NaviGator Communication Strategy

29
Andy Liu, Josephine Chan, Serena Mani, and Max Lowenthal MANAGEMENT COMMUNICATIONS CLIENT PROJECT, OLIN BUSINESS SCHOOL CapGator Consultation Project THE NEXT GENERATION OF GERM PROTECTION

Transcript of NaviGator Communication Strategy

Page 1: NaviGator Communication Strategy

Andy Liu, Josephine Chan, Serena Mani, and Max Lowenthal MANAGEMENT COMMUNICATIONS CLIENT PROJECT, OLIN BUSINESS SCHOOL

CapGator Consultation Project THE NEXT GENERATION OF GERM PROTECTION

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Table of Contents Unique Position in Industry ..................................................................................................................................................................... 3

Targeting Parents Ages 35 to 54 ............................................................................................................................................................. 3

Building an Online Presence ................................................................................................................................................................... 3

Firm Background .......................................................................................................................................................................................... 4

Carl’s Background ................................................................................................................................................................................... 4

Product ................................................................................................................................................................................................... 4

Industry Overview ........................................................................................................................................................................................ 5

Competition ................................................................................................................................................................................................. 5

U-Glove ................................................................................................................................................................................................... 5

Superior Glove ........................................................................................................................................................................................ 6

Online Presence ........................................................................................................................................................................................... 6

Website ................................................................................................................................................................................................... 6

Advertisements ....................................................................................................................................................................................... 7

Social Media ............................................................................................................................................................................................ 7

Potential Challenges ..................................................................................................................................................................................... 7

Brand Awareness .................................................................................................................................................................................... 7

Marketability and Scale ........................................................................................................................................................................... 8

Summary of Target Audience ....................................................................................................................................................................... 9

Demographics ............................................................................................................................................................................................ 10

Parenting Age ....................................................................................................................................................................................... 10

Spending on Transportation (General) .................................................................................................................................................. 11

Spending on Vehicle Purchases & Gas .................................................................................................................................................. 12

Spending on Personal Care ................................................................................................................................................................... 13

Conclusion - Demographics ................................................................................................................................................................... 13

Psychographics ........................................................................................................................................................................................... 14

Personality Characteristics .................................................................................................................................................................... 14

Risk-Averse ....................................................................................................................................................................................... 14

Germ-Aware ..................................................................................................................................................................................... 14

Parental Instinct ............................................................................................................................................................................... 14

Lifestyle ................................................................................................................................................................................................. 14

Activities................................................................................................................................................................................................ 14

Motivators .................................................................................................................................................................................................. 15

Safety and Security ............................................................................................................................................................................... 15

Power and Control ................................................................................................................................................................................ 15

Deterrents .................................................................................................................................................................................................. 16

Difficult to Use ...................................................................................................................................................................................... 16

High Price .............................................................................................................................................................................................. 16

Perceived Lack of Online Security ......................................................................................................................................................... 16

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Conclusion .................................................................................................................................................................................................. 16

Summary of Communication Strategy ....................................................................................................................................................... 17

Current Status ....................................................................................................................................................................................... 17

Summary of Our Strategy ...................................................................................................................................................................... 17

3 Vehicles: ........................................................................................................................................................................................ 17

Google AdWords ........................................................................................................................................................................................ 18

Vehicle Appeal ...................................................................................................................................................................................... 18

Messaging Strategy ............................................................................................................................................................................... 18

Messaging Tone .................................................................................................................................................................................... 18

Estimated Cost ...................................................................................................................................................................................... 18

Measurements: ..................................................................................................................................................................................... 18

Desired Response .................................................................................................................................................................................. 19

Feasibility .............................................................................................................................................................................................. 19

Risks/Obstacles ..................................................................................................................................................................................... 19

Visual Examples..................................................................................................................................................................................... 19

Blog Reviews .............................................................................................................................................................................................. 20

Vehicle Appeal ...................................................................................................................................................................................... 20

Messaging Strategy ............................................................................................................................................................................... 20

Messaging Tone .................................................................................................................................................................................... 20

Estimated Cost ...................................................................................................................................................................................... 20

Measurements ...................................................................................................................................................................................... 20

Desired Response .................................................................................................................................................................................. 20

Feasibility .............................................................................................................................................................................................. 20

Risks/Obstacles ..................................................................................................................................................................................... 21

Visual Examples..................................................................................................................................................................................... 21

Facebook .................................................................................................................................................................................................... 22

Vehicle Appeal ...................................................................................................................................................................................... 22

Messaging Strategy ............................................................................................................................................................................... 22

Messaging Tone .................................................................................................................................................................................... 23

Estimated Cost ...................................................................................................................................................................................... 23

Measurement ....................................................................................................................................................................................... 23

Desired Response .................................................................................................................................................................................. 23

Feasibility .............................................................................................................................................................................................. 23

Risk/Obstacles ....................................................................................................................................................................................... 24

Examples/Visuals .................................................................................................................................................................................. 24

Conclusion .................................................................................................................................................................................................. 27

Overview ........................................................................................................................................................ Error! Bookmark not defined.

