BUSINESS SUMMARY
TOMS Shoes is a shoe firm for earnings based in Santa claus Monica, A bunch of states. The company styles and sells lightweight sneakers for charity, stating that for every footwear sold, a set of shoes is definitely donated to a needy child. Its founder Blake Mycoskie originally started the company in 2006 after watching several Argentine girls collecting shoes to aid the needy. TOMS Sneakers was founded over a simple philosophy: With every set you purchase, TOMS will give a fresh pair of new shoes into a child in need.
1 for One. Making use of the purchasing power of individuals to advantage the greater very good is what all of us are about. The TOMS mission transforms each of our customers in to benefactors, that enables us to grow a genuinely sustainable business rather than based on fundraising for support (TOMS). Mycoskie chosen to change the current model of charitable organisation, creating a for-profit company which part of all their income would be spent in the donation of shoes instead of promoting.
Mycoskie believes that this method of charity would be even more sustainable, which in turn would create more awareness and more donated shoes. Since that time, TOMS still stands simply by his modest origins, professing the mission statement: “For every pair of shoes you purchase, TOMS will give a couple to a clingy child one by one. Presented the idea that Toms shoes offers managed since its inception, the concept is maximize sales of TOMS shoes and boots, in cities of Republic of colombia such as Bogota, Bucaramanga and Medellin, jobs and thus attaching Toms sneakers philosophy which has established with different groups of pupils (men and women 18-24 years of age, as well as 25-34 years old) who need to continually develop character and social actions to help the community. The technique of offering these shoes will generate money to support various community actions. These locations are looking to open by the end of 2014, in which the sales strategy will result through the advertising campaign geared towards all kinds of public, adults, children, children
since these kinds of three places no limit of usage of public though who will become located in the university grounds.
With these details, new objectives will be recommended for the TOMS manufacturer that will establish and echo the market trends, which will in return resonate with all the target audience. TOMS will reach the target market through several promotional and public relations strategies and techniques. With this kind of campaign, TOMS hopes to talk with their target audience and let them know¦ It’s more than just investing in a pair of shoes. It’s a lifestyle.
AIMS
The product is an economic, real, consumer and sturdy good. Specialty, since it features unique qualities and aveu which the brand apart from the competition. The target target audience is universal and unisex, as the range comes with the types: Children ” Pre-teens ” Young people ” Adults Industrial Sector
Boots industry, commonly consumed by the rural general public. Our company offers open to massive and urban market. Conduct a promotional marketing campaign aimed at our target audience in the cities of Bogota, Bucaramanga and Medellin, Colombia intended for school start time of 2015.
Financial Goals:
¢Increase sales to young adults simply by 25% inside one year
¢Increase repeat purchases by 15% inside one year
Advertising Objectives:
¢Increase company awareness with consumers by 30% within just one year ¢Increase brand conversation by 15% within one full year
¢ Socio- Ethnical: the target viewers will find peace of mind in our merchandise characteristic with the shoe, the of sizes and difference in our Design and style of the treated fabrics and prints.
Selling price: the price policy that utilized was depending on an examination of the
production costs, fixed costs and a profit margin in 25% efforts. Also according to the values ‹‹that the market offers.
Product: to experience a competitive edge through this, it is necessary coming from a concept to it, focusing on the requires met. It will likewise require an effective differentiation from your competition. Within our brand, this kind of differentiation was based on the technical characteristics (quality, toughness, comfort, lightness) and formal appearance, brand and design and style.
Plaza: manufacturer seeks effective mass division starting in universities in order to achieve an effective range to our audience.
Promo: our merchandise will be disseminated through promoting graphics arranged in syndication of the related universities distributed weekly inside the mass print out media, i actually. e., newspapers as well as through social networks, car radio and tv set universities. Also online revenue will be ready to accept the greater number of revenue.
COMPANY’S RESEARCH
TOMS SHOES SWOT EVALUATION
OPPORTUNITY
Width of target
Trend
Possibility to create authentic bond (place of origin, nearly original production) thanks to a product reach of meanings. Possibility to promote the item through social campaign (poverty, environment) Chance of distribution in specialized: educational institutions in many cities of Colombia.
