method products, inc.

2012-2013 Media PlanAnna Kristen Nichols

Executive Summary

Brand: Method Products, Inc. Year: June 1, 2012 - May 31, 2013Budget: $30,000,000

Target AudienceThe primary target audience is comprised of women 25-54. The secondary target audience is men 18-34. The primary target audience will be allocated approximately 70% of the budget and the secondary target audience will be allocated approximately 30% of the budget.

Spot MarketsSpot market advertising in the top ten U.S. cities will occur during three promotional months and will account for 12% of the advertising budget. The markets include Atlanta, GA; Boston, MA; Chicago, IL; Dallas-Ft. Worth, TX; Houston, TX; Los Angeles, CA; New York, NY; Philadelphia, PA; San Francisco, CA; and Wash-ington, DC. These markets combine to reach 29.55% of total U.S. Households and are made up of approximate-ly 13% of Method’s secondary target audience and 23% of its primary target audience.

Market Share GoalMethod aims to increase its market share by 3%, bringing it from 25% to 28%, by increasing its target audience to women 25-54 and men 18-34.

Media Objectives

Period 1 (June/July 2012) Period 5 (December 2012 & January/February 2013)National Reach — Medium (71.5%) National Reach — Medium (71.5%)National Frequency — Medium (5.9) National Frequency — Medium (5.9)

Period 2 (August 2012) Period 6 (March 2013)National + Spot Reach — High (94.7%) National + Spot Reach — High (93.5%)National + Spot Frequency — High (10.3) National + Spot Frequency — High (8.6)

Period 3 (September/October 2012) Period 7 (April/May 2013)National Reach — Medium (71.5%) National Reach — Medium (68.2%)National Frequency — Medium (5.9) National Frequency — Medium (6.2)

Period 4 (November 2012)National + Spot Reach — High (94.7%)National + Spot Frequency — High (9.7)

Media Mix Network Radio 73.06% ($13,466,700) Women’s Magazines 1.23% ($726,800)Spot Radio 7.09% ($2,354,900) Men’s Magazines .62% ($1,861,200)Network TV & Cable 8.54% ($5,179,800) General Interest Magazines .31% ($338,800)Spot TV and Cable 5.02% ($1,823,300) National Syndication 2.31% ($1,357,300)Internet 1.82% ($2,790,700)(Keyword, Targeted, Sponsorship)

Table Of ContentsSituational analySiS 5Company 5Current environment (unControllable variableS) 5ConSumer 6analySiS of produCt, priCe, and plaCe 7Competition and advertiSing 7promotionS 9poSitioning Statement 10

marketing objeCtiveS 11market Share goalS 11 Strategy for aChieving market Share goalS 11CommuniCation and advertiSing objeCtiveS 11

target audienCe 12rationale 12primary target audienCe 13SeCondarytarget audienCe 13

media objeCtiveS 15period one 15period two 15period three 17period four 17period five 18period Six 19period Seven 20

media mix 20media mix Strategy 22(reaCh, frequenCy, Continuity, and timing) 22radio 24tv & Cable 25internet 26magazineS 27Computer analySiS 28flow Chart 28year at a glanCe 30 budget reCap 31

Table Of GraphsreaCh and frequenCy Chart 15advertiSing weightS by generalized media vehiCleS 17advertiSing weightS by periodS 17advertiSing weightS by SpeCifiC media vehiCleS 18period two televiSion adS 22period four televiSion adS 24period Six televiSion adS 25

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Situational analySiS

Company

Time and Fast Company magazines have named Method as “one of the most innovative companies

in the world” (Ryan and Lowry vii).1 The company’s founders, Eric Ryan and Adam Lowry, have merged

design and sustainability to create the Method product line of cleaning products using the motto “we’re here

to make products that work, for you and for the planet.”2 The company has designed trendy and functional

packaging with minimalistic labels, filled with non-toxic EPEA approved cleansers, available in multiple

“green” scents. Method’s mission statement, “to inspire a happy and healthy home revolution” expresses its

aim to transform cleaning culture by making cleaning products easy to look at and fun to use. Additionally,

Method is a cradle-to-cradle company and makes recyclable bottles from recycled materials. Method mar-

kets this idea as being a “‘dark green’ business (with deeply-held environmentally principles) inside a ‘light

green’ shell (with an approachable and friendly appeal)” (Ryan and Lowry 97). Method has been recognized

by PETA, has reached number seven on the INC 500, and currently holds 25% of the market share of green

cleansers (Ryan and Lowry vii).

1 Ryan, Eric and Adam Lowry. The Method Method. New York: Penguin, 2011.

2 Method. Method Inc. 2012. Web. 22 March 2012. <www.methodhome.com>.

Current environment (unControllable variableS)

The current environment is greatly affected by the downturn in the economy. Consumers who once

bought specialized cleaners for each of their cleaning purposes have now cut back to one all-purpose cleaner.

