IMC 610 -- Final Project

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Integrated Marketing Communications Plan
Student: Jamie Huggins
Class: IMC 610
Professor: Matthew Cummings
"We are committed to improving the lives of our customers by providing quality services, products and
solutions that earn their trust and build lifetime relationships."
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Kmart IMC Plan

Table of Contents
I. Executive Summary..........................................................................................3
II. About Kmart.....................................................................................................4
III. Target Audience..............................................................................................10
IV. SWOT Analysis...............................................................................................13
V. Marketing Objectives & Strategies..................................................................15
VI. Creative Brief, Strategy, & Execution .........................................................16-18
Creative Brief..............................................................................................16
Creative Strategy.........................................................................................17
Creative Execution......................................................................................18
VII. Media Plan.....................................................................................................19
VIII. Public Relations Plan......................................................................................22
IX. Direct Marketing Plan.....................................................................................25
X. Sales Promotions Plan....................................................................................28
XI. Measurement & Evaluation Plan......................................................................31
XII. Conclusion.....................................................................................................34
XIII. Appendix A.....................................................................................................35
XIV. Appendix B....................................................................................................36
XV. Appendix C....................................................................................................37
XVI. References.....................................................................................................39
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Kmart IMC Plan

Executive Summary
Sebastian S. Kresge developed Kmart’s early business model by offering consumers the low prices they
sought after and giving them lifelong relationships that were built on trust. Consumers trusted that
Kresge was listening to their concerns and meeting their evolving needs. Today, over 115 years later,
Kmart has grown from a small “five and dime store” to a massive global retailer. Even though Kmart is
currently suffering from a variety of serious issues, consumers are still looking to them to meet their
needs and concerns. This IMC plan offers Kmart a chance to rebuild its customer base and return to the
strength of its early business model and mission by tapping into the Generation X mothers demographic.
Some of Kmart’s strengths are its strong company foundation, “Shop Your Way” rewards program, and
its variety of exclusive brands and products. Kmart is also plagued by many weaknesses which include:
serious financial problems and bankruptcy, outdated interiors, poor customer service, and a negative
consumer image. Kmart’s opportunities range from the Generation X mothers market to the
implementation of this $20 million IMC plan. Finally, Kmart’s weaknesses are the poor economy and the
massive strength of its competitors: Walmart and Target.
Marketing objectives seek to improve Kmart’s features and benefits, brand perception, and awareness
among the target market. These objectives will also increase sales, while reducing poor customer
satisfaction. Strategies will be implemented across media, public relations, direct marketing, and sales
promotion platforms. Celebrity talk-show host, Kelly Ripa, will also be hired to promote the “Kelly @
Kmart” campaign and the new, creative slogan: “Save time and money on what you really love.”
Overall media objectives involve reaching Generation X mothers throughout the next year using a
combination of broadcast and print media, as well as, through digital and social media advertisements.
Strategies and tactics include using the “Kelly @ Kmart” campaign to appeal to the target market
through TV commercials, magazine ads, banner ads, and social media ads which will run either
frequently or periodically throughout the next year depending on the medium.
Public relations objectives are to increase brand favorability, generate positive news reports, increase
positive social media traffic, increase brand credibility, and help reduce employee turnover. Strategies
and tactics include: writing creative press releases, holding press conferences, creating “Kelly @ Kmart”
social media pages, holding philanthropic community events, and using PR strategies to help reduce
employee turnover.
Direct marketing objectives seek to increase click-through and response rates and grow the target
market database. Tactics include: sending out weekly email newsletters, creating monthly mailings with
discount codes, creating the “Kelly’s Favorites” catalogue, and offering credits for referrals to the
catalogue.
Sales objectives are to improve the “Shop Your Way” rewards program, increase its membership and
related sales, increase redemption rates for mobile coupons, and obtain entries and increase web traffic
for the “Kelly @ Kmart” sweepstakes. Tactics include: offering extra rewards and points for “Shop Your
Way” members, offering personalized prices on the “Shop Your Way” smartphone app, and creating a
“Kelly @ Kmart” sweepstakes with promotional entry codes that must be entered online.
Finally, measuring and evaluating Kmart’s IMC plan is integral to its success. A combination of
quantitative and qualitative tools will be implemented in the pre-testing and post-testing of each of this
plan’s components. This will help reduce costly mistakes, evaluate any alternate strategies, increase
advertising efficiency, and help determine if the aforementioned objectives are achieved (Belch & Belch,
2012).
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Kmart IMC Plan

About Kmart
Company Mission
"We are committed to improving the lives of our customers by providing quality services, products
and solutions that earn their trust and build lifetime relationships" (Fairfan, 2014).
The Beginning
In 1899, Sebastian S. Kresge opened the first Kresge
store in Detroit, Michigan. This Kmart pre-cursor
originated as a “five and dime store,” meaning everything
in the store sold for either 5 or 10 cents. The low prices
widely appealed to consumers and resulted in store
expansion. By 1912, Kresge expanded to 85 stores and
had annual sales of over $10 million. In the 1920’s,
Kresge continued his expansion by opening store
locations that sold items for $1 or less. These stores
were located by the famous “five and dime” stores
(Corporate History, 2014).

