Marketing Department

Communications Audit

By: Team A.D.D.
Percy Appiah
Christopher Even
Jennifer Hollister
Arun Kaduvinal
Tim Upshur
Teri Wheaton

Georgia State University
J. Mack Robinson College of Business
PMBA Program
Cohort BH 2014 THSAT



2
External Communications
Catalogs and Point-of-Purchase/Store Signage

Companies are more and more recognizing that relationship-building has to precede or even replace the sales
pitch. They are focusing on building cadres of brand advocates, approaching them on the basis of shared values
and common causes, and winning them over versus pitching to them. The premise is: if you build it (the
relationship), they will come. Ward, Elizabeth L. (2012). 20/20: Toward a New Vision in Marketing. American
Marketing Association White Paper, Atlanta, GA.

External communications is the method in which an organization communicates with its
targeted audiences. It is also a way to determine if the organization presents a favorable image
to the public. Communication strategies must be evaluated to determine their effectiveness
and whether they should be maintained or adjusted to achieve the most beneficial results.

In the case of the Marketing Department of Plaid Enterprises, Inc., its targeted audiences are
their customers (stores) and consumers or end-users. In an effort to assess Plaids external
communications, the team chose to evaluate the catalogs and brochures of Plaids four main
craft paint lines. The team also evaluated Plaids point-of-purchase (POP)/store signage at
Michaels to explore its effectiveness.


Strategy

Catalogs and Brochures

The team learned through research that Plaid creates a catalog and/or brochure for each of its
craft paint brands (Appendix C). These catalogs give a basic overview of the paint colors
available in each brand and in some cases, craft accessories and tools. Each catalog also shows
samples of craft projects that can be made with the various Plaid products. The catalogs are
made accessible to the public by download from the Plaid website but they do directly address
the retailer rather than the consumer. If downloaded by a consumer, they can serve as a way
to spark interest in various craft projects. While there is contact information in each brochure,
Plaids strategy is to lead consumers to the retailers to purchase their products.

The targeted marketing demographic for each brand is as follows:

Apple Barrel casual crafter who completes basic crafts, crafts with children at home or
in the classroom

Folk Art high quality craft paint great for quick and easy projects, home dcor
painting, stenciling, and general crafting. It offers a wide variety of colors and specialty
formulas used for specific surfaces


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Delta Creative (Ceramcoat) high quality paint primarily for toile and decorative
painters

Martha Stewart premium quality paint made with a patented polymer resin system
formulated for use on all surfaces: One Paint for All Surfaces. It is suitable for all types
of crafting

POP/Store Signage

Plaids strategy is to create inspirational signage within the retailers guidelines and
specifications; however, the retailer has final approval of content and design. Plaids message
may not be exactly as they submit it to the retailer. This illustrates that Plaid does not have
complete control over its brand message dissemination.

Plaid endeavors to increase its consumer base by offering craft project ideas through store
signage to crafters of all different experience levels. It is their hope that by suggesting the ideas
and making the products and tools readily accessible, consumers will be inspired to recreate
the projects using Plaid products.

In 2011, Michaels craft paint department undertook a major redesign project. Plaids goal was
to increase sales, visibility, and brand clarity. The once floor-to-ceiling paint display was
reorganized into a display featuring both paint and companion products such as brushes and
stencils. New signs were added large images of craft ideas to motivate the browsing consumer
(Appendix D).

Assessment

Catalogs and Brochures

In the interview with the marketing department staff, the team was able to learn Plaids target
demographics for each brand. Plaid has not yet created a Ceramcoat catalog.

To assess whether the target demographics were accurate in the eyes of the consumer for the
other brands, we held a focus group consisting of crafters of different ages and various
experience levels to assess the effectiveness of each brands catalog/brochure. Upon
examination of each, the group determined that each markets to a particular demographic.
Below are the findings:


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Plaids Target Market: casual crafter who completes basic
crafts, crafts with children at home or in the classroom

Group Target Market Observation: The catalog targets
mothers with younger children, teachers and those new to
crafting. This paint brand has child-like and fun paint names. This
is the brand to use when crafting with or for children for home and
school projects.

Overall Opinion: The group likes the organization and layout of
the catalog. The division of the colors makes the browsing for a
shade easier. The group also liked that different paint packaging
options offered by Apple Barrel were shown.

Plaids Target Market: high quality paint primarily for toile
and decorative painters

Group Target Market Observation: The group was unsure
of the target market, but believed it could be more experienced
crafters because of its lack of style and its failure to relate to any
other group.

Overall Opinion: The consensus was that this catalog did not
include information on the benefits of using the products. There
was also jargon terminology that was unfamiliar to the group.
There was a question as to whether the catalog information was
reviewed by consumers before it went into print. Mention was
also made about a natural products catalog being printed on
glossy paper instead of a matte or recycled paper.

