Ultimate Glue

July 31, 2008

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Presentation Team
• Dan Buoniconti- Account Service
• Rob DeVaun- Account Service
• Noah Besheer- Creative
• Stacia Blasé- Creative
• Kelly McKee- Media
• Layna Dugan- Public Relations
• Yelena Pavlik- Public Relations

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Agenda
• Objective
• Research
• Strategies
• Q&A

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4
Objective

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Objective

Grow revenue by 15% in the

home repair industry by 2010
within the test markets.

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Issues

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Issues:

• Perceived as inferior to Gorilla

Glue
– Elmer’s names associated with elementary
strength glue
– Low awareness of Ultimate Glue
– 24 hour dry time

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Solutions:
• 40% stronger than Gorilla Glue
• Less expensive than competition
• “Elmer’s” name is widely recognized
• Sharp packaging and bottle design

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Solutions:

• Room for brand growth

– Growing Do-It-Yourself community
– Non-traditional means of advertising are now
widely accepted
– Leverage Elmer’s brand identity for this
product
– Avoid confusing the Elmer’s Ultimate image
with the elementary strength glue

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Competitive
Analysis

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Competition

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Competitive Analysis

• Elmer’s Ultimate is among the top rated

multipurpose glues according to Consumer
Reports 13
Opportunity Matrix

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Situational
Analysis

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Market Trends
• The adhesive industry brings in $2.2 billion
• The United States produces approximately
2.6 metric tons annually
• Demand is forecast to surpass $5 billion by
2012
• Growth of the world market averages about
2-3% per year

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Market Trends: When to Strike

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Target Audience

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Target Audience
• Males and females ages 35-54
• Married without or with one or two children
• Employed full time
• Median household annual income of $50,000-
$100,000

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Main Cohorts

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Key Audience Insights
Brett & Tracey - Hyperactive Newlyweds
Young, dual-income, educated couples whose energies
are channeled into:

• Active sports
• Outdoor activities
• Careers
• Their home lives
• 58% more likely
than the average to
do own home repair

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Key Audience Insights
Stan & Carole - Upscale Middle-Aged Couples

• Unburdened by children,
these credit-worthy, dual-
income couples divide their
time between the great
outdoors and domestic
hobbies

•34% more likely to do own

home repair than average

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Key Audience Insights
Chad & Tammie - Young Families
•Up-and-coming young
families who curtail their
lifestyle expenses through
less-costly outdoors
activities and working
around the house
•37% more likely than
average to do own home
repair

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Test Markets

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Test Markets
Raleigh/Durham, North Carolina
•Population is above the
national average in all our
target audience demographics
•Owning vs. renting property,
65% to 35%
•There are 13 Home Depots,
20 Lowes and 20 Wal-Marts

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Test Markets
Denver, Colorado
• High percentage of our
target demographic
• Increasing real estate
market
• There are 20 Home
Depots, 15 Lowes, and 20
Wal-Marts

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Test Markets
Minneapolis- St Paul, Minnesota

• High percentage of our

target demographic
• Over 75% of the
population owns instead
of rents
• There are 20 Home
Depots, 8 Lowes, and 20
Wal-Marts

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Primary Research

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Primary Research: Online Survey
Results
Do you do your own home repair work, or hire a
contractor?
Always hire a
contractor 6%

Do a little bit of my own

home repair 41%

Do most of my own
home repair 43%

Do all of my own home

repair 10%

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Primary Research: Online Survey Results
When making a hardware/woodworking adhesive purchase decision,
which of the following describes your process?

I choose from the adhesives

available at the store 72%
I ask a professional or expert
which adhesives they recommend 22%
I use the Internet to research
adhesive products before I go to
the store 12%
I pick the adhesive based on
information I read in magazines 4%
Other, please specify 8%

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Primary Research: Online Survey Results
What characteristics influenced you into purchasing
the most recent brand that you did?
Quality/strength of product 45%
Recommendation by
friend/family 25%
Recommendation by sales
person 22%
Just chose one because it was
presented well 8%
Previous satisfaction with the
product 34%
The brand name 21%
No reason, just chose one 12%
Other, please specify 4%

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Survey Conclusions
• Buyers come to the store blindly
• Looking for past satisfaction or best
perceived quality
• Elmer’s Ultimate is high quality according
to the research

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Primary Research: In Store
• Lack of attention brought to Elmer’s
products
• Lack of employee knowledge about
Elmer’s products

