2012 Summer Interns ArnoldNYC Monica Dominguez Ted Makarewicz Elizabeth Monnett Boris Opacic Taylor Schumaker Katherine Stewart Renee Tornatore This document and all presentation files may be downloaded at: interns.arn.com/titleist.zip Table of Contents INTRODUCTION Overview .............................................. 1 The Challenge...................................... 2 RESEARCH Titleist’s Current Position .................. 3 The Competition ................................. 4 Technology & Culture......................... 5 The Target ........................................... 6 The Brief ............................................... 8 CREATIVE The Big Idea ........................................ 9 Milestone Website .............................. 10 Kickoff Events ..................................... 11 Promotional Video.............................. 12 Social Media Management ................ 13 Digital Media ....................................... 13 FIGURES & CONSIDERATIONS Budget Breakdown............................. 14 Key Performance Indicators ............. 15 Other Recommendations .................. 16 The Team ............................................. 17 Nothing builds self-esteem and self-confidence like accomplishment. -Thomas Carlyle As a golf equipment brand, Titleist is top of the line. Golfers aspire to own its products, and with good reason. For over 80 years, Titleist has consistently been leaders in advancing the sport of golf. But Titliest isn’t just cutting edge. They also have a long history of success to their name as well. The brand already has excellent equity, but how do we ensure that younger golfers in a post graduate, career driven environment view the Titleist brand as accessible and relevant to their generation? People 24 to 35 years old are going through many important changes in their life. They are earning degrees, starting careers, thinking about families, and taking on some of their biggest financial responsibilities. All of these moments are victories – no matter how big or small. These moments of pushing their lives forward are how they measure their success, similar to Titleist measuring its success by how it pushes the game of golf forward. 1 The Challenge Market Develop a communications strategy that effectively targets 24-35 year olds, and positions the Titleist brand in a way that will drive usage and grow market share. Money $1,000,000 Media Non-traditional (anything excluding TV and Print) Social Media Digital and Mobile Marketing Metrics Success will be measured by the campaign’s creative impact, and its ability to connect with this audience in an engaging, cost-effective, and results-driven manner. 2 Titleist’s Current Position Narrow the Focus Currently, the target market views Titleist as the number one brand in golf. Titleist sales reflect this belief. The only barrier to purchase in this young target market is the lack of disposable income. That’s why Titleist should focus on marketing the brand, not specific products. Because Titleist is constantly innovating, product specific marketing has a shelf life. We want our target to consider Titleist as a brand, not a product. In addition, if we choose to focus just on golf balls, then we won’t be top of mind when these consumers are purchasing clubs. Alternately, if we focus on clubs, we dilute the respect Titleist golf balls have in the market. New Market Share vs. Old Market Share Social Media Breakdown Facebook likes: 281,593 Talking about Titleist: 3,643 Twitter followers: 67,791 Frequency: 1-3/day YouTube: 208 videos 2,282 subscribers 870,173 video views It’s important to also market to existing golfers as opposed to trying to create new ones. This strategy is important for a few reasons: Top of the Line Titleist is a high-end brand. When a young consumer purchases their own set of clubs, they won’t buy top of the line clubs right away. They’ll either borrow clubs from a peer or purchase a cost-effective brand. 2012 Worldwide Ball Count Respect Tradition Golf isn’t a sport that’s “picked-up.” It’s typically passed down. It goes against the respected tradition of golf for a brand to entice consumers to start playing. That should be done by golfers themselves. Nearest Competitor 10,038 1,533 19 36 –F irs td ua lp 19 en 74 du go – lum lf b Fir s hit all t s tin mo olid gm ld, ru 19 ac firs bb 76 hin t g er g 19 – e olf olf 77 Firs ba ba to – t p ll m ll, ba Fi ol illi firs 19 lls, rst s yure ng t s t t c t 79 lub an ha ap an – F s a dar ne c pa da rat rdi irs nd dize ove 19 us zed t g sty d re olf le me d s 82 sim of p tho ynt –F ula lay d f het irs or ic ts tor fitt ba url ing ll yn syn pla t ye h 19 eti rs 97 cg olf –F ba irs ll t li qu id co re go 20 lf b 02 all –F irs 20 t la 07 se rm –F ar k irs ed 20 t ir o go 11 ng lf b –F olf all irs clu s 20 tv b en he 12 t a e an – d dg d c Fir olf lub st s ho he inte es ad rc co han nn ge ec ab tio le n s sh yst aft em Timeline of Titleist Firsts Summary Technology and Tradition Titliest has established itself as a market leader in both innovation and trust. This position, especially in a sport that respects both technology and tradition, is essential to Titleist’s success. 