Metro presentation deck
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Razor Driven is a marketing agency that focuses on driving tangible results for clients. They presented to Diane McKenna about their strategic, data-driven approach and customized solutions. They discussed opportunities for MetroPCS around acquiring new customers during economic challenges, retaining existing customers, and increasing average spending. Razor Driven proposed conducting additional research and developing a blueprint outlining acquisition, retention, and revenue-building programs and media strategies tailored for MetroPCS.
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Metro presentation deck
- 1. 2.25” 8.5”
- 2. INTRODUCTIONS AND STRATEGIC SOLUTIONS DISCUSSION PREPARED FOR: DIANE MCKENNA DIRECTOR OF ADVERTISING AND BRAND MANAGEMENT 02.24.2009 February24,2009|1
- 3. WITH YOU TODAY ChipGorman Principal CamaraClifton ChiefDevelopmentOfficer AllenBourne BusinessDevelopment ExperiencewithRadioShack& WirelessToyz ExperiencewithAT&TWireless, GTEWireless>ESuperPages P:972.663.1108 chip.gorman@razordriven.com P:972.375.4451 camara.clifton@razordriven.com ExperiencewithPrimeCo PersonalCommunication,Inner Wireless&AT&TWireless P:972.839.5500 allen.bourne@razordriven.com MetroPCS+RAZORTeam DaveKirwan Co‐President& Founder TomCole Co‐President& Founder RayRosenbaum Principal/ Strategy Experiencewith Motorola February24,2009|2 JohnSouth Principal/Digital Experiencewith AT&T&Eon Mobility MichaelHarrison Partner/Strategy &Planning Experiencewith USCellular& MCI/Sprint ToddConnelley Creative Director Experiencewith Nortel Networks &Texas Instruments SusanVost VP,Public Relations RobertaRossato Director,Client Partnership Experience with PrimeCo,AT&T, Sprint&Vision Wireless Experiencewith mobile marketingfor P&G ErichKirk Director, Strategy& Planning KevinKey Digital Engagement Director Experiencewith SBC &AT&T
- 4. RAZOR,ANEW KIND OF MARKETING PARTNER • Wearebringingaccountabilitybacktomarketingbysimplyfocusingonwhatmatters.Thatmeansifitdoesn’t generateatangibleresult,wedon’tdoit. • Oursimpleapproachuncoverssmarterwaysforclientstogrowcustomers,buildtransactions,anddriveresults. – Wecustombuildeachsolution – Wearestrategicpartners – Wemeasureeverything • Ournamecomesfroma14th centuryprincipleadvocatingsimplicitydevelopedbyWilliamofOccam. Occam’sRAZOR:“Allotherthingsbeingequal, thesimplestsolutionisusuallythebest.” February24,2009|3
- 5. CUSTOM BUILT SOLUTIONS:MARKETING MADE FROM SCRATCH • Weimmerseourselvesinyourbusinessmodelandobsessoverdetailsthatotheragencies ignore.Sincedataandanalyticsarethefoundationofwhatwedo,wealwaysemploy: – Customer,business,andsecondarydata – Marketing/communicationsstrategists – Strategicblueprintsbasedonyourbusiness • Ourstrategicblueprintsdetermine: – Marketingpriorities – Requiredresources – Activationplans – Learningcalendars February24,2009|4
- 6. RAZORAPPROACH • MarketingGoals – CustomerAcquisition – CustomerRetention – BuildAveragePurchase • Strategy – MixofBrand/Activation Consumer Communication BuildBrandAwareness, Consideration February24,2009|5 Growcustomersandbuildtransactions: • Understandmotivations • Selectcompetitivealternatives • Understandaccess/touchpoints– corporatevs.dealers,onlinevs.offline • Identifyshoppingbehavior • Selectpropertoolstoreachthem
- 7. METROPCSCONSUMER IS ONE WE UNDERSTAND • MetroPCSTierIaudience – Financiallyconstricted;mayhavecashbutnotcredit;mayhave somecreditbutlimitedcash;maybeconstrictedonboth – Optionslimited • Cannotqualifyfortraditionalwirelesscontracts • Buyprepaidphoneandlimitedminutes MetroPCSTierIItargets:psychographicorlifestylemoreimportantas demographics – Value‐consciousconsumers– avoidoverrunminutes,setbudget amount – Consumerswhodonotwantanyobligation→freedom – Managingafamilyneed,wantchild/family/spousetohave phone,butdon’twanttorunriskoflong‐termcontactsand overruns – Canturnoffandturnonasneeded February24,2009|6 HouseholdIncomeBreakdown ByMobileUserType PercentageofUsers • 50%ofno‐contract mobilecustomers haveincomeunder $50K AnnualHouseholdIncome Source:SimmonsSMRB2008FullYear
- 8. WE SEE THE ECONOMY AS BOTH CHALLENGE AND OPPORTUNITY • Consumers’challengesexpandaseconomydeclines – Alreadyconstrainedconsumersarebeingsqueezedevenmore – Consumersmakinghardtrade‐offsregardingneedsvs.wants – Consumerssearchingforlowercostoptions Theopportunitiesareaccelerating – Moreconstrainedconsumers • Morepeoplewhowerenotconstrictedarebecomingso, →losingjobs,earninglowersalaries→butneedsstillexist • Theywilllikelymaintainvalueoptionswheneconomyimproves – Morevalue‐consciousorbudget‐consciousconsumer • Lookingforcostsavings • Reducingobligations • Costsrisingfasterthanincome • Fearoflosingjobs – Manypeopleconsolidating • Movingtowirelessonly • Eliminatingtraditionalhomephoneservice February24,2009|7 Quarter‐to‐QuarterGrowthinRealGDP Percent • ? 2005 2006 2007 2008 2009