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Primary Research: In Store
• Elmer’s products confusion
• Old packaging

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Strategic Planning

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 Rank Performance Investment Model (PIM) Resource Allocation

Senior Management

Sales/Marketing Team

Field Sales Representatives

Distributors

3 Trade Media Editors (30) 10%

Consumer Editors (135)

Distributor Sales Force

All Elmer’s Employees (740)

4 Specialty Retailers 5%
Menards (240)

2 Lowe’s (1,555) 15%

Home Depot (2,141)

Wal-Mart (3,800)

Remodelers (80,500)

1 Renters 70%
All Home Owners (137,269,000)
 Strategies
1. Reposition Elmer’s
2. Increase Awareness
A. Generate consumer awareness via aggressive
national PR campaign
B. Create a presence at trade shows
C. Arm distributor partners with in store tactics to
increase preference of brand
D. Increase awareness as a community partner
E. Leverage trustworthy image with a family
centered campaign
F. Measure results to ensure efficiencies

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 Strategy #1
Reposition Elmer's

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 Brand Personality Portrait
What we are: Reposition as: What we are: Reposition as:

Unreliable Reliable
Trustworthy

Under Valued Superior Afterthought Best Option

Childhood Mature Specialized Universal

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Strategy 1
• Reposition Elmer’s Ultimate Glue
as the stronger multipurpose
adhesive:

Elmer’s Ultimate Glue is forty percent

stronger than the competition; making it
the premium multipurpose adhesive

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Media

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Tactics: Digital Signage

•42 networks
•36,000 venues
•47,000,000
gross weekly impressions

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Tactics: Digital Signage
•Digital signage reaches people every day

MORNING NOON EVENING

Home Office Office Home

Gas Elevator Elevator Elevator Vet Clinic

Station
ATM Lobby Video Store Restaurant Sports Bar

Health Club Cafeteria Office Lobby

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Tactics: Digital Signage

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Tactics: Digital Signage

•Reach target audience cost

effectively
•Average $8.98 for every 1,000
impressions in our 3 test markets
• Television vs. digital out-of-home

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Tactics: Print
Raleigh Durham, NC; Denver, CO; Minneapolis-St Paul,
MN

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Tactics: Billboard

• Place 3 billboards
• High traffic areas
• Four months of the DIY season

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Creative

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Tactics: Street Team
• Street Team
– Have a street team for 3 days, once each
month, April through September.
– Bull vs. Gorilla Ring-A-Bell

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Tactics: Street Team

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Tactics: Digital Signage

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Tactics: Digital Signage

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Tactics: Digital Signage

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 Strategy #2
Generate consumer
awareness

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 Tactic A:
Generate consumer
awareness via aggressive
national PR campaign

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Tactics: Public Relations

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Tactics: Microsite
• Hold workshops/ educational seminars
online
– Comments
– Questions
– Community

• DIY 30 days of projects

• Produce monthly DIY E-Newsletter

– Sign up online
– Viral

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Tactics: Media Kit
• DIY Month
• Media Kit
– Full bottle of Elmer’s Ultimate
– Folder glued shut
– News release fact sheet
– 30 days of DIY
– Flash drive
– Copy of E-Newsletter

• Social Media Savvy

– Search engine optimized
– Social news release blueprint

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Tactics: Media Kit
• Headlines We Would Like to See
– Elmer’s: Helping DIY-ers Do it Better
– Elmer’s Ultimate Glue Creates the Ultimate
Holiday
– A Little Dab Will Do Ya!
• Elmer’s Ultimate Helps Homeowners
Increase Value of Homes with DIY Month.

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Tactics: Media List
•Fairway Living •DIY Life
Magazine •Bedroom Magazine
•Triangle Home •Casual Living
Improvement •Daily Courier
•Ideal Living Magazine •For Your Home
•Winterthur Magazine •Furniture Today
•Home Improvement •New Homes & Ideas
•Home Fashion Report •Side Dish
•Home Accents Today •Triad New Home Guide
•Toolbelt Tips •Wilson Daily Times

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Tactics: Media List

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Creative

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Tactics: Direct Mail

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Tactics: Interactive

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Tactics: Interactive

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Tactics: Interactive

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Tactic B: Create a
presence at trade
shows

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Test Markets
• Before going national
– Raleigh/Durham, NC
– Denver, CO
– Minneapolis/St. Paul, MN
• Fit target audience and cohorts