THREATS
Power of merchants
Roundabout competition and parallel import of affordable product. likelihood of becoming a fashion brand passenger existence of direct competitor that also product shoes and boots lines “Keds
WEAKNESSES
Limited presence in a few markets
Low notoriety of the brand (there’s no match between the manufacturer and the product) Limited division and tiny information with the sellers with the product Understanding on quality of the method missing through the consumer aspect Seasonality
STRENGHTS
Flexibility of the product
Superior quality (natural materials)
A comprehensive portfolio of models
Existence of limited edition in the product
CUSTOMER ANALYSIS
Merchandise
TOMS classic shoe is inspired simply by traditional Argentine alpargata footwear which rests atop a country rope single. These products can be obtained to men, women, and children. TOMS Shoes for females range from a variety of classic sandalia, cordones and botas (similar to a sneaker), wedges and wrap boot styles. TOMS for men include the alpargata, cordones, botas, and stitch outs. These sneakers are available in a variety of different hues, designs, and fabrics. Distinct fabrics incorporate canvas, corduroy, sequins, and vegan elements (TOMS). TOMS is constantly growing, becoming increasingly accessible in more and more retailers. Retail stores such as Urban Outfitters, Nordstrom, Neiman Marcus, and other retail/ footwear stores every carry these shoes. TOMS is known as an international manufacturer and is obtainable in 30 countries (TOMS).
Customer
TOMS Shoes complies with the needs of consumers by creating not simply fashionable sneakers, but purposeful shoes too. The shoes designed for consumers to purchase are designed for enjoyment fashion. Jointly pair of shoepurchased, TOMS will offer a pair of fresh shoes to a child in need. These sneakers have the sandalia design, and are also specifically designed for children’s environment and terrain. These are fresh shoes, made to fit children 18 and under and later made to buy. TOMS desires to ensure no shoes head to waste (TOMS). The ‘One for One’ mission plays an important function in buyer loyalty. TOMS current marketplace caters to males and females of all diverse ages. It targets fashion-oriented teens and adults using a need for purposeful product. The TOMS marketplace looks for a comfortable, every-day sneaker that can sustain outdoor circumstances. TOMS three major marketplace segments happen to be teenagers, students, and single men and women who also are price conscious.
MARKET RESEARCH
Current Marketing Activity
On-line:
TOMS website: www.toms.com is well-established and immediately draws the consumer in with wide selection showed within the landing page. Typically, the new variations for the season or new line of shoes and boots available (if any) will be the first thing the customer sees. Other promotions will be heavily concentrated all throughout the website too.
Mobile:
TOMS launched their 1st mobile application available for iPhone and Android os. This program is user-friendly to those who also participated with this year’s function, as well as those who will be engaging next year. Users are able to purchase event, discover local incidents, stay up-to- date while using latest reports, and propagate the word to friends and upload images.
Social Media:
TOMS provides a strong occurrence on social platforms, including Facebook and Twitter. As i have said earlier, TOMS is getting ready to release a new One for One product. Currently, Twitter is usually revolving surrounding this campaign with related twitter posts encouraging consumers to look out for these kinds of mystery bins. Facebook however, focuses more on the providing part of the manufacturer and the children associated with this kind of. Consumers can see about the theshoe providing, as well as solution different forms regarding this kind of. TOMS Facebook or myspace page is definitely user-friendly and responds for the concerns and/ or responses consumers possess.
Blog:
The TOMS blog page is constantly updated with news from all over the world regarding distinct topics relevant to the brand. Unique updates from the TOMS hq or pictures and info sent in from loyal buyers, TOMS makes certain this information can be bought to their clients. TOMS also contains information about the Footwear Drops they go on in various countries. Presented in the blog page, is “TOMS in the Press, which can be made up of several articles coming from various multimedia outlets that TOMS has become featured in. For example , TOMS classic boot was recently featured in In Style magazine paired with a “sporty look. COMPETITOR ANALYSIS
KEDS
First coming into the market in 1916, Keds have continued to be a style icon for almost a century. Continually getting ways to reinvent themselves, Keds has considered themselves because “the initial sneaker (Keds).
Marketing Combine:
Keds offers various products including boots, sneakers, casuals, and lace-less shoes or boots for men, ladies, and children. To focus on its customers, Keds provides expanded usana products to include slip-ons, skimmers, sandals, and even artist styles. The cost of these shoes cover anything from a low of $35 to a high of $75. Keds include various advertising efforts, in which they have collaborated with music bands and various designers. On the other hand, Keds has also used traditional promotions such as coupons and discounts. Keds are sold in many of retail stores such as JCPenney, Macy’s, Finish Line, Trips, and many more in another countries; in Colombia through keds. com, but are as well sold on websites online such as Zappos. com, Amazon. com, and Zazzle. com.
STRENGHTS
Well-established brand
Various shoes available
Affordable
WEAKNESSES
Considered “old-fashionable
Quality of the goods ” plastic-type material
Certainly not water-resistant
MARKET SEGMENTATION
TOMS current target audience caters to males and females of all several ages. This targets fashion-oriented teens and adults with a need for purposeful product. TOMS is found mainly in the west coastline of the United States. However , it is constantly on the expand by coast-to-coast. The TOMS target market looks for an appropriate, every-day sneaker that can preserve outdoor conditions.
The market segments are:
Geographic:
Predominately the us. However , TOMS shoes can be bought in 30 countries.