Bibliography ................................................................................................................................................................................................. 0

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Executive Summary This report analyzes the product CapGator, an automotive refueling hand protection device, and its

potential business-to-consumer opportunities for growth.

Unique Position in Industry CapGator is one of the few products targeted towards protection from germs at gas stations and thus it

has the unique opportunity to establish itself within the industry. However, CapGator is relatively new

and needs a strong marketing strategy in order to attract a large customer base.

Targeting Parents Ages 35 to 54 Our target demographic consists of parents between the ages of 35 to 54 due to their high spending on

transportation and personal care-related products. Parents also have the key motivator of safety and

security, as they are concerned with both their own health and the health of their children.

Building an Online Presence Three-pronged strategy:

Word-of-mouth blog reviews

Consumer relevant advertisements

New customer retention through Facebook

Our main goal is to increase traffic to CapGator’s website in order to both raise further awareness about

the product and generate online sales.

Vehicle Feasibility Cost Time of Upkeep Expected Results

AdWords High Flexible Low Increased web traffic

Blog Reviews High Minimal N/A Increased brand

awareness

Facebook High None Medium Increased customer

interaction

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Client Industry Report Firm Background

CapGator was created by Carl Webster to provide a way to keep your hands clean from germs on the

handle of gas nozzles when re-fueling your car. CapGators are a synthetic rubber material which can

attach to the gas chamber cap and which can be used like a glove to grip a gas pump handle.

Carl’s Background Carl, though not a self-proclaimed germaphobe, is wary of surfaces and items which can harbor

dangerous germs and bacteria. He has experience working in the automotive industry, but this is his first

venture as an entrepreneur.

He is creative in how he designed the CapGator, and the way

the product fits onto both the gas chamber cap and gas pump

handle shows that he is keen on the practicality and

convenience of the product for the customer. He wants a

simple solution to problems that consumers have when fueling

their car.

Additionally, Carl is a risk-taker and an innovator. There are few similar products on the market with the

purpose of protecting customers from germs on gas pumps. This shows that Carl is not afraid to take

chances and leaps of faith on an idea that he believes. His explanation of the patent-pending process,

creation of the website, and production of the CapGator product illustrates that Carl has the dedication

and perseverance to follow through on an idea.

Product CapGator is a green, synthetic, rubber product shaped to

attach onto the gas cap and is form fitting so that it can be

used to grip a gas pump handle. It is similar in size to a gas

cap and there are four holes on the surface which fit the

fingers snugly. It fits well onto the gas cap, is simple and

easy to use, and it protects the hands from germs on the

gas pump handle.

The CapGator has a very tacky surface and provides great

grip strength. It has the potential to have alternative uses

as a tool to open jars and other objects which can be hard

for individuals to open.

Carl is a risk-taker and an

innovator. There are few other

similar products on the market

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Industry Overview

At the moment, due to the early positioning of CapGator, it is difficult to explain Carl’s position in the

industry since he is a trend-setter and an early adopter of the idea.

There are not many other products specifically aimed at selling a device which protect drivers from

germs on a gas pump handle except for the U-Glove. The U-Glove has the most similar purpose to the

CapGator.

However, there are various alternatives which drivers have used to protect themselves from germs on

gas pumps. These products include:

Paper Towels

Latex Gloves

Cloths

Hand Wipes

U-Glove-Disposable gloves provided at select gas stations

Superior Glove-Supplies a wide variety of work and industry grade gloves

Competition

U-Glove The main competition for the CapGator is the U-Glove.

It is a disposable glove which can protect the hands from

germs on gas pumps, and it is provided to the consumer

for free at gas stations. This makes it a very cheap

substitute for the CapGator and it can potentially

cannibalize potential customers in area where it is

available.

Additionally, the website of the U-Glove is more appealing than CapGator due to the bright and

attractive visuals, interactive design, and interesting infographics. It has 540 likes on its Facebook page

and 105 followers on Twitter, so although it has a head-start on CapGator, it is still not a very large

company.

Finally, the U-Glove has the model of selling business-to-business, while CapGator has the potential to

do both business-to-business and business-to-consumers. This limits the potential of the U-Glove on

cannibalizing Cap Gator sales to consumers

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Superior Glove Superior Glove is a company which produces work and industry gloves. They are targeted at individuals

who work hazardous jobs such as handling propane and chemicals. They are a relatively larger company

with a wide variety of gloves, and they have been in business for over 100 years. They have 3,737

followers on Twitter and 3,742 likes on Facebook.

They are an indirect competitor to CapGator because, unlike U-Gloves, they do not have the primary

purpose of protecting hands from germs on gas pump handles.

However, one market that Carl has capitalized on is truckers who often have to stop at gas stations

during their trips, and these gloves are targeted towards the oil and gas industry since truck drivers and

other similar professionals are in contact with fuel and gas so often.

