CHEVROLET SONIC

Adrienne Bullock Nikkol Denney Cathlyn Gonzalez Chass Moss Jeff Noubarian

EXECUTIVE SUMMARYAnalysis of the Compact Car IndustryCompact cars are one of the most competitive markets in the industry with over 30 choices. Due to the rise in gas prices, and the eco-conscious state of today’s society, small cars are expected to escalate in popularity. This is reflected in the 21% increase since June of last year. TargetTarget audience consists of males and females between the ages of 18 and 26, who are most likely full time students attending college. Commute to school, therefore are gas conscious and drive a compact vehicle. Primary ResearchAfter conducting a survey with 268 college students, it was found that the majority of the target audience is unaware of the Chevrolet Sonic. Main competing brands were preferred by those who participated. The internet is the best tactic in reaching the target audience.Communication Strategy and TacticsEstablishing awareness is the primary strategy for the campaign. This will be executed through guerrilla marketing, social media, and a promotional event. In order to effectively communicate this strategy, a simple, direct, and fun tone will be used. To interest students, the college discount program will be emphasized throughout the campaign. Cost AnalysisThe campaign was based on a $100,000 budget. Cost-Benefit AnalysisThe most beneficial tactics were chosen based on what the target audience prefers.

SWOT ANALYSISStrengths Weaknesses Opportunities Threats

• Chevrolet is a recognizable brand

• Chevrolet is now a top contender in automotive reliability

• OnStar Capabilities

• Chevrolet continues to struggle with their image because of past reliability issues

• The past target market was the Baby Boomer Generation

• Generation Y does not consider the brand Chevrolet as a trendy, modern car

• Reaching out to a new target audience

• Changing the brand image

• To take advantage of new media advertising

• Chevrolet has massive competition in the US small car automotive market

• Instability in the current economic market has lead to a decrease in automotive sales

• Possibility of the brand being overlooked by Generation Y

COMPETITIVE ANALYSISCompetitive SalesBrand

Consideration

Honda is the leading competitor for Chevrolet. Only 6% of Generation Y would consider purchasing a Chevrolet vehicle because it is mainly perceived to be of fair quality.

Out of the 30 choices, these are the top four competing models of the Sonic.

TARGET AUDIENCE

Demographics PsychographicsGeneration Y (18-26 years of

age) Income: $0-$12,000Sex: Male and FemaleRace/Ethnicity: AllOccupation: College students

or recent college graduatesGeographic location:

California State University, Fullerton and surrounding local colleges.

Household size: 1 to 3 persons

Open-mindedDesires a sense of freedomTechnology savvy Multi-taskingPrioritizes familyQuestion authority Involved

PRIMARY RESEARCH METHODOLOGY

Research MethodCalifornia State University, Fullerton Gen Y

Chevrolet Sonic Internet SurveyView the survey at http://

www.surveymonkey.com/s/VHXS8XDView the results at

https://docs.google.com/document/pub?id=1ZDQfHzNcueYqVJhBm73tS6GAC3_WuRVO1iRfV_pzJMA

Sample MethodA convenience sample of people between the

ages of 18-26 within the Orange County area. Sample size: 268 (117 males and 151 females)

KEY INSIGHTS OF PRIMARY RESEARCH

Product Awareness Media ConsumptionQ: How aware are you of the new 2012 Chevrolet Sonic?

Result: 71% are unaware.

Q: Which type of media do you most commonly use?

Result: The internet is the most commonly used media.

KEY INSIGHTS OF PRIMARY RESEARCH

Directions: Rank in order of importance. (1 being the most important and 5 being the least important)

Q: What features do you look for when purchasing a vehicle?

Result: Price is the most important and engine is the least important.

LIMITATIONS & OPPORTUNITIESProblem

Generation Y is aware of Chevrolet but they do NOT trust the brand

Opportunity

Gain consumer trust by showing the reliability of

their products

Problem

Chevrolet is trying to reach a new target audience, however;

Generation Y is unaware of the Sonic

Opportunity

Change their advertising tactics from traditional to modern in order to

cater toward Generation Y

OBJECTIVESMarketing

To sell 20 vehicles within the campaign year.

