2012 Media Campaign

Executive Summary

Jamba Juice is already the leader in the smoothie market. They have a strong brand image, loyal fans, and locations across the U.S. However, the economy has hurt their sales and they are starting to lose market share to new smoothie shops as well as other chains such as McDonalds who have started offering smoothies. Our strategy focuses on retaining brand loyalty and expanding Jamba Juice in markets where they already exist, but could use a boost.

Jamba has a steady fanbase, but has done little in recent years to try and attract new loyal customers. We propose a large campaign to get back lost market shares and gain new customers.

We will target females ages18-34. They are active, social women who like to live healthy lifes. Many are still in college and others are just beggining their careers and their families. We have selected 5 major cities to focus our campaign. These are large cities where Jamba already has an established presence.

We have divided our campaign into two flights- a Summer flight and a winter flight. Summer is peak smoothie season due to the warmer weather and in effect is the most advatageous season to increase brand loyalty and find new customers. For that reason the summer flight will be more intense with more ads being run.

Sales always decrease in the winter due to the cold weather. For that reason we will scale back our efforts during the winter months, running fewer ads with less frequency. During the winter we will highlight our new oatmeal line, which is the only product designed for the cold winter months.

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Situation Analysis

Competitors

California-based Jamba Juice has 742 locations consisting of 364 company-owned and operated stores and 378 franchise stores. As reported in the October 2010 Jamba Inc. presentation, Jamba Juice holds the largest share of smoothies sold nationally and ranks fourth among top-of-mind healthy food/beverage brands—ahead of brands like Lean Cuisine, Panera, and Weight Watchers.

The company is well-known for their healthy, all-fruit smoothies and their fun interesting flavor combinations, however the competition is fast-rising.

research used: academic.mintel

Jamba Juice remains the number one Smoothie chain in the US, but there are a few smoothie chains quickly catching up; most notably The Smoothie King, Maui Wowi, and Planet Smoothie.

Recently, however, our newest competition has been other restaraunts that are not smoothie-oriented but now offer smoothies. For example, in 2010 McDonalds sold the most smoothies in the US out of any restaraunt. Though they sell a lot of smoothies we don’t consider restaraunts like McDonalds direct competitors. Rather, we believe that people get smoothies there for convenience, but true smooth afficionados like our customers tend to only get their at smoothies at smoothie chains like Jamba Juice.

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SWOTStrengthsStrong brand recognitionWell known companyVariety of different smoothies and fresh squeezed juicesOffers a breakfast oatmealUnique texture makes smoothies stand apart from competitionTheir smoothies are viewed as a healthy productStrong brand loyalty among their fans

WeaknessesCold weather affects salesNo strong advertising campaign

OpportunitiesAppeals to health conscious audienceContinually adding healthy items to their menu.Their ingredients are ahead of the competition in freshness.Opened first international Jamba in Korea last yearThey launched a line of pre-made smoothie mixes and concentrates available in any grocery store

ThreatsThe poor economy is affecting salesNo strong marketing campaignTransportation and Agricultural costs are going up decreasing access to fresh ingredientsCompetitors like Smoothie King and Planet Smoothie are quickly rising

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Target Audience

Target Markets

• Women Ages 18 - 34 • In college or recently graduated• Single or Newlywed• Interested in Tennis, Yoga• Aspiring Business Women

Our Target Audience was chosen based on current customers of Jamba Juice and current customers of related products

• Honolulu, HI• Los Angeles, CA• Miami, FL• Dallas, TX• New York, NY

We chose these 5 markets because they all have a decent concentration of Jamba Juice stores already, but could use a little more growth, with the exception of L.A. where there is already a heavy concentration of stores. Most of these areas are warm and sales of smoothies are not affected by the winter months. Most contain colleges and universities where large concentrations of our target market can be found.