Online Presence

Although Carl has not yet decided on his sales approach, one of his potential methods is to sell

CapGators directly to consumers. He already has a base infrastructure set-up for this approach, as his

website can sell products directly to consumers. However, CapGator will need to create distinct

methods of marketing and create a message for the product that establishes a brand and makes it

noticed.

Website If CapGator sells directly to customers, it is important that the description of the product on the website

conveys information that the target audience is receptive to. At the moment, the main webpage is

composed almost exclusively of facts and blurbs about the potential germs and dangers associated with

gas pump handles.

It is pretty cluttered and not very visually appealing due to

the presence of dirty gas handles on the pages. For a

potential customer, there are a lot of words and numbers

to read. The website could be made more simple, clean,

and consumer friendly.

The factual statements and consumer reviews, though,

make the webpage seem believable and suggest a logical and rational reason for the purchase of the

product. However, they do not give a warm feeling to the product.

For me, the website seems very academic and structured to educate rather than to sell. I think that it is

not enough to just show the consumer why gas handles are bad, but to show why the CapGator is so

useful and why they should spend $10 on the product instead of something else.

A customer could use paper towels, a glove, or almost anything elastic and plastic to protect themselves

from germs at the pump. The CapGator should be presented in a way which makes it seem special so

that it can separate itself from other forms of protection and make the customer feel like it adds enough

value to buy it.

The website’s form of persuasion is

based in logos and ethos, logic and

authority, rather than pathos,

feeling and emotion.

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Advertisements Additionally, on a similar note, the video advertisement was

another way to market the CapGator to the customer. In the

video, there were many innuendos and the presenter of the

information was an attractive female.

To me, this made it seem like the video intentionally or

unintentionally targeted a male audience. However,

according to a study by Oregon State, girls are more likely

than guys to care about cleanliness. This means that CapGator should definitely target itself towards

females (along with males) if it wants to generate the most revenue it can.

Social Media CapGator has both a Facebook and Twitter page, but CapGator’s overall social media needs

improvement in order to benefit a business to consumer approach.

At the moment, the Twitter page has 45 followers and the Facebook page has a few hundred likes. Most

of the Tweets and Facebook posts concern the germs on gas pumps and how to use the product. This is

very good information since it will inform the audience of the product and its purpose. However, it does

appear that the Facebook page has been more successful at obtaining an audience compared to

CapGator’s Twitter.

Potential Challenges

CapGator is an extremely young start-up, and although Carl has a functioning product, there are many

challenges between now and CapGator becoming a successful company.

Brand Awareness In order to generate sales, people need to know about the product. At the moment, CapGator has a

website and social media pages, but there are not many users buying or interacting with the company.

The company has very few sales and, in order for it to grow, it

will need to communicate the brand and product more

effectively to potential consumers.

The website can be changed so that it is cleaner, simpler, and

more consumer friendly. The social media pages can try to reach

out using hashtags and advertising the product on other

company pages. This can have a positive feedback loop which

will promote more awareness.

Additionally, CapGator can advertise itself at stores and

companies which interact with its target audience. These

companies could include auto-dealerships, gas companies, and

stores in gas stations.

According to a study by

Oregon State, girls are more

likely than guys to care about

cleanliness

Make a cleaner,

simpler, more user

friendly website

Reach out to

potential

customers through

target audience

companies and

stores

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Marketability and Scale Although CapGator is a very useful product, it has a relatively limited purpose and narrow target

audience. This means that if CapGator is able to capture a significant proportion of its target audience, it

will be difficult for the product to expand and scale due to its limited purpose.

Additionally, the customer group of drivers who want to keep their hands clean when using gas pumps is

hard to quantify.

There are 210 million licensed drivers in the United States, so that is the maximum potential market

capitalization. Almost all will need gas, but the specific number willing to purchase a CapGator is

unknown since the product is one of the first of its kind.

There are few successful companies to compare CapGator to since the market has not been established.

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Audience Profile Summary of Target Audience

CapGator™ is designed to prevent drivers from contacting bacteria and other contaminants on the gas

handles. Therefore, it appeals to audiences who are:

Refueling cars regularly

Highly aware of personal hygiene and safety

Desirous of protecting loved ones from contaminants and potential sickness

Consequently, our audience is parents from ages 35 to 54 who have at least one car, a child under 18

years old, and are highly aware of personal hygiene.

Statistics demonstrate that parents within this age group are more likely to have a child and also spend

more on vehicle purchases, gas purchases, and personal hygiene. In terms of psychographics, our

audience is risk-averse, lives a stable lifestyle, and is family-oriented. This is further supported by the

fact that our audience is more anxious about germs and illness, and that they feel obligated to protect

their family.

Some factors that may deter our audience from purchasing CapGator are that CapGator is difficult to

use, its price may be relatively high to price conscious audiences, and that its current selling channel is

mostly online.