In 1937, S.S. Kresge opened his first store in a suburban
shopping center. The store was located in the Country Club Plaza in Kansas City, Missouri.
Building on Kresge’s idea, S.S. Kresge Company President, Harry B. Cunningham, opened the first
Kmart discount department store in 1926. The store was located in Garden City, Michigan. That
same year, 17 additional Kmart stores opened, and corporate sales reached over $483 million. By
1966, sales in 162 Kmart stores and 753 Kresge stores topped over $1 billion. In 1976, Kresge
opened 271 more Kmart stores and made history by becoming the first retailer to launch 17 million
square feet of sales space in one year. A little over 10 years later, approximately 95% of sales in
the S.S. Kresge Company were generated by its Kmart stores. Because of this, the company
officially changed its name to the Kmart Corporation in 1977 (Corporate History, 2014). In 1987,
Kmart sold all of its remaining Kresge stores and partnered with Martha Stewart. She became the
new “face” of all of Kmart’s lifestyle and entertainment products (Kmart, 2013).
Change in the 90’s
The 90’s brought a period of change to Kmart. In 1990, Kmart unveiled a new logo and a $3.5
billion company program. The purpose of the program was to refocus business back on Kmart
stores. It included new store openings, store enlargement, and modernization policies. In 1991,
the first Kmart Supercenter opened in Medina, Ohio. The supercenter store was open 7 days a
week and 24 hours a day. It offered a full-service grocery store along with the original department
store concept. Kmart stores were redesigned again in 1996. Spaces were designed to be cleaner,
brighter, and easier for consumers to shop in. A “pantry” department was incorporated into the
design. This new department was located near the store entrance and sold frequently purchased
consumable goods. In addition, there was a new focus on Children’s and Home Fashion
departments. These “big changes” resulted in the new name “Big Kmart” (Corporate History,
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Kmart IMC Plan
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2014). In 1997, Kmart became the exclusive retailer of Martha Stewart Everyday Home
Furnishings (Kmart, 2013).
Today’s Financials
By the time the new millennium rolled around, 2,200 stores made up the entire Kmart Corporation.
However, in 2002, Kmart filed for Chapter 11 Bankruptcy and had to close 283 of its stores. It
reemerged from bankruptcy in 2003, and in 2005, Kmart acquired Sears, Roebuck and Co. That
same year, the company changed its name to the Sears Holdings Corporation (Corporate History,
2014). In 2009, Kmart and Martha Stewart failed to come to a new agreement, thus eliminating
their long partnership (Kmart, 2013).
For more than a decade now, Kmart has struggled with serious financial issues. In 2011, Sears
Holdings announced that 100-120 of its stores would be closing. Overall sales dropped 2.7% for
the quarter and 1.4% for the fiscal year (Schultz, 2012). The very next year, Kmart lost $132 million
in its July quarter, resulting in the largest quarterly loss for the company in 9 years. Later that same
year, Kmart reported a staggering $498 million loss on lower sales. Sears Holdings stocks fell 18%
to $47.75, and store sales fell 4.7% (Farzad, 2012). Last year brought even more financial loss to
the company. Sears Holdings reported an expected annual loss of $914 million in 2013, and sales
fell 7.4% for the quarter. However, even with all this monetary loss, there are still 1,221 Kmart
stores in existence, and they bring in $15 billion in revenue (Davies, 2014).
Pricing Strategies
“Attention Kmart Shoppers, Blue Light Special...”
Kmart introduced the “Blue Light Special Campaign” to consumers as a sales
tactic in the 1960’s. Originally, blue light specials consisted of surprise in-store
price-cuts on select merchandise. They typically lasted for around 15 minutes.
At the beginning of each flash-sale, consumers would hear, “Attention Kmart
shoppers, blue light special on aisle...” over a loudspeaker. A flashing, blue
siren light (similar to one atop a police car) would also be located in the sale
area. After the announcement, consumers would rush to the aforementioned
aisle to take advantage of the sale. The sales tactic was successful and lasted
around 70 years until it ended in 1991. In 1999, Kmart launched its first ever
web presence “BlueLight.com.” In 2001, Kmart decided to bring it back the
idea of in-store blue light specials, however, consumers did not react to the
concept as well as they did in the past. The attempt proved to be short-lived
and unsuccessful (Smith & Walker, 2014).
Today’s Prices
Today, Kmart’s prices are not reflective of its bargain beginnings. In fact, its prices rank excessively
higher than its competitors. For example, one study reports a researcher visiting Target, Walmart,
and Kmart to buy 30 identical and like items in order to compare prices among the “Big 3.” The
purchases consisted of the following items: electronics, grocery, health, beauty, home goods, toys
and clothing. The total of Walmart’s items was $1,776.15. The total of Target’s items was
$1,866.10. The total of Kmart’s items was $2,092.82. Out of the three stores, Kmart was reported
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Kmart IMC Plan
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with having the highest prices, most limited store-wide selection, most empty shelves, and most
disgruntled and unavailable employees (Conover, 2012).
Major Brands & Products
The Sears Holdings Corporation carries variety of exclusive and name brands throughout both its
Kmart and Sears stores and websites. In addition, Sears Holdings is the leading appliance retailer,
carrying name-brands like Kenmore, and the corporation is also a leader in home and garden, tool,
lawn-care, fitness equipment, and automobile repair and maintenance departments. Craftsman
and Diehard are some popular brands found in these departments. Other popular exclusive
brands carried by Kmart include: Joe Boxer, Kardashian Kollection, Sandra by Sandra Lee, Land’s
End, Jaclyn Smith, Sofia by Sofia Vergara, and Country Living (Our Brands, 2014). These brands
can be found in Kmart’s apparel, accessories, and home-goods departments. Besides the above
products, Kmart stores also include a large grocery department.
Distribution Methods
Kmart partakes in a store-based distribution method. Currently, Kmart has approximately 1,221
store locations in the United States, Guam, Puerto Rico, and the U.S. Virgin Islands. Discount
stores account for 1,196 of those locations, and they average around 94,000 square feet. Super
Centers account for only 25 of those locations, and they average around 168,000 square feet.
896 Kmart stores contain pharmacies, and 21 stores have Sears Auto Centers. Sears Auto
Centers offer repair and maintenance services and sell automobile accessories. Typically, Kmart
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Kmart IMC Plan
(photo credit: searsholdings.com)

stores carry merchandise such as: electronics, seasonal merchandise, outdoor living, toys, lawn
and garden, food, apparel, Kenmore products, and certain Sears brand products. In addition,
store locations offer an everyday layaway program (About Kmart, 2014).
Kmart also partakes in an online distribution method. Kmart’s website is http:www.kmart.com.
The website offers the consumer the same brands and products (excluding grocery items) that can
be found in its store-based locations. Shoppers also have the options to make purchases online
or via a mobile app, and to buy online and pick up in stores. Kmart’s everyday layaway program is
also available to online shoppers (About Kmart, 2014).
Competition Among the “Big 3”
Walmart is the largest discount store in the United States (D'Innocenzio, 2012). The company is
probably most well-known for its low prices and price-matching advertisement policy. The
company also has a user-friendly website, which offers free site-to-store shipping (Conover, 2012).
Currently, Walmart has approximately 3,000 supercenter stores, which offer consumers one-stop
shopping on a vast amount of both grocery and retail products. In addition, Walmart is moving into
urban areas with Walmart Express stores. The stores range from 12,000-15,000 square feet and
are described as being “hybrid” grocery, pharmacy, and connivence stores (Kim, 2012). Walmart
stores offer consumers a variety of services including: hair and nail salons, vision centers,
pharmacies, portrait studios, holiday layaway, and health clinics (Conover, 2012).
Target is the 2nd largest discount store in the United States, and the company is well-known for
having an advertising campaign targeted at women (D'Innocenzio, 2012). Target’s stores are
updated in appearance and contain fashionable items known for their quality and modest prices.
Stores are also noted as being clean and stress-free. In addition, Target’s employees are known
for being available and helpful. Many Target stores contain pharmacies, photo processing studios,
heath clinics, and vision clinics (Conover, 2012). Target is also moving into urban areas with its
smaller CityTarget stores. Unlike Walmart Express stores, which focus on groceries, CityTarget will
carry “anything from jellies to jeans.” The stores will range from 80,000-100,000 square feet
(Bradford, 2012).
5 Key Pillars of Kmart’s Marketing Strategies
1. Creating lasting relationships with customers by empowering them to manage their lives
2. Attaining best in class productivity and efﬁciency
3. Building our brands
4. Reinventing the company constantly through technology and innovation
5. Reinforcing “The SHC (Sears Holdings Corporation) Way” by living our values everyday (Farfan,
2014)
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Kmart IMC Plan