Plaids Target Market: high quality craft paint great for quick and
easy projects, home dcor painting, stenciling, and general crafting. It
offers a wide variety of colors and specialty formulas used for specific
surfaces

Group Target Market Observation: Mothers, Mid-level to
experienced crafters

Overall Opinion: The group thought that this catalog was classy.
The colors were more subtle and the names old school, reminiscent of
the traditional Crayola crayon colors. The projects shown were higher in
skill level and various tools were offered to create those projects. They
thought this catalog was more of a one-stop shop.


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To further assess the consumers opinion on Plaid brands targeted demographics, we
conducted a survey among over 60,000 crafters (Appendix E). Below are our findings:






Whichofthefollowingbrandsisbestforkids?
Americana
AppleBarrel
Ceramcoat
FolkArt
MarthaStewart
Whichofthefollowingbrandsisbestfor
beginners?
Americana
AppleBarrel
Ceramcoat
FolkArt
Martha
Stewart
Apple Barrel rated the top
brand for crafting with
children by the survey and
the focus group.

Plaids target market
FolkArt rated the top brand
for beginners by the survey.

Apple Barrel rated the best
for beginners by the focus
group.

Plaids best brand for
beginners unclear but Apple
Barrel does target children.
Plaids Target Market: premium quality paint made with a
patented polymer resin system formulated for use on all surfaces: One
Paint for All Surfaces. It is suitable for all types of crafting

Group Target Market Observation: Serious and experienced
artists and crafters.

Overall Opinion: This brochure was thought to be elegant, cleaner,
and for higher-end and experienced users. There were no craft ideas
so the group thought that this brand was for people who already had
their own ideas in mind. It was said to be more about crafting
techniques.


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Plaids main goal is to drive consumers to retailers to purchase their products, not much
emphasis is placed on selling directly to consumers. However, the materials that they do make
available to the public generally align with their target marketing strategies.

While customer feedback plays a role in the design of store displays, it is not used in the design
of the catalogs. In an interview, the Director of Customer and Consumer Outreach stated that
there is no method in place to test the effectiveness of the catalogs.

The team recommends the following:

Plaid should publicize that it manufactures Ceramcoat.
Plaid should provide a method to track sales that come from their catalogs to determine
how useful they are.

Plaid should conduct copy testing to make catalogs are geared towards their intended
demographic.
Whichofthefollowingbrandsisbestfor
experiencedorintermediatecraftpainters?
Americana
AppleBarrel
Ceramcoat
FolkArt
MarthaStewart
Whichofthefollowingbrandsisbestfor
advancedpaintersorprofessionalcrafters?
Americana
AppleBarrel
Ceramcoat
FolkArt
MarthaStewart
FolkArt rated the top brand
for experienced or
intermediate craft painters by
the survey and focus group.

Plaids target market
FolkArt rated the top brand
for professional crafters by
the survey.

Martha Stewart rated the top
brand for professional
crafters by the focus group.

Plaids best brand for
professional crafters unclear.


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POP/Store Signage

The team had a qualitative research expert with market research experience and who was once
an avid crafter visit a Michaels store to assess the redesigning of the craft paint department.
She observed that while the new layout was optimal for those in wheel chairs or motorized
devices, it was not practical for others. The major complaint was that consumers would have to
continuously bend down to make their paint selections. She mentioned that she did most of
her crafting when her children were smaller so she questioned how the redesign would be
beneficial to a pregnant woman. The original floor-to-ceiling paint display with paints at eye
level was favored more than the new layout.

Suggestions made were to use the aisle end-caps for photos of craft ideas and tear off sheets.
She also suggested putting idea tear off sheets on the new shelf area that was created. She
offered that consumers like to feel as though they are getting something and offering these
take home sheets may increase sales.

The team also had a human factors and ergonomics expert examine the new Michaels display.
On a personal level, she had the same opinion of the previous expert. She is a taller person and
did not like the fact that she would have to bend or squat not only to retrieve paint but also to
just find the colors she wants. She appreciated the sentiment of the store putting together
everything you need to make a craft project however; the constant bending down was an issue
for her.

On a professional level, she had concerns about the display being frustrating to those
consumers who have musculoskeletal impairments and issues such as arthritis. The display
would make shopping for them difficult. She too preferred the full height display because a
consumer would possibly be able to browse and choose paints without bending.

After the new displays were put in place, 70,000 consumers were surveyed about the changes.
Results showed that the new display was more inspirational and educational. However, this
survey was based on photographs and not the consumers actual store experience. Plaid should
consult with consumers before installing new displays and consider

We recommend the following:

Plaid should test new display designs on consumers before widespread store redesigns
projects are undertaken.

Plaid should survey consumers before creating planograms to find out what is most important
to them in a store display.