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Demographics

In general, CapGator aims to target parents (ages ~35-54) in the United States who have at least one

child below the age of 18, own a car, and are aware of personal hygiene. According to the following

statistics, people in this age range are most likely to have children. They also spend the most on vehicle

purchases, gas, and personal care compared to other age groups. Moreover, households with children

are more likely to spend more on transportation than households without children. Hence, the target

audience (age ~35-54) is mostly likely to purchase CapGator to protect themselves and their children

when refueling their vehicle.

Parenting Age

According to the U.S. Census Bureau, U.S. householders between the ages of

35 to 54 have the highest percentage of children under 18 years old in their

household.

Age Group Number of Households

with Children under 18

Percentage Share of All Households with

Children under 18 (%)

35-39 4,753,000 15.2 % of All Households with Children under 18

40-44 5,203,000 16.64 % of All Households with Children under 18

45-49 4,979,000 15.92 % of All Households with Children under 18

50-54 4,129,000 13.2 % of All Households with Children under 18

Parents are more likely to care about hygiene because they feel obligated to protect their children.

Since people between the ages of 35 to 54 are more likely to be parents, they are more willing to

purchase CapGator because they value keeping their children protected from germs. This is supported

by the high spending on transportation, vehicle purchases, gas, and personal care by the target age

group (ages~ 35-54).

550

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2000

3000

4000

5000

6000

20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-64

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AGE OF HOUSEHOLDER (YEARS OLD)

Number of Households with Children Under 18 by Age

Source:

U.S. Census (Family

Household by Type, Age of

Own Children, Age of Family

Members, and Age, Race

and Hispanic Origin 2014)

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17.3%17%

15.9%

15%16%16%17%17%18%

Married Couple withChildren

Single Parent withChildren

Single Person andOther Consumer Units

Shar

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nn

ual

Ex

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on

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(%

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Composition of Consumer Unit

Share of Average Annual Expenditure on Transportation By Composition of Consumer

Unit

4.50%

16%20% 23%

19% 17.50%

0.00%

10.00%

20.00%

30.00%

Under 25YO

25-34 YO 35-44 YO 45-54 YO 55-64 YO 65+ YOPer

cen

tage

of

Net

Inco

me

Spen

t (%

)

Age (Years Old)

Percentage Share of Annual Aggregate Expenditure on General Transportation in the

United States by Age

Spending on Transportation (General) According to U.S. Department of Labor, married parents with children account for 17.3% of average

annual expenditure on transportation in the United States, while single parents with children account

for 17%. Single person and other consumer units only account for 15.9% of the average annual

transportation expenditure in the U.S.

Thus, parents spend more of their income on transportation. This coincides with the information

provided by the consumer expenditure report published by the U.S. Department of Labor in 2014.

According to the report, people between ages 35-54 are more likely to spend their income on

transportation, especially on vehicle purchases and gas purchases. This is also the same age group who

are most likely to be parents. Therefore, we can conclude that parents between ages 35-54 are most

likely to own a car and refuel their cars.

This graph shows that people between ages 35-44 and between ages 45-54 account for 20% and 23% of total transportation expenditure in the U.S, respectively. Besides spending the most on transportation, this age range also makes up the largest population of parents in the U.S. Moreover, they spend more on vehicle purchases and gas purchases than any other age groups.

Source:

Bureau of Labor Statistics

U.S. Department of Labor

(Consumer Expenditures -

2014)

Source:

Bureau of Labor Statistics U.S.

Department of Labor

(Age of Reference Person:

Share of Annual Aggregate

Expenditure and Source of

Income, Consumer

Expenditure Survey, 2014)

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5.30%

17.40%20.70%

23.20%

17.50%15.90%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

Under 25YO

25-34 YO 35-44 YO 45-54 YO 55-64 YO 65+ YO

Shar

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f To

tal E

xpen

dit

ure

on

V

ehic

le P

urc

has

e (%

)

Age (Years Old)

Percentage Share of Annual Aggregate Expenditure on Vehicle Purchase in the United

States by Age

4.50%

16.10%

20.70%22.90%

19.40%16.40%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

Under 25YO

25-34 YO 35-44 YO 45-54 YO 55-64 YO 65+ YO

Per

cen

tage

of

Net

Inco

me

Spen

t (%

)

Age (Years Old)

Percentage Share of Annual Aggregate Expenditure on Gasoline and Motor Oil in the

United States by Age

Spending on Vehicle Purchases & Gas The U.S. Department of Labor’s 2014 Consumer Expenditure Survey shows that the population from

ages 35 to 54 spends the most on vehicle purchases, gasoline, and motor oil.

Since CapGator targets people who refuel their vehicles regularly and are consistently exposed to

contaminants, the population from ages 35 to 54 is our ideal target audience because they account for

43.9% of total vehicle purchase expenditure and 43.6% of total gasoline consumption in the U.S. The

fact this population (ages~ 35-54) spends the most on personal care also supports that they are our ideal

target audience.