In this specific project it will require three metropolitan areas in Republic of colombia: Bogota, Medellin, Bucaramanga.
Client Type:
Teenagers, university students, and one men and women who also are selling price conscious. 18-34 years old, men and women, high school or college degrees, middle school. Its concentrate on segments of shoes market are mostly young adults who also are net savvy era and the most active age bracket in network. Toms understand the interest, getting power, psychographs and habit of its targeted population analysis. This part of marketplace is substantiallygrowing and it can be easily and effectively attainable via online with lowest cost for the corporation to engage in regular basis.
Behavioral:
Need fashionable, but comfortable, daily shoes at an affordable price. Toms essentially sets the price of a pair shoes and boots at around $44-$98 selection and it is sensible and cost-effective to most target portion consumers especially young mature age group. It is the simple fact which a customer will not buy a product that he or she perceives if the benefit of product or service is not up to his or her expectation. The primary factor intended for Toms’s success is it is ability to put value in Toms shoes and boots beyond the facial skin value of its basic product like shoes.
ALTERNATIVE MARKETING STRATEGY WAY
Toms shoes and boots created their strategy to in shape this changing social environment as net becomes one of the active market for entrepreneurs, customers and competitors at present. Consumer likewise share gigantic amount of information related to marketplace, brand or perhaps product and company actions online conveniently and quickly. This changing internet sociable culture likewise nurtures the word-of-mouth marketing in this new market place. Word-of-mouth marketing strategies considerably lower costs for the Toms shoes as the company preserve millions of cash from expensive commercial advertising such as in the news. This type of customer communication and engagement also help initially delivery through internet specifically social networking sites. Toms organizes to create “TOMS grounds clubs in different university campus. The company as well actively generate interns as well as its internship software is also made to bond young students while using company as well as its movement. Both equally Toms campus clubs and internship programs allow the participating students to build up valuable experience in marketing, promotions, viral marketing, function planning, social networking and management. These activities will once again bond the participants together with the brand and respective people involve the business marketing actions and all of them collectively turn into part of the promoting force of the company. Toms “one pertaining to one approach, its shoes or boots donations and shoesdelivery to needy kids also promote the interest of individuals with volunteerism.
MARKETING STRATEGY
PROMOTING MIX
Products:
No becomes the actual TOMS product will probably be made. New lines of shoes will be added, such as periodic lines or lines that partner with other brands/ designers. The strategic vision lurking behind TOMS products are to focus on being durable and comfortable, yet still charm to the consumers’ eye intended for fashion. Factors such as product packaging and demonstration are important pertaining to strategic success. For example , the moment one acquisitions a pair of TOMS Shoes they not only be given a pair of shoes inside the box, yet a TOMS flag and sticker as well. This is loved by the consumer as they are essentially getting more than that they expected.
Prices:
The price of TOMS sneakers will remain a similar. The price of TOMS shoes range from a low of $44 (classic alpargata) to a high of $98 (wrap boot/ vegan shoe). With these prices, TOMS is usually communicating that their product is affordable and the consumer achievement their money’s worth. TOMS is slightly more expensive than most of all their competitors; however , TOMS rivals range from distinct philanthropic causes, like Ked’s, an American icon. The price plays a role in the company’s general strategy since for a minimum of $44 the buyer is essentially purchasing one pair and giving one particular pair cost-free.
Promotion:
A major change that will be built to TOMS promotions is the use of guerilla marketing. Other promotions will include regular mail, events, social media, and different contests.
Distribution/ Place:
As TOMS is expanding, a pitch for a TOMS exclusive retail store will bemade. A “test store will probably be put into effect just before opening more TOMS special stores in universities. This should not significantly affect the syndication cycle. Nevertheless , it is important to keep in mind that in the event that distribution increases, the image of TOMS as being a “unique boot may alter, as there is a chance of eventually going primary stream.
MARKETING STRATEGIES
TOMS will include various marketing tactics in order to meet the aim of brand conversation with fresh and existing customers. Special offers will offer bonuses to increase client satisfaction and company loyalty.
Shoe Design Contest:
TOMS will attract and involve customers by giving these people the opportunity to style their own shoe on TOMS website. Once designed, buyers will have the option of submitting the design to the contest. A total of 10 designs (10 winners) will be chosen and on sale since a new “TOMS Fans line and available on the web for purchase.
TOMS Travels:
TOMS is going to kick off a road trip across the country traveling to different college campuses. With the theme of “More than the Shoe TOMS hopes to motivate college students to be more engaged, whether it is with all the brand or simply in the students’ local residential areas. TOMS goods will also be available when stopping at each grounds. TOMS followers will be able to adhere to where TOMS is traveling through Facebook or perhaps on the TOMS mobile app.
