OfficeMax is readying an integrated back-to-school campaign centered on the nation's smallest monetary denomination--the lowly penny. That is precisely the price of a variety of school supplies being offered at the store. Over the next two weeks, OfficeMax's "Power to the Penny" campaign will launch TV spots using "Penny Prank" footage, radio spots featuring improv comedian, Matt McCarthy, online ads and a national event on Aug. 5 at Minnesota's Mall of America, where a massive penny tray will be filled with two million pennies available to kids for back-to-school shopping. The 30-second TV spots will begin airing Aug. 4 on what the company calls "mom-centric" networks like ABC Family, SoapNet and Oxygen. Radio spots also start Aug. 4 and will air on female/mom-driven programming on Premiere and Westwood One Radio. Through online partnerships with YouTube and iVillage, the campaign is supported by online banner ads (flash and rich media), an OfficeMax penny site, click-to-play video ads and YouTube roadblocks. Online advertising starts Monday. "While many have forgotten its value, OfficeMax celebrates the penny by inviting consumers to spend them for school supplies," says a spokesperson. The campaign is designed to reach consumers "with humor and humanization in an economy where every cent is starting to count." In the "Penny Prank," McCarthy and Oscar-nominated director Henry Alex Rubin hit the streets to find out exactly what one can buy in today's economy with pennies. OfficeMax developed 11 "Penny Prank" videos shot in New York City using hidden cameras where McCarthy attempts to purchase everything from a used car to a steak dinner with pennies--and more often than not, he is turned down with surprising reactions. Reactions ranged from quizzical bemusement to--in the case of the deli owner--complete outrage. Yet, a carriage driver in Central Park actually accepted four thousand pennies ($40) in exchange for a ride. The videos, which were posted on YouTube this month, have been viewed by more than 100,000. Office Max has launched a microsite on iVillage as well as OfficeMax.com/penny, both featuring prank videos, school supply list-generators by grade, back-to-school planning tips, skill builders for students, and a "graffiti wall" where moms can exchange back-to-school advice. The Escape Pod developed the "Power to the Penny" campaign from concept to production of the viral videos, TV, radio, online ads, and development/implementation of media plan. Dig Communications provides PR support.
American parents are on track to spend $15 billion more on their children by 2012, according to Packaged Facts. To reach these consumers, its new report suggests, marketers should think green. "To paraphrase a children's icon from another era, 'it can be easy being green' if you're marketing children's products today," says Tatjana Meerman, publisher, Packaged Facts. "And what's interesting about the green trend among kids is that the kids themselves are fueling it. Environmental awareness, even at the youngest ages, is acute." Consumers spent $123 billion in 2007 on products for 36 million 3- to-11-year-olds, according to the ninth edition of Packaged Facts' "The Kids and Tweens Market in the U.S." That $123 billion breaks down to $65 billion on food, $16 billion on clothing, and $42 billion on personal care, entertainment and reading materials. Total spending by parents on kids will rise to $138 billion in 2012, the report projects. Kids and tweens themselves raked in $19 billion in personal income last year, with that number expected to rise to $21 billion by 2012. Quoting data from the Simmons Kids National Consumer Survey, the study says a significant majority of kids express concern for environmental issues, and that nearly three-quarters of them believe in buying recycled paper products. Furthermore, more than half of 6- to-8-year-olds encourage their parents to buy green products--with Hispanic children leading other demographics by a wide margin. The Hispanic kids' environmentalism, in turn, may be the reason why the Pacific region--with its large Hispanic population--leads all other areas in numbers of kids pushing their parent to go green. Also, Hispanic families were found more likely than other American families to seek out organic and fresh foods when they shop. These attitudes toward food may spill over into other environmental issues, according to Packaged Facts. The sources of kids personal income, the report says, include allowances, gifts from parents and other family members, earnings from chores performed around the house and, in the case of some older kids, earnings from informal jobs such as babysitting and lawn care. As kids get older, their income-earning opportunities increase and, as a result, there is a significant difference between the incomes of younger and older kids. Other topics covered by the study include how kids spend their leisure time, relationships with family and friends, how they use computers and the Internet, their entertainment choices, their media usage habits, and where they shop.
