MEDIA MANAGEMENTKindle fire

Jean Chao

ObjectivesOverview

ProductBusiness Goal

Media Goal

Overview• Amazon, the first entrant in the e-book category • Yearly sales exceed prior sales in the past 5 yrs• Kindle sales dropped because of arriving of iPad• Younger buyers went to iPad, while 40+ buyers

stayed with Kindle• Two years to develop the next product – the Fire

Kindle Fire• Released on Nov. 15, 2011• $199• A tablet version of Kindle e-reader• Color 7” multi-touch screen• Android operation system• Online service, movies, TV shows, music, web,

apps, games, and reading

Business Goal• Introduce a product with enough innovation, while

maintain core base buyers• At the same time, sway over any potential Apple

buyers• Low price, name brand, and ease of use to sell

million of product

Media Goal• Build awareness of Kindle Fire• Take advantage of holiday shopping season• Turn e-reader owners into tablet buyers• Solidify the thought that Kindle Fire reaches iconic

status• Not compete with iPad

StrategiesNewspaper

MagazineInternet

Out of HomeDirect Mail

Newspaper• Compensate for the absence of TV• High circulation reaching the massive audience• Audiences tend to have regular reading habit• Some newspapers can be downloaded to Kindle

Fire• Target specific cities

Magazine• Specific audiences• Aim at target audience by different titles and

interest• Visual means of communication with crisp and

colorful image• Also can be downloaded to Kindle Fire• Repeat exposure

Internet• Inexpensive and broad audiences• Bring traffic to website right away• User accustomed to technology• Interactive platform

Out of Home• Right spot, right place• High frequency and repetition• Large audience with low cost• Versatility of the visual and appearance

Direct Mail• Highly targeted • More personal

Target AudienceAssignment Target

AudienceMedia Usage

Psychographics

Assigned Target• Male and Female• 40+• HHI: $65,000• Reads 2+ books per month• Own a cell phone , but not a smartphone• Convert his/her book buying to e-reading via

Amazon bookstore.

Consumer Insight• If I can have one device that accomplish

everything, why carry another?• “The tablet is really killing the e-reader”

(FastCompany)• Sales of tablets v.s. e-readers of 2011: 24.1 million and 11.8 million (Mintel)• Amazon Kindle gets 62% of U.S. e-reader usage,

and Kindle Fire is 14% of tablet (GeekWire)• Apple user tend to be younger (nielsen)

New Target Audience• Male & Female• 45 – 64• Graduated college+• Professional, management, business, and financial

operations• HHI: $75,000 +• Marital: Married• Region: West coast and East coast• E-reader owner: 11.8 million

Media Usage• Magazine: Heavy usage (Index= 131)• Newspaper: Heavy usage (Index= 158)• Internet: Heavy usage (Index= 167)• Outdoor: Slightly heavy usage (Index= 116)• Consider but not recommend: Radio

Psychographics & Lifestyle• New to tablet• Used to buy books on Amazon• Digital immigrants: consumers who grew up with

old technologies, such as TV or print, and adapted to newer one

• Frequent flyer• Enjoy life – gourmet, home décor, and travel.• Luxury sport

Who are they?Luxury Sport

Enjoy Life Amazoner

Frequent Flyer

Digital Immigrant

E-Reader Reader

Michael & Jennifer

Timing

Seasonality• Time Frame: July to December• Center on holiday shopping season• Gift for family, friends, and even themselves• Pulsing Scheduling - Travel season• Frequency > Reach

EmphasisFrequency

Reach

Behavioral Change/Purchase

Travel Season

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000

Grand Total

Grand Total

Dollar Spending on Holiday

Monda

y, Nov

. 28 (

Cyber

Monda

y)

Monda

y, Dec.

5

Monda

y, Dec.

12 (G

reen M

onda

y)

Tuesda

y, Nov.

29

Tuesda

y, Dec.

6

Friday,

Dec. 16

(Free

Shipp

ing Day)

Tuesda

y, Dec.

13

Wednes

day, N

ov. 3

0

Thursd

ay, D

ec. 8

Thursd

ay, D

ec. 15

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

Media TacticsNewspaper

MagazineInternet

Out of HomeDirect Mail

Newspaper

Newspaper_ Centre spread, kindle fire shape layout

NewspaperWall

Street Journal

2,096,000

Index=260

Travel for Vacation in Last 3 Months:

Index=153

USA Today

1,829,000

Index=172

New York

Times

1,600,000

Index=330

Los Angeles Times

850,000

Index=246

Chicago Tribune

700,000

Index=276

Affluent Adults: Career and family focused. Educated.

Active.

90% made at least one domestic trip in the past year

Circulation

Index

Magazine

Magazine

Time

32,500,000

Index=149

Forbes

9,500,000

Index=208

Money

1900,000

Index=178

Fortune

830,000

Index=187

Wired

775,000

Index=339

MagazineDelta Sky

601,346

Index=248

Bon appéti

t1,500,00

0

Index=197

Food &

Wine

925,000

Index=183

Travel +

Leisure

950,000

Index=302

Internet

Internetwsj.com

6,306,000

Index=332

nytimes.com

19,294,968

Index=313

cnn.com

12,2655,278

Index=217

travelchannel.com

1,200,000

Median Age: 47

Median HHI:

$71,528

College Grad+:

39%

foodnetwork.com

14,800,000

Median Age: 46

Median HHI:

$72,601

College Grad+:

38%

visitors

Index & Demographic

Out of Home

Out of HomeHartsfield-

Jackson Atlanta

International Airport

89,331

O’Hare International Airport

66,774

Los Angeles

International Airport

59,070

Dallas-Fort Worth

International Airport

56,906

J.F.K. International Airport

46,514

(000)

Annual traffic

Direct Mail

Direct MailKindle owner

2,161,378

Nook owner

1,647,026

Sony e-reader owner

987,213

Recap

Budget Review

Newspaper39%

Magazine42%

Internet1%

Out of Home8%

Direct Mail9%

Audience Delivery• Circulation: 23,501,963• Impression: 208,422,000

Flow Chartclick here

Research Tools

Tools• SRDS• Mintel• MRI• Quancast• Nielsen

Resource• www.amazon.com/kindlefire• http://www.geekwire.com/2012/amazon-kindle-hol

ds-steady-62-ereader-usage/• http://www.fastcompany.com/1835676/follow-up-t

he-tablet-really-is-killing-the-e-reader• http://blog.nielsen.com/nielsenwire/online_mobile

/changing-demographics-of-tablet-and-ereader-owners-in-the-us/

• http://blog.nielsen.com/nielsenwire/consumer/the-connected-devices-age-ipads-kindles-smartphones-and-the-connected-consumer/

• http://www.shoppertrak.com/news-resources/press-releases/2011-11/shoppertrak-identifies-top-10-best-days-to-shop-this-holiday-season

• http://www.fastcompany.com/1835676/follow-up-the-tablet-really-is-killing-the-e-reader

• http://www.comscore.com/Press_Events/Press_Releases/2012/1/U.S._Online_Holiday_Shopping_Season_Reaches_Record_37.2_Billion_for_November-December_Period