Direct Marketing Project
Summer 2011
Jim Grant
Adib Mourtada +971507757542
Moein Roughanimamaghani +971508709081
Mahmoud Walid Saoui +971504260992
Behnam Jaffari +971507194161
We pledge this is entirely our own work.
Table of Contents
Executive Summary…………………………………………………………………………………………………………………..2
- The Product……………………………………………………………………………………………………………………3
- Customer List..……………………………………………………………………………………………………………….4
- Brand Image and Advertising Campaigns……………………………………………………………………….7
- Marketing……………………………………………………………………………………………………………………10
- ……………………………………………………………………………………………………………………………………12
Executive Summary
We choose the list of customers from different views. One of the views is the 5 segmentation of DM. we explained the 5 meaning of each one with various examples. We obtained the list from different aspects such as “word of mouth”, sending emails to everyone in your address book, telling them what we can sell and emailing to ask your happy and satisfied clients to refer to their friends and family. Loving your clients and giving them offer would secure them and maintain them, to maintain your list customer, you can make effective and attractive, and you can continuity to update their knowledge about the product so they would be loyal.
Internet marketing is common way that most of the marketers and companies use it to sell their product. There is other way which is telemarketing and direct mail marketing which today most of companies use it to sell their product. Each of these markets has some advantages and disadvantages and company should see which one is better to choose it because it effect to how to sell our sunglasses. Still there are people who prefer to buy their sunglasses by phone instead of using internet. Our company can give good discount to people who buy our sunglasses because today most of people use computer and we will have lots of customer by selling in the computer.
- THE PRODUCT
Ray-Ban is a high end manufacturer of sunglasses founded in 1937 by Bausch & Lomb. They were introduced for the U.S. Army Air Corps. In 1999, Bausch & Lomb sold the brand to the Italian Luxottica Group which is renowned for being the world's largest eyewear company including brands such as Persol and Oakley. It also makes sunglasses and prescription frames for a multitude of designer brands such as Chanel, Prada, Polo Ralph Lauren, Stella McCartney, Tiffany, Versace and Vogue.
Ray-Ban’s main competition are the highly renowned high-end fashion companies such as Gucci, Police and Armani as the decision of purchase is mainly attributed to being a lifestyle and fashion statement prior to convenience purposes in most cases especially due to the popularity of Ray-Ban sunglasses.
Ray-Ban has seven main sunglasses collections which include Families, Icons, Active Lifestyle, High Street, Fast and Furious, Tech, and Craft with price range go from 80$ to 190$ a pair.
The frames range from being made of very thin, metal-like frames to thicker, carbon fiber frames with lenses of some Ray-Ban sunglasses being polarized, which eliminates glare from the reflective surfaces and results in a drastic reduction in the brightness of shiny surfaces, like chrome, and large bodies of water which renders it much more comfortable for the eyes of the wearer. The popularity of these lenses is due to being scratch-resistant while providing clarity and offer 100% protection from the sun's UV rays. There are additional lens technologies which grant the bearer more comfort and more safety features as well as a Chameleon-Like technology which allows the lenses to darken in sunlight and become clear in environments devoid of light.
The most modern Ray-Ban frames are made of carbon fiber which renders the frames lightweight and strong, flexible and resistant and also provide comfort to the wearer. The company also produces frames that are made from titanium.
Additionally Ray-Ban produces frames made of titanium which are hypoallergenic and corrosion-resistant and are therefore suitable for most environments. Titanium frames are strong and lightweight at the same time.
- CUSTOMER LISTS
Our list of customers that we are going to do will be based on the 5 bases for market segmentation, which are geographic, demographic, social factor, psychological and finally behavioral. We have to choose our segment carefully because our product is a famous and expensive one, so we should look carefully and know who will be our customers.
First, we are going to make our list according to the geographic segmentation, which is we will look at the region first and see what our company wants according to region, we might get our customers from universities, countries, states , or even neighborhood. Universities is a good place that I can get my customers because there are so many students who love to wear sunglasses to as part of a lifestyle and fashion statement and our company would benefit from that aspect. We can sell our sunglasses in the United Arab Emirates because the sun is very sharp on the citizen because most people want to buy our product to prevent sunlight that comes in their eyes. We can also create our list according to numeric zip codes, telephone area codes and so on…..
Second of all, we are going to get our customers according to the demographic segmentation which means the statistics that describes the consumer population and it must be identifiable and measurable. We will first study the age category and choose the best range that would increase our sales. For example 17 to 30 years old is the perfect age to buy Ray-Ban glasses. We can also look at the gender aspect, if we should sell it to Boys or girls or both, to know which of these genders can increase the selling of the sun glasses. From my point of view nowadays both genders are buying Ray-Ban sun glasses so by doing the list I would include both male and female into the list. We can also look at the income aspect, to segment our products to people who have an income between 12000 and 15000 approximately so they would afford buying it because if we had segmented our product to a poor income let’s say between 3000 and 6000 and include them in the customer list, that will definitely decrease selling benefits so we should be careful to who we are segmenting and we should know the income of the population so we can know who we can include in the customer list. We can look also at the family size, occupation and so on.
