ATMOSFERE

June 2011 to May 2012

MONOCLE
is
Joseph Mischo & Gavin Brandt

Monocle 2011

TABLE OF CONTENTS
PHILOSOPHY EXECUTIVE SUMMARY HISTORY MISSION STATEMENT STAFF COMPETITIVE ANALYSIS PRIMARY RESEARCH SECONDARY RESEARCH OBJECTIVES & STRATEGIES TACTICS SCHEDULE EVALUATION BUDGET APPENDICES 1 2 3 4 5 6 9 15 16 17 18 19 20 22

PHILOSOPHY

Philosophy
At Monocle Agency, we have the irm belief that success lies in three factors: talent, research, and insight. Our team does this effectively and eficiently with tremendous effort. Like the eponymous object for which we are named, we see a uniied, clearer vision. By changing our scope, we can see our whole world in such a manner.

If our agency were a dish, our talent would be the secret ingredient - our competitive advantage. This is because we utilize all our resources, from the classroom to our professional experiences. We are out-of-the-box thinkers that achieve success through our unique fortes. Monocle Agency believes that research is the cornerstone of a campaign. Finding that piece of data or information can change everything. What some may deem as a worthless inquiry can lead to a insightful solution. However, our research efforts remain lean and eficient. Proper investigation bears the sweet fruits of empirically driven answers. Once completed, we infuse our research with talent to derive the insight. We have spent our lifetimes observing peoples behaviors and their isms. We know how they work. These discoveries have trained us to potently communicate to and with them; additionally, we go further by striving for reaction.

Every client and every campaign requires different research, insight, and strata of talent. Monocle Agency embraces this and does not rely on past work to drive future campaigns. Society evolves. Technology blooms. Products are altered. Communication advances. To this end, we remain as dynamic and effervescent as the world and people around us. And we see all of it clearer than the competition.

EXECUTIVE SUMMARY

We aim to please the uptown crowd.

crowd and speak to the young

professionals and post-college To most effectively communicate with and reach the target, we will maximize Facebook. and restaurants. Alternative/guerrilla media will also be made for uptown bars

Executive Summary
We have the pleasure of working with Atmosfere, a clothing boutique in the epicenter of Uptown, Minneapolis. This relatively young business has already established a dedicated customer base. This could be greatly expanded, however, due to their present lack of advertising efforts. We dont want to just give them a campaign; we offer them something holistic with speciic strategies and tactics. With the campaign spanning twelve months, our objectives are as follows:
o To increase annual sales by 20% in 2011 compared to 2010. o To increase sales between March and July by 25%

o To communicate with the target audience through the channels they use most o To position Atmosfere as a unique and trendy fashion boutique o To increase awareness of Atmosferes validated parking

o To increase awareness and positive perceptions of Atmosfere by 25% in 2011 compared to 2010

Whereas this is the companys irst real effort at an advertising campaign, we will give them something of a more extended nature. It will begin in June 2011, when the uptown scene is vibrant with may people out shopping. It will run through May of 2012, so that we may offer solutions for a full calendar year and all seasons.

S I T U A T I O N A L A N A LY S I S

In 2007, the boutique shifted its casual/classic when Dans son Damon began working as the and has been in its current location since 2008. mens line buyer. Atmosfere has

focus from club/scene fashion to been in four locations since 2005

History
Atmosfere was founded in 2005 by Dan Capetz. It was originally just a mens fashion boutique, selling only clothing in black, blue and white in the skyway downtown. In 2009, Terry Terwedo joined the management team, becoming a minority owner. He brought extensive experience in womens fashion and soon after his arrival Atmosfere became a mens and womens fashion boutique. The womens line has grown and today, it accounts for about 40% of Atmosferes sales. Despite its recent success, Atmosfere is approaching a crossroads. Will Atmosfere transform into an equal-opportunity fashion boutique (50% mens/50% womens)? Will Terry eventually leave to start an independent womens fashion boutique? Or will the business continue to grow as a mens fashion-focused boutique and expand to another location? One thing is certain: Damon and Terry are focused on increasing sales, growing a customer base and increasing awareness.

S I T U A T I O N A L A N A LY S I S

Additional tag line ideas: Out of this world style. Stratospheric style. Seasoned in style. Extra-terrestrially dressed. Its the air you breathe.