PUBLIC RELATIONS
SHOE POSTER
A shoe cartel will be hung up around several universities in Colombia. This is when the 1st shoe drop will take place, since this is where TOMS Headquarters can be found.
CREATIVE STRATEGY
Big Idea:
TOMS shoes are individual to each customer. The manufacturer is more than just a shoe, it is more than it is mission, this can be a lifestyle. People who buy TOMS Shoes no longer just buy all of them for the shoe, they buy into the lifestyle, and they live the TOMS brand. When ever consumers buy TOMS Shoes it is representative to who they actually are and the actual stand for. This in turn, will build the TOMS brand to a culture and a lifestyle.
Creative Brief:
To whom are we speaking?
Young men and women who may have a desire to have fashionable, but practical sneakers. They are concerned with social triggers, such as aiding children in need.
So what do they at present think?
That design and cost are the most significant qualities of the shoe.
What would we like those to think?
They can get it all with TOMS Shoes. A stylish, cost-effective, and sensible shoe that donates into a child in need whenever they purchase a pair.
What is the only most persuasive idea we could convey?
TOMS Sneakers are more than just a shoe, they may be a lifestyle. When you purchase a couple and see how it improvements a children’s life, you will want to live by the TOMS manufacturer.
Why should they believe it?
TOMS donates shoes to children in need in over twenty four countries. These sneakers give these kinds of children an improved tomorrow by simply allowing them to walk to school properly, avoid injuries and illnesses, and attend school.
TOTAL MARKETING STRATEGY
The overall IMC strategy of this campaign is to increase the brand awareness of TOMS Shoes, when also increasing brand interaction with new consumers. This campaign is going to position the company as more a boot brand. Notonly does TOMS Shoes offer something unique (donating a set of shoes to a child in need), but they also offer ways to get involved besides purchasing a footwear for women.
In the past, TOMS Shoes has focused their particular marketing attempts on specific products and events rather than the brand being a way of life. This plan will probably be focused on aiding the company for being more than just shoes or boots. This will be performed to attract the interest of new customers will continue to maintaining their particular existing clients. This plan will even have consumer interaction be considered a top priority, producing the customers think appreciated and eager to discover what’s subsequent.
PROJECTION
Enhance sales to young adults by simply 25% within one year.
¢ Considerable: TOMS will work with their product sales and financial department, asking for monthly revenue reports to monitor improvement and help to make any necessary changes.
Maximize repeat purchases by 15% within one full year.
¢ Measurable: TOMS will work with their sales and finance section, requesting regular sales reviews to screen the repeat customers throughout the year.
Increase company awareness with consumers by simply 30% inside one year. ¢ Measurable: TOMS will trail website traffic applying Google Stats, and work with Facebook Insights data reviews to show new fan data. After completion of campaign, TOMS will perform an online review of marketplace. TOMS may also measure presence at their different events.
Increase brand discussion by 15% within one year.
¢Measurable: TOMS uses customer romance management software to determine customers month to month and how that they interact with the TOMS website, Facebook, Tweets, and Instagram.
CONCLUSIONS
TOMS will be located to existing and new customers as a brand that impact’s one’s lifestyle. Turning into involved with the brand will be more than just purchasing a footwear for women. Once the customer realizes the impact one fashion footwear has on a child in want, they will strive to help even more children and become more mixed up in movement. This movement can influence clients to become involved as well. TOMS will be situated as a lifestyle of assisting others. With this proper plan, TOMS will reach two marketplace segments which have been said to be many of the most influential people in universities of Republic of colombia. TOMS can get the concept to these persons by numerous strategies and tactics, while previously demonstrated, which represent the TOMS brand fittingly. This plan is not simply designed to aid in increasing brand consciousness and conversation, but increase sales as well. So , when you hear “TOMS don’t just think of the shoes that they sell, think of the life-style they symbolize. Because of Toms’s brand innovation by the use of caused-related marketing, the organization is well known as honest company and consequently builds trust by the customers and achieve retention of customers. Toms driving of cause-related mission and words-of-mouth marketing strategies associated with company is uniquely jump out and Toms brand and product are differentiated by among a great many other shoes company in the market. Fast change of socio-culture and market environment, the trend of cause-related ingestion will continues and increasing numbers of consumer will certainly engage even more with the company that has great reputation because socially responsible behavior. In the own website, Toms states the fact that company provides given more than one million pairs of new sneakers to kids in will need through giving partners around the globe as of 2010 which is the strong sign for the achievements of this fairly young sneakers company. For its continuous involvement with buyers by using successful tools and fitting in with changing market environment, Toms is anticipated to well maintain steadily its customer collateral. As long as Toms keep promoting its brand image since socially dependable company while improving attractive shoes design with competitive price and top quality for its target audience, Toms can be expected maintain steadily its long term durability and high growth in the years ahead.
WORK CITED
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