For its second year, American Express has expanded the scope of its social responsibility, "Members Project," making it easier for people to help shape projects that fit their interests, beefing up its online presence, and devoting more money to more projects. "We're putting more focus in how we leverage online," says Belinda Lang, vice president of consumer marketing strategy at American Express. "We're trying to make it that much easier for people to engage with us." To help get the word out about the Members Project and the individual ideas, American Express has developed a vast array of online tools, from Facebook and MySpace presences to widgets and online badges people can use to promote their projects. The initial phase of the Members Project--where people create and hone ideas for good works-- will also be advertised heavily online, Lang tells Marketing Daily. "This is an online experience--our goal is to take advantage of what's going on with that space," she says. That includes opening up the discussion period of projects to people who don't have American Express cards. While nominated projects will come from American Express cardholders, everyone will have a chance to search out projects of interest. Projects are also divided into five categories--Arts & Culture, Community Development, Education, Environment and Wildlife and Health--making it easier for people to find projects for which they have an affinity. "We're broadening the opportunity for non-cardmembers to register and begin to nominate projects they're interested in," Lang says. "Obviously, we'd love for those people to become cardmembers. One of the things we saw last year was that people who sampled the [Members' Project] community said, 'I like what they're doing.'" The company is also encouraging further discussion and refinement of possible projects through the first phase, which continues through Aug 19. Last year, ideas were voted on as they were presented. This year, people can submit ideas, present them to the broader community and continue to refine them. Interested parties can help shape the projects by uploading photos, audio and video, and can also illustrate their projects with photos, audio and videos if they choose. "These days, people know how to be their own media companies," Lang says. "At the end of the day, these stories need to be told in a way that will get through. It's human nature--people want to connect." After August 19, a panel of experts ranging from academics to artists to journalists will review the projects and announce the top 25 submissions in early September. Cardholders will be able to vote on those projects, and the winning project will receive $1.5 million in funding from American Express. The second-place finisher will get $500,000. Third will get $300,000, and fourth and fifth will each get $100,000. So far, American Express is limiting its marketing of the Members Only project to the online space. Lang, however, wouldn't rule out the possibility of using television or more traditional print advertising at a later date to promote the project. Last year, the company aired a television spot that featured all of its celebrity spokespeople--from Ellen DeGeneres to Martin Scorsese--to promote the Members Only project.
Buoyed by strong initial sales of digital-to-analog TV converter boxes, GPS units, video gaming, and prepaid wireless phones, Radio Shack says its same-stores sales gained 6.9% in the second quarter. But the company says that even though results are improving in its Sprint post-paid business, that line is still a major drag on results. Excluding Sprint postpaid and related wireless accessory business, "comparable store sales in the second quarter would have increased 12.7%," the company says. Still, the Fort Worth, Texas-based electronics retailer says it saw a "significant improvement" in its AT&T post-paid business. Total sales rose to $995 million, $935 million for the same period last year. Online sales jumped 29.8%. Operating income gained 10%, while its net income fell to $41.4 million, from $47 million in the same period a year ago. (Income was affected by a $4.3 million adjustment to the lease for its corporate headquarters.) "The economic environment continues to be challenging," the company says, "however, as a credit to our team, we are pleased with our progress as we begin to drive profitable growth." Experts say the sale of converter boxes are expected to be a boon for electronics retailers in the months ahead. The transition to digital-only for full-power television broadcast signals in the U.S. is scheduled to take place in the first quarter 2009. After that, older TVs-a market that industry estimates put at 25 million to 30 million households--won't work without a converter box, which range from $40 to $70 each. But while the government has established a program to provide two free $40 coupons per household, many consumers are still unaware of the change.
AOL Music has launched a new Web site, www.tourtracker.com, which is exclusively sponsored by American Express. The site is accessible from the AOL Music main page, and its goal is twofold: First, to be a one-stop destination for music fans looking to follow their favorite bands/artists on tour. And second, to provide a resource for music labels to track the popularity of a particular artist or tour beyond ticket sales. As the exclusive sponsor, American Express is provided with "prominent placement" on the site, and cardholders are presented with special discounts to buy tickets, according to an AOL spokesman. "We're always looking to find new and innovative ways to help music fans stay current on their favorite artists and bands," said AOL Music Vice President Bill Crandall in a statement. "Tour Tracker provides music fans with an ongoing outlet to follow and discuss an artist throughout a tour or simply find comprehensive listings for which artists--mainstream or indie--are playing hometown on any given night." Fans can search nationally by artist, location and date. They can track an artist throughout the entirety of a tour. Music fans who are traveling can find an extensive catalog of show listings for any U.S. city on any specific date. JamBase-powered listings provides extensive concert listings--including indie bands and smaller venues and theaters with MapQuest-powered maps and directions to venue locations. AOL Music is the Web's most trafficked music site with over 20 million unique visitors per month, providing music fans with unparalleled access to artist videos, songs, photos, news and lyrics. AOL Music's network of sites includes Spinner.com, PopEater.com, and theboombox.com.
1. Lafayette, Ind. 2. Rochester, Minn./Mason City, Iowa 3. Cedar Rapids/Waterloo/Iowa City/Dubuque, Iowa 4. Detroit 5. St. Joseph, Mo. 6. Omaha, Neb. 7. Champaign/Springfield/Decatur, Ill. 8. South Bend/Elkhart, Ind. 9. Columbus, Ohio 10. Cleveland/Akron (Canton), Ohio Source: MRI's Market-by-Market study