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such as fruit juices and smoothies. These women are active, and enjoy the image of being healthy. They go to Jamba Juice because they feel good about being seen there and feel good about the healthy image of the fruit smoothies. They don’t bother checking the actual calories.

Media Objectives

ObjectivesKeep current customers or regain recent customers• Promote new loyalty program.• Use Social Media to target fans of Jamba and give them incentives to come more often

Bring in new customers whilst promoting brand loyalty.• Using Mass Mediums such as TV and magazines will target those who are not current

customers but who have similar demographic profiles as frequent customers

Speak to very specific audience• Extensive research of our target markets interests and lifestyle.• Advertising on Facebook• Outdoor advertising at gyms and tennis tournaments. • We will advertise in Yoga, Tennis, Personal Finance, and Young Mother magazines. • Cable television advertising on MTV and other programming.

Create a Jamba culture• Promote loyalty rewards program• Give out swag to loyalty members• Website contains a social aspect• Users can share their favorite smoothies and show off their rewards

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TelevisionWe will run a more intense campaign during the summer, quarters, 2 & 3, as the summer is peak smoothie season. We will run 9 flights total. Each flight will be two weeks long with a week off in between. Each flight we will shoot for a total of 400 GRP’s. Summer is the most efficient time to increase brand loyalty and attract new customers. We will run our ads during prime time television when our target audience is catching up on their favorite shows.

We will scale back the campaign during the winter, quarters 1 & 4. We will have thirteen total flights, one week on, one week off. Each flight will only contain a total of 200 GRP’s. It’s cold during the winter and smoothie sales decrease with the falling temperature. We will push our oatmeal during the wintertime. We will split our ads evenly between primetime television and early morning TV; hoping to catch our target audience as they’re getting ready for work or school.

SummerWinter

Early Mor. Prime Time Per Flight totalLA1Q 639 3,529 416,800 2Q 749 4,115 1,646,000 3Q 709 4,009 1,603,600 4Q 831 4,699 553,000

Miami1Q 182 1,376 155,800 2Q 213 1,603 641,200 3Q 201 1,562 624,800 4Q 236 1,831 206,700

NY1Q 623 2,841 346,400 2Q 731 3,314 1,325,600 3Q 692 3,227 1,290,800 4Q 811 3,783 459,400

Dallas1Q 289 1,039 132,800 2Q 338 1,212 484,800 3Q 321 1,181 472,400 4Q 376 1,384 176,000

Hawaii1Q 32 82 11,400 2Q 38 96 38,400 3Q 36 93 37,200 4Q 42 109 15,100

400 GRP's per flight in Q's 2 & 3. 9 flights total200 GRP's per flight in Q's 1 & 4. 13 flights total

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Television Cont’dLAWinter Ave. 484,900 Win. Tot. 6,303,700 20,926,900

Sum Ave. 1,624,800 Sum. Tot. 14,623,200

MiamiWinter Ave 181,250 Win. Tot. 2,356,250 8,053,250

Sum. Ave. 633,000 Sum. Tot. 5,697,000

NYWinter Ave 402,900 Win. Tot. 5,237,700 17,011,500

Sum. Ave 1,308,200 Sum. Tot. 11,773,800

DallasWinter Ave 154,400 Win. Tot. 2,007,200 6,314,600

Sum. Ave 478,600 Sum. Tot. 4,307,400

HawaiiWinter Ave. 13,250 Win. Tot. 172,250 512,450

Sum. Ave. 37,800 Sum. Tot. 340,200

52,818,700 Year GRAND TOTAL

LA grand total

Miami grand total

NY grand total

Dallas grand total

Hawaii grand total

Year Grand Total for Television - $52,818,700

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MagazineWe decided to pick Tennis , Finance, Yoga and Family Fun Magazines because it reflects the interest of our target audience. These magazines have the highest circulation number and the lowest CPM. Our research showed that many in our target market subscribed to personal finance magazines because they are young aspiring business women. They are also active and involved in activities such as tennis and yoga. Many are young mothers that subscribe family fun magazines.