Existing Marketing Communication Strategies
Advertising
In 2013, Kmart came under scrutiny for some popular, but questionable, TV commercials. Critics
claimed that the commercials’ content was risque and included too much crude-humor. The ads
in question were: “Ship Your Pants” (20 million YouTube views), “Show Your Joe” (17 million
YouTube views), and “Big Gas Savings” (6 million YouTube views). Women, speciﬁcally, responded
to the ads with mixed reviews and used a variety of terms including: “vulgar,” “offensive,”
“hilarious,” and “unique.” They also questioned if the ads were “family-friendly.” Ace Metrix (an ad
tracking ﬁrm) stated that the ads scored high in “attention,” but low in “relevance,” while ABX
database reported that the ads scored highest in the “dislike” category and scored second in the
“like-ability” category (Berg, 2013). These ads can be found on Kmart’s Youtube page, along with
a wide range of other Kmart advertisements.
Direct Marketing
Kmart partakes in direct marketing through its website - Kmart.com and its smartphone app. The
website allows consumers the ability to purchase the same brands and products they love online.
Online shoppers also have the ability to buy their merchandise online and pick it up in stores. The
smartphone app contains a browse and search option, compare products option, personalized
savings, layaway management, and the option to buy and send gift cards. In addition, the app
allows consumers to take advantage of “Shop Your Way” rewards. This means shoppers can earn
points on purchases, redeem points to save money, and redeem special offers.
Interactive Internet Marketing
Kmart displays interactive internet marketing through the “My Kmart” community area of its website
and through social media. The website contains a variety of Q&A forums which include topics
such as: “Chit-Chat,” “Ask an Expert,” “Interests and Hobbies,” and “Community.” Consumers
have the ability to ask questions on any of these forums, and Kmart employees or other “My
Kmart” members will respond back to them. The “My Kmart” page also contains links to a
community poll, featured posts, and miscellaneous tips and tricks about books, home decor, DIY,
and more. In addition, Kmart has a Facebook page, Twitter account, and an Instagram account
which partake in interactive internet marketing. The Kmart Facebook page has 1,300,000 “likes.”
In comparison, Walmart has over 30,000,000 “likes,” and Target has over 22,000,000. The Kmart
Facebook page promotes products, services, and sweepstakes offers, while interacting with
consumers by “liking” comments and answering questions. The Kmart Twitter account has 52,000
followers. In contrast, Walmart’s Twitter account has 444,000 followers, while Target’s has
1,029,000 followers. The Kmart Twitter account also promotes products, sweepstakes, and
shares Kmart-related news. They interact with consumers by “retweeting” posts and answering
“tweets.” Finally, the Kmart Instagram account has 4,026 followers. In comparison, Walmart’s
Instagram has 16,000 followers and Target’s Instagram has 156,000 followers. The Kmart
Instagram account promotes new products and displays found at Kmart.
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Kmart IMC Plan

Sales Promotions
Like most other big retailers, Kmart uses coupons to attract customers. Kmart coupons can be
found in newspaper ads, online (coupon codes), and on the Kmart smartphone app. The
smartphone app allows consumers to receive personalized Kmart coupons.
Kmart also offers “Shop Your Way” rewards. Consumers can earn 10 points for every dollar they
spend on qualifying purchases at Kmart, Sears, and ShopYourWay.com. Those points can then be
redeemed on future purchases. Kmart members also have the added perks of members-only
sales, pricing, and events (Points for Progress, 2014).
This year, Sears Holdings Corporation launched its “Points For Progress” program and teamed up
with Fitstudio.com. “Points For Progress” is a fitness rewards program where consumers can earn
“Shop Your Way” rewards if they register for free at Fitstudio.com, connect to a fitness app or
device, and track their fitness-related activity. “Shop Your Way” members will earn $5 in points for
every 14 miles walked or run in 2014 (Points for Progress, 2014).
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Kmart IMC Plan

Target Audience
The perception is that Kmart has become lost in the “big box” retail market dominated by Target
and Walmart. The company has a suffered greatly from a lack of clear market and brand
positioning (Schultz, 2012). While Walmart markets to the working class and Target markets to a
more upscale female crowd, consumers are left wondering to whom does Kmart market?
(D'Innocenzio, 2012).
After researching Kmart’s market position, consumer base, and expansion opportunities, it is
recommended that Kmart focus on appealing to Generation X mothers (age 31-46 years). Based
on the growth and immense buying power of this market, Kmart could greatly improve it market
position by targeting this specific audience.
Marketing to Women
Currently, women are the largest marketing opportunity in the world. Women control $20 trillion in
annual U.S. consumer spending, and that number is expected to rise to $28 trillion by 2018.
Women actively participate in 85% of all consumer purchases, and 75% of women consider
themselves the primary shoppers for their households (Gilhool, 2013). In addition, women account
for 58% of all online spending. Statistics show that 78% of women consult the Internet before
making a purchase, and 22% of women shop online at least once per day. 95% of women share
online deals and product finds with their family, friends, and coworkers (Walter, 2012).
Mothers, specifically, represent a staggering $2.4 trillion market. Mothers mention brands
approximately 73 times a week, while men only mention brands around 57 times per week.
Mothers also make up a large portion of Internet users. 90% of mothers are online, and 18.3
million of those moms engage in blog reading at least once per month. Statistics show that 77%
of blogging mothers will only write about products or brands they approve of. In addition, 64% of
mothers ask other moms for advice before purchasing a product, and 63% of mothers consider
other moms the best references for new products (Walter, 2012).
Generation X
“Generation X encompasses the 44 to 50 million Americans born between 1965 and 1980” (Kane,
2014). Thus, the birth era for Kmart’s target market of Generation X falls between the ages of
31-46 years (Wang, Parker & Taylor, 2013). Statistics have shown that 63.9% of all mothers fall
into the Generation X category, and 58% of Generation X mothers are single moms. Their
household size typically consists of 2 or more members, and the marital status ranges from
married to single (Wang, Parker, & Taylor, 2013). Moreover, Generation X members are “more
ethnically diverse and better educated than the Baby Boomers. Over 60% of Generation X
attended college.” (Kane, 2014).
The income for Generation X mothers ranges from $25,000 (median) for a single working mom, to
$57,000 (median) for a family, upwards to $79,000+ (Wang, Parker, & Taylor, 2013). The annual
income for Target shoppers is around $64,000, while Walmart’s shoppers incomes range from
$30,000-60,000 (D'Innocenzio, 2012). Kmart will focus on appealing to Generation X mothers
whose income falls between $30,000-55,000.
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Kmart IMC Plan