Customers are often looking for price as the bottom line rather than products’ sustainability.

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ConSumer

Method sales have lightly declined since 2009, losing only $597,000 unlike its giant competitor

Clorox Green Works, that is operating with a loss of $8,701,000. Consumers have been cutting spending on

specialized household cleaning products due to the decline in the economy; many consumers have traded

their specialized cleansers for one all-purpose cleaning spray. Fifty-eight percent of adults 18-44 prefer all-

purpose cleaners, which includes Method’s target market, the ‘progressive domestic,’ a younger, profession-

ally-employed, female-skewed customer.” 3 In general, Method targets consumers who have a preference

for a greener lifestyle, are concerned with personal/family health, are concerned with the environment, are

looking for trendy design and packaging, prefer natural smells to that of chemicals in his/her home, and are

not in search of the lowest price available.4 Method has broken this diverse group of customers into four

consumer groups (Dean and Purewal 7):

Believers: Method reaches out to the believer group by preaching a message of sustainability.

Skeptics: Method reaches out to the skeptic group by showing the value of reaching for a “triple bottom

line.”

Information Seekers: Method educates information seekers about the importance of “being green.”

Mass Consumer: Method reaches out to the mass consumer with its “basic advertising campaign

‘People Against Dirty.’”

Studies have shown that non-white consumers are the most likely to say that they have tried environ-

mental cleaners and consider them worth the premium price. Sixty-six percent of young adults 18-24 have

tried or regularly use green cleaners; reports from this age group differ. Some believe that traditional clean-

ers clean better but are willing to pay a higher price for environmentally-friendly cleaners. Others seem to

find Method’s products to be cost prohibitive (Dean and Purewal 9).

There are many consumers that Method does not seem to be reaching. Forty-three percent of adults

3 Dean, Jamie and Jesse Purewal. “Method Products, INC.: A Leading Developer and Designer of Home Care Products Case Study.” University of California, Berkeley. May 2006. <http://altisgsvc.files.wordpress.com/2008/09/method_sia.pdf>.

4 Crosslet, Adina, Alejandra Jimenez, Lily Yang, Navid Farsinnia, and Stephen Yeung. “Strategic Marketing Plan Method Company.” University of California Berkeley Extension. August 2008. <http://www.slideshare.net/guest85307ad/method-co-strategic-marketing-planning>.

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18+ who do household cleaning have never tried an environmentally-friendly cleaner. Perhaps this is due to

Method’s very small target audience. In its early years, Method did not have an advertising budget at all and

used creative problem-solving to come up with alternative advertising ideas. In more recent history, Method

has focused on social media such as blogs, Facebook and Twitter to get the word out about products, stating

that this was earning more meaningful press and word of mouth (Ryan and Lowry 67). Method aims to in-

spire advocates rather than simply talking to customers and feels that these advocates are evangelists for their

brand, engaging and teaching Method with feedback (67). Inspiring advocates is a savvy practice that Method

should continue to pursue. Through opening up the target audience to a wider range of people, Method can

increase brand awareness and have the opportunity to engage more customers in meaningful conversation.

analySiS of produCt, priCe, and plaCe

Currently, Method has 48 home cleaning, hand and body, laundry, and babies and kids products that

are sold in 53 stores (quite of few of which are national chains such as Target, Bed Bath & Beyond, Lowe’s,

and Kroger). The products are often at least two dollars (15-20%) more expensive than their competitors, but

have a much sleeker and trendier design that is not meant to be hidden under the counter. Method products

feature “green” smells from nature such as clementine, fresh air, lemon mint, juicy pear, fresh currant, and

hibiscus flower. Method’s products have recently been promoted through articles in Whole Living, Shape,

InStyle, Good Housekeeping, and Ladies’ Home Journal.

Competition and advertiSing

Eco-friendly cleaning products make up three percent of the mainstream household cleansing mar-

ket. The top 10 brands are Clorox Green Works, Method, Seventh Generation, Mrs. Meyers (SC Johnson),

Simple Green, Nature’s Source (SC Johnson), Bon Ami/Faultless, Mean Green, Earth Friendly Products, and

Nature’s Miracle. Clorox Green Works claims 34% of sales of green products and is sold at major retailers

such as Walmart, Publix, KMart, Rite Aid, Walgreens, and Target. Walmart is by far the largest retailer of

dishwashing products and does not carry Method products.5 Smaller retail stores and markets are more likely

5 Mintel. “Dishwashing Products - U.S. - April 2011.”

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to carry brands from big companies such as Clorox than those of smaller companies. The inclusion of large

companies’ green products in stores such as Target and Walmart is not the only way these companies achieve

brand awareness and recognition; these companies also often utilize large advertising budgets to promote

their green products.