To increase awareness of the Sonic from 29% to 80% amongst Generation Y.

CommunicationsTo establish awareness of the

Chevrolet Sonico Generation Y currently does not

view Chevrolet as a top car brandTo gain preference by displaying

the overall performance and value of the Sonico Generation Y prefers Honda.o Research proves that compact

cars are socially acceptableTo emphasize purchase of the

Chevrolet Sonic through the use of interactive and promotional campaigns

CREATIVE STRATEGYTarget Audience: 18 - 26 year olds

Objective: To establish awareness and develop sales through non-traditional media.

Strategy: To convince the target audience to purchase the Chevrolet Sonic instead of leading competitors because it is an affordable, technologically advanced vehicle that will give you everything that one desires.

Considerations: Use the Chevrolet bowtie logo₁ Use the word “giveaway” in all communications₁ Use the appropriate disclaimers₁ Vehicle images should be “grounded” and not appear to

float in the air₁

Tone: Simple, direct, and fun1) Edventure Partners & Chevrolet. (2011). Chevrolet sonic marketing challenge: Case study.

EVENT

Cost: $50,000

“Experience the Ride”

The college campus event will showcase two Chevrolet Sonic vehicles as an opportunity for students to learn more. One of the vehicles will feature a virtual driving experience (VDE) where participants will be invited to sit in the Sonic. The virtual reality allows students to test drive the vehicle while remaining stationary. Surrounding digital screens and sounds will provide attendees with a real life experience. The VDE will last for approximately 3-5 minutes to allow every participant an opportunity to “experience the ride.”

EVENT

A photographer and DJ will be available for entertainment at the event. A link to all the pictures will be sent to students who enter their email. All the pictures will be watermarked with the Chevrolet Sonic logo.

Food and drinks will be provided. All attendees will receive a reusable satchel bag containing a pen and information about the vehicle. The bag will be offered in six colors which represent those of the Sonic and have a handle that resembles a seatbelt.

“Experience the Ride”

Activities Giveaways

EVENT“Experience the Ride”

GUERRILLA MARKETINGSkid Marks

A distinct set of skid marks will span throughout the Cal State Fullerton campus catching students attention and ultimately leading them to the Chevrolet Sonic on campus event. Upon

completion of the event, the skid marks will remain and lead to a large quick response code.

Cost: $10,000

Quick Response Codes

A quick response code is a two-dimensional barcode that people can scan using a smart phone application that will direct them to a specific website. With the growth of technology, QR codes are becoming more popular. Quick response codes will be placed on buildings within the Cal State Fullerton campus and lead to the Chevrolet Sonic website.

GUERRILLA MARKETING

Cost: $10,000

“Chevrolet Intersection”The “Chevrolet Intersection” will be featured within the major cross-streets of the college campus. In the center of the intersection, a huge Chevrolet bowtie will be clearly visible as well as the word, “Sonic” in the adjacent crosswalks. This advertisement will be seen by both people driving and walking. Cost $10,000

GUERRILLA MARKETING

“Cheer On with Chevrolet”

Cost: $10,000A personalized hand stamp

featuring the Chevrolet bowtie logo and the word “Sonic” will be used at the entrance of Cal

State Fullerton sporting events.

GUERRILLA MARKETING

Promotional Video

“Date Night”

Cost: $3,000

A promotional video on YouTube will demonstrate that the Chevrolet Sonic is everything that one desires. The cost will cover advertising the video on main search engines such as Google, Yahoo, and MSN using key words. Advertising the video will increase the audience viewership within the campaign year.