Source:

Bureau of Labor Statistics

U.S. Department of Labor

(Age of Reference Person:

Share of Annual Aggregate

Expenditure and Source of

Income, Consumer

Expenditure Survey, 2014)

Source:

Bureau of Labor Statistics

U.S. Department of Labor

(Age of Reference Person:

Share of Annual Aggregate

Expenditure and Source of

Income, Consumer

Expenditure Survey, 2014)

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Spending on Personal Care

Source: Bureau of Labor Statistics U.S. Department of Labor (Age of Reference Person: Share of

Annual Aggregate Expenditure and Source of Income, Consumer Expenditure Survey, 2014)

Our target population (ages~ 35-54) spends the most on personal care

compared to other age groups. People from ages 35 to 44 account for

19.6% of the annual aggregate expenditure on personal care, while

people from ages 45 to 54 account for 22.9%. The amount they spend on

personal care demonstrates that our target population is aware and

cares about personal hygiene.

3.20%

13.70%

19.60%

22.90%

19.30%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

Under 25 YO 25-34 YO 35-44 YO 45-54 YO 55-64 YO

Per

cen

tage

of

Net

Inco

me

Spen

t (%

)

Age (Years Old)

Percentage Share of Annual Aggregate Expenditure on Personal Care in the United

States by Age

Personal Care

Definition

According to Personal

Care Products Council,

personal care products

are products dedicated to

health, sanitation, and

the beauty of the

consumers.

Personal Care Spending is

more relevant to

CapGator than Health

Care Spending because

according to U.S. Census

Bureau, Health Care

Spending relates to

prescribed medicine,

treatment of illness,

health insurance, and

purchases of medical

devices. In general, it is

more inclined towards

the field of medicine.

Conclusion - Demographics Our target population is parents from 35 to 54 years old, because, according to statistics, this

population is:

Most likely to be parents of children under 18 years old and parents spend more on

transportation

Spending a lot on vehicle purchases and gas compared to other age groups, which means

they are more likely to contact gas nozzles than other age groups

Spending a lot on personal care, which means they are more likely to spend income to

improve personal hygiene

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Psychographics

Personality Characteristics Our demographic of parents ages 35-54 fits specific personality characteristics due to their role as

protectors of their children:

Risk-averse

Germ-aware

Parental Instinct

Risk-Averse First, the most important characteristic of our target audience is that they are careful. Overall, they

make cautious decisions and they are risk-averse. Their mindset is to be prudent and safe from potential

harm since they have settled down and have children to be responsible for.

Germ-Aware Consequentially, our target audience is aware of or open to the idea of taking precautions to protect

themselves from germs that are present on everyday items, such as cellphones or doorknobs. They

understand the risks of touching certain items and are willing to proactively pay to guard themselves.

Parental Instinct Our target audience has a parental instinct. This aspect of the audience is important because although

some people are relatively careful, they may not be willing to pay for a product that marginally improves

protection from everyday germs. However, they wish to protect their children from germs and sickness,

which means they are more willing to spend money on bacterial protection.

Lifestyle The lifestyle of the target audience can be characterized as:

Safe & Risk-Averse

Stable & Routine

Since the target audience is careful, this means that they live a relatively safe lifestyle and are risk-

averse. As a result, since our target audience demographic has a family and is in their mid-thirties to

early fifties and, risk-aversion suggests that they want to live a comfortable middle-class life.

The target audience will have jobs they commute to five days a week and activities they share with

their children on the weekends. They also spend lots of time on the Internet and watching TV.

Activities As mentioned in the Demographic section, the target audience has a family. This means that many of

the activities of the target audience will revolve around their family and children.

This could involve driving to take their children to soccer games, driving them to school, or going on

family vacations. In all of these scenarios, they could understand the appeal of having a CapGator to

protect themselves from germs when refueling.

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Motivators

It is crucial to note what motivates our target audience to purchase CapGator. These motivators are

based on objective opinions and cases that apply to CapGator’s target demographic.

Safety and Security Parents may fear the potential dangers that germs and bacteria can inflict on themselves or their loved

ones. This is due to a deep need for safety and security for their families. Most adults are mature, and

due to life experience, they are prudent and consider their surroundings and the results of their actions

on a much deeper level than younger people.

However, this prudence and need for safety can lead to anxiety. Adults fear the potential outcomes of

their actions. This fact is undeniable, as Harvard Medical School notes that over 57 million adults have

been diagnosed with anxiety, with a large proportion of those individuals specifically having anxieties

related to germs and illness.

Once a consumer becomes aware of the high germ content found at gas stations, there is no doubt that

this developed anxiety and fear of sickness will affect their purchasing behaviors. Their motivation for

buying the product will stem from anxiety and drive them to act on feelings of fear and discomfort.

Thus, consumers will turn towards CapGator as a viable and valuable solution to their problem.