Method has never been a strong proponent of advertising. Its top executives feel that advertising is

often blocked through blocking technologies, DVRs, spam filters, and satellite radio; when it is heard or

seen, it often goes unnoticed (Ryan and Lowry 65). They believe that consumer culture has adopted a “don’t

call us, we’ll call you” mentality where consumers do not care to be passively advertised to, but instead want

to choose which company they would like to interact with and then do so themselves (66-67). Therefore, in

its earlier years Method did not invest in traditional advertising, but instead has promoted online interactive

campaigns using blogging and social media, and has created pop shops allowing customers to experience

their products.

While this form of advertising may be the way of the future, it did not have the reach and frequency

that Method’s competitors’ advertising campaigns have had. The Consumer Packaged Goods market spends

billions of dollars on media every year; Proctor and Gamble, owner of Tide, Bounty, Gain, Febreze, and

Dawn spent $4.614 billion on advertising in 2010.6 Companies that produce green cleaning products, such as

Clorox and SC Johnson, are also spending millions of dollars to increase brand awareness. Clorox spent $25

million dollars on advertising for Green Works products in 2008, but cut their budget to $1.4 million for the

line in 2010.7 S.C. Johnson, producer of Nature’s Source ecologically-friendly cleaners went from spending

$15.4 million on advertising for the Nature’s Source in 2009 to $0 in 2010. However, S.C. Johnson has re-

cently invested in a large online advertising campaign incorporating social media for its brand Mrs. Meyers.

6 Morran, Chris. “With $4.6B Spent, Procter & Gamble Remains The Country’s Largest Advertiser.” Consumerist.Com. The Consumerist, 20 June 2011. Web. 09 Apr. 2012. <http://consumerist.com/2011/06/procter-gamble-remains-the-coun-trys-largest-advertiser.html>.

7 “Consumers Balk at ‘Green’ in Tight Economy.” UPI.Com. UPI, 22 Apr. 2011. Web. 09 Apr. 2012. <http://www.upi.com/Business_News/2011/04/22/Consumers-balk-at-green-in-tight-economy/UPI-32231303492284/>.

8 Miller, Lia. “Products to Break the Chemical Habit and Get Eco-Friendly.” NYTimes.Com. The New York Times, 19 July 2007. Web. 9 Apr. 2012. <http://www.nytimes.com/2007/07/19/business/media/19adco.html>.

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Because large companies advertised traditionally, their products had more brand awareness. Method

began periods of traditional advertising during 2007-2008, using a “several million dollar” campaign “geared

toward creating new ‘advocates’ … [who] ‘want a healthier lifestyle and appreciate good design.’”8 The

campaign included eye-catching print ads and online banners, a search-engine marketing component, and

promotional events in local markets. The ads seemed to target young adults, parents, and eco-friendly advo-

cates with mainstream advertising that tied in sex and home life to sustainability. Not long afterward, Seventh

Generation came upon research that nine out of ten people didn’t know about their company and began their

own advertising campaign that reached out to the 40% of people already interested in a greener lifestyle.9

Method continued to invest in advertising from 2007-2011, running TV, print, and online ads, and distribut-

ing coupons and posters. Their advertisements are quite creative and fit the company culture well, yet they

are not reaching enough people. If the same type of advertisements were tailored to reach a larger target audi-

ence, with a larger reach and frequency, Method would see increased brand awareness and sales.

9 Ribitzky, Romy. “Seventh Generation Embarks On First Ever National Ad Campaign.” Portfolio.Com. BizJournals, 11 Feb. 2010. Web. 09 Apr. 2012. <http://www.portfolio.com/industry-news/advertising-marketing/2010/02/11/seventh-generation-embarks-on-first-ever-national-ad-campaign/>.

10 According to the Current Population Survey administered by the U.S. Census Bureau.

promotionS

In order to increase sales and market share of Method products, Method will be holding three pro-

motions during the 2012-2013 advertising period. The first promotion will be scheduled in August 2012 as

a back-to-school promotion geared towards the primary target audience, women 25-54. Method will use

coupons and high reach, high frequency advertising in order to entice women in the 25-54 age bracket to try

Method products and to recognize the Method brand name. This particular time period was chosen because

over 65% of women ages 25-54 have children and would very likely be shopping for back-to-school products

and preparing for the school year at home.10

The second promotion will be a holiday promotion in November of 2012 geared towards both the pri-

mary and secondary target audiences. Men and women alike prepare their homes for celebrations during the

holidays. While people will be making budget cuts in some product categories in order to save for the holi-

days, cleaning products are a necessity in order to entertain. Numerous articles are published in magazines,

newspapers and online every year regarding holiday cleaning and holiday parties, and Method products will

be promoted in tandem with such ads, reminding consumers to buy Method products to prepare for their holi-

days.

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The third promotion will be an event promotion during the spring cleaning phase in March of 2013.