Though Generation Xers live in every city in the United States, the largest clusters of this
demographic can be found in down south and out west (Dominant Generations, 2000). Since
Kmart is a national company, it will focus on appealing to Generation X members throughout all
locations in the United States, with a stronger focus on high Generation X population areas. Many
of these dense population areas are located in urban and suburban locations (Dominant
Generations, 2000).
Generation X characteristics include: individualistic, technology adept, flexible, and a strong value
for work/life balance. “Generation X came of age in an era of two-income families, rising divorce
rates and a faltering economy. Women were joining the workforce in large numbers, spawning an
age of ‘latch-key’ children. As a result, Generation X is independent, resourceful and self-
sufficient.” In addition, Generation X is technology adept. They were the first generation to grow
up with computers. “This generation is comfortable using PDAs, cellphones, e-mail, laptops,
Blackberrys and other modern technology.” Generation X is also considered a “flexible”
generation. “Many Generation Xers lived through tough economic times in the 1980s and saw
their workaholic parents lose hard-earned positions.” Because of this, “they adapt well to change
and are tolerant of alternative lifestyles. Generation X is ambitious and eager to learn new skills but
want to accomplish things on their own terms.” Finally, Generation Xers value a proper work/life
balance. “Members of Generation X work to live rather than live to work. They appreciate fun in the
workplace and espouse a work hard/play hard mentality” (Kane, 2014).
Customer Profiles
Below are two customer profiles that describe the target market Kmart would focus on appealing
to in the coming year.
Generation X Profile A:
Jennifer, 37, Charlotte, White/Caucasian, Gen. X
Traditional mother
Married, stay-at-home mother of 2 children (ages 2 and
4)
Income: $55,000
Ideals:
• Conservative, traditional, and practical
• Loyal, predictable shopper - always chooses familiar and established brands
• Consults the opinions of blogs and other mothers when looking to try out a new product
• Hard worker with an established daily routine
• Favors American brands
• Holds family and religion with high importance
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Kmart IMC Plan
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Generation X Proﬁle B:
Shirley, 31, San Diego, African American, Gen. X
Working Professional
Single, working mother with one child (age 1)
Income: $30,000
Ideals:
• Trendy and enjoys trying new things
• Regards the importance of a proper work/life balance
• Open to new ideas
• Liberal ideology, independent thinker
• Well-educated
• Employed full-time
• Budget-conscious
• Internet-savvy - reads blogs and interacts with social media daily
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Kmart IMC Plan
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SWOT ANALYSIS
Strengths, Weaknesses, Opportunities, & Threats
Internal Strengths Weaknesses
• Kmart has a strong company foundation
since 1899 (Corporate History, 2014).
• Kmart offers consumers an everyday
layaway program, while its competitors
only offer layaway during back-to-school
and holiday seasons.
• Kmart has success with its stores in urban
locations.
• Kmart offers many exclusive brands.
Some examples are as follows: Kenmore,
Craftsmen, Kardashian Kollection, Country
Living, and Sandra by Sandra Lee (About
Kmart, 2014).
• Kmart offers a wide variety of products
ranging from home goods, furniture,
apparel, shoes and groceries.
• Unlike its competitors, Kmart sells name-
brand appliances (About Kmart, 2014).
• Kmart offers a “Shop Your Way” rewards
program, where consumers can earn
points on merchandise purchased at
Kmart and Sears (Points For Progress,
2014).
• Kmart’s website is user-friendly and easy
for customers to navigate.
• Kmart offers a “buy online - pick up in
store” option, which can be accessed
online or via their mobile app.
• Kmart has a “My Kmart” online
community for consumers where they can
ask questions, vote on polls, and read
“blog-style” posts on a variety of topics.
• Because Kmart filed for Chapter 11
bankruptcy in 2002, the company has carried
over a damaged reputation in the minds of
most consumers (Corporate History, 2014).
• Kmart has suffered from a wide range of
serious financial problems since bankruptcy.
As recently as 2013, Sears Holdings reported
an annual loss of $914 million (Davis, 2014).
• Kmart’s prices are excessively higher than
those of its competitors, and due to economic
hardships, this could be a turn-off for most
consumers (Conover, 2012) .
• Kmart stores are known for being outdated,
not being adequately stocked, and having
empty shelves (Conover, 2012).
• Many consumers state that Kmart has poor
customer service. This is because Kmart
employees seem disgruntled and are
unavailable, especially when compared to the
employees of Kmart’s competitors (Conover,
2012).
• Kmart marketing budget is much lower than
that of its competitors. For example, Kmart
spent $215 million on measured media in
2012. Walmart spent $622 million and Target
spent $683 million (Schultz, 2012).
• Unlike its competitors, Kmart lacks direction
with store concepts and doesn’t focus on
appealing to a specific target market.
• Kmart does not have a strong, loyal customer
base to rely on.
• All of Kmart’s social media accounts (Twitter,
Facebook, and Instagram) have significantly
less followers than those of its competitors.
• Kmart’s recent advertising campaigns have
been called “risque” and “inappropriate for
families.” This is not reflective of other
advertising campaigns among its competitors,
and it could put them at a large disadvantage
among female consumers (Berg, 2013).
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Kmart IMC Plan

External Opportunities Threats
• Kmart can implement strategic training
programs to help employees better
represent the brand’s new image and
increase customer service satisfaction.
• Kmart can begin building a strong brand
image by focusing on appealing to its new
target market and thus, begin building a
loyal customer base.
• Kmart can use this $20 million IMC
campaign to increase marketing
awareness among consumers and better
compete with its “Big 3” competitors.
• Kmart stores can be completely
redesigned and changed from outdated
and empty to a more modern, up-dated,
and simplistic style.
• Due to closing hundreds of stores, Kmart
can better manage, update, and maintain
those stores which are still open.
• Kmart can take advantage of its social
media outlets to appeal to its target market
through advertising and interactive Internet
marketing. This should generate more
publicity and interest from more followers.
• Kmart can generate mergers from well-
known companies or brands, which would
appeal to its target market.
• Kmart can focus on making its coupons
even more personalized by offering
customized coupons based on a
customer’s previous purchases. This could
help reduce the need for price matching.
• Kmart can use its previous urban success
to its advantage and launch smaller
“express”-type stores to target consumers.
• Kmart can use the blog-style format of its
“Kmart Cares” community to start
attracting the interest of its target market.
• Walmart is the largest discount store in the
United States, and it offers its consumers
better discount prices than Kmart because of
its supply chain practices (D'Innocenzio,
2012).
• Walmart offers the lowest prices, most vast
inventory, and widest variety of services (vision
center, portrait studio, health center, hair
salons, etc) among the “Big 3” (Conover,
2012).
• Walmart is moving into Kmart’s successful
urban areas with Walmart Express stores.
The stores range from 12,000-15,000 square
feet and are described as being “hybrid”
grocery, pharmacy, and connivence stores
(Kim, 2012).
• Target is the 2nd largest discount store in the
United States, and its marketing strategy is
speciﬁcally directed at women D'Innocenzio,
2012).
• Target’s stores are updated in appearance
and contain fashionable items known for their
quality and modest prices. In addition,
Target’s employees are known for being
helpful (Conover, 2012).
• Target is also moving into urban areas with its
smaller CityTarget stores. Unlike Walmart
Express stores, which focus on groceries,
CityTarget will carry “anything from jellies to
jeans.” The stores will range from
80,000-100,000 square feet (Bradford, 2012).
• The bad economy continues to be a major
factor in the amount of money people choose
to spend in retail.
• Kmart has suffered from not catching
consumer interests in the past. As consumer
needs and wants change, it may be difﬁcult for
Kmart to attract their interest and keep up
with/stay ahead of the ever-changing market.
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Kmart IMC Plan

Marketing Objectives &
Strategies
Marketing Objectives
1. Improve the features and beneﬁts of shopping at Kmart, leading to a 2% increase in sales in 6
months, among the target audience.
2. Improve Kmart’s overall brand-perception by 5% within 8 months among the target audience
3. Increase awareness of Kmart and its brands by 15% within 12 months among the target
audience.
4. Reduce poor customer satisfaction by 20% within 12 months among the target audience
5. Increase purchases at Kmart by 3% within 12 months among the target audience.
Marketing Strategies
1. Develop sales promotion strategies to improve the features and beneﬁts of shopping at Kmart
2. Utilize social media to connect with working mothers and improve Kmart’s overall brand-
perception
3. Create paid advertising campaigns to increase awareness of Kmart and its brands
4. Utilize public relations to promote Kmart’s new comprehensive employee training and reward
programs, which will help reduce poor customer satisfaction
5. Utilize direct marketing to increase Generation X mothers’ purchases made at Kmart
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Kmart IMC Plan

Creative Strategy
“Save time and money on what you really love”
Other Integrative Creative Statement Ideas
• “Personalized savings for your family’s personalized needs”
• “Save money and time by shopping your way”
• “Family time is personal, we think savings should be too”
• “Spend time saving money”
• “Big brands - even bigger savings”
• “Your favorite brands at prices you’ll love”
• “One-stop shopping on all of your favorite brands”
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Kmart IMC Plan
Vast product range
Exclusive and name-brand products
Affordable prices
Energy-star appliances
Personalized coupons
“Shop Your Way” rewards
One-stop shopping experience
Want to save money
Want to save time

Appreciate good customer service
Products for every family’s needs
Stress-free shopping experience
Appreciate value
Brands are important
Rational Factors
(Product Related)
Emotional Factors
(Consumer Oriented)