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Tactics: Trade Shows
• Trade Show Savvy
• Preparation
– Pre-show post cards
– Creative theme
• Design of booths
• Networking advice
• Attendance at shows
• Research target audience
• Measurements

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Tactics: Trade Shows

•Consumer Shows
• Have livingroom
• Give samples
• Kids corner
• DIY on TV

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Tactics: Trade Shows
• Test Market Trade Shows
-Raleigh/Durham
• Southern Ideal Home Show - Raleigh Edition
• Raleigh Spring Home Show
• Southern Women's Show – Raleigh

-Denver
• Home Decorating & Remodeling Show Denver
• Colorado Garden & Home Show

-Minneapolis
• Mid-America Remodeling & Design Expo
• Home & Landscape Expo
• Home Building & Remodeling Expo

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 Tactic C:
Arm distributor
partners with in store
tools to influence
preference of brand

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Tactics: Shelf Placement

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Tactics: Shelf Placement

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Tactics: Glue Guide

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Tactics: Point-of-Purchase

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 Tactic D:
Increase
awareness as a
community partner

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Tactics: Cause Marketing
• “Helping the Heartland”
• Cause related marketing
– Communities affected submit a video
• $50,000 and Elmer’s Home Repair
products
• Media kit
• Possible co-sponsorship

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Tactics: Media Kit
Headlines we’d like to see:
• Smith Family Home Rebuilt Thanks to
Elmer’s Ultimate Glue
• Elmer’s Ultimate Glue On a Mission;
Helping the Heartland
• Community Bonding with Elmer’s Ultimate

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 Tactic E:
Leverage
trustworthy
perception with a
family centered
campaign

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Tactics: Contest
• Hold a “Family Bonding Contest”
– Show us how Elmer’s Ultimate Glue helps
you bond
• Video upload
• Most votes wins trip
– Media kit introducing contest
– Follow up news release on winner

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Tactics: Contest
Headlines We Would Like to See
• Elmer’s Family Bonding Contest Awards
Vacation to Deserving Family
• Jones Family: Closer Than Ever Thanks to
Elmer’s Ultimate Glue
• I’m Goin’ to Disneyland!
• Johnson family bonding thanks to Elmer’s Ultimate
Glue

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Media

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Tactics: Print
Raleigh Durham, NC; Denver, CO; Minneapolis-St Paul,
MN

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Tactics: Radio
Raleigh Durham, NC; Denver, CO; Minneapolis-St Paul, MN

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Creative

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Tactics: Radio

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 Tactic F:
Measure results to
ensure efficiencies

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Measurement
• Move toward objective: “Grow revenue
by 15% in the home repair industry by
2010 within the test markets”
• Progress against awareness benchmark
• Monthly clip reports
• Quarterly ROI reports & analysis
• Online measurement/monitoring

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Tactics: Return On Investment

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Tactics: Measurement Charts
ROI Monthly 2008

80 77
70
60
49
50
Total Clips 40 39
35
30 22
21
20
10
0
Jan Feb Mar Apr May June
Months

FMC ROI: 2008

Aim
Authority Assist
Authority MTZ
25
Authority Frist
Be a Hero
2222 22
21 21 Capture
20 Cadet
18 18
Beleaf
15
15
14
Brigade
12
13 FMC Gen
Clips
10
Command
10 9 Furadan
7
6
Carbine
5 4
Hero
3 3 3 Mustang
Rage
0 Ranman
Shark
Spartan

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Tactics: Web Measurement
• Number of hits on site
• Number of sign ups
• Number of comments/questions

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Media

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 Media Spend Flowchart
Client: Elmer's
Campaign: Ulitimate Glue
2009 MEDIA FLOWCHART
Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec Total
31 7 14 21 28 4 11 18 25 3 10 17 24 31 7 14 21 28 5 12 19 26 2 9 16 23 30 7 14 21 28 4 11 18 25 1 8 15 22 29 6 13 20 27 3 10 17 1 22 Weeks (Avg. spend)
Media Vehicle

Magazine 36 $200,450
Radio 24 $15,600
Street Teams 24 $72,000
Digital Signage 24 $123,040
Billboards 16 $100,000
$40,910
In store 28
Online ads 48 $48,000
TOTAL SPENDING $600,000

•No Hidden Costs

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Why NK

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Thank You!

Q&A

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Appendix

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Tactics: Radio

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