This promotion is geared towards the secondary audience of men 18-35 and is in partnership with the NCAA

and the March Madness tournament. March Madness has become synonymous with both the famed U.S. col-

lege basketball tournament and with environmental and cleaning initiatives. While the NCAA traditionally

gives funds to athletic scholarships and athletic health initiatives, this year they have agreed to an additional

partnership for an environmental initiative. Method will partner with the NCAA during the March Mad-

ness tournament by sponsoring cleaning supplies (hand soap, kitchen cleansers, floor cleansers, all-purpose

cleansers, etc) at the tournament location. Method will distribute coupons and trial products, and will have

multiple booths and signs at the tournament. The NCAA together with CBS has guaranteed Method sponsor-

ship advertising time during commercial breaks and will use the Method brand name as a sponsor for time

outs. By sponsoring March Madness, Method aims to garner the attention of males 18-34, boosting sales of

product and garnering new customers from this portion of the population.

poSitioning Statement Method is the best and most unique ecological cleaner sold.

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marketing objeCtiveS

market Share goalS

To increase sales by 5% through garnering new users and, in doing so, increase market

share by 3%.

Method aims to increase its share in the green cleaner market by 3%, bringing its market share up

from 25% to 28%. Method’s closest competitors in 2011 were Clorox Green Works, which holds 34% of

the market share, and Seventh Generation, which holds 10% of the market share. Method hopes to gain

leverage against corporate giant Clorox and solidify its position over growing brands such as Seventh Gen-

eration and Mrs. Meyers.

Strategy for aChieving market Share goalS

During the 2012-2013 advertising period, Method will have three promotions during the back-to-

school, holiday, and spring cleaning periods geared towards boosting product purchases by its primary

and secondary target audiences. Method has created a new $30 million media mix, focusing on reaching a

wider range of customers who are likely to be mobile.

CommuniCation and advertiSing objeCtiveS Advertising will increase brand awareness and purchase intention, and promote a positive brand

attitude among women 25-54 and men 18-34 that Method is the best and most unique ecological cleaner

sold.

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target audienCe

rationale

Mintel has reported that consumers 18-34 and consumers with children are the most likely to try

new brands.11 Mintel has suggested that these consumers should be the target market for new product

launches. “Younger users appear sufficiently committed to the green movement; they can be expected to

carry purchasing priorities and brand allegiances established in their 20s into their next life-stage, as they

buy homes and establish families,” reported Mintel in 2009. Younger customers are drawn to Method’s hip

persona, sleek design of products, and sustainability; some of these young adults are willing to pay more

for an environmentally-friendly cleaner, while others find the cost prohibitive. It is important to note, how-

ever, that consumers with an income of over 75K per year are most likely to buy eco-friendly cleaners such

as Method cleaners that are considerably more expensive than regular cleaners.

Consumers that have higher income brackets are usually older than the 18-25 age range. Market-

ing to older consumers has an additional perk in that consumers with children are more likely to buy eco-

friendly cleaning products than consumers in households without children. Mintel reports that once women

reach the life-stage of 34-54, they are more likely to be married, first-time homeowners, have children, and

become the primary house cleaner. 12 After age 54, women are less likely to be overwhelmed with cleaning

and less likely to spend money on expensive cleaning products. While Mintel reports that 55 percent of

women continue to claim that they are the sole household cleaner, the majority of men have some role in

household cleaning, whether sharing the task with others (40%) or being the sole cleaner (29%). Simmons

OneView states that 42.2 percent of Method customers are men and 57.8% are women. Therefore, it makes

sense to reach out to both men and women as the percentage of buyers in each demographic are quite com-

parable.

Method’s goal to increase sales and brand awareness will be most effective if Method reaches out to

a larger target audience than in the past. Formerly, Method targeted “its products to the ‘progressive domes-

tic,’ a younger, professionally-employed, female-skewed customer. This customer tends to view home as a

refuge, thus spending short periods of time cleaning different surfaces in the home on several days during

11 Mintel. “Environmentally-friendly Cleaning Products - U.S. - January 2009.”

12 Mintel. “Surface Cleaners - U.S. - June 2009.”

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the week as needed. Method labeled this approach ‘Hip Not Hippie,’ in order to differentiate between the

company’s target market and the historically traditional customer who was believed to engage in bimonthly

house-wide cleaning efforts” (Dean and Purewal 5). It is my strategy to market Method to a larger target

group of men and women.

primary target audienCe

The primary target market will be women 25-54. This group of women is made up of young women

who are trying out new products and are interested in the design of the bottles along with the sustainability,

mothers who are concerned with maintaining a healthy and nontoxic environment for their children, and

middle-aged women who are drawn to the “green” fragrance, the sustainability, and the design of Method

cleansers. This wider age range of women makes up 21 percent of the U.S. population rather than the esti-

mated 6% of the population that Method formerly targeted when trying to reach the “progressive domes-

tic.”13 According to the Current Population Survey administered by the U.S. Census Bureau, over 65 percent

of women 25-54 have children. These women are the primary category because statistics show that women

are more likely to be the sole household cleaner, women with children are more likely to try new products,

and 15.2% more women buy Method products than men. The advertising budget will be weighted so that

70% is geared towards the primary target.