Creative Brief
Client: Kmart Date: 2/3/13
Type: IMC Pages: 1

Why are we developing this IMC campaign?
To increase Kmart sales and brand-awareness among mothers in the Generation X demographic.
Whom are we talking to?
Busy Generation X (31-46 years) mothers that are brand-savvy and price conscious.
What do they currently think?
Shopping at Kmart can be very time-consuming because their stores are unorganized and
outdated. Their brands and products are also overpriced.
What would we like them to think?
Shopping for your favorite brands is quick and easy at Kmart. Kmart has the low prices moms are
looking for on a vast range of name-brand products they love.
What is the single most persuasive idea we can convey?
Kmart offers affordable prices on all of their favorite brands and products in a convenient one-stop
shopping location.
Why should they believe it?
It is Kmart’s mission to improve the lives of their customers “by providing quality services, products
and solutions that earn their trust and build lifetime relationships (Farfan, 2014)." Generation X
mothers will appreciate that Kmart seeks to build a relationship with them by providing a quick and
easy shopping experience, and affordable prices on the brands and products that appeal to them.
Are their any creative guidelines?
• Use Kelly Ripa to promote Kmart and its integrative creative statement across IMC media
platforms using “Kelly @ Kmart”:
• 30 second TV commercials, full page magazine ads, Social Media, Internet ads, smartphone
app, YouTube, in-store display ads, and direct mail/email marketing.
• Our brand personality should be portrayed as being relatable, genuine, and family-oriented.
• Our identity standards should include our traditional red Kmart logo, our new integrated creative
statement with the word “really” in italics, and the Kelly Ripa promotion: “Kelly @ Kmart.”
• The tone of this IMC campaign should be fun and informative.
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Kmart IMC Plan

Creative Execution
Sample Magazine Ad:
• Please see Appendices A-B to view what other examples of print distributions to reach this
demographic would look like.
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Kmart IMC Plan
Creative Execution
• Other options:
• Kelly with her kids wearing Kmart brands
• Kelly using a new Kmart smartphone app to ﬁnd personalized coupons for her and her family
• Kelly at home using Kenmore brand appliances
• Kmart shopping in a newly designed Kmart store
• Kelly tweeting about Kmart and its brands: #Kelly@Kmart
Kelly
(photo credit: searsholdings,com)
Jamie Huggins
Kmart IMC Plan
Kelly @
Save time and money
on what you really love
(photo credit of Kelly: ladyandtheblog.com and Colgate)

Media Plan
Kelly Ripa is well-liked among the Generation X mothers target audience. Speciﬁcally, Ripa has
has been able to “win over devotees with her self-deprecating good humor and wise approach to
the tricky trials of child rearing” (Kennedy, 2009). Kmart will take advantage of Ripa’s humor and
reliability to reach Generation X mothers using the “Kelly @ Kmart” promotion across broadcast
media, digital media, social media, and print media.
Media Objectives
1. Use broadcast media to provide coverage to 15% of the target audience over a 12 month
period
2. Use broadcast media to drive 4% of the target audience to social media over a 12 month
period
3. Use print media to reach 10% of the target audience in the next 12 months
4. Use digital media to reach 5% of the target audience over a 12 month period
5. Reach 15% of the target audience through social media advertisements in the next 12 months
Media Strategies & Tactics
1. Create 30 second TV commercials to promote “Save time and money on what you really
love” featuring Kelly Ripa
• Frequently air 30 second commercials Monday - Sunday from 6:00 am - 11:00 am on ABC
and NBC during Good Morning America, LIVE with Kelly & Michael, and The Today Show.
Periodically air 30 second commercials Monday - Sunday throughout the afternoon and
evenings on the networks of Lifetime, OWN, and Oxygen.
• TV commercial ideas include:
• Kelly shopping at newly designed Kmart stores
• Kelly using Kenmore appliances to make lunch for her kids at home
• Kelly using the “Shop Your Way” rewards app to download personalized coupons
• Kelly wearing Kmart brands at work and receiving compliments from colleagues
• Back to school commercials featuring Kelly shopping at Kmart with her kids for school
supplies
• Christmas commercials featuring Kelly taking advantage of Kmart’s free layaway or
ordering online and receiving free shipping
• Kelly advertising the new “Kelly’s Favorites” print and online catalogue
• Commercials will use Kelly Ripa to help portray Kmart as being relatable, genuine, and family-
oriented, and the new creative slogan: “Save time and money on what you really love” will be
also featured in every commercial.
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Kmart IMC Plan

• In order to help drive the Generation X mothers to social media, commercials will also contain
the hashtag: #Kelly@Kmart. This will allow Kmart to help identify consumers, who are
watching the commercials. It will also allow for Kmart to target people who are talking about
specific commercials related to the “Kelly @ Kmart” campaign on Facebook and Twitter.
2. Create four color, full page magazine ads to promote the “Kelly @ Kmart” campaign
• Print full page, four color magazine ads to be featured in Cosmopolitan, Redbook, Woman’s
World, Good Housekeeping, and O, The Oprah Magazine.
• Magazine ad ideas include:
• Kelly using the “Shop Your Way” app to find personalized coupons for her and her family
• Kelly at home using Kenmore brand appliances
• Kelly shopping in a newly designed Kmart store
• Kelly promoting the “Kelly @ Kmart” sweepstakes
• Magazine ads will use Kelly Ripa to help portray Kmart as being relatable, genuine, and
family-oriented.
3. Create Internet banner ads to promote the “Kelly @ Kmart” campaign
• Banner ads create awareness without being distracting like pop-up advertisements .
• Banner advertisements will be showcased on:
• livekellyandmichael.dadt.com
• Kmart.com
• Google searches related to Kelly Ripa and/or Kmart
• Kmart smartphone app
• “Shop Your Way” smartphone app
• “Kelly @ Kmart” microsite
• Kmart YouTube videos or blogger videos
• Blogger websites
• Social media (Facebook & Twitter)
4. Use ad targeting and purchase promoted trends, tweets, accounts to advertise the “Kelly @
Kmart” campaign on Twitter
• Kmart will purchase promoted trends (hashtag topics that are currently trending) and
promoted tweets (individual tweets that are highlighted) to advertise the “Kelly @ Kmart”
campaign on Twitter. Kmart will promote hashtag trends such as: #Kelly@Kmart, and it will
promote tweets like: “Kelly’s coming to Kmart. Get ready for some big changes!
#Kelly@Kmart.” Consumers will view promoted tweets in two sub-formats. Tweets that
appear in their Twitter feed even if they don't follow “Kelly @ Kmart,” and tweets that are paid
to appear in response to their searches on Twitter (Edwards, 2013).
• Kmart will also take advantage of Twitter’s promoted account option for its “Kelly @ Kmart”
account. “The promoted account ad goals are to increase the number of relevant followers
to a Twitter profile. The ads are featured in Twitter search results and within the ‘Who To
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Kmart IMC Plan

Follow’ section. Promoted accounts are suggested to users based on ad targeting on
desktops and mobile” (Raehsler, 2014).
• Lastly, Kmart will use ad targeting to capture the attention of Generation X mothers on Twitter.
Ad targeting will allow Kmart to use its “Kelly @ Kmart” campaign to “link performance back
to interests.” In addition, it will allow Kmart the following options to target its ads: by
interests, by gender, by followers, through keyword matching, by television, through different
device and platform options, by geography, and through tailored audiences (Raehsler, 2014).
5. Purchase sponsored stories and promoted posts and publish page post ads to advertise
the “Kelly @ Kmart” campaign on Facebook
• Kmart will purchase sponsored stories to attract more users and traffic to its “Kelly @ Kmart”
Facebook page. “Sponsored stories are built around user activity.” Kmart will pay to
highlight a company-related action that its followers have already taken on Facebook or
within the Facebook app. “That action is shown to a user’s friends, either in the sidebar or in
News Feed. Sponsored Stories cannot be used to reach an audience that is not connected
to the page or app through a friend.” Some examples of user-related actions and activities
are: page “likes,” check-ins, link shares, and claim offers (Darwell, 2013).
• Kmart will also publish page post ads on its “Kelly @ Kmart” Facebook page. Page post ads
can be “links, photos, videos, offers, events, questions or statuses” (Darwell, 2013). For
example, the “Kelly @ Kmart” Facebook page could contain a page post ad of Kelly Ripa
using a Kenmore appliance at home with her family, or it could show a status talking about
the “Kelly’s Favorites” catalogue. All users have the option to view these types of ads.
• Lastly, Kmart will purchase promoted posts to attract more users and traffic to its “Kelly @
Kmart” Facebook page. “Promoted Posts are page posts that get additional paid reach in
News Feed among fans and friends of fans as a result of using the page’s Promote button.”
This type of advertisement is only shown to a page’s existing fans, but they do have the
ability to reach friends of fans as well (Darwell, 2013).
Media Flow Chart
• Please view Appendix C to see an example of what the media flow chart for this section of the
IMC plan would look like.
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Kmart IMC Plan