3 The Competition TaylorMade has a solid reputation, which was recently boosted by the creation of Rocketballz, a trendy, but successful, newcomer onto the club scene. They are respected and represented by many well-known golf pros, but is not limited to serious professionals with only a 38% market share for drivers and 8% share for balls. Nike is a large global brand that caters to multiple sports, not just golf, earning them the reputation of being the new kid on the block. However, Nike Golf is a large and popular faction, since Tiger Woods is their main spokesperson. They are focused on the “athlete,” not the casual, leisurely golfer. The brand carries over a sense of energy and their messaging focuses on the intense tipping-points of golf. Due to their strong brand recognition in other sports, they are attracting younger golfers despite their small market share. Callaway is a well-known brand with a decent understanding of social/digital media. This includes focusing on the younger developing golfer as well as maintaining good relationships with their seasoned consumers. They are concerned with being up-todate, cool, and in tune with technological advances in golf. They strive to offer their consumer more than just products. This brand flexes a lot of celebrity muscle with spokespeople like Arnold Palmer and Justin Timberlake. This flashiness reaches into their imagery where, instead of leveraging their successful past of engineering, the brand hides its product within elaborate golf courses in Las Vegas Yet, they’re the seconded biggest competitors for clubs. Bridgestone produces and distributes reliable golf products. They are gaining in market share with 12% at present. The brand doesn’t convey a sense of being overly concerned with staying on the cutting edge of technology. They also cater to an older audience, more specifically, middle-aged men and up. They are honest and look to cultivate golf as a family sport. They are not flashy or modern. Social Media Engagement Levels TaylorMade Nike Callaway Bridgestone Titleist *Nike’s engagement is diluted because it has such a large fan base. 4 Engagement percentage is a calculation that is considered to be the most accurate measure of how well a brand is having a conversation with its consumers in the digital space. Engagement percentage = # of Facebook fans/ % of interaction The overall picture shows that a digital campaign is exactly what Titleist needs to capture and hold the attention of younger golfers. Summary Honesty The competition fails to give themselves credit for all the research and craftsmanship that goes into their products. Even when they do recognize it, it gets lost in the hype they fabricate around their products. Millennials are ad savvy. Furthermore, as we see the industry change from advertising to branding, Millennials use the traits and associations of brands to help express themselves and make a statement. They can tell when a brand is trying too hard or is being unauthentic. Titleist already is seen as trustworthy and honest. Now, the trick is to find a natural converation to have with consumers. Fans and Products Although Titleist’s competitors have active social media platforms, that doesn’t necessarily garner consumer support, brand loyalty, or increased marketshare. Their Facebook and Twitter accounts are used to promote product awareness or act as a fanbase for their pro golfers. Provide Value Not all conversations are created equal – small talk with a stranger is not the same as having an in-depth discussion with a good friend. This is sometimes where the competition can fall short. In order to build brand loyalty, consumer support, or increase marketshare, Titleist needs to tap into what it means to be that “good friend” you want to interact with continually. Therefore, it is imperative to create a means for fostering an ongoing conversation between consumer to brand (and vice versa) as well as between consumer to consumer in regards to the brand. Technology & Culture In order to craft an effective digital campaign, we dove further into our target’s use of technology. We considered how it affects their purchasing habits, day to day activities and how they might use it to interact with a brand. Summary Man’s New Best Friend It went from Fido to Firefox. Now it’s the one-in-all portable smartphone. It can find and organize practically any information the target could desire. It can even entertain or put the user in their own world. The smartphone is the next best thing to having a genie. It’s no wonder that the people who grew up with this technology are so dependent on it. It has a purpose and a place in every aspect of their lives. New Attitudes Towards Ownership Technology such as iTunes and the cloud storage has changed younger generations’ concept of ownership. It’s less about the tangible and more about the experience & benefits of the product. Physical items are starting to be judged more by the same criteria as services. The challenge for products that exist solely in the physical world is to create emotional or utilitarian benefits for the consumer to “own” in the digital space to remain relevant. Archival Culture The conversations that happen on social media are important, but consumers are learning to use it to archive their information as well. It is a tool to communicate and store. Facebook recognized this trend and switched to Timeline, a layout in which a user’s information is displayed in a linear, story-telling way. Now it’s easier for users to scan through their history and note important moments. Foursquare currently sends emails to its users reminding them where they were a year ago. Now social media is charting progress as well as providing a resource. 