 12 months each. The billboards, the broadest of the campaign, will have 20 billboards, in 15 different cities, for the entire year. The cost per billboard is $600, and our target areas are outside the most expensive zip codes, and entering/leaving the financial districts.

Now, the cheapest of the advertising budget will go to the web based campaign. This is also assuming that we are able to attach a separate site onto GM’s server for the Stingray. With this being the case, we save money on its separate costs. The cost for the website is $5,000, just for the initial set-up and accessibility. The cost for pay per click advertising is the only piece that can dramatically change with the whims of the market. We averaged $.05 per click with 15,000 clicks per day for a full 365 days. This can be lower or higher, and has been budgeted in as you will see later on in this expense report. Finally, the search engine optimization. The flat cost for this is $2,000 per month for a total of 12 months.

Finally, we added miscellaneous, licensing, and legal fees. The majority of our budget is fixed costs; however these are basically interpretation. Legal fee’s takes into consideration the need for an attorney with regards to different laws, we estimated roughly 50 hours at $450 per hour. The licensing fees are for the artists involved in creating our billboards and some of the other ads, which end up at $150,000. We also added another $150,000 for potential issues with scheduling, and added expense for the par-per click advertising. The total budget for this budget was 50 million. We have been able to come well under the number at $43,915,250. This budget is up for review and is very capable of being conformed as management sees optimal. Attachment to Form 990-T | Schedule J - Advertising Expense | | | | | | | | | | | | | Agency Fee for 50 weeks | | | | | $ 1,500,000 | | | | | | | | | | | | | Direct Advertising Costs: | | | | | | Emails | | | $600,000 | | | Direct Mail Campaigns | | | $720,000 | | | | | | | | | Indirect Advertising Costs: | | | | | | Magazines | | | $1,344,000 | | | Billboards | | | $7,200,000 | | | Commercials | | | $33,120,000 | | | | | | | | | Web Based Costs | | | | | | Website | | | $5,000 | | | Pay per click | | | $279,750 | | | Search Engine Optimization | | | $24,000 | | | | | | | | | Direct Advertising Costs | | | | | $43,592,750 | | | | | | | Indirect Costs | | | | | | Licensing | | | $ 150,000 | | | Legal Fees | | | $ 22,500 | | | | | | | | | Total Indirect | | | | | $ 172,500 | | | | | | | Miscelleneous | | | | | | Fees unforeseen issues with scheduling | | $ 150,000 | | | | | | | | | | | | | | | Total Cost | | | | | $43,915,250 | | | | | | | | | | | | | | | | | | | | 50,000,000 | Original Budget | | | | | | |

Meet the Team *

There is an assigned marketing team to this project. Among the many interns and assistants, the main five individuals are: Chris Justino (Manager), JungSo Lee (Copywriting), Amanda Justino (Account Executive), Chelsea Vandergroef (Art, Layout, & Media), and Peter Meijer (Research). These individuals are the go-to team for anything involving the matter of the new Stingray. Chris Justino has over 10 years’ experience in the field, and 5 years in senior management roles. Chris holds an MBA in marketing, and is considered an expert in marketing and advertising services. His role is to oversee the business functions as well as organizational functions within the team; he is currently residing over 10 direct reports. Chris is actively engaged at the senior level and is available to any executives needing advisory on the subject. JungSo Lee has five years’ experience in the field, with a Bachelor’s degree in communications. He is in charge of writing and placing of print advertising, web sites, commercials, and radio. He is also in charge of creating visuals and design, and will present them to the clients directly. He is also second in command when it comes to approval for the ads. Amanda Justino is the account executive, and has three years’ experience in the retail sales, and one year experience in marketing. She holds a Bachelor’s degree in Marketing. She is the main link between the client and the marketing company. She is the person that GM will go to for any questions, concerns, or interest in the accounts themselves on a level under executive. She is also in charge of mending the vision and budget with both sides of the final product. Chelsea Vandergroef is in charge of Art, Layout, and Media. She has five years’ experience, and has her bachelors in business communications. She is responsible for planning initiatives for media buying, as well as social media campaigns. She is also responsible for photos and art layout for everything regarding print. Finally, Peter Meijer is head of research. He has five years’ experience in marketing, and a bachelor’s degree in business analytics. He will be in charge of planning, implementation, and analysis of information to create the marketing. He will utilize statistical data and market trends to achieve a viable solution that is both cost effective, and radically comprised of what works given a historical sense.
* See attachment 2 for full description.

Conclusion General Motors is not an American company, it is not an American corporation, it is an American lifestyle you represent everything American, everything sacred and cherished in this Country. You’re a social and historical icon that has the ability to single handily turn back the clocks and bring America back to the greatness we once were. That being said, we do not take this lightly. The Justino Advertising Group does not see this as an opportunity to receive great revenue or gains, rather, we see an opportunity to make a statement. Your vehicle is an American standard, and we plan to stamp this point in history with that seal. No one takes this more seriously, no other firm will walk with you towards a common goal, and no other agency will accept this challenge as heavily as this group. This is more than just a marketing plan, more than just a product introduction; this is revitalizing an American dream. The American Dream. This is our chance to stand firmly and declare that America is back.

References
1953 Corvette, find out more about the first year General Motors built the fiberglass body sports car - Corvette, Camaro, Chevelle, Chevy Nova - Classics & Muscle Cars. (n.d.). Retrieved from http://thevettemasters.com/history/1953corvette.html
2014 Chevrolet C7 Corvette Stingray / Z51 Photos and Info – News – Car and Driver. (n.d.). Retrieved from http://www.caranddriver.com/news/2014-chevrolet-c7-corvette-stingray-z51-photos-and-info-news
4A's: Top New York Advertising Creatives Charge $750 per Hour | Agency News - Advertising Age. (n.d.). Retrieved from http://adage.com/article/agency-news/4a-s-top-york-advertising-creatives-charge-750-hour/139409/
Chevrolet Corvette - Wikipedia, the free encyclopedia. (n.d.). Retrieved May 1, 2014, from http://en.wikipedia.org/wiki/Chevrolet_Corvette
Kelley, L.D. and Jugenheimer, D. W. (2008). Advertising Media Planning: A Brand Management Approach (2nd Ed.). M.E. Sharp: New York, NY.
Marketing For Men - AskMen. (n.d.). Retrieved from http://www.askmen.com/entertainment/austin_3900/3926_marketing-for-men.html
Marketing to Older Consumers - Future of Marketing. (n.d.). Retrieved from http://www.globalchange.com/marketing-to-older-consumers.htm
The Cost of Advertising Nationally Broken Down by Medium. (n.d.). Retrieved from http://www.webpagefx.com/blog/business-advice/the-cost-of-advertising-nationally-broken-down-by-medium/#mag

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