Public Relations Plan
Public Relations Objectives
1. Increase brand visibility and favorability among the target audience by 10% within a 12 month
period
2. Generate at least 10 positive major news reports about Kmart through publicity over the next 6
months
3. Increase positive social media trafﬁc among the target audience by 15% within a 12 month
period
4. Increase Kmart credibility through philanthropic community events and sponsorships geared
towards the target audience by 20% over the next 12 months
5. Use PR strategies to help reduce the Kmart employee turnover rate by 8% within a 12 month
period
Public Relations Strategies & Tactics
1. Increase brand visibility and favorability among the target audience by redesigning the
“Kmart Cares” website, and writing fact sheets and press releases about all of the changes
taking place at Kmart
• Redesign the “Kmart Cares” website to include an improved blog-style format to appeal to
the target audience. Regularly post articles on new products and brands that will be featured
at Kmart. Feature reviews of Kmart brands or products (clothing, beauty, DIY, etc) sent out to
popular bloggers. Allow consumers to comment on reviews an postings. In addition,
consumers would have the option to review products or share DIYs from products they
purchased at Kmart and even rate them. Lastly, include links to the blog on the Kmart
website and social media channels.
• Increase brand visibility and favorability by writing creative and innovative press releases that
will capture the attention of the news media and the intended target audience. Create
marketplace excitement by featuring the new “Kelly @ Kmart” promotion and writing fact
sheets that detail these new changes that are taking place within the company. Win
credibility among targeted consumers through publicizing Kmart philanthropic community
events. Improve overall consumer satisfaction with the Kmart brand by promoting Kmart’s
new, comprehensive employee training and rewards programs, and arouse interest in the
Kmart brand by discussing upcoming remodeling of Kmart stores. Ensure all
communications are highly visible to all audiences and include hot-links to social media
channels. Reach out to the appropriate media networks and magazines to cover the stories.
2. Generate positive news reports by holding press conferences, reaching out to major media
networks, and encouraging a strong media presence at corporate and local events
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Kmart IMC Plan

• Generate press conferences to discuss the new changes coming to Kmart such as: the
“Kelly @ Kmart” promotion, philanthropic community events, new employee training and
benefits programs, and upcoming remodeling of Kmart stores, etc. Make sure each reporter
receives a media kit containing relevant information about the press conference.
• Reach out to major media networks and send out brief press releases discussing the
changes that are taking place within Kmart.
• Encourage the presence of media at any press releases and corporate or local events
sponsored by Kmart.
3. Increase positive social media traffic among the target audience through the creation of
“Kelly @ Kmart” social media channels, inclusion of social media sharing tools, consistent
consumer engagement, and quick responses to any negative media
• Increase social media traffic among the target audience through the creation of “Kelly @
Kmart” Facebook, Twitter, and Instagram pages. Regularly share social media content
(advertisements, polls, contests, updates, videos, and pictures) across all 3 media platforms
and implement social sharing tools to each medium. Also, include social sharing tools on the
“Kelly @ Kmart” microsite. This will help create awareness and encourage 3rd party blogging
and sharing.
• In addition, link the “Kelly @ Kmart” social media pages to the main Kmart social media
accounts and webpage. For example, share some of the “Kelly @ Kmart” videos,
advertisements, and pictures on the main Kmart pages to create cohesiveness and more
awareness.
• Frequently engage with and thank customers on Facebook, Twitter, and Instagram on all
Kmart-related social media accounts.
• Research and address any negative social media postings within 1/2 hour of their original
post time if possible. Either respond to these posts personally, or if there are many negative
posts about the same concern, respond with a generalized post that addresses it.
4. Increase Kmart credibility by hosting local community-based philanthropic events and
sponsorships directed at children
• Focus on Kmart’s dedication to families by hosting local community-based events and
sponsorships directed at children. These events will generate positive publicity and help PR
create a more credible overall image for the Kmart brand. Throughout the United States,
each Kmart would be responsible for hosting the event and directing it towards the specific
wants and needs of the community.
• Kmart would use these events to not only attract the attention of its target market, but also
help raise money for non-profit organizations throughout the community. For example, Kmart
could partner the Humane Society and host a pet adoption day, or Kmart could partner with
a local children’s hospital and help raise money for sick kids.
• At each event there would be child-related activities such as: music, photo-booths, face-
painting, food, games, balloon-artists, characters in costume, etc.
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Kmart IMC Plan

• Local Kmart stores would be required to hold at least 2 of these events per year.
• Before the events, each Kmart store should reach out to local media to publicize the story
and encourage a strong media presence at the events. Flyers promoting the events would
be available in Kmart stores and detailed descriptions of the events could be found online.
5. Help reduce Kmart employee turnover by writing frequent newsletters and press releases
about new employee training programs and reward programs. Publicize the changes on
social media in order to help reduce customer dissatisfaction
• Use PR strategies to help reduce the rate of employee turnover and encourage better
communication policies. Kmart would begin the process by allowing employees the option
to vent anonymously about any problems they see within the company. Newsletters would be
sent out to all employees regarding this venting process as well as upcoming, new, positive
changes.
• After the venting process is complete, Kmart would review the information and begin to
implement regional employee training programs. All departments would be required to
attend these training sessions, and there would be specific classes and lessons geared
towards each department. Kmart would also implement online training programs that could
be completed from work or home. This combination of online and regional training would
help employees to become more knowledgeable about the company and their positions.
Newsletters would once again be sent out to all employees regarding the training programs.
Information about the programs would also be posted on the Internet through press releases
and on social media.
• In addition, Kmart would put into practice the concept of having regular staff meetings at
each individual Kmart store. These staff meetings would allow employees and managerial
staff the opportunity to communicate clearly with one another about new developments
within the store, employee benefits, problems, and/or questions. Employees could find out
more information about the staff meetings through regional, weekly newsletters.
• Finally, Kmart would implement an employee reward program to reward employees for
outstanding work, behavior or ideas. The reward program would help Kmart staff to feel
more motivated and needed. It would also help increase employee retention levels. Rewards
could include: bonuses, recognition speeches, plaques, promotions, paid-vacations, team
incentives, and nominations. Newsletters would be sent out to all employees about the new
employee rewards programs. Information about the programs would also be posted on the
Internet through press releases and publicized on social media. Employees, who are
rewarded, would be featured on Kmart’s website and in a regional newsletter.
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Kmart IMC Plan

