The North FaceBlazing a new trail in 2015

presented by:

Our Trail Markers

• About ignite

• Snapshot: The North Face

• The Situation

• The Problem

• The Target

• The Solution

Lynn’s slide

The IGNITE Difference

immersion Team

Lynn’s slide

Approach

About TNF: Humble Beginnings

1966 Founded in San Francisco as a retail store to help skiers, serious

climbers, and campers find quality backpacks and equipment.

1968 Invented the concept of backpacking.

http://www.ehow.com/about_5485115_north-face-company-history.html

http://www.supercompressor.com/gear/north-face-history-11-facts-and-trivia-about-the-

band

Helens slide

About TNF

Today , TNF has 89 retail stores in the US

and is also sold through specialty outdoor

stores and premium sportings goods stores

Online sales account for 5% of all sales.

⅔ of sales are US

It also has lucrative lifestyle and leisure

markets that cater to people who

are drawn to “Wildnerness Chic.”

http://www.supercompressor.com/gear/north-face-history-11-facts-and-trivia-about-the-band

http://www.thenorthface.com/en_US/north-face-retail-store-locator/

http://www.reuters.com/finance/stocks/companyProfile?symbol=VFC Helens slide

The Business Situation

Category Overview

Outerwear = Fleece, jackets, vests, pants, hats & accessories

Keith’s slide

Fast-growing segment of

apparel sector overall

• Sales increased 9% to $2.2

billion in 2013*

• Total apparel sales increased

1% to $206.3 billion as of

June 2014**

*“Early, Cold Winter Proves to be a Boon for Retailers,” NPD Group, February 18, 2014

**“Activewear growth sets pace for overall apparel market,” NPD Group, September 3, 2014

Category Overview

U.S. Fastest Economy to Recover

• Global economy taking longer than expected to recover

• In 2011, the IMF projected the world economy recovery by 2015, growing

at 4.8 percent

• U.S. met the IMF’s expectations

.

http://www.claconnect.com/Private-Client/Wealth-Advisory/Residential-and-Commercial-Construction-Boost-US-Economic-Growth-October-

2014.aspx#.VInG1tLF8uc

http://www.businessweek.com/articles/2014-11-06/2015-global-economic-outlook-better-than-2014-but-not-by-much

Helens slide

Consumer Insight

Trend: Record 142.6M of Americans getting outside

Dan and Keith’s slideOutdoor Participation Report 2014, U.S. Outdoor Foundation

● Work, play and live better

● Do everything at the right speed

● Appreciate everything around us: family,

friends, home, conversations, work.

● Slow Food, Slow Retail, Slow Travel, Slow

Design, Slow Media, Slow Production,

Slow Money Slow Education, Slow

Technology, Slow Fashion, Slow TV, Slow

Art and Slow Reading part of trend.

Consumer Insight

Trend: the Slow Movement

Helens slidehttp://www.slowmovement.com/people.php

Consumer InsightTrend: the Slow Movement

Helens slide

Competitive OverviewTrend: Market share erosion

“Telling Urbanites to Flee the Cities,” The New York Times, October 26, 2014

Top Outdoor Apparel Makers, Market Share Report (2010 and 2012)

Keith’s slide

Competitive OverviewPatagonia

Karen’s slide

• Brand reputation: Innovative

designs, quality products and

environmental conscience

• Green Marketing approach:

“Don’t buy what you don’t need”

campaign

• Worn Wear program

• Create solutions and awareness

for environmental causes

• Annual sales in the following two

years grew 40%

· ·

http://www.businessweek.com/articles/2013-11-25/patagonias-confusing-and-effective-campaign-to-grudgingly-sell-stuff

http://www.adweek.com/news/advertising-branding/ad-day-patagonia-136745

https://www.behance.net/gallery/5666423/Patagonia-Campaign

Competitive Overview

Columbia SportswearBrand reputation:

-Providing durable apparel that keeps

bodies warm, dry, cool, and protected

Marketing approach:

-Sell products at discount stores like

TJ Maxx.

-Participate in humanitarian efforts by

helping countries in crisis by donating

their gear best known for its

“protective capabilities” to help

against the harsh conditions.

Karen’s slide

http://www.tombrinton.com/columbia-sportswear/

SWOT

Keith’s slide

The Problem

Top challenges to address with a campaign ...

• market share decreasing

• a steep climb to $3.3B by 2017

• a need to increase D-2-C sales

Keith’s slide

The Target Audience

The Audience

Creative Visionaries

Active Life

Their Look

The AudienceBrands

Media

Purchase Flow

Healthy

choices

Weather

Forecast

Searching Web

Office-Business sites

Magazines

@ Lunchroom

Mobile - Instagram

Office Break

Tweet Time

Planning a Trip

--Blogs

Amazon--

Watching

Documentary

Mobile Facebook

Coffeeshop – Apps

E-Shopping

Morning

Commute - Music

Tablet

The AudienceMorning

Run

On the Train

Chat about Weekend plans

Laptop

6:00

7:00

8:00

9:00

10:0012:00

1:00

3:00

5:00

6:00

8:00 9:00

10:00

pmam

Cooking

Recipes

What the Audience Thinks ….

What the Audience Thinks ….