13 See U.S. Census Statistics

14 Mintel. Surface Cleaners - U.S. - June 2009.

SeCondarytarget audienCe

The secondary target is men ages 18-34, a demographic that makes up 12 percent of the U.S. popula-

tion. Mintel research claims: “young males (aged 18-34) appear to take on a significant amount of cleaning

and certainly comprise a market worthy of targeting, especially with less expensive, all-purpose, time-saving

products. Dramatic shifts in attitudes among males aged 35+ suggest that older males are more likely to be

married and thus no longer taking on cleaning by themselves.”14 Therefore, Method will reach out to men of

this age bracket who are likely to be in need of cleaning products and would be interested in the company’s

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sustainability efforts. Method will weight this audience at 30%.

Method will be advertising to both the primary and secondary target audiences predominantly on

a national level, as Method is trying to reach the combined target audiences throughout the United States.

However, in order to increase frequency and reach in more populated areas that have a higher percentage

of members of the target audience, Method will advertise in spot markets during promotional months. This

will also bring more publicity during the three key months of the advertising year. The spot markets tar-

geted during the 2012-2013 advertising year are: Atlanta, GA; Boston, MA; Chicago, IL; Dallas-Ft. Worth,

TX; Houston, TX; Los Angeles, CA; New York, NY; Philadelphia, PA; San Francisco et al, CA; and Wash-

ington, DC. These are the top ten markets in the U.S., which combine to reach 29.55% of total U.S. house-

holds.

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media objeCtiveS

period one

Period one incorporates the months of June and July 2012. During this period, Method will be

advertising on a range of network radio stations meant to reach a broad group of its target audience (men

18-34 and women 25-54). Method will buy GRPs on Contemporary Hit Radio and Adult Contemporary

to reach consumers 18-34. Men will especially be targeted by buying GRPs on the Rock Alternative

stations. Classic Rock, Adult Alternative, and Contemporary Christian will reach out to listeners 35-55.

Medium reach (71.5%) and medium frequency (5.9) are being utilized during period one in order to

increase and maintain brand recognition and purchase intention. Method aims for each listener to hear

a Method ad approximately six times in order to remember Method products in the store, for familiar-

ity breeds positivity. Method advertisements will be aired during the radio periods of Morning Drive,

Daytime, and Evening Drive in order to reach working consumers on their way to and from work and

homemakers during the day. Eight percent of Method’s advertising budget (13% of total GRPs) will be

spent on advertising during this period.

period two

Period two is Method’s first promotion period. Period two incorporates a back-to-school

promotion held during the entire month of August (see “Promotions” for more information). Method

will be using spot radio (Morning Drive and Evening Drive) in addition to network radio (Morn-

ing Drive, Daytime, and Evening Drive) in order to increase knowledge of promotions in key areas.

Method will continue to advertise on channels meant to reach consumers 18-34, but will increase

the concentration of GRPs spent on channels reaching women 25-54 who may be participating in

back-to-school shopping. Therefore, Method will advertise primarily on Adult Alternative, Con-

temporary Christian, Classic Rock, Jazz, and Public Radio stations during period two. This period

is made up of a national campaign that is high reach (92%) and medium frequency (7.5) and a spot

campaign that is high reach (79%) and low frequency (3.7). Although the spot campaign has low

frequency the national campaign advertising in spot areas will balance out the frequency. The com-

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mbined national and spot mix during period two will be high reach (94.7%) and high frequency (10.3). It will

also include TV/cable advertising, internet advertising, and magazine advertising.

Method will be running advertisements on network/spot TV and

cable, in addition to national syndication, during this second period.

Method has chosen to advertise on network TV programs during early

morning and primetime periods, on network cable programs during

daytime and primetime periods, on spot TV programs during daytime,

early fringe, and primetime periods, and on spot cable and nationally

syndicated programs. Programs in which Method has expressed an

interest in advertising during this period are: Good Morning America,

The Voice, The View, Kids’ Choice Awards 2012, Friends, General

Hospital, Dr. Phil, The Good Wife, and Jersey Shore. These shows

were chosen because they are popular with Method’s primary target

audience of women 25-54. (For more information see “Period Two

Television Ads” table).

Method will publish a series of advertisements in magazines

such as Better Homes and Gardens, Cooking Light, Good Housekeeping, Southern Living, and Glamour.

These magazines have a very high circulation and are popular with women in Method’s target audience.