Mission Statement
Atmosfere does not have a formal mission statement. Some brand tag lines have existed in Atmosferes past, most recently, Live in Yours. Shop in Ours. Atmosferes website and Facebook page also include the positioning statement, Fashion forward denim couture for men and women. Whether for work or play, we have what you need for the look you want. Damon and Terry are both open to the idea of developing a formal mission statement and see what value one could add to their organization. Atmosfere does not have a strong brand message.

Damon and Terry have positioned Atmosfere as many different things over the years and they could beneit from a unifying mission statement that focuses all their brand messaging. They also recognize that their current tag line and positioning statement are not as on-target as they could be.

New Mission Statement:

Atmosfere is a mens and womens fashion boutique that offers exclusive brands to young professionals (and those young at heart), helping them create their own personal style - their Atmosfere.

S I T U A T I O N A L A N A LY S I S

Dan Capetz - Majority Owner Dan is the majority owner of Damon run the most of the Atmosfere and Damons father. Atmosfere but lets Terry and

Staff
Damon Capetz - Manager; Mens Buyer
Damon has been with Atmosfere since its early days in downtown Minneapolis. When the store moved from the skyway to Uptown in 2007, Damon began working as the mens line buyer and strived to re-deine the mens look in uptown.

Dan makes the big decisions for business for him. Dan worked as an architect and designed the the near future yet remains active in the direction of the has been hesitant to change of respect for Dan but dont the companys moving in. 2 part-time college girls Additional Staff interior of the store he has an artistic eye. He plans to retire in business. Dan is old school and Atmosferes website. Damon and Terry have a tremendous amount always agree about the direction

Damon is responsible for purchasing new mens lines and accessories each season. He attended UMDs business school for two years before becoming the mens buyer at Atmosfere. Damon is a bit uncomfortable with social media and new technology and is less social than Terry. He has a passion for mens fashion and enjoys writing. He says he is best at writing Atmosferes e-mail blasts and press releases but hasnt become comfortable with social media messaging.

Terr y Terwedo - Minority Owner; Womens Buyer

Terry came to Atmosfere in 2009 when the boutique added a womens line. He is responsible for purchasing new womens lines and accessories each season. Terry was brought to Atmosfere by Dan because they had worked together when Terry was a successful womens buyer for Neiman Marcus. Terry is a partial owner of Atmosfere. Terry is a self-described people person and enjoys socializing at local clubs and bars. His experience as a club promoter has helped him endorse the womens line at Atmosfere in Uptown and in the greater Minneapolis St. Paul area. Terry strives to be the best at everything he does, especially sales, and will socialize at different bars ive to six times a week, promoting Atmosfere and converting new brand enthusiasts.

Terry still promotes parties in Minneapolis and is friends with a number of popular DJs and club owners.

C O M P E T I T I V E A N A LY S I S

SWOT
Internal Strengths
o o o o o o o o o o o o o o o o o o o o o o High level of transparency Great relationships with customers Exceptional laid back vibe Unique personal selling Exclusive retail of some brands Terry has fantastic experience Dan has great leadership and creative eye Everyone buys in to the family at atmosfere Only buy 5 of anything (S, 3-M, L) Plays off Uptown culture More mature than competition High-trafic location Attractive interior design Near afluent neighborhoods Target demographic lives close Lack mission statement No clearly deined chain of command Disconnect between levels of management Limited number of products No formal communication strategy Poor website No formal branding

Exter nal Strengths

Internal Weaknesses

Exter nal Weaknesses

o Parking in Uptown o Most people visit Calhoun Square to eat or drink

C O M P E T I T I V E A N A LY S I S

SWOT
Internal Opportunities
o o o o o o o o o o o o o o o o Flexible schedules Terrys experience as a womens buyer Terrys passion for self-promoting Damons writing skills Increase market share Increase awareness Collaborate with local businesses and taste makers Incorporate location-based social media Collaborate with local designers Re-modeling of Calhoun Square Online selling Dans future as owner Website contract preventing changes Dans lack of presence at the store Internal power allocation Store gets hot during summer months

Exter nal Opportunities

Internal Threats

Exter nal Threats

o Poor economy o Local competition - V-State - Blue Peg - Heartbreaker o Chain competition o Online shopping o Winter weather o Uptown is known for bars and restaurants

