Today

A journey to understand your target

Consumer purchasing behaviour

Implications

Retail environment

Strategy

Plan

Creative

Activities

Media

Budget

Measurement

Our understanding of your challenge

A campaign that achieves our objectives between March (launch) and August,

addressing the following issues:

What the L series stand for in the target consumer’s mind

What role does each handset play (L3/L5/L7)

Choosing a handset to focus on out of the three:

A creative thought and platform to bring the chosen handset

A creative and media response to launch this handset

How does all of this activity relate back to helping the brand create a clear identity and

positioning within the UK

LG Mobile’s current brand performance indicates a need to clarify what the

brand stands for and to tell a clear story relative to competitors

To compete, LG must rectify brand perception issues around style,

functionality, innovation and acceptance

Working with a budget of £3m pounds

Creative integrated approach to marketing communications

Effective strategies based on thinking like your target

Based on in depth consumer behaviour understanding

Experienced professionals in different areas of IMC

Out of the box…

Our IMC 360° approach

Your objectives

This objective is key to the success of LG Mobile: Business

Objective : Sell 400k of the L Range to drive continued listings

in retailers

Sell 400k units of the ‘L’ series phone range between March

and August of 2012

Secondary objectives:

Create a clear identity for the phones within the ‘L’ series,

giving consumers a clear reason to consider the range and a

specific phone within it

Improve perceptions of the LG mobile brand around

performance, quality/value or preference

Our objectives

Support you in delivering the target sales, but also…

Create consumer interest and purchase in LG Smart phones that have no real technological edge vs competition

Ensuring we create a platform to grow the market share and position of the brand towards the future

Create differentiation through IMC in a commoditized category

Push and pull

Get the mobile brand to a new position

Our insights

Young men (15-19) are more oriented to specs and technical savvy in buying mobiles

Young women (15-19) are more oriented to fashion and social trends

Smartphones are becoming commodities

Little product differentiation: similar specs

Mobile retail stores are saturated

Young women are price conscious and want to spend more money in their looks

Most use pay as you go phones

The most common use is social networking sites.

Almost everyone who has used their smartphone to access the Internet has visited a shopping site.

Younger people use the smartphone for entertainment and communication.

Our insights

Phones 4U has by far the youngest profile – perhaps reflecting its price-led image. (Note that the sample size is quite small and so less reliable for than for the others).

Network stores attract younger customers.

Female consumers are more likely to take advice (45%) about technology products.

Under-25s are the major driver of online and mobile sales

Effectively targeting them with marketing campaigns and offers is crucial

Interaction is the new buzz word in this respect

Fashion-themed challenge apps providing an engaging way for brands and retailers to connect with their core audience and raise their brand credentials

A picture of our target

More than one in five (22%) under-25s are currently out of work

The rising cost of living and the difficulty for youths to get a toehold on the

property ladder is forcing more youths to remain in the family home

But under-25s are most preoccupied with their appearance, with the

majority believing it is important to look well-dressed and be attractive to

the opposite sex.

Young females are the most fashion-obsessed

Teenage girls from the AB socio-economic group stand are the most avid

fashion purchasers

It is important for one in five 15-24s to win the approval of their peers by

mainly buying clothing that they know their friends/boyfriend/girlfriend will

like

A picture of our target

Six in ten young women include New Look within their repertoire of

clothing outlets and its popularity peaks among 15-19s.

Under-25s are devoted shoppers, with six in ten (58%) really enjoying the

clothes shopping experience and four in ten (41%) spending a lot on clothes

(TGI).

Mintel’s research reveals that over six in ten (62%) 15-24s make fashion

purchases at least once a month.

Difference between youths in their teenage years and early twenties:

Teenage are free to buy new garments frivolously as they are yet to take on

the substantial financial burden of living independently

Over 20s spent half (53%) of their income on rent or mortgage repayments and

bills

Who are they?

Young women from 15-20

They still live in their parents home

They study school or college

They love fashion shopping

They are price conscious

They love social sharing and interacting

They are from a family ABC1

They want a smartphone but only will use basic: web, SMS, music, video, camera

They can’t buy a high end smartphone

Their parents will buy a phone of a reasonable price

Purchasing behaviour of our target

Over a third (36%) view shopping for clothes as an enjoyable social activity to share with friends, rising to four in ten (41%) females and almost half (47%) of teens.