Power and Control Our audience possesses a developed sense of awareness of the dangers in their surroundings, which

creates another unique motivator for these consumers - a need to take control of the germs in their

surroundings. They also have a need to control their health and the health of others. Parents are a

significant proportion of our audience, so they will focus highly on the impact germs can have on their

children, especially infants. It is this concern that will motivate them to act in order to prevent damage

to those around them. This additional motivator will compound on fear and anxiety, thereby increasing

purchases of CapGator.

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Deterrents

Difficult to Use Our target audience of middle-aged adults may find CapGator to be difficult to use because of its unique

shape, and therefore, they may be deterred from buying it because they require efficiency in their busy

schedules. Currently, this group may need further clarification of how to use the product, specifically

where exactly fingers should be placed.

In addition to this confusion, CapGator relies on tension to stay close to the user’s hand. This is an

important factor which further requires the audience to understand how to properly use the product to

accomplish its purpose. Women or children with weaker finger and hand muscles may not be able to

effectively expand the CapGator to efficiently place it on and take it off of surfaces.

Noting these factors, CapGator has already begun taking steps to increase efficiency via improved finger

placement and increased clarity regarding product usage.

High Price Since a majority of middle-aged consumers is price-conscious, they are searching for price-efficient

hygiene solutions. CapGator is currently priced at $9.95 including shipping, a price that could be a

deterrent due to its relatively high price compared to other substitutes such as gloves, or free options

such as U-Gloves.

Additionally, CapGator’s costs are 89 cents per unit and $1.50 with packaging. This means Carl has the

opportunity to lower the price on each CapGator and still have a high profit margin. The price elasticity

of CapGators could be relatively high, meaning that a small percent decrease in price will lead to a larger

percent increase in sales growth.

Perceived Lack of Online Security Most individuals from our target audience are financially cautious and risk-averse due to their role as

parents. Thus, our target audience may be hesitant to enter credit card information into an unknown

and potentially unsecure site without further reassurances. Although PayPal, a safe payment option, is

used to purchase the product, it is not advertised anywhere on the site. Thus, it would be ideal if the

website were to include the PayPal logo on the initial “Store” section of the website in order to reassure

customers. This will make customers feel more secure and willing to purchase the product.

Conclusion

Since parents between ages 35 and 54 spend the most on vehicles, gas, and personal care, they would

be more willing to purchase CapGator. This is supported by our target audience’s tendency to be risk-

averse, germ-aware, and protective of their family. Since our audiences are family-oriented and aware

of hygiene, their anxiety towards germs and contaminants will become a key motivator.

In conclusion, CapGator’s marketing strategy needs to accommodate our target demographic: middle-

aged parents (ages~ 35-54) who spend heavily on both transportation and personal care due to their

awareness of germs, obligation to protect their families, and their frequent use of automobiles.

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Communication Strategy Summary of Communication Strategy

The objective of our communication strategy is to drive traffic to CapGator’s official site in order to

increase CapGator’s sales among our target audience - 35 to 54 year-old parents.

Current Status Currently, CapGator has a fairly solid offline communication strategy. According to Carl, CapGator will

advertise in The Great American Race - a nationwide car race series sponsored by Rolls Royce.

Moreover, CapGator will be partnering with a local children’s hospital during this race to raise

awareness of potential health issues related to the contaminants on gas handle and to promote its

product. The car in which Carl is racing will be wrapped in vinyl that will exhibit not only the CapGator

logo but also drawings by the children from the local hospital. Carl thus has strong, actionable plans with

respect to an offline communication strategy.

However, CapGator’s current online strategy is relatively less effective compared to its traditional

communication strategy. Despite the fact that CapGator is active on Facebook, Twitter, and Kickstarter,

it is not generating enough awareness online given that it only has a few hundred Facebook and few

dozen Twitter followers. In addition, it only has $1,034 out of its $22,000 goal pledged on Kickstarter.

Hence, our proposal will be focused exclusively on an online communication strategy.

Summary of Our Strategy Since our target demographic constitutes 56.1% of all social network users (Monteiro) and 36% of all online shoppers (eMarketer), the lack of powerful online communication strategy will significantly hinder CapGator from reaching its target demographic. Our communication strategy will be a three-pronged growth strategy that funnels into a single online hub.

3 Vehicles: AdWords Blog Reviews Facebook page

These three vehicles will all lead to an increase in traffic to CapGator’s official site, where all transactions are made.

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Google AdWords

Vehicle Appeal Google AdWords is a service provided by Google which allows companies to post advertisements which

are relevant to keywords and searches by the target audience such as “germ protection.” These

advertisements will direct users to CapGator’s website. AdWords also works with non-search sites such

as Gmail and Youtube. This can help CapGator open up more access to potential customers.

Our demographic is health-conscious, protective of loved ones, and risk-averse. The flexibility of

Google AdWords allow CapGator to customize specific keyword match type to fit these users. Moreover,

Google AdWords’ detailed traffic measurement report can also help CapGator determine each

keyword’s effectiveness in generating traffic.