C O M P E T I T I V E A N A LY S I S

Damon and Terry represent the respective ends of Atmosferes 35.

target markets age range: 25 to The store was originally a mens brought on. Atmosfere is now 60/40, mens/womens. store until 2009 when Terry was

Additional Perspective
Both Damon and Terry describe the environment of Atmosfere as a comfortable, relaxed place to hang out. They drink at the store with friends on the weekends before going out to the bars and offer customers complimentary beer and wine while playing Sports Center, G4 and alternative music in the store (Atmosphere, Cartel, Jimmy Eat World, Mars Volta, etc.). Both Damon and Terry know everything that is in stock at the store at any given time. They have fantastic relationships with their clientele and know most of their shoppers by name. They believe that because of their expert knowledge and personal relationships with shoppers they can save their clientele time and money while shopping for quality fashion products.

Damon and Terry would both like to see Atmosfere expand and grow into more than one store. When Dan retires in the near future, neither are sure which direction the business will take. Atmosfere could end up opening new stores or Damon may keep the mens line and Terry may take the womens line elsewhere, opening a new store of his own. Both agree that Atmosferes expansion or possible separation depend on the businesss short-term inancial success and Dans decisions. Damon and Terry are never pushy and dont want to scare customers away. They are laid-back and take a unique, personal approach to customer service. Wed rather meet you irst, as a person, get to know you and then help you look your best. But irst, we need to know you.

PRIMARY RESEARCH

Insights:
Atmosfere has 906 Facebook for a fashion boutique. a great voice and tone. fans, which is a well-sized reach Atmosferes Facebook posts have Twitter and Facebook proile picture should be the logo to increase brand recognition. page. should be displayed on each Web page has no links to Facebook or Twitter pages. change. Store hours and phone number

Website Survey
To analyze the performance of Atmosferes current website, we performed one-on-one interviews with twelve college students who live in Minneapolis. Participants were asked to perform a series of basic tasks on each website. Each task was timed and recorded. The websites analyzed in this study included:
o o o o www.atmosfereclothing.com www.vstateclothing.com www.bluepegmen.com www.shopheartbreaker.com

Atmosfere is only following one Brand messages need to be consistent though multiple

person on Twitter. This needs to

These websites were identiied as primary competitors of Atmosfere. Each competitor is a boutique fashion retailer located in the Minneapolis area that sells both mens and womens fashion. V-State and Heartbreaker are located within a block of Atmosfere. 1. 2. 3. 4. 5. 6. Identify the boutiques phone number Identify business hours Identify the brands the boutique sells Locate a link to Facebook or Twitter (if applicable) Identify the address of boutique Print driving directions to the boutique

Participants were asked to perform the following tasks in the stated order:

channels (Facebook, Twitter). of a programmer.

Atmosfere needs a website that Atmosfere needs to be able to

they can update without the help update their new lines, changing brands and events in real-time.

Example: Participant #1 was shown randomized website A and asked to identify the boutiques phone number. Then Participant #1 was shown randomized website B and asked to identify the boutiques phone number. Participant #1 was shown randomized website C and so on. Each task was completed in this manner to ensure that a speciic tasks completion time wasnt dependent on the previous tasks time (except for tasks 5 and 6, which were measured together).

PRIMARY RESEARCH

10

Insights:
Blue Pegs website is fantastic. It incorporates all of the essential elements we measured in our task timing study into one page/homepage. Aside from missing links to their social networking pages and being rated lower on the aesthetic look like. At this point the

Website Results
The following are the mean times it took a participant to perform the identiied task on each respective website (in seconds).
Atmosfere Identify the boutiques phone number Identify business hours Identify two brands the boutique sells Locate a link to the boutiques social Identify the address of boutique Print driving directions to the boutique Total Time to complete tasks 20.9 1.3 15 8.4 0 3.1 V-State 23.6 0 10.7 2.2 Blue Peg 2.1 3 0 2.7 Heartbreaker 45.2 13.9 1.2 34

aspect of the site, Blue Pegs

website is a great example of ease-of-use of Atmosferes helping.

what Atmosferes website should negative visual appeal and low their business more than its current website could be hurting Atmosferes website doesnt need any bells and whistles. Theres tool or any other fancy interactive component. no need for an online shopping simpliied, visually re-vamped html programmer.

