using integrated media to reach a younger consumer

© MARC USA, 2011 — All Rights Reserved

Using Integrated Marketing to

Reach Younger Consumers

Carol Wentworth, VP Marketing

Jean McLaren, EVP, Chief Marketing Officer, MARC USA

© MARC USA, 2011 — All Rights Reserved

Current True

Value Customer

• 53% of True Value customers are over 50

• 77% of loyalty program members are over 45

© MARC USA, 2011 — All Rights Reserved

Impact of

Boomers is

Declining

$1,000

$1,100

$1,200

$1,300

$1,400

$1,500

$1,600

$1,700

2008 2009 2010

25-34

45-54

Source: True Value Consumer Tracking Study

© MARC USA, 2011 — All Rights Reserved

X and Y and

Home

Improvement

• Many Gen X and Gen Yers are

becoming first-time homeowners

Source: True Value Consumer Tracking Study

© MARC USA, 2011 — All Rights Reserved

Gen X/Y and the

BIG BOXES • In 2010, Lowe’s and Depot had

almost 75% of share of Home

Improvement spend among 25-44

year-olds

• Awareness of True Value is

significantly lower with Gen X and Y

vs. Boomers

Source: True Value Consumer Tracking Study

Go-To for Gen X?

© MARC USA, 2011 — All Rights Reserved

Not your Fathers

True Value • True Value introduced an innovative

store format: Destination True Value

• Completely redesigned with the DIY

Enthusiast in mind

• More than 3 Million retail square feet

remodeled since 2009

Reactions to DTV

© MARC USA, 2011 — All Rights Reserved

DIY Enthusiast • Very interested and involved in

improving their home

• Do the work themselves; not because

they have to – because they want to

• Spend an average of $2K/year on

Home Improvement projects

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Information

Please! • Don’t know how to perform home

repairs/ improvements

• Don’t have the right tools

• Feel largely ignored by retailers, often

turn to parents for help or advice

• Want easy, simple instructions that

aren’t condescending

• Appreciate step-by-step and/or visual

guidance (pictures, videos)

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Questions?

Answered. • Opportunity to position the brand as a

resource for the DIY enthusiasts

• Leverage vast, local retailer

knowledge and be the ‘go to’ place

for the right advice

Gen Y Consumes Media Differently

Gen Y Boomers

80

64

116

48

hours

hours

# 9 15

# 10 8

Monthly Media Consumption

Source: MRI data

© MARC USA, 2011 — All Rights Reserved

Awareness and

Engagement • Differences in media consumption

necessitated a more robust media mix,

including: • Traditional media (TV, radio, print) to deliver

awareness

• Experiental media (rich microsites, project

advice, how to videos) to deliver an engaging

brand experience

© MARC USA, 2011 — All Rights Reserved

Not just

integrated

media,

“blended” media

‘Duel’ Focuses on Experienced DIYer

‘Sheepish’ Features Emerging DIYer

© MARC USA, 2011 — All Rights Reserved

StartRightStartHere

features advice, tips

and tools to

complete all kinds

of projects

Hardwarian Videos

© MARC USA, 2011 — All Rights Reserved

QR code on

National Print

links to True

Value Mobile

Portal

© MARC USA, 2011 — All Rights Reserved

Mobile-optimized

websites provide

tips, advice and

inspiration

TrueValuePaint.com StartRightStartHere.com

© MARC USA, 2011 — All Rights Reserved

QR code on National

$5 off $25 coupon

links to store finder

on mobile site

© MARC USA, 2011 — All Rights Reserved

Email directs

DIYer to Videos

© MARC USA, 2011 — All Rights Reserved

Circulars direct

consumers to

site for project

advice and tips

© MARC USA, 2011 — All Rights Reserved

Circulars drive

consumers to

site for

information and

e-commerce

© MARC USA, 2011 — All Rights Reserved

QR Codes on

in-store signage

lead to site for

tips and advice

© MARC USA, 2011 — All Rights Reserved

Extending

the Brand to

Emerging

DIYers

DIY True Stories contest features consumer videos

Winners receive cash and expert Hardwarian advice to

finish their DIY project

Entirely Facebook based

2x increase contest entries (vs. 2010)

Web of Consumer Engagement

© MARC USA, 2011 — All Rights Reserved

Closing

Thoughts

• Fundamental emotional connections can

transcend demographics and even lifestage

• While mass media are still effective, to reach

Millennials one-to-one media such as mobile

and social are essential

• Think “blended” rather than integrated. One

touchpoint should lead to the next seamlessly

and leverage the consumer’s behavior.

• Customize your campaign to best suit the

purpose of each touchpoint.

© MARC USA, 2011 — All Rights Reserved

Jean McLaren

MARC USA

EVP, Chief Marketing Officer

325 N. Lasalle, Suite 750

Chicago, IL 60654

T 312-494-7862

M 312-933-4538

©2011 MARC USA All rights reserved

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