5 The Target One-on-Ones Before we conducted a survey, we wanted to dive further into the golf world and find out what questions we could ask golfers that would glean the best insights. These interviews were done through email, phone and in-person. Jim Tornatore, Employee of Gleneagles Golf Course Key Finding: “All that matters is how you hit it and how you play with it – good reviews online and in magazines matter, but the most important is seeing how you feel for yourself.” Ben Wisegarver, Golfer of Meadowbrook Country Club Key Finding: “Golf is relaxing, unlike a lot of other sports, and I grew up playing it with my dad and brother, so I get to spend time with my family too.” Survey Our survey was designed to gather insights on perceptions about brands and the deeper motivations of why the younger generation of golfers enjoy the game. Why do you enjoy playing golf or other sports? Relaxation, social interation, and individual competition are the most popular reasons why golfers are attracted to the sport. “Additionally, the old saying ‘golf is a gentleman’s game’ generally rings true. Rarely do you see a golfer being genuinely dishonest on the course or trying to get away with breaking a rule.” - Survey Respondent When did you start playing golf? 6 6-13 years old said tradition was more important than technology. The only thing that will stop golfers are lack of physical ability or death. Brands the Target Owns TaylorMade 22% Titleist 19% Callaway 11% Nike 9% 61% 72 % Other 13% Footjoy 4% Maxfli 4% Ping 5% Cleveland 7% Odyssey 6% If you had to use only one brand of clubs and one brand of balls for the rest of your life, which brands would they be? CLUBS BALLS The Consumer Journey Golf Balls Interest Research Purchase: Pro Shop Play Purchase: Retail Store Age/Lose Field Research Golf Clubs Interest Pro Shop Demo Day Retail Store Simulator Purchase Research Improvement Re-Research The Critical Point The true test is when the consumer finally gets the club in their hand. This can confirm all the previous research they’ve done or make them doubt themselves. It is essential that Titleist facilitates forward motion down the consumer journey by providing the tools for the purchase phase. Summary 1912 2012 Golf is for Life Social vs. Competition Tradition is Serious Adoption of golf does mean participating in “your father’s sport.” And that’s ok. Rules, funny clothes, whiskey and all. Saturated Mobile Market Appreciative of Nuance Who Reads Tech Specs? Consumers tend to start playing golf young and chances are they’ll play until their body gives out. There are several golf apps already in the market. In fact, Titleist already has one. Any attempt to move into this space further will just get lost in the current market. People play golf for different reasons, but all can be placed on a sliding scale between competitive and social. Pure athletes to those who just want something to do on the weekend are represented. While the rules of golf are relatively simple, knowledge of the unspoken rules, not skill, are what separate the professionals from the amateurs. Golf is a mecca for good sportsmanship. That’s why people find it so funny when those rules are broken. (i.e. Happy Gilmore) Online information might inspire in-person research, but much like consumers test drive cars, actually using the product is the step before purchase. 7 The Brief The Goal TItleist’s goal is to grow market share within the young golfer demographic, 24-35 year olds. Titleist knows their equipment is the best and they have the proof too back it up. The key to being successful is letting the consumers know what it’s like to use the best. Make them feel like the golf pros they strive to be. The Who Craig is 27 and works in finance. He just got promoted two months ago. It’s only a matter of time before he’s in a C-suite. He works long, stressful hours so he really wants to get the most out of his weekends. This is why Craig can be found out on the golf course every chance he gets. The game has been a hobby of his since before he could even drive. Not only does it fit within his active lifestyle, he’s a regular runner, but it’s his favorite way to catch up with his friends. Craig, like most of his friends, are suckers for activities that have an athletic and social aspect like tailgating or fantasy football. This is why Craig is drawn to premium brands: he wants his lifestyle to convey his success at work. He may not always have the funds to buy, but when he does, he wants a brand that is worth every penny. Moreover, he’s very active on the internet so the ease and entertainment of websites are sure ways to draw him in. Golf is a steady force in his life. It’s what he does to relax and let off steam from his 9 to 5 life. The Insight The way we live