A fifth of teenagers like to buy clothes with their parents because they are willing to pay for items

Retailers need to enhance the experiential element of their retail environment, for example by adding interactive features or by hosting fashion-themed entertainment events exclusively for youths to stimulate sales from these wealthy social shoppers

In-store competitions and fashion-orientated challenges whereby shoppers can win rewards such as discounts or entry into competitions would provide good incentives.

Evolution within bricks-and-mortar stores will help to add excitement to the retail experience. Revolutionary store designs, compelling displays and interactive elements will help to encourage spending from the youth market.

Purchasing behaviour of our target

Some 57% of youths prefer to go shopping alone because it is quicker and easier

In today’s hectic society, shoppers want to maximize every spare minute

Retailers need to make the shopping process streamlined and convenient.

‘Tweet mirrors’ in fitting rooms, which capture pictures of customers in different

outfits, and shared with friends via social networking sites, enable these solo

shoppers to get feedback from peers and help them with their purchasing decision.

Young consumers desire a boundary-free shopping experience, the convenience

and flexibility of using a smartphone to make fashion purchases at any time and

almost anywhere.

Skype has become the latest vehicle to be used in the rapidly advancing

multichannel retail technology

Fashion retailers and brands must discover innovative and compelling new ways

to attract their clientele.

Interactive and radical new retail features take the in-store shopping experience to

a new level and are likely to draw in younger shoppers through their novelty factor.

They search online and consult with

friends…

FIGURE 5: How next phone will be chosen, December 2011

Base: 1,896 internet users aged 16+, who use mobile phones

SOURCE: GMI/Mintel

They buy online or look online first

FIGURE 42: Process of buying mobile phone, December 2011

Base: 1,896 internet users aged 16+, who use mobile phones

SOURCE: GMI/Mintel

They plan to change their smartphone

in the next 3 months…

FIGURE 3: Plans for purchase or upgrade of consumer technology

products in the next three months, January 2012

Base: 2,000 internet users aged 16+

SOURCE: GMI/Mintel

They are very likely to switch in the

short term…

Plans for purchase or upgrade FIGURE 43: Plans for purchase or upgrade of mobile phones in the next three months,

by age, January 2012

Base: 2,000 internet users aged 16+

SOURCE: GMI/Mintel

Almost 50% haven’t decided and 17%

want Android…

FIGURE 44: Desire for future mobile phone operating system, December 2011

Base: 1,905 internet users aged 16+ who have a mobile phone

SOURCE: GMI/Mintel

They share pics and video, they talk

online and use audio

FIGURE 61: Social and sharing online activities performed in the past three months,

by device, January 2012

Base: 1,983 internet users aged 16+ who used a computer, smartphone, and/or

tablet to access the internet in the past three months

SOURCE: GMI/Mintel

Women are more likely to use social

networks… FIGURE 62: Social and sharing online activities performed in the past three months,

by gender, January 2012

Base: 1,983 internet users aged 16+ who used a computer, smartphone, and/or

tablet to access the internet in the past three months

Note: Results are a net of online activities performed across computers,

smartphones, and tablet computers

SOURCE: GMI/Mintel

They are high spenders in clothing and

shoes…

FIGURE 46: Expenditure ranking, by age group, September 2011

SOURCE: Ipsos MORI/Mintel

They have a preference for

fashionable but affordable clothes… FIGURE 5: Retailers shopped at in the last 12 months, September 2011

Base: 960 adults aged 15-24 who buy clothes

SOURCE: Ipsos MORI/Mintel

Brand assessment

Lack of specific targeting

Ads lack USP and don’t reflect style:

• Modern design? Not unique feature

• Large screen? All smartphones have it

Brand wheel is generic

Search ability is low (need SEO)

Promotion is not very attractive (O2 Arena too)

Three handsets: find how we communicate with consumers which one is the one for them

Their Facebook is not very interactive

• Not engaging activities (contest is generic)

• No response to critics

• No dialogue

But, this is not bad,

it’s an opportunity to create over blank

Target market size

FIGURE 16: Trends in the age structure of the UK population, 2006-16

2006 2011

(proj)

2016

(proj)