Direct Marketing Plan
Direct Marketing Objectives
1. Obtain a click-through rate of 3% among the target audience for digital and social media links
contained in the weekly email newsletter in a 12 month period
2. Obtain an overall response rate of 4% among the target audience for all discount codes that
will be printed in future monthly mailing promotions over a 12 month period
3. Obtain at least 10,000 new names in the target audience database due to the “Reward Offered
Card” located in the “Kelly’s Favorites” catalogue in a 12 month period
4. Obtain an overall response rate of 2% among the target audience for the $15 Kmart credit that
will be issued for referring family and friends to the “Kelly’s Favorites” catalogue over a 12
month period
Direct Marketing Tactics
1. Increase the click-through rate by creating a “Kelly @ Kmart” email newsletter with clickable
buttons and links to Kmart’s website, the “Kelly @ Kmart” microsite, Kmart Cares blog, and/
or all social media accounts
• Search Kmart databases for customers that fall within the target market category of
Generation X mothers and send out weekly email newsletters (3x’s per week) to those
consumers to help promote the “Kelly @ Kmart” campaign. The newsletters would feature a
catchy subject-line to encourage the reader to open it. For example: “BOGO Free on Joe
Boxer - Online and In-stores!” Another example could be: “FREE SHIPPING ON
EVERYTHING- Today Only!”
• Upon opening the email, readers would see the banner, which would contain the Kmart logo
and the “Kelly @ Kmart” promotional tagline. Below the banner, each newsletter would
contain a short, personalized greeting to welcome the audience. Readers would then be
presented with main offer. It would stand out from the rest of the information (printed in a
different font and/or color), be easy to read, and be simple to understand. The main offer
would vary by newsletter, but it would always be relevant to the subject-line. Some examples
of main offers include: gift ideas, featured products, coupons, sales, referrals, social media
contests, and sweepstakes. The content of the newsletter would be located underneath the
main offer. Again, it would be easy to understand, and it would further describe the main
point in short, concise paragraphs.
• Besides containing information, the email newsletter would also contain relevant imagery,
clickable buttons or links (to Kmart’s website, “Kelly @ Kmart” microsite, or Kmart Cares
blog), social media icons (to allow for sharing and obtaining trafﬁc), an app store icon (to lead
users to the downloadable Kmart app), and a feedback or survey invitation (located at the
bottom of the newsletter).
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Kmart IMC Plan

2. Increase the response rate by using discount codes printed on monthly mailings
• Create a mailing list speciﬁcally for the target audience of Generation X mothers and send out
direct mailings once a month to those consumers. The mailings would be the size of a
postcard and be printed on glossy card-stock. There would be no envelope.
• “Kelly @ Kmart” Example: On the front of the postcard, customers would see a picture of
Kelly Ripa shopping at Kmart, the Kmart logo, and the new, creative slogan: “Save time and
money on what you really love.” On the back of the postcard, consumers would read: “Big
things come in small packages, right? Here are some BIG savings to celebrate Kelly coming
to Kmart!” Below those statements, there would be 1 offer printed on the postcard itself. The
offer would include a 15% off discount code on new brands and products exclusive to
Kmart. It would also be targeted at brands or products mothers are more likely to purchase.
• Kmart customers could take the postcard into their local Kmart store and purchase the
advertised items or brands that were featured. At checkout, a store associate would scan
the coupon code on the postcard to give the customer their discount and keep track of the
effectiveness of the direct mail campaign.
• The imagery and postcard theme would vary every month. For example, besides promoting
the “Kelly @ Kmart” campaign, the “Shop Your Way” rewards program could be promoted via
monthly mailings.
3. Obtain at least 10,000 additional names in the distribution database of the new “Kelly’s
Favorites” catalogue and increase the response-rate by using $15 credit rewards for
referring family and friends
• Create a small catalogue for Kmart called “Kelly’s Favorites” that would be sent out to the
target audience once every 4 months and also be featured online. The catalogue would be
around 15-20 pages in length, and it would feature “Kelly’s Favorites.” “Kelly’s Favorites” are
mid-range priced products from Kmart that Kelly Ripa loves. Some category examples are:
home goods, furniture, shoes, apparel, and jewelry. In addition, these products are all Kmart
exclusives. Every time the catalogue is released, it would contain a new set of “Kelly’s
Favorites.” Each catalogue will also contain at least 1-2 items that are only available in the
catalogue. If consumers wish to purchase those items, they must do it through the
catalogue or online via the Internet catalogue.
• For customers that chose to take advantage of the online catalogue, they would have the
additional option to add any product to a personal “(Customer Name) Favorites” page.
Consumers could view this page by logging in to their Kmart account. Items on this page
could be shared on social media accounts. Speciﬁcally, if a consumer “likes” a particular item
online in the catalogue, they would then have the option to share it on Facebook or Twitter.
On Facebook, for example, their friends would see a link with a picture of the item and a
subject-line promoting the Kmart catalogue and that individual’s favorites page. If their friend
clicks on the link, they would be prompted to submit their email and mailing address to begin
receiving issues of the catalogue.
• Include a “Reward Offered” card in the “Kelly’s Favorites” print catalogue. The “Reward
Offered” card would give Kmart customers the option to submit the names, addresses and
email addresses of up to 5 of their friends to receive a print copy of the Kmart catalogue. If
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Kmart IMC Plan

any of their friends order from the catalogue upon receiving it or viewing it online, the original
customer will be rewarded with a $15 Kmart credit to spend with their next catalogue
purchase and free shipping for that same order.
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Kmart IMC Plan

Sales Promotions Plan
Sales Promotions Objectives
1. Improve the features and benefits of the Shop Your Way rewards program, leading to a 5%
increase in new memberships among the target audience, over a 12 month period
2. Increase sales generated by Shop Your Way social and mobile interaction and sharing by 3%
among the target audience in a 12 month period
3. Obtain a 3% redemption rate among the target audience for coupons offered on the “Shop
Your Way” smartphone app in a 12 month period
4. Obtain at least 75,000 entries for the “Kelly @ Kmart” sweepstakes, leading to a 1% increase in
sales among the target audience, in a time period of 120 days
5. Increase website traffic among the target audience by 2% during the “Kelly @ Kmart”
sweepstakes in a time period of 120 days
Sales Promotions Tactics
1. Improve the Shop Your Way rewards program and increase new memberships by offering
birthday rewards, special discounts, and allowing coupons to be directly loaded to the card
• Currently, Kmart offers its consumers a reward program called “Shop Your Way” rewards.
Members earn 10 points for every dollar they spend at Kmart, Sears, and
ShopYourWay.com. Those points can then be redeemed on future purchases (Points for
Progress, 2014). Under this IMC plan, the Shop Your Way rewards program would be
upgraded. Instead of just offering “point rewards,” the program would begin to offer birthday
rewards and special discounts for loyal shoppers. For example, during a customer’s birthday
month, Kmart would send them a $10 reward if they are apart of Shop Your Way. Shop Your
Way members would also be rewarded every 4 months for frequently shopping at Kmart.
These rewards could include special savings, access to special shopping events, $5 or $10
rewards, or a free product. These rewards could be redeemed both online and in-stores.
• Besides offering birthday rewards and special discounts, Shop Your Way members would
also have the added benefit of being able to add Kmart coupons to their Shop Your Way
rewards card. For example, at checkout, the customer would give their card to the cashier to
scan. Once the card is scanned, all discounts and coupons they loaded would be applied to
their purchase. This would alleviate the need for the customer to bring in multiple coupons,
yet still allow Kmart to track the success of any campaigns or promotions going on at that
time.
2. Increase sales by offering various point rewards for Shop Your Way related social and
mobile media interaction and sharing
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Kmart IMC Plan