Promotional Video “Date Night”

Social Media

Support:• Generation Y spends more time

online than watching television.₁• About 1.8 hours a day has gone

towards checking Facebook accounts, making Facebook the most commonly used form of social media.₂

• On average, 33 hours a month are spent on social media sites.₃

Plan of Action: Continue the use of social media networks, specifically Facebook, Twitter, and Google + for the Chevrolet Sonic to provide the opportunity for anyone to learn more about the product.

1) NAS. (2009). Internet usage in the United States. http://www.nasrecruitment.com/docs/white_papers/Internet_Usage_United_States.pdf.2) Marketing Charts. (2007-2011). Gen Y chooses texting, email over socnets. Watershed Publishing.

http://www.marketingcharts.com/television/gen-y-chooses-texting-email-over-socnets-10811/pmn-gen-y-hours-spent-social-networking-october-2009jpg/.

3) Ott, A. (2010). How social media has changed the workplace. http://www.fastcompany.com/1701850/how-social-media-has-changed-the-workplace-study.

PAY WITH A TWEET“Pay with a Tweet” is a payment system through social media networks where people pay by spreading the word about a product or brand. When paying with a Tweet individuals have the opportunity to receive a key chain flash drive on a first-come first-serve basis. The flash drive will contain information regarding the College Discount Program as well as additional information about the Chevrolet Sonic. Cost:

$8,000 (flash drives)

Giveaways

MEDIA STRATEGYTarget Audience: 18-26 yearsGeographic Coverage: Local communities

surrounding California State University, Fullerton.Continuity: Some media tactics will be executed year

round whereas others will be emphasized during certain seasons due to higher traffic.

Reach is more important because we want to increase awareness for the new product.

Rationale: Use non-traditional media tactics in all creative executions.

The majority of the budget will be devoted to the event whereas the remaining will be distributed throughout the rest of the tactics.

MEDIA IMPLEMENTATION

TOTAL BUDGET

MEASUREMENT STANDARDS & EVALUATION METRICS

Tactic Metrics

Event 10,000 people will see the event5,000 people will participate at the event500 people will take the opportunity to view the photographs

Guerrilla Marketing

Skid Marks: • 30,000 individuals will view the advertisement

QR Codes: • 30,000 individuals will view the advertisement• 5,000 individuals will take action

Hand Stamp: • 10,000 individuals will receive and view the hand stamp

Intersection: • 67,000 individuals will see the advertisement

Social Media Facebook: 300,000 people will become a fan of the pageTwitter: 3,000 people will become followersGoogle +: 15,000 people will add the Chevrolet Sonic to their fan circle

Pay with a Tweet 1,500 will participate

Promotional Video

250,000 people will view the video

(campaign year)

COST / BENEFIT ANALYSISMedia Tactic Cost Benefit

Event$50,000

Approximately 40,000 students attend a

college₁

Guerrilla Marketing$40,000

Approximately 130,000 people will be

exposed₁͵₃

Social Media $0 (FREE)

Approximately 1 billion accounts exist₂͵₃

Pay with a Tweet$8,000

Approximately 175 million people

worldwide have a Twitter account₃

Promotional Video$3,000

YouTube is used 30 billion minutes per

month₅1) Admissions and Records. (2010). California State University, Fullerton. www.fullerton.edu.2) Albanesius, C. (2011). 25 million Google+ users, does it matter? http://www.pcmag.com/article2/0,2817,2390356,00.asp.3) Carlson, N. (2011). How many users does Twitter really have? http://articles.businessinsider.com/2011-03-31/tech/30049251_1_twitter-accounts-active-twitter-

user-simple-answer.4) City of Fullerton Traffic Volumes. (2008). City of Fullerton, California. http://www.ci.fullerton.ca.us/civica/filebank/blobdload.asp?BlobID=5226.5) Marketing Charts. (2011). Bing, YouTube top sites with most yoy visitor growth. Watershed Publishing. http://www.marketingcharts.com/direct/bing-yahoo-top-

sites-with-most-yoy-visitor-growth-17181/.

(campaign year)

THANK YOUFOR YOUR TIME!