- 9. WE SEE METROPCSUNIQUELY POSITIONED TO TAKE ADVANTAGE OF THESE FACTORS RiskofService Interruption Low • TraditionalCellular Sprint VerizonWireless AT&TWireless T‐Mobile • Costcontrolled • Lowriskofshutoffdue tounlimitedminutes • Nocontractobligation Obligation Low Cost High Variability • Highcostvariability • Contractualobligation • Lowriskofshutoffin caseofminuteoverrun Low • Pre‐paidminutes VirginMobile Tracfone AT&TGoPhone High High February24,2009|8 • • • • Rechargeableminutes Texting International Costcontainedbyamount ofminutespurchased • Highriskofshutoffwhen minutesusedup • Noobligation
- 10. SIMPLE METROPCSVALUE PROPOSITION MEETS NEEDS OF CHALLENGED CUSTOMERS • • • • • • Budgetfriendly Freedomfromsurprises – Nounexpectedcharges – Limitedextracharges(exceptroaming) Nolong‐termobligation – Includingadditionalphonesforfamilywithoutadding obligation Advancedservicesavailableincludingweband mapping/directions Keepcurrentphone(VerizonandSprint)withflashover MetroPCSallowscustomerstomakechangesastheirlife, lifestyle,andlifesituationschange February24,2009|9
- 11. WE SEE THREE CONSUMER ACTIVATION OPPORTUNITIES FOR METROPCS 1. 2. 3. Acquisition – Brandmessageisbeingdeliveredinbroadcastandtraditionalbroad‐reachingmedia – Leveragelocaldealerspend – Exploretargetedmediaoptionstoactivatepurchasesuchas: • Digital– affiliatemarketing,paidsearch,displaywithnewstrategicprofiles • DirectMailmodeledagainsttargetswithappropriatemessageandoffer – Partnershipsleveragemarketingdollars,expanddistributionnetwork,andoffercustomers“surpriseanddelight” – Non‐traditionalapproaches • Viralmarketing(ex.burningcellularcontracts) Retention – GiventhepressureoncertainsegmentsofcurrentMetroPCScustomers,howdoweproactivelyretainthem? • Understandlifecycleandattrition – Reactivationoflapsedcustomers • Messageandprogramtoreachthem Build(ongoingrevenuestream)averagerevenue – Upsellplans – Addonotherfamilymembers February24,2009|10
- 12. ACTIVATING PROGRAMS AT MARKET LEVEL Brandandmessageextendedintofieldmarketing • Continuity • Effectiveco‐opusage • Strongcommunication:printanddigital • Potentialcorporatespendsavings RAZORhasexperiencebuildingfranchise/dealerorganizationsupportprogramsandtools • Franchisee • Co‐op • Individualfranchisee tools(PMO) • Franchisee • Mediaplanning • Storelevelplans Subscriptionbaseandmembershipbusinesschannels • Partnerships • Acquisition February24,2009|11 • Acquisition/retention • Storelevel • Direct‐to‐consumer • Agentnetwork
- 13. METROPCSCUSTOMIZED OPPORTUNITIES SURFACED THROUGH RAZOR’S NEEDS ASSESSMENT PROCESS Corporate Stores andDealers CorporateApproach ConsumerLearning February24,2009|12 • • • • Whousesactivationmaterials? Whatisbeingused? Organizationstructures? Budgetsavailableforprograms? • Programsandmaterials – What’savailable? – Accessmodesandlearning? • Consumerresearch? • Segmentation/Value? • Databasedatapointsavailable?
- 14. RAZOR’S NEXT STEPS AND BLUEPRINT DELIVERABLE • 30‐60dayreviewwillyieldMetroPCSblueprint – Acquisition – Retention – Buildaveragepurchase • Transactionbuildingmedia – Directmailopportunities – Digitalstrategyandcreative – Localstorevs.DMAprogram • Insightandanalytics – Segmentationandmodelingtodriveevenmorebusiness – Learningneedstohelpfocusonadditionalopportunities. Forexample,potentialbarrierstotrial/retentionsuchas in‐storevs.onlinepayments – Otherprograms • GrandOpenings • DownStore February24,2009|13 Domino’sPizza PMO site RAC highimpact directmail BlockbusterOnline displayad RAC Hispanic‐targeted directmailsegmentation Domino’sPizzalearningcalendar
- 16. THE TOOLS WE USE StrategyandAnalysis • • • • • • • February24,2009|15 Strategicplanning Marketingplan development E‐businessstrategy Responseand predictivemodeling Customer segmentation Businessanalysis Consumerresearch Marketingand Communication ProgramExecutionand ROIAnalysis • • • • • • • • • • • Creativedevelopment Websitedevelopment Searchoptimization Paidsearch E‐mailmarketing Databasemarketing anddirectmail Nationalandtradearea media • Learningcalendar Results/ROIreporting Mediamixmodeling Warehousing, fulfillment,and logisticsmanagement Giftcardmanagement
- 17. BEING ACCOUNTABLE PAYS OFF FOR OUR CLIENTS.IT’S TREATED US PRETTY WELL,TOO. AdAge #1GrowthMarketing ServicesAgency:2006 Ernst&Young SouthwestEntrepreneurof theYearFinalist:2006& 2007 DallasBusinessJournal #1FastestGrowing PrivateCompany:2006 Capitalizedbillingsinmillions 130%159%43%31%25%forecast February24,2009|16 EntrepreneurMagazine #9HOT100Concepts:2006