%

change

%

change

000s % 000s % 000s % 2006-

11

2011-

16

0-4 3,496 5.8 3,883 6.2 3,898 6.0 +11.1 +0.4

5-9 3,490 5.8 3,508 5.6 3,892 6.0 +0.5 +10.9

10-14 3,751 6.2 3,500 5.6 3,515 5.4 -6.7 +0.4

15-19 3,996 6.6 3,832 6.1 3,571 5.5 -4.1 -6.8

20-24 4,024 6.6 4,359 7.0 4,182 6.5 +8.3 -4.0

25-34 7,897 13.0 8,385 13.4 9,257 14.3 +6.2 +10.4

35-44 9,262 15.3 8,660 13.8 8,081 12.5 -6.5 -6.7

45-54 7,834 12.9 8,705 13.9 9,095 14.0 +11.1 +4.5

55-64 7,150 11.8 7,330 11.7 7,428 11.5 +2.5 +1.3

65-74 4,971 8.2 5,501 8.8 6,344 9.8 +10.7 +15.3

75-84 3,440 5.7 3,540 5.7 3,829 5.9 +2.9 +8.2

85+ 1,276 2.1 1,446 2.3 1,681 2.6 +13.3 +16.3

Total 60,588 100.0 62,649 100.0 64,773 100.0 +3.4 +3.4

SOURCE: Office for National Statistics/GAD/Mintel

Strategic approach

We want to…

Associate the brand with fashion

Get close to our target audience

Get out of the traditional retail space

Seek for brand identification within the target

Team with a more powerful brand for the target

Offer an experience

Interact with the target to build engagement

Continue to activate the traditional retailers

Have an aspirational approach to the brand

Strategic plan deployment

Launch

event

Advertising

Regional activation

Facebook contest

March April May June July August

In store activation

Retailer activation

DIM campaign

PR campaign

Brand wheel

Value: Makes me feel young, stylish and unique; Makes me feel I spend my money wisely; Fits my needs;

Allows me to buy other things I like

Personality:

Model; Young; Stylish; Fashionable; Energetic; Chic

Benefits: Accessible price; Variety of Apps; Free paid Apps; User friendly; Convenient; Customizable; Perfect

screen for video

Attribute: Android new system; Basic function you need; HD screen and big; Uncomplicated; Thin, light; Modern

design; Supported by major brand

Creative concept

We want to position the phone as…

A stylish accessible smartphone

Does all that you need

Associate with fashion to leverage our brand

Great for socializing

It’s trendy and fashionable

It is….

Simply perfect

How to engage with the target?

Teenage girls follow role models.

They like fashion and love music.

They rather see someone like them but better.

That is why we think we should adopt the current trend setters…

Become brand ambassadors and campaign image

Use the mobile phone for all and show it

Launch event

Interact and engage in Social Media

Participate in activation around UK

Adopting a way for the brand to communicate with the target

Little mix

X Factor winners 2011

Loved by teen women

Loved by moms

Hugely voted in X Factor

New album

4 different styles of girls that represent our target

Fashion icons

Loved by the media

315,000 fans on Facebook

Famous but not unreachable

Represents our brand positioning well

Very good at digital engagement

Brand identification

and effective stylish positioning

Creative result

Activities

Partnership with fashion brand (ie.

New Look)

In store special display: LG Lounge

LG contest to select best model in LG

lounge taking pic with phone

Interactive application for trying

clothes on

Interactive changing rooms

with phone and social sharing

Activities

A pull program with sales

promotions for channel:

Contest for salespeople on

traditional retailers

Launch event with training,

fashion advise and a free

coupon for one look

Special exhibition in retailers

Train salespeople to offer the

whole collection of L Series

Activities

Direct and interactive marketing:

Facebook updates, ads and app

Mobile site

Campaign microsite

Email

New look flyers

SMS

LIST/MEDIATYPE # of contacts Response Rate Number of responses Conversion Rate Sales

Facebook 1.600.000 1,0% 16.000 1/4 4.000

Facebook ads 5.072.980 0,1% 5.073 1/4 1.268

Facebook app 366.000 10,0% 36.600 1/4 9.150

Email 2.000.000 0,1% 2.000 1/4 500

New look flyers 10.000.000 0,1% 10.000 1/4 2.500

SMS 5.000.000 5,0% 250.000 1/4 62.500

TOTAL 31.418.000 319.673 79.918

Activities

Contest for background design:

People can create their design for background cover

All shared on Facebook and open to public vote in

both brands page

Best 10 designs will be produced and give for free

to all clients of the fashion retailer

Activities

Very targeted advertising

campaign:

Newspaper

Teen magazines

Digital, Google Ad words and

social media

Buses

Tube ads

Activities

An integrated public relations approach:

Press conference

Press event with fashion advisors for IT journalists

One to one media interviews with Little Mix and

Fashion editors, bloggers and websites

PR supporting regional activation

Media relations activation for launch event with red

carpet and online social sharing with pics to select

best dressed

Regular updates on brand advance

Launching event

Simply perfect fashion show & Rock ‘n’ Roll

3rd March 2012

LG Arena

Combination of product launching fashion show and mini concert, the stage will design with both performing stage and runway

The background of the Stage will use projector to illustrate the L Serial Video

The LG ambassador – Little Mix will be perform for the launching event

During the performance there will be models walking on the runway to shows the LG L Serial and new collection from New Look

Entrance for all is a red carpet and all women should come in fashionable outfits.

Regional plan

LG Mobile Lounge

Every weekend from March to August

Six major city in the UK (by population)

Birmingham, Liverpool, Leeds, Sheffield, Bristol, Manchester

The Lounge will be place on the high street

The Lounge will use Volkswagen T1 to design as a mini show room.

Every Lounge will have 6 male models to attract the target audiences

The male model will be training to be familiar with the L serial products in order to present to the customers.

Media Plan

Advertising on Teenage magazine

-Shout website (homepage takeover) for 10 weeks

-Shout (full colour page) for 6 months

-Bliss (full colour page) for 6 months

-Top of the pops (full colour page) for 6 months

-Mizz (full colour page) for 6 months

Advertising on the Metro

national colour full page for 8 day

Advertising on London Buses

100 Central London Buses (T-Sides) for 2 weeks

Advertising on London underground – oxford circus station

20 Digital Escalators Panels for 6 weeks (targeted schedule: week 4-7 pm), weekend 8-12pm)

Advertising on Facebook

Target Audiences: UK, 15-19, Female (5,072,980 people)

Advertising on Google Adwords

Media Plan Budgets

Advertising on Teenage magazine

Shout website(homepage takeover)

cost = £2,000 (per week) * 10 wks = £20,000 Shout(full page colour)

cost = £3,885(per ad) * 6 = £23,310

Bliss (full page colour)

cost = £7,800 (per ad) * 6 = £46,800

Top of the pops (full page colour)

cost = £9,050 (per ad) * 6 = £54,300

Mizz (full page colour)

cost = £3,600 (per ad) * 6 = £21,600

Advertising on the Metro (national colour full page )

cost = £37,000 (per ad) * 8 = £296,000

Media Plan Budgets

Advertising on London Buses cost for 2 weeks= £1,212 *100 Buses = £121,200

Advertising on London underground – oxford circus station

20 Digital Escalators Pannel = £67,780

Advertising on Facebook

5,072,980 (target) * 1% (RR) * £0.31 (per click) = £15,726

Advertising on Google Adwords

£300,000 (people per month) * 0.62 (per click) = £186,000

Total budget = £852,716

Media Timeline

Weeks 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 2

4

Shout

online

Shout

Bliss

Top of the

pops

Mizz

Metro

Buses

Tube

Facebook

Adwords

Budget

Item Quantity Unit cost Total cost Direct and interactive campaign 1 £321.573 £321.573

Media campaign 1 £852.716,00 £852.716

Launch event 1 £500.000,00 £500.000

Little mix contract 1 £350.000,00 £350.000

PR agency and campaign 1 £200.000,00 £200.000

Regional events 1 £300.000,00 £300.000

Digital development 1 £150.000,00 £150.000

Sales promotion costs 1 £200.000,00 £200.000

Channel marketing activation 1 £100.000,00 £100.000

TOTAL £2.974.289

Measurement and evaluation

As per your brief, the following are the KPIs we will measure.

Volume sales of the L series phones

Awareness of LG mobile and the L series

Consumer brand favourability and purchase intent

This should be measured by the following methods:

Pre-testing focus groups for copy, creative and other alternatives.

Pilot for DIM campaign: SMS, e-mail, Facebook ads, and Adwords

Sales in non-traditional channel

Sales through traditional channel with salespeople program

Increase of volume of shares per shop towards previous products

Online sales achieved by the DIM campaign (ROI)

Share of voice on publications

Tracking study

Position of the LG Mobile brand in wider market tracking studies