changes, but where we started never does. 8 The Idea We were here yesterday, we’re here today, and we’ll be here tomorrow. Our name conveys our history, what we’ve accomplished. Every new product and venture adds to our legacy. The Promise Titleist has the best of both worlds: tradition and technology. The consumer doesn’t have to give up one for the other. The Support • 72% of the respondents said tradition is more important in golf than technology. • Founded in 1910 (Callaway - 1982, TaylorMade 1979, Ping – 1959) • It’s an icon (mentioned in Seinfield, Caddyshack, and Tin Cup). The Enemy Fads Fair weather fans/ Golf groupies The Deliverables Non-traditional media (no print or TV) Social media Digital and mobile marketing The Tone Refined Modest Seasoned Confident The Big Idea Titleist has come a long way since Philip “Skipper” Young x-rayed that first golf ball. Since then, the company has constantly been growing and evolving, reaching new and important milestones along the way. In this same way, every golfer grows. Every putt and drive provides an opportunity to get your first hole in one, game under 72, or even finally beating your dad. It’s those little achievements that make golf worth playing. They’re why golfers keep going to the green to improve their game. And Titleist wants to celebrate those milestones. Introducing Milestone by Titleist, a way for golfers to record their achievements and see the success of others. 9 Website The main hub of this initiative is the Milestone by Titleist site. This site will serve to effectively mediate conversation about Titleist products in the context of customer experiences. Viewers will be greeted by a video explaining the Milestone mission and links to individual product pages. Each Titleist club and ball will have a home page where users can tag their Milestones to be explored by other visitors in several ways including a central word cloud, mouse-over, and live feed. Registered users will have unique profile pages featuring past Milestones, future goals, and current Titleist equipment displayed in a unified timeline. By linking these profiles with the Team Titleist site, Titleist can leverage an already active and knowledgeable fanbase into support for this new project. The site provides value not only for current Titleist owners, but aspiring owners as well. Golfers who visit Milestone can interact with the site to see what different products have done for real players. On the individual product page, someone researching a new club can see improvements of fellow golfers. For instance, the user can see that the most common phrase or achievement for a particular club might be “I got my game under 50”. This represents a way for the user to determine which product they might want to consider purchasing in the future in order to advance their own game. The content generated on the site is easily shareable and can be used by users to create their own conversations in different digital spaces. When recording a milestone, the user can choose to instantly post to various social media platforms or view a permalink that they can use to share later. For Titleist, the site offers a yardstick for the brand to measure customer success. The site will feature a running count of Milestones achieved for each piece of equipment, as well as a total running tally of all the Milestones reached with any and all Titleist equipment. 10 Kickoff Events Golf is an individual sport that requires equipment customized for the player. Therefore, getting equipment into a golfer’s hands is essential. We can make a newsworthy digital campaign; however, inventory won’t start moving until people actually use the products. At the “Pro for A Day” event, golfers will arrive at the driving range and be engaged with the brand in several ways. Guests will be able to be fitted at the Titleist Tour Van. After trying the clubs out first hand, Titleist is going to be right there to drive that enthusiasm into a purchase. If guests would like more time to think about purchasing new clubs, Titleist representatives will encourage them to schedule a later appointment with a local retailer. After being set up with the proper golf equipment, golfers have different opportunities to see how Titleist can complement their game. After a warm-up session, the golfers, as well as celebrity professional golfers, will compete in three different categories: speed, accuracy, and distance. A winner will be chosen from each category as well as an overall champion. The categorical winners will each be awarded the specific club they used for that particular category and a personalized jacket. The overall champion will be awarded a set of 3 clubs, a jacket, and a private lesson with Rory McIlroy’s coach, Michael Bannon. By treating the golfers like pros, and letting them play next to their professional role models, we are investing in them to become ambassadors of the brand and to share their experience. The digital aspects are essential to ensure the campaign will spread beyond the geographical limits of the events. This is how guests will be able to share their unique experience with Titleist to their network. Event Markets: New York San Francisco & Miami Milestone Event Swag 11 Promotional