Third of all, we are going to make our list according to psychographic segmentation, which means we should consider their lifestyle, habits, attitudes and beliefs. How would we segment our product according to customer’s lifestyle? The answer is easy; we will make a research about the lifestyle of the country or population then we are segmenting the sun glasses for them. We want to see who the customers are and who prefer wearing glasses to feel that they are cool, or to impress others, when we will know this information these customers will be included to the list because they will increase our profit of selling the product. Habits is almost relevant to lifestyle, we will segment our product to people who always wears sun glasses in the morning and to people who loves to always wear sun glasses. According to the belief, I think there’s only 1 belief that’s is people need eyes glasses in the morning, so we segment our product to these people who have this belief that sun glasses are important in the morning.
Fourth, we are going to make our list according to behavioral segmentation, which means we should make a research about consumer actions. For example; where did he buy? When does he buy? Which method of payment does the consumer uses? .These questions makes us know what our customers wants , to know their taste preferences, to see if they are interested in sun glasses by checking the cookies that are placed on their computers. After doing this research, we start choosing the best customers that fit the list and that would increase the profit of our selling to Ray-Ban glasses.
Fifth, we are going to make our list according to social factor segmentation, which means to demonstrate the influence others have on our behaviors. In every country there are people who love fashion and to be cool. There are always people who get influenced by other people who love fashion. We would segment people who get influenced by others because they would help us in selling sun glasses and they will influence others to come and buy. People get influenced by a person’s behavior, lifestyle and fashion, these people are so important to target and attract them to become on your customer list.
After doing the list and knowing who our customers are, it will lead us to increase our profit, we move to the second step which is how to obtain or bring the customers to buy the Ray-Bans sun glasses. First of all we can use the “word of mouth”, as this is an effective method of attracting consumers to buy the product. It can be done in different ways, one of the ways is to tell our family and friends to spread the WORD about the product, the second way it can be by sending an email to everyone in your address book telling them what we are selling and where are we selling, and finally ask your happy and satisfied clients to refer to their friends and family and spread the product. Second of all we should love those clients. I mean by loving those clients is to get in touch with old or new customers to tell them about the new kind of sun glasses that our company creates. Third of all we should do some events and conferences to spread the product and to deliver all the information about RAY-BAN, to be socialized and to talk to many people and have your business card ready so you would give it to them when your mini talk finishes. After all, we should promote ourselves and make our product so important to the surrounding populations. How to promote? There are many ways to do so, one of them is to create a website for the product and then sell t-shirts that have the website on it, so people would visit the website, another way is by putting the product on a known magazine that everyone buys it so they would read it and the first one whose going to read it will tell his friend and so on…. The product in a couple of weeks will be known well, you can put an ad in the local news paper and finally you can give anything away for free so people would be attracted and loyal to our product. We can use the media by making advertisements on TV, radio and internet. We can send people from the company and make them walk in a mall and start walking with RAY-BAN on their face and answering the questions of the people that are in the mall. Any company or product owner would like to secure his list, and I mean her by secure is saving, protecting the list. To secure a list you must make the list satisfied and happy with your products and offers you are giving them and over time you must call the customer that are on your list and inform them about new products that are on sale and then sell it to them in a cheaper price than other normal customers so they would feel important and to become more loyal. Loyalty increases the profit of company or a product owner, we should attain the loyalty of our sun glasses and always secure our list from being stolen by other competitors like Gucci, and our list is what our product is depending on.
After obtaining the list, any company would think of maintaining the list as long as it can. Maintaining a list can be done by offers to our customers. For example: buy one and get the other one 70% discount on the price or buy two get 1 free. There are different kinds of offers we can do to attract more customers and at the same time to maintain our loyal customers. We can provide gifts with each RAY-BAN glass a customer buys. To continuity informing the list about the new updates that have been made to our glasses or if our company has created new glasses so they would be the first to know about it. That would make the list feel satisfied and important to the RAY-BAN product and that would alter them to become loyal to Ray-Ban. Customer database is a very important aspect to attain a list. Customer database is the key to developing strong customer relationships and retaining customers. The primary use of customer database is to get to know customers better, to distribute information about an upcoming event, and to keep customers satisfied and happy. Also we can estimate the life time of value of people on the list. According to quora.com “Customer value is a variable that directly relates to shareholder value and therefore must always be contribution -based, i.e. profitability. Methodologies and models that are purely revenue-based are misleading, as costs can dramatically reduce lifetime revenues, sometimes turn them into negatives (loss) and Lifetime does not mean 'until they die', but only as long, as we can reliably expect them to remain our customers. This involves predictive techniques (e.g. survival analysis), but is always limited to the horizon of our models' predictive accuracy and confidence.”