In general, Atmosferes website is eficient. Only Blue Peg scored faster overall times. We believe that Blue Pegs simple layout and the fact that all of the tested information is included on their homepage are two of the main reasons participants spent less time on www.bluepegmen.com than any other website.

48.7

15.3

12.3

64.1

13.6 2.5

32.4

23.9

158.8

32.1

Atmosferes website needs to be Terry and Damon to update it in real-time without the help of a A solution to these problems could be a Wordpress.com web-blog or like service that web programming training. allows users to edit, post and

and created in a way that allows

On the other hand, spending more time on a website isnt necessarily a bad thing. For example, www.shopheartbreaker.com has a blog, a shopping catalog and other interactive components. One of Heartbreakers objectives may be to keep visitors on their site by burying information so visitors stumble across other interesting bits while searching for their phone number, address, etc. Answers were checked for accuracy and total time was measured along with individual task time. After performing the above tasks, the participants were asked to complete a short survey about the websites they visited (Appendix). It included the following questions: 1. 2. 3. 4. In regards to aesthetics/visual appeal, rank the four websites. In regards to easy of use, rank the four websites. Select your likelihood of visiting each boutiques location Rank the following boutiques in terms of your interest.

update a website with little or no

11

PRIMARY RESEARCH

In regard to eficiency, (time spent on each website to 1. Blue Peg 3. V-State the competitors sites rank: 2. Atmosfere Clothing 4. Heartbreaker

complete all tasks) heres how

Website Results
All participants who took the survey, spent 3 minutes on each website performing the same tasks as above (not timed) before answering the following questions. 74 male and female Midwesterners, ages 19 to 27 were surveyed through Qualtrics.com. 74% of participants found Atmosferes website dificult to use/navigate.

*Blue Pegs website is a one-page site. All of the relevant media links). timing is located on the homepage (except for social

information measured in the task

63% of participants found Atmosferes website to be the least visually unappealing.

13% of participants were likely to visit Atmosferes physical location after visiting the site.

Site Rank:

AESTHETICS
1. 2. 3. 4. Heartbreaker V-State Blue Peg Atmosfere

INTEREST
1. 2. 3. 4.

V-State Heartbreaker Blue Peg Atmosfere

EASE-OF-USE
1. 2. 3. 4. Heartbreaker V-State Atmosfere Blue Peg*

Our survey sample was collected from all across the Midwest (MN, WI, MI and IL) so many of the people surveyed may have answered this way because they dont live near Minneapolis.

PRIMARY RESEARCH

12

Ethnographic Research:
Location and accessibility: Lake and Hennepin, the Given the notable location of

Customer Survey
We administered a brief, yet insightful nine-question survey to customers. This allows us to get a grasp on just who the typical Atmosfere customer is. They were able to opt in upon completing a post-purchase transaction. The irst three questions posed were simply asked to attain demographic data: age, gender, and ield of work. Knowing the age of the typical consumer could help us alter our language and messages to the appropriate generation (teens vs. young professionals vs. middle-aged, for example). Currently, the mens to womens inventory is about sixty-percent to forty, respectively. The proportion of mens vs. womens could suggest that they may need more selection to more appropriately cater to one gender. The occupation ield may offer guidance in the merchandise to carry and the type of message in advertisements. Customers working in arts-related ields may like more avant-garde and stylish clothing, whereas those in more white-collar occupations may tend to like more svelte, urban wear. The subsequent questions related to psychographic and lifestyle information. Frequency of visit may inform us of loyalty to the store. Asking what their primary mode of transportation to Atmosfere can aid us in deciding the placement of messages (bus stops, billboards, etc.). Having them tell us the neighborhood they live in does much of the same. Next we simply asked the guests if they have Facebook and/or Twitter accounts.

geographical location is both a blessing and a curse. It is the the street parking is often highest trafic intersection in Minneapolis and located in the epicenter of uptown. However, limited and because of this, the in the lot behind them, which unaware of. store may be seen as somewhat

limited in terms of accessibility.