Messaging Strategy 80% of search results now contain AdWords ad placements (Forbes) so CapGator needs to adopt this

strategy to build its presence online. Advertisements will only be displayed to online users who search

for things relevant to CapGator, so CapGator will be visible to the target audience. This will be an

effective way for CapGator to broadcast itself to relevant and potential consumers.

We have a non-exhaustive list of recommended keywords that CapGator might consider using:

Messaging Tone

Estimated Cost Average cost per click is about $1 on Search Networks and under $1 Display Network.

Measurements: Google AdWords makes growth visible. Google AdWords contains functions specifically designed to

measure traffic generated by AdWords to website:

Keyword Diagnosis - Google AdWords allows manager to see the amount of clicks (traffic) each

keyword generates. Manager can also run an AdWords keyword quality diagnosis to determine

key word quality score, which measures the effectiveness of the entire AdWords strategy.

Click-through Rate (CTR) – measures the amount of people who found your ad compelling

enough to click and visit your website.

Relevant Keywords – AdWords also provide reports that identify other relevant terms that are

driving traffic to your website

Germ Protection Child Health Gas Handles/ Nozzles Contaminants Kimberly Clark

Germophobe Cancer Chemical Sick Baby Illness Prevention

Health Conscious Authentic

Caring Family-Oriented

Friendly

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Desired Response If successfully implemented, AdWords should significantly increase traffic to CapGator’s official site. Moreover, AdWords would increase brand awareness. Since CapGator is a relatively unknown startup that sells a unique product in a relatively untapped market, customers who care about personal hygiene might not know about this product. Google AdWords can help increase brand awareness among our target population by relating CapGator to certain keywords.

Feasibility

High

Signing up for Google AdWords is free. CapGator only pays when a user clicks on an advertisement to

visit the website. Additionally, CapGator can set its own budget so the costs are controllable.

Risks/Obstacles Since Google AdWords are traditional advertisements, online users may not be receptive to visiting the

CapGator page if the advertisements do not stand out. Potential online consumers may gloss over the

advertisements if they are not eye-catching.

Visual Examples

Google AdWords

Advertisement

Google AdWords

Management Panel

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Blog Reviews

Vehicle Appeal There are many blogs online which review products that are relevant to CapGator’s target audience of

35 to 54 year-old parents who are protective of their loved ones. Some of these blogs include

Productreviewmom.com, Circleofmoms.com, and Momadvice.com.

CapGator can send their product for free to these websites and have the blog writers create reviews of

the product to share with other users on the website.

Messaging Strategy This will be an online word-of-mouth growth strategy since the marketing will not be done by CapGator,

but instead, by online reviewers and users.

According to Businessweek and Forbes, a word-of-mouth growth strategy is the most important aspect

of a company’s marketing plan. CapGator will be able to connect more genuinely with its target

audience since consumers will be more willing to buy a product from a blog reviewer they trust.

Messaging Tone Since this is a word-of-mouth strategy, we have little control over Bloggers’ messaging tone or opinion.

More will be addressed in the risk and obstacle section below.

Estimated Cost Blog review strategy typically involves no cost, except for costs of delivering the item to the reviewer.

However, some reviewers require payment for product review. The cost of blog review is highly

dependent on individual reviewers. CapGator should reach out to as many parent blog reviewers as

possible, especially those who do not require payment.

Measurements CapGator can measure the effectiveness of this communication strategy by calculating the total views of

blog reviews for the CapGator product. This will measure the exposure of the reviews to potential

customers.

Desired Response If successfully implemented, blog reviews will significantly increase CapGator’s reputation and authenticity in our target demographic – parents between 35 and 54. In general, this will increase the sales of CapGator.

Feasibility

High

This is a low-cost marketing strategy for CapGator because they will not need to pay blog reviewers. The

only costs will be from the free distribution of inventory.

All of the product reviews’ websites have a contact page, and since CapGator is a product which is

relevant to the audience of these blogs, it is highly likely that the CapGator will be accepted for a review.

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Risks/Obstacles There is a chance that certain product review blogs may not create content which CapGator agrees with

since the advertisements will be written by a third-party. Additionally, there is a risk that blog reviewers

will not want to create content for CapGator even though CapGator is relevant to their readers.

Visual Examples

Sample Blog Post From Satisfied Parents

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Facebook

Vehicle Appeal Facebook is our focus because our target audience currently constitutes the largest population of Facebook users - 31.1% (Neal). Since Facebook is designed primarily to connect with friends by sharing personal information and life events, family-oriented middle-aged parents use Facebook to update photos of their family and connect with other parents of similar demographics. On the other hand, they constitute the third lowest user demographic on Twitter (16.4%) (eMarketer). So revamping CapGator’s Facebook strategy is more critical to driving our target audience, parents from 35 to 54, to CapGator’s official site. Facebook is convenient in that it provides a detailed report on clicks, shares, and likes of a Facebook page and its posts. It allows Carl to keep track of the effectiveness of his posts, and adjust the content of his future posts accordingly.