Method will be spending an estimated $363,400 to purchase 40 GRPs in women’s magazines during the

month of August.

Additionally, during this time period, Method will also be advertising on keyword internet searches

and targeted internet sites in order to reach out to the people in the target audience who research cleaning

products and coupons online. Method will be distributing coupons both online and in stores. Nineteen per-

cent of Method’s advertising budget (15% of total GRPs) will be spent during this time period.

period two televiSion adS

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period three

Period three encompasses the months of September and October 2012. Period three will incorpo-

rate all of the same radio formats and GRP buying as period one. Advertising will solely be on network

radio during the Morning Drive, Daytime, and Evening Drive periods and will have a medium reach

(71.5%), medium frequency (5.9). Eight percent of Method’s advertising budget (13% of total GRPs)

will be spent on advertising during this period.

period four

Period four is the second high reach, high frequency promotional month and will be held during

the month of November. This month’s advertising will be centered around a holiday cleaning promo-

tion (see “Promotions” for more information). Radio advertising has been purchased for network radio’s

Morning Drive, Daytime, and Evening Drive spots, and also in spot radio’s Morning Drive and Evening

Drive time frames. Method is interested in moderately concentrating its

advertising on stations playing Christmas music, and dispersing all other

GRPs on Contemporary Hit Radio, Adult Contemporary, Rock Alterna-

tive, Classic Rock, Adult Alternative, and Contemporary Christian sta-

tions.

Method has purchased 345 GRPs for television advertising on

network TV and cable, spot TV and cable, and on nationally syndicated

programs during November. The company is reaching out towards

both its primary and secondary target audiences during this promotion.

Method hopes to advertise on shows such as CBS This Morning, Grey’s

Anatomy, The View, Anderson Cooper, The Big Bang Theory, The

Young and the Restless, The Ellen DeGeneres Show, The Office, and

The King Of Queens. (See “Period Four Television Ads” table for more

information.)

period four televiSion adS

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m Method is purchasing 60 GRPs in magazines this month (40 GRPs in women’s magazines and

20 GRPs in general interest magazines). Method will once again be spending $363,400 to place ads in

magazines such as Better Homes and Gardens, Cooking Light, Good Housekeeping, Southern Living,

and Glamour because these magazines are popular in the target audience age bracket and will be doing

holiday issues during this period. Method will also publish advertisements in general interest magazines

with a wide adult readership, such as Time, The Saturday Evening Post, and The New Yorker.

Method will also be advertising on keyword internet searches and sponsorship internet sites in

order to reach out to the people in the target audience who research cleaning products and coupons on-

line or are looking up recipes, traditions, and entertaining tips online. During this time, Method will buy

922 GRPs (14% of total GRPs). This period is made up of a national campaign that is high reach (92.3%)

and medium frequency (7.1) and a spot campaign that is high reach (78.4%) and low frequency (3.4). Al-

though the spot campaign has low frequency the national campaign advertising in spot areas will balance

out the frequency. The combined national and spot mix during period two will be high reach (94.7%) and

high frequency (9.7), using 19% of the advertising budget.

Period five is a three-month-long period from December of 2012 through February of 2013. It

will incorporate all of the same radio formats and GRP buying as periods one and three, with one ex-

ception. During this time period, Method will concentrate more GRPs on radio stations that are playing

Christmas music during the month of December. Advertising will solely be on network radio during the

Morning Drive, Daytime, and Evening Drive periods and will have a medium reach (71.5%), medium

frequency (5.9). Twelve percent of Method’s advertising budget (19% of total GRPs) will be spent on

advertising during this period.

period five

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The sixth period will be during the month of March. It is a high reach, high frequency promo-

tional month that is especially targeting men 18-34. While advertising in March is the norm for cleaning

products, as March is considered a spring cleaning month, this promotion is unique in that it is reaching

out primarily to men. Method has entered into a partnership with the NCAA and CBS to sponsor the

college basketball tournament March Madness (for more information, see “Promotions”). Method has

bought 261 GRPs of radio advertising on network radio during Morning Drive and Evening Drive slots,

and 160 GRPs on spot Morning Drive and Evening Drive slots. Method is focusing its radio advertising

on News/Talk and Sports radio, but will also be advertising on Adult Contemporary, Rock Alternative,

and Urban Contemporary channels.

Method will be advertising during network TV

primetime and sports, network cable primetime, spot TV

early fringe, spot cable, and on nationally syndicated shows.

The company hopes to advertise on shows such as NCIS,

How I Met Your Mother, CBS Coverage of March Madness,

O’Reilly Factor, The Big Bang Theory, Family Guy, In-

fested!, and The Office. While these shows are popular with

both men and women, men 18-34 make up a large portion of

the daily audience.