Atmosfere does validate parking

many patrons and passers-by are After doing some ield research, from those walking by. Some may have been curious but store it was. uncertain as to what type of seemed to be slightly perplexed the store attracts much attention by the store but interested. They

Obser vations:
rapport with customers were very involved and they have is unprecedented loyalty. Terry and Damon have great

conversational. The relationship compared to other retail shops and has garnered high levels of

Knowing this helps us know where to most effectively advertise and post updates about the store, products, sales, etc. Lastly, we asked why they like Atmosfere. Despite being a rather open-ended question, we could look for trends and see the potential competitive advantage and emotional appeal of Atmosfere.

Survey Data
o o o
Age Gender

Facebook

o o o

Occupation Twitter

Visit Frequency

o o

Neighborhood

Method of Transportation Additional Comments

13

PRIMARY RESEARCH

Recommendations
In order to satisfy the objective recognizable, and eye-catching, the exterior. If a sign is too expensive or logistically unfeasible, there are other of making the store more visible, something needs to be added to

Customer Results
Median Age: 28 years Gender: 56% male; 44% female Occupation: 35 professionals o 16 visit <1 time o 15 visit 1-2 times o 6 visit 3+ times Frequency of visits per month:

options. The sandwich board on the sidewalk is forgettable and making the storefront three-dimensional. Some iber optic bunches of strands (see theme that is in line with the affordable. easy to miss. If the store wants new customers, we recommend appendix) would greatly enhance the storefront, give it a cosmic Atmosfere concept, and is quite

Method of transportation: 30 drive; 10 walk 93% use Facebook 33% use Twitter

Neighborhood: 26 in Minneapolis; 10 in suburbs Common reasons why they shop at Atmosfere: style, variety, quality, selection, unique, different, customer service

Target Profile
Jonah
AGE

28
TRANSPORT

Car
NEIGHBORHOOD

St. Anthony
SOCIAL MEDIUM

Facebook

PRIMARY RESEARCH

14

Sales Figures:
The womens line has grown be attributed to Terrys signiicantly since 2009. This can experience as a womens buyer. Total sales grew 42% in 2010. the months with the lowest

Annual Sales
42%

2009 2010

involvement at Atmosfere and his

In 2010, March through July were average sales. While winter items tend to have higher price points, opportunity for sales growth during the summer months. Monocle feels that their is a great

4%

302%

MENS

WOMENS

TOTAL

Monthly Sales

2010

JAN

FEB

MAR

APR

MAY

JUNE

JULY

AUG

SEPT

OCT

NOV

DEC

15

SECONDARY RESEARCH

Survey Data o o o o o o o o
Age Gender

Secondary Research
According to a 2011 IBIS World, there is a positive outlook for the retail clothing industry. Revenue is expected to recover by 2.2% in 2011 with further growth slated until 2015. Personal disposable levels of income are also on the rise at 1.6%. This indicates that consumers will be less price-sensitive and more responsive to advertising and branding. It is expected that a greater focus and attention will be placed on fashion as a result of these predicted igures.

Occupation

Frequency of visits Neighborhood Facebook Twitter

Method of transportation Additional comments

Niche stores, like Atmosfere, are going to be highly competitive in the near future, especially with retail chains. With the increasing number of clothing retail stores increasing, it will be very important for stores to differentiate themselves distinctly. E-commerce is a large threat to brick-and-mortar stores. Having a presence online will be critical. Online purchasing is expected to increase 10.5% annually. Competition Analysis In regards to location, V-State is the only direct competitor to Atmosfere. It also has a great location near the intersection of Lake and Hennepin. The clientele and style of clothing is quite similar. Aesthetically it is a bit more modern and minimalistic. Len Druskin is a retail chain in Minneapolis with multiple locations in shopping centers in suburbs and downtown. They have done high levels of publicity and carry similar brands as Atmosfere.