Messaging Strategy In order to keep our audience engaged and develop a personal connection, we have a non-exhaustive list of posts that CapGator should consider to update per week:

Post Type Post Ideas Reasons

Increase Traffic To CapGator’s Official Page

Link to CapGator Official Page

CapGator can post direct links to the official page if there is: Product Update – new colors or new designs Sales and Promotions

Customer Retaining

Weekly Health News

Reposting weekly health news from authentic sources demonstrates CapGator as a caring and hygiene-aware figure. It shows our audiences that CapGator truly cares about their well-being and helps develop a trusting relationship between CapGator and customers. Moreover, since these posts are relevant to our target populations’ interests in personal hygiene and family, it may also facilitate health-related conversation between CapGator and the audiences via the comment section. As customers comment, like, and share the posts, CapGator will appear on their friends’ walls, which will help CapGator generate more awareness and attention.

Seasonal Holiday Posts

To build and retain personal connections with our customers, CapGator should publish seasonal posts that are relevant to popular holidays, especially holidays that emphasize family gathering, such as Christmas. This makes CapGator appear to be a friend instead of a business.

Success Story One of the advantages of Facebook is that customers can submit their customer experiences and stories to CapGator’s Facebook Page. Similar to the blog review strategy, word-of-mouth strategy gives a more objective view of CapGator. This builds authenticity and increases brand loyalty.

Moreover, research shows that the most efficient way to update Facebook is to post 5 to 10 times per week from 10:08am to 3:04pm (Lee).

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Messaging Tone

Estimated Cost Minimum $1 per day for Facebook Ads – CapGator can adjust daily budget flexibly based on their needs. However, if CapGator chooses not to use Facebook Ads, simply running a Facebook page would be costless.

Measurement Facebook allows page managers to track information such as:

Report of Overall Page Performance o Users reached per week o Net like increase per week o Trend line of net like increase per week

Statistics per Post – Likes, Shares, and Reaches per Post Inter-Post Comparison - Compares the statistics of each post to other posts Visitor Analysis - It also allows the page manager to access the detailed demographics of

frequent visitors, such as gender, age, and occupation. Organic & Non-Organic Reaches - Distinguishes organic reaches and advertisement reaches.

Therefore it is easy to evaluate the effectiveness of advertisements.

Desired Response If successfully implemented, Facebook should become an online community where customers can develop a more personal relationship with CapGator, which establishes their brand loyalty. Customers can interact with CapGator directly by commenting and asking questions. CapGator can also tag customers in posts to encourage sharing.

Feasibility

High

Low Cost – Facebook is a low-cost strategy because it costs nothing to create a Facebook Page. Facebook advertisement is also very cost-effective, starting from $1 per day for advertisement.

Relatively Low Commitment - Facebook only requires 5 to 10 posts per week, whereas CapGator’s other vehicle Twitter requires up to 30 Tweets per day (Lee) in order to be effective.

Good Way to Generate Traffic – Since our target audience makes up the largest Facebook-using population, CapGator’s presence on Facebook can potentially reach our target audience and lead them to the official site.

Caring Down-To-Earth

Personal Family-Oriented

Friendly Approachable

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Risk/Obstacles Keeping the momentum of social media is a crucial task to make social media strategy efficient. A lack of sufficient momentum may lead to declined visibility and awareness gained. 5 to 10 posts per week is needed in order to keep CapGator’s Facebook page active. Although 5 to 10 posts per week is already relatively achievable compared to other forms of social media, this is still not an easy amount of posts to achieve since Carl is the only person running CapGator. CapGator might need to hire someone else to maintain the Facebook page. To reduce labor costs, Carl can also assign this task to his wife or other family members.

Examples/Visuals

Sample Facebook

Weekly Health

News Updates

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Sample Facebook

Comment Section

Customer

Interaction

Sample

Promotions

Link to CapGator

Website

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Sample Facebook

Seasonal Posts

Customer

Interaction

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Conclusion

If CapGator is able to use the three communication vehicles described above in an effective and efficient

manner, we believe it will result in increases in both sales and overall customer base within the target

demographic. While the above strategies are effective in their own unique ways, we believe by

combining them into one cohesive unit as discussed above will yield CapGator the results and growth it

is looking for while simultaneously allowing for a dedicated client base for years to come.

Summary

This is a brief summary of our communication strategy:

Vehicle Feasibility Cost Time of

Upkeep Expected Results

AdWords High Flexible Low Significant Increase in Traffic to

CapGator’s Official Site

Blog Reviews High Minimal N/A

Word-of-Mouth Strategy

Increases Brand Awareness

Among Target Population

Facebook High

None

($1 per Ad if

you choose

to implement

Facebook Ad)

Medium

Establish Brand Loyalty by

Developing Personal

Connection

Build a Community for the

Target Audiences – Parents

between 35 and 54

Page 29: NaviGator Communication Strategy

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