Method will advertise using keyword searches and targeted searches on the internet, specifically

referring to March Madness. They will also be purchasing 40 GRPs in men’s magazines such as Sports

Illustrated and Men’s Health.

During the game, Method will be mentioned repeatedly as a sponsor and will be the only pro-

vider for cleaning supplies and cleansers at the tournament location. Method will be giving away promo-

tional products and coupons in order to reach out to potential customers and increase clientele. Method

will spend 26% of the total advertising budget during this event promotion. The national reach for this

period is high (89.7%) and the national frequency is medium (6.5); when coupled with the medium

reach (65.9%) and low frequency (3.4) spot campaign, both campaigns combined will have a high reach

(93.5%) and high frequency (8.6) campaign.

period Six

period Six televiSion adS

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mperiod Seven

Period seven is made up of the last two months in the advertising period, April and May of 2013.

This advertising period is similar to periods one, three, and five, but has the slight change in that Method

will be purchasing slightly more GRPs during the Morning Drive and Evening Drive periods. During

these last two months, Method will be focusing its GRPs even more singularly on those driving to and

from work, especially in the rush-hour period. Method hopes to gain last-minute purchase intention as

people drive to and from work. Advertising will solely be on network radio during the Morning Drive,

Daytime, and Evening Drive periods and will have a medium reach (71.5%), medium frequency (5.9).

Eight percent of Method’s advertising budget (13% of total GRPs) will be spent during this last period.

media mix

The 2012-2013 media mix will focus its 30 million dollar budget primarily upon increasing

brand awareness and purchase intention through the use of media vehicles that reach a mobile customer

base. Mintel studies show that 70.5% of men and women ages 18-34 and 61.7% of men and women

ages 25-54 choose what products to buy at the shelf. Therefore, the best time to influence customers to

try Method products is when they are likely in their vehicles and might stop by a store to pick up goods.

Once the customer has stepped into the store, Method will solidify their purchase intention through

promotions and POS advertising in the store. Method’s strategy is to reach the largest portion of women

25-54 and men 18-34 repeatedly throughout the United States. They have chosen to put on a national

campaign in order to reach the widest range of the target market. During the promotion months of Au-

gust, November, and March, Method will reinforce the national campaign with ads in the top ten U.S.

spot markets. These spot markets demographics’ are comprised of an average of 13.4% men in the age

range of 20-34 and 22.8% women in the age range of 25-54 according to the 2010 U.S. Census.

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Reach:Medium

7.5%

Frequency:Medium

5.9

High94.7%

High10.3

Medium71.5%

Medium 5.9

High94.7%

High9.7

Medium71.5%

Medium5.9

High93.5%

High8.6

Medium71.5%

Medium5.9

reaCh and frequenCy Chart

Period OneJune/July 2012Nat’l

Period TwoAugust 2012(Promotion Month)Nat’l/Spot

Period ThreeSept./Oct. 2012Nat’l

Period FourNovember 2012(Promotion Month)Nat’l/Spot

Period FiveDec. 2012 - Feb. 2013Nat’l

Period SixMarch 2012(Promotion Month)Nat’l/Spot

Period SevenApril-May 2012Nat’l

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mmedia mix Strategy (reaCh, frequenCy, Continuity, and timing)

Method has created a media mix with pulsing continuity made up of seven advertising periods.

Periods two, four, and six are high reach, high frequency promotional months. During these months,

Method will advertise using a broad range of mediums: radio, television/cable, magazines, internet. Cable

and network television, magazines, and internet will provide Method with an opportunity to reach custom-

ers visually. Radio ads will increase both frequency and reach during this time, while also reaching mobile

customers.

Periods one, three, five, and seven are concentrated on the single vehicle of radio in order to have

higher share of voice and reach a mobile consumer base. These periods of medium reach, medium frequen-

cy serve to maintain brand awareness, promote positive brand attitude, and increase purchase intention.

By having a medium reach and frequency throughout the year (except for boosted promotional months),

Method hopes to steadily move from the majority of consumers being unaware of their brand to having a

knowledge of the brand and the company’s mission, and in the future, having conviction that Method is the

best and most unique green cleaner.

Method’s media mix will run from June 1, 2012 through May 31, 2013. The first period begins

in June and the last period ends in May. The three promotional months are in August (back-to-school),

November (holidays), and March (spring cleaning). Nine months out of the year are medium reach and

medium frequency, while three months out of the year are high reach and high frequency, which combine

to make a 52 week media mix with pulsing continuity.

The 2012-2013 media mix has a total of 6,487 GRPs with 80.15% of the GRPs in radio, 15.87% in

television, 1.82% in internet, and 2.16% in magazines. Fifty-eight percent of the GRPs will be used during

medium reach and medium frequency periods while the remaining 42% will be used during high reach and

frequency periods (see the “Advertising Weights” tables).