Video In order to spread the word about the campaign and the events, Titleist will reach out to club pros in different markets. Because pros are the key influencers in the target, this will get the word to spread both about the events as well as the campaign as a whole. The pros will receive this video either through social media or email. Voiceover: More than 80 years ago, Titleist’s founder Philip “Skipper” Young decided to x-ray a golf ball. He discovered that its core was off center. In this problem, “Skipper” saw an opportunity. That same founding spirit of advancement through innovation has inspired over 100 patents in our name. Our many milestones are made significant with your experience. Your hands bring our equipment to life – without them, our moments of triumph wouldn’t hold the same weight. Our dedication to technology is fueled by your successes on the green – and that’s why we want to hear about them. Every inconceivable putt made, every decreased handicap – every milestone matters. Share your moments of success with Titleist while keeping track of the ones you aspire to reach. Be a part of Milestone by Titleist. We want you to feel the excellence you aim for. 12 Social Media Management One key to effectively engage with this audience is through social media. There are several things to know about managing a brand effectively on social media, which is why we suggest hiring a full time social media manager. They will be responsible for producing shareable content on Facebook, Twitter and other appropriate media channels. True social media value isn’t found in your number of fans or followers. It’s found in engagement, which happens when people share or talk about the content you create. Titleist has plenty of valuable content already. Now the key is marrying that content effectively to social media. Digital Media Milestone’s launch will be supported by a $142,000 media buy which will place IAB standard display banners on golfing sites. Banners are a good solution for Titleist because of the evocative nature of the brand, the name of which conveys a certain message instantly which permits the copy to focus on supporting the campaign itself rather than attempting to establish identity in the golf space. Since the target for this campaign is already a golfer, banners will run on sites that assume a high level of familiarity with the sport and the Titleist brand. Sample target sites for the media buy include marquee golf brands such as Golf Digest, the Golf Network and the PGA and well-known blogs like The Sand Trap, Life in the Rough and The Hackers Paradise. Banner ads will drive to the Milestone homepage where they will be prompted to register their Titleist products and tag their own stories. 13 Budget Breakdown Website Development $350,000 Events $247,860 Video Production $65,000 Social Media Management $50,000 Media Buy $142,000 Contingency $100,000 TOTAL: $954,860 14 Key Performance Indicators Market Share Increase driver share by 1% Increase iron share by 1% Increase golf ball shares by 2% Younger golfers are already attracted to the Titletist brand; however, they may be a few years or swings away from buying their first Titleist clubs. This is why the estimate for a market share increase of clubs is conservative for the start of the campaign. However, the campaign primes them for when they’re ready to take it to the next level. Golf balls are a much more accessible price point. The 2% market share may seem low, but this is taking into consideration that Titleist is also fending off a new rival: Taylormade’s Rocketballz line of clubs and balls. The campaign will combat the new hype of Rocketballz by maintaining our current share from switching and picking up new fans along the way. Social Media/Campaign Metrics will be measured by conversation in the digital sphere and traffic brought to Milestone website. Additionally, attaining full numbers (approximately 150-200 golfers) at each event. • 14,000 hashtags/tweet mentions of Milestone (#milestone) • Website hits • Youtube video event shares • Increase (or hold) in marketshare Other Recommendations National & Global Expansion Although the events of this campaign are based in three US markets, the entire campaign is scalable and can be pushed into other markets. In fact, a large portion of Titleist’s profits come from the Asian market. Implementing this campaign globally can also be considered. The Titleist Experience events can be held in cities like Tokyo, Shanghai, Beijing, Hong Kong, Phuket and Singapore. Revamped Website User Experiences Titleist is currently experimenting with a new beta version of the Team Titleist website and this is a step in the right direction. Millennials and younger Gen Xers are very aware of user experience. A brand will loose “stickiness” within this demographic if the website is unclean and difficult to navigate. 15 The Team Monica Dominguez Account Planner Ted Makarewicz Creative Technologist Elizabeth Monnett Producer Boris Opacic UX Designer Additional thanks to: Arnold NYC Maggie Collins Rebekah Pinter Paul Raimondi Katherine Stewart Digital Strategist 16 Taylor Schumaker Copywriter Renee Tornatore Digital Strategist
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