OBJECTIVES & STRATEGIES

16

Increase annual sales by 20% in 2011

Objectives & Strategies

Objectives
o To increase annual sales by 20% throughout campaign period o To increase sales between March and July by 25%

Increase sales between March and July by 25%

o To communicate with the target audience through the channels they use most o To position Atmosfere as a unique and trendy fashion boutique o To increase awareness of Atmosferes validated parking

o To increase awareness and positive perceptions of Atmosfere by 25% in 2011 compared to 2010

Strategies

o Use a re-designed website to make their online presence more appealing o Use increased functionality of website to make it easy for Damon and Terry to edit and update posts o Use direct media to promote and increase interest in Atmosfere

o Use direct media to create awareness for validated parking sign or on back of business card o Use a mission statement that will help focus all other brand efforts. o Use social media to communicate with the target audience o Use an online presence that echoes the heart of the Atmosfere brand

17

TACTICS

Coaster Copy:
Hope you enjoyed your happy off a purchase. Hope you enjoyed your happy hour, stop by Atmosfere for another drink on us. hour, stop by Atmosfere for 15%

Tactics
Create a new website that is visually appealing and allows Terry and Damon to edit content easily and without any programming background. Creating a website through Wordpress.com could be a simple, affordable and viable option. (Appendix A)

Website Revamp

Facebook Tactics:
Friend other fashion forward on Facebook. businesses, thinkers and writers Change Facebook proile picture to Atmosfere logo to maximize instant brand recognition. (Appendix E) during dead sprees in the trafic in Calhoun Square. Be spontaneous.

Place branded coasters at local bars in Calhoun Square that serve the same customers Atmosfere sells too. Bars like Chino Latino, Drink and Aura would be exceptional for coaster placement. Simple coasters featuring Atmosferes logo would be an option, along with redeemable coasters speciic to an in-store promotion (i.e. Bring in this coaster for 15% off your next purchase). Any coaster promotions should be focused around happy hour and executed during the summer months, when foot trafic is heavier in Uptown. (Appendix B)

Coasters Promotion

Use Facebook to promote deals

Validated Parking Cards

Place two small cardstock signs at the front desk advertising Atmosferes validated parking. The cards would simply say, Ask Us About Validated Parking. (Appendix C)

summer when there isnt a lot of

Sandwich Board
Purchase a new sandwich board and print a sign directing drivers to Atmosferes validated parking lot. The side that faces traffic coming toward Hennepin should include the validated parking information. (Appendix D)

Place decorative iber optic lighting on exterior of store front to attract shoppers on foot, especially at night, when the Uptown and Calhoun Square areas are most busy. This distinguished exterior will create noteriety.

Fiber Optic Lights

Schedule
2011
JULY AUG SEPT OCT NOV DEC JAN FEB MAR

2012
APR MAY

TACTICS

JUNE

Coasters at Local Bars & Restaurants

Coaster Promotion

Validated Parking Card

Sandwich Board

Fiber Optic Lights

SCHEDULE

Website Revamp

18

19

E VA L UAT I O N

Methods:

Our methods are very numerically driven and rather easy to observe. Terry and Damon can also make a judgment about awareness by subjectively observing trafic in the store compared to the pre-campaign period.

Evaluation
The methodology required to evaluate our campaign is quite simple to execute. Listed are the evaluation techniques and the objectives which pertain to them:

View and compare sales igures from the year prior to and the effective year of the campaign.
To increase sales between March and July by 25%.

To increase annual sales by 20% in 2011 compared to 2010.

View and compare the number of people who like Atmosfere on Facebook before and after campaign. Also, qualitatively evaluate the number of comments under posts by Atmosfere and general feedback.
To communicate with the target audience through the channels they use most.

Re-administer surveys that ask questions regarding their knowledge/perceptions of Atmosfere after the campaign and compare numbers. Count number of coasters redeemed by customers and see if theres a correlation to sales igures.
To increase awareness and positive perceptions of Atmosfere by 25% in 2011 compared to 2010.

Count number of parking tickets validated by the store in the new year compared to the previous.
To increase awareness of Atmosferes validated parking.

To position Atmosfere as a unique and trendy fashion boutique.

BUDGET

20

All work done by Monocle is pro-bono and will be billed accordingly.

Budget
(50 hours x $100) (40 hours x $100)

Monocle Planning

Pro-Bono
Worth $4,000

Worth $5,000

Graphic Design Coasters

Pro-Bono $500 $400 $200 $20 $20 $60 $450

($0.50 each x 1000) ($20 each x 20)

Fiber Optic Lights Light Installation

Annual Fee

Wordpress Domain Sandwich Board

($30 each x 2 sides)

Signage

($3 each x 150 stamps)

Validated Parking

(Total Worth)

Total:

$10,650

$1,650

APPENDICES

APPENDIX A

APPENDIX B

APPENDIX C

APPENDIX D

APPENDIX E