From April- September, the summer months and peak smoothie season, we’ll run two ads per magazine. We’ll be running these ads in 8 magazines with the best CPM in each of the high-interest areas of our target market. From October-March, slower smoothie months, we recommend just running one ad per magazine. Also we recommend just running the ads in 4 magazines instead of 8.

April - SeptemberTennisTennis Magazine:Full page 4 color - $52,500 *2= $105,000Circulation is 705,778CPM $74.38Total per 6 months is $630,000

Personal FinanceBlack Enterprise:Full page 4 color - $37,500*2=$ 75,000Circulation is 508,489CPM $ 73.75Total per 6 months is $450,000

Business weekFull page 4 color - $106,500 *2= $213,000Circulation is 985,516CPM $108,06Total per 6 months is $1,278,000

Business 2.0Full page 4 color - $ 61,000*2=$ 122,000Circulation is 564,330CPM $108,09Total per 6 months is $732,000

YogaFitnessFull page 4 color - $109,500*2=$ 219,000Circulation is 1,556,469CPM $70,35Total per 6 months is $1,314,000

October - March TennisTennis Magaine:Full page 4 color - $52,500Circulation is 705,778CPM $74, 38Total per 6 months is $ 315,000

Personal FinanceBlack Enterprise:Full page 4 color - $37,500Circulation is 508,489CPM $ 73,75Total per 6 months is 225,000

YogaFitness Full page 4 color - $109,500Circulation is 1,556,469CPM $70,35Total per 6 months is $657,000

FamilyFamily circleFull page 4 color - $ 216,400Circulation is 4,267,535CPM $ 50,71Total per 6 months is 1,298,400

Monthly Total: $415,900Winter Total:$2,495,400

Yoga JournalFull page 4 color - $23,995 *2=$47,990Circulation is 325,994CPM $73,60Total per 6 months is $2,879,40

FamilyFamily circleFull page 4 color - $ 216,400*2=$ 432,800Circulation is 4,267,535CPM $ 50,71Total per 6 months is $2,596,800

Family FunFull page 4 color - $122,230*2=$244,460Circulation is 1,874,417CPM $65, 21Total per 6 months is $1,466,760

Monthly Total: $1,459,250Summer Total: $8,755,500

Year Grand Total for Magazines: $11,250,9009

InternetFacebook Advertising allows us to target very specific individuals. The CPC and Reach estimates are based on our target audience in our 5 markets. The Ad is set up so that each click on the ad is a “Like” on the Jamba Facebook page. Those who “like” our page will see the things that are posted on the Jamba page and be exposed to the contests, promotions, and giveaways that we promote there. Some of those fans our our facebook page will translate into regular customers who visit Jamba Juice every day. Some won’t go at all. We are going to assume an average of each fan visiting Jamba twice a month.

CPC $0.69Budget/Day $30Clicks/Day 43New "Likes"/Month 1304total new fans over the campaign 7826New Revenue/Month 78,260.87$

Social Media Management/Month $750Social Media Management Total $9,000Ad Cost per Month $900Full Campaign Cost $5,400Ad and Management Total $14,400

Year Grand Total for Internet: $14,400

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Outdoor

LA60 boardscost per board $475$28,500 for one month

MIAMI60 boardscost per board $400$24,000 for one month

NY60 boardscost per board $500$30,000 for one month

DALLAS60 boardscost per board $450$27,000 for one month

HONOLULU60 boardscost per board $375$22,512 for one month

Year Grand Total for Outdoor: $792,072

We will place billboards throughout our major markets to remind our target audience how much they love Jamba as they commute to work or school.

We will also place some at the locations of different sporting events; like tennis matches

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Proposed BudgetTelevision $52,818,700

Magazine $11,250,900

Internet $14,400

Outdoor $792,072

Year Grand Total for all Mediums: 64,876,072

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