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advertiSing weightS by periodS

advertiSing weightS by generalized media vehiCleS

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madvertiSing weightS by SpeCifiC media vehiCleS

radio In order to reach customers on the move and increase brand awareness and purchase intention,

Method will have medium reach, medium frequency advertising using network radio in between all three

high reach, high frequency promotional periods. Radio reaches 81% of people over 12 years of age each

day and 95% each week; additionally, there is at least one radio in 99% of all households. Radio is the

best medium to reach mobile populations, is cost efficient, and has great exposure potential. Radio will

be easy to use to reach Method’s target audience, as buying can be targeted to specific network channels

(formats). Method will be purchasing GRPs on multiple radio formats to reach a wide range of its target

audience.

Radio advertising is also very flexible and it will be easy to customize radio ads during promo-

tional periods. Radio will make up 80.15% of the total media mix; 9% of radio advertising will be spot

(80.15%)

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tv & Cable

TV and cable have the broadest exposure of any medium. Ninety-nine percent of U.S. house-

holds have a television, and most U.S. televisions are turned on for an average of 7.26 hours per day;

approximately 68% of U.S. households receive cable television in their homes. Television is one of the

most expensive mediums and is very fragmented, as the medium is split between broadcast, cable, and

satellite and further split by brands of providers. However, Method has decided to invest a portion of its

advertising budget in television advertising because of the medium’s large audience and visual impact,

giving Method the opportunity to reinforce its brand. Customers’ ability to visualize Method products

is an essential aspect of brand awareness as the packaging of Method products (their unique look and

sustainability) are a major selling point for the brand. Method’s media plan designates 28% of its budget

(16% of the media mix) towards TV and cable advertising. The television and cable advertising mix will

be made up of 31.65% spot TV and spot cable, 53.79% network TV and cable, and 14.56% national

syndication. All Method ads will be fifteen seconds long in order to allow Method to afford a higher

number of GRPs. For more specific information on TV and cable advertising and the media mix, see

periods 2, 4, and 6.

radio during promotional periods and 91% will be network radio during all periods. All of Method’s ra-

dio ads are thirty second ads in order to increase the amount of radio GRPs Method could afford. Thirty

second ads are a sufficient length to get the company’s point across to the audience and affect their at-

titudes. By concentrating the media mix so heavily in radio advertising, Method aims to have the highest

share of voice on the radio for green cleansers. For more information on radio advertising in the media

mix, see the section entitled “Media Mix Breakdown By Periods.”

(15.87%)

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m

Using the internet for shopping, price comparisons, and product research has become an inte-

gral part of consumers’ lives today. Mintel reports that 45% percent of consumers 18-24 and 52% of

consumers 25-34 have made a purchase online in the last week. All of Method’s toughest competitors

have interactive websites (often with blogs that reach out to the consumer) and sell their products online.

Method’s products can be purchased online from multiple retailers and also in bulk from Amazon.com.

It has become a popular trend for companies to submit their products to “mommy bloggers” and blog-

ger experts for product reviews. Social networking sites such as Youtube, Myspace, and Facebook have

become very popular places to advertise because of the reach of their sites and the ability to target very

specific audiences. Studies have shown that internet advertising would be especially effective for teens,

young adults, Asian-Americans, and African-Americans. In an effort to reach their target audience by

multiple vehicles (expanding reach and frequency) and to have a visible presence online, Method will

invest 9.33% of their advertising budget (approximately 2% of their media mix) into online banner ads

during promotional periods. While Method has a very good website and rapport with its advocates on-

line, Method did not choose to invest a large percentage of their 2012-2013 budget into internet advertis-

ing because internet advertising is not easily measurable and is often ignored by consumers. For more

specific information on internet advertising and the media mix, see periods 2, 4, and 6.

internet (1.82%)

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Traditional media continues to be the best way to reach baby boomers. Method’s primary target

audience of women 25-54 incorporates a number of baby boomers (the women in this group who are

currently 48-54). Magazines also continue to be an effective way to reach consumers of all ages when

targeted properly. Magazines are a useful medium for creative visuals, a benefit which Method will uti-

lize in order to promote the unique design, sustainability, and vision of Method products. Using maga-

zines broadens Method’s reach and frequency and diversifies the media mix, but it is a very expensive

medium. Method will only publish full page, four color ads in magazines during the three promotional

periods (2,4, and 6). This will use approximately 10% of the media mix budget and incorporate ap-

proximately 2% of the media mix. Method did not choose to spend additional money on advertising in

magazines because Method preferred to reach its customers when they may be more likely to be in the

car, closer to a point of purchase, and thus reducing the chance that the consumer may see or hear the

advertisement and forget it before shopping. For more specific information on magazines and the media

mix, see periods 2, 4, and 6.

magazineS (2.16%)

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mComputer analySiS

flo

w C

ha

rt

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30

myear at a glanCe

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budget reCap