The Audience

Quantitative research findings (n = 69)

• Perceived as long lasting and stylish

• Technical quality overlooked

• “Performance” and “Features” matter most

• Head outside for mental/physical stimulation

• Mixed reactions to “exploration”

• Majority enjoy outdoors with others

Keith’s slide

The Audience

Qualitative research findings (n = 10)

Going outside to explore does not resonate with people.

The majority enjoy being outdoors with other people.

We’re talking to “urban warriors” who aren’t extreme athletes.

They’re active and they want good quality clothing to keep them warm and

comfortable, but the majority is not participating in extreme outdoor activities.

People are not aware of TNF’s rigorous testing processes and investments in

product innovation.

Helen’s slide

The Solution

The Solution

The Message:

Wearing The North Face is the difference between a good

outdoor experience and a great one.

Why:

Consumers rely on TNF’s quality to stay “warm and cozy”

during their precious outdoor moments with family/friends.

Why It’s Better:

• Aligns with the true benefit (escape with others)

• Highlights the premium of quality (good vs. great)

• Taps into a consumer perception (TNF’s quality)

• Speaks to the true target (casual outdoor types)

Keith’s slide

The Solution

Support points for the key concept

Mission: to create quality clothes for the consumer

How does NF authenticate brand promise?

• Employ a team of 70 athletes on expeditions to test and

provide feedback to NF R&D team.

• Invests ~$50 million in R&D efforts

Keith’s slide

The Solution

Result of R&D & Creative Positioning

Rational: North face designs quality products that enable

consumers to venture into nature with friends and family

Emotional: When consumers wear North Face, they feel

inspired to venture into the outdoors for emotional well-

being.

Tagline: Live well

Karen’s slide

Creative Approach

• Truthful approach

• Inherent human elements

Lynn Gray

The SolutionCreative concept #1: Print ad

Lynn’s slide

The SolutionCreative concept #2: Transit Ad

Karen’s slide

The Solution

Creative concept #3: Billboard Ad

Karen’s slide

The Solution

Creative concept #3: Mobile Ad

Lynn’s slide

The Solution

Creative concept #4: Banner Ad

Lynn’s slide

Measures of Success

1. Benchmark/Tracking Study

• Did favorability/preference increase?

• Are “quality” and “live well” recalled?

2. Market Share

• Did we halt or slow the slide?

• Did we reverse the trend?

3. D-2-C

• Did we increase online sales?

• Did we increase brand store sales?

Keith’s slide

Summary

Focusing on Affluent, Casual Outdoor Types

+

Appealing to The Escape

+

Highlighting TNF’s Premium of

Quality as the Difference-Maker

+

Hiring ignite

=

Success!

Keith’s slide

Questions?

Appendix

Appendixhttp://www.ehow.com/about_5485115_north-face-company-history.html

ttp://www.supercompressor.com/gear/north-face-history-11-facts-and-trivia-about-the-band

http://www.thenorthface.com/en_US/north-face-retail-store-locator/

http://www.reuters.com/finance/stocks/companyProfile?symbol=VFC

http://www.claconnect.com/Private-Client/Wealth-Advisory/Residential-and-Commercial-Construction-Boost-US-Economic-Growth-October-

2014.aspx#.VInG1tLF8uc

“Early, Cold Winter Proves to be a Boon for Retailers,” NPD Group, February 18, 2014

“Activewear growth sets pace for overall apparel market,” NPD Group, September 3, 2014

http://www.businessweek.com/articles/2014-11-06/2015-global-economic-outlook-better-than-2014-but-not-by-much

Outdoor Participation Report 2014, U.S. Outdoor Foundation

http://www.slowmovement.com/people.php

http://www.tombrinton.com/columbia-sportswear/

http://www.businessweek.com/articles/2013-11-25/patagonias-confusing-and-effective-campaign-to-grudgingly-sell-stuff

http://www.adweek.com/news/advertising-branding/ad-day-patagonia-136745

https://www.behance.net/gallery/5666423/Patagonia-Campaign

“Telling Urbanites to Flee the Cities,” The New York Times, October 26, 2014

Top Outdoor Apparel Makers, Market Share Report (2010 and 2012)

Appendix

Keith’s slide

Appendix

Discussion guide

Keith’s slide

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

AppendixSurvey Questions/Results

Appendix

Agency Philosophy

What’s in a box?

At IGNITE we set tradition on fire. We spurn traditional ideas and concepts and turn them on their head. Want to do things you've

done for the past 20 years? That won't fly at IGNIte. Many agencies will tell you they think outside the box, but at IGNITE there is no

box.

immersion

The immersion team at IGNITE represents people from all walks of life, as diversity in experiences is key to IGNITing key insights.

However, our team has one thing in common, an inquisitive nature forcing us to always want to know more and ask why – to

constantly challenge the status quo. We are avid readers and demonstrate talents in many subjects, the true Renaissance men and

women. We spend most of our time outdoors experiencing life first-hand and searching for inspiration in all aspects of life.

Our Approach

The immersion team doesn’t have permanent workspaces at the IGNTIE office because creativity and insights are crafted through

action and true immersion. We are chameleons who become our clients’ target audience and develop innovative visions to enhance

your brand. Our strategic thinking is developed through a deep respect for melding quantitative and qualitative research. With

consumer insights as the start of our brand strategy development process, we then generate and reveal new combinations of

seemingly unrelated ideas - ideas that powerfully align consumer thinking and behaviors, creative impact, and brand goals.