• Shop Your Way members would begin earning points for “sharing” or “re-tweeting” social
media content posted by Kmart. For example, if a consumer shared a tweet from Kmart’s or
Kelly@Kmart’s Twitter page, they would earn 5 points to redeem on future purchases. At
certain times during the year, there would also be more points available for consumers to
earn.
• Consumers would also be able to earn points by following Kmart’s social media accounts.
For example, if a Shop Your Way member started following Kmart on Twitter, they would earn
30 points.
• Shop Your Way members could also earn points through mobile loyalty. For example, if a
consumer performed a mobile “check in” at the their local Kmart (on Facebook, Foursquare,
etc), they would earn 10 points. This action could be done up to 2 times per week. In
addition, Shop Your Way members could earn points by signing for SMS text alerts. This
would be a 1 time option, and every Shop Your Way member who opted for Kmart SMS text
alerts would earn 50 points. Finally, members could earn points for reviewing products online
or via the Kmart smartphone app. For every product reviewed, members would earn 5
points.
3. Offer personalized prices to consumers via the Shop Your Way smartphone app to track
and grow redemption rates
• Kmart will begin offering weekly personalized prices to customers via the Shop Your Way
smartphone app. “Personalized offers can drive up sales by increasing the number of
customer visits to stores and ‘basket size,’ industry lingo for total purchases” (Kharif, 2013).
Therefore, instead of trying to compete with Walmart and offer the “lowest” prices, Kmart will
instead offer its consumers personalized prices based on their shopping history. The coupon
list would contain 100-150 coupons, and they would be sorted by relevance to each
shopper. For example, if one mother typically bought a lot of baby products, she would see
those listed ﬁrst. However, if another mother never bought baby products, those would not
be the ﬁrst coupons she would see. Upon viewing the coupon list, consumers would be able
to choose the ones that they want and have them loaded to their “Shop Your Way” rewards
card. As stated above, the card could be scanned at checkout, and all previously chosen
coupons would be immediately applied to the purchase.
4. Obtain 75,000 entries for “Kelly @ Kmart” sweepstakes by offering promotional codes to
encourage more Kmart purchases
• Rules: The “Kelly @ Kmart” sweepstakes would run for 120 days. Every time a customer
would make a purchase at Kmart, Kmart.com, or through the “Kelly’s Favorites” catalogue,
they would receive a promotional code of generated letters and numbers printed on their
receipt. The code could be entered online via the “Kelly @ Kmart” microsite on the “Kelly @
Kmart” sweepstakes page. All Kmart consumers could enter the sweepstakes multiple
times. It would solely be contingent on how many times they shopped at Kmart during the
120 day period and submitted the promotional codes on their receipts.
• Prizes: All winners would be picked randomly. The more promotional codes they submit, the
better chance they have of winning. The grand-prize winner would win an all-inclusive 3 day
trip to NYC for 2. The grand-prize winner would also attend and be featured on LIVE with
Kelly and Michael and receive a $1,500 gift card at Kmart. There would be 2 runner-up
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Kmart IMC Plan

winners. They would each receive a $1,000 Kmart gift card. There would be 4 third place
winners. Each winner would receive a $500 gift card to Kmart. Lastly, there would be 10
other winners chosen, who would receive $100 Kmart gift cards.
5. Increase website trafﬁc during the “Kelly @ Kmart” sweepstakes by offering promotional
codes that must be entered online
• As stated above, the “Kelly @ Kmart” sweepstakes will last for a time period of 120 days. In
order to increase sales and website trafﬁc, promotional codes would be printed on customer
receipts from Kmart, Kmart.com, and the “Kelly’s Favorites” catalogue. Every time a
consumer would make a purchase in-store, online, or via the catalogue, they would receive a
receipt with a generated promotional code printed on the bottom of it. In order to be eligible
for the sweepstakes, the customer must submit the code on the “Kelly @ Kmart”
sweepstakes page of the “Kelly @ Kmart” microsite. Links to the sweepstakes page would
also be found on Kmart’s main website, email newsletters regarding the sweepstakes, and
across all social media channels. Consumers could enter multiple codes, depending on how
many times they shopped at Kmart during the 120 period.
30
Kmart IMC Plan

Measurement & Evaluation Plan
Measuring and evaluating the effectiveness of Kmart’s $20 million IMC plan is integral to its working
success, and it offer Kmart advantages such as: avoiding costly mistakes, evaluating alternate
strategies, increasing advertising efﬁciency, and determining if objectives are achieved (Belch &
Belch, 2012). Using the pre-tests and post-tests proposed below, along with thorough research,
Kmart is likely to see positive results from these evaluations.
Pre-testing
1. Concept testing for ads and campaign themes
• Concept testing will be implemented to measure the future success of ads and campaign
themes found throughout this IMC plan. Concept testing will be completed via focus groups
and Internet surveys.
• Focus group characteristics:
• Made up of 8-10 female members
• Ages of 31-45
• Stay-at-home traditional mothers
• Working traditional mothers
• Working single mothers
• Test market areas:
• Northwest: Seattle, WA
• Southwest: San Diego, CA
• North: Chicago, IL
• South: Houston, TX
• Northeast: New York, NY
• Southeast: Charlotte, NC
• Some of the main ideas focus groups will be evaluating are as follows: the overall
message of this IMC plan, the new, creative statement, the use of Kelly Ripa as a
spokesperson, and the overall message of the “Kelly @ Kmart” campaign.
• Internet survey participant characteristics:
• Female
• Ages 31-45
• Must be mothers (traditional, single, working, or stay-at-home)
• Internet surveys will evaluate the use of Kelly Ripa as a spokesperson to Generation X
mothers, the new, creative statement, and rough sketches of print ads and TV
storyboards found throughout the “Kelly @ Kmart” campaign.
2. Comprehension and reactivity tests for advertisements, headlines, and illustrations
31
Kmart IMC Plan

• Comprehension and reactivity tests will be implemented through focus groups and group
interviews. The purpose of these tests is to assess responses to rough sketches of future
ads, headlines, and illustrations found throughout the media plan, public relations plan, direct
marketing plan, and sales promotions plan. Respondents will discuss colors used, typeface,
overall design of ads, etc.
3. Copy testing of ﬁnished print messages
• Finished and rough print ads will be evaluated through the use of copy testing. Copy testing
will expose groups to different print ads found throughout the media plan and direct
marketing plan. This type of testing will take place in the respondents‘ homes. Copy testing
will measure the respondents’ “emotional responses to ads, assessing metrics such as
enjoyment, engagement, likes, and dislikes to address overall emotional response” (Belch &
Belch, 2012).
4. On-air testing of broadcast media
• On-air testing will be implemented in order measure the respondents’ recall of the broadcast
media ideas proposed in this IMC plan. The primary metric being employed in this style of
testing is “the number of persons able to recall the ad and its message” (Belch & Belch,
2012). The respondents’ level of recall will help predict the success of the ads.
Post-testing
1. Recognition tests for print media
• Recognition tests, following Starch test methodology, will be administered to measure the
success of all print media related to this IMC plan. These tests will assess the impact and
effectiveness of ads in a single magazine, across multiple/different magazines, and over time
(Belch & Belch, 2012). For example, the ads for this IMC plan will be found in Woman’s
World, O, Cosmopolitan, Redbook, and Good Housekeeping magazines.
2. Tracking studies for broadcast media, print media and sales promotions
• Single-source tracking studies will be administered to track consumers’ retail behavior after
being exposed to broadcast media. This method will track the effects of different ad
budgets, different ad copy versions, and ad-related sales in this campaign using single-
source tracking systems such as Scan-Trak, Behavior Scan, and IMS (Belch & Belch, 2012).
• Tracking studies will also be administered to speciﬁcally measure the success of broadcast
media and print media. These studies measure the effects of “advertising on awareness,
recall, interest, and attitudes toward the ad and/or brand as well as purchase
intentions” (Belch & Belch, 2012). While this type of tracking will used for both the print and
broadcast media found throughout this IMC plan, it will mainly focus on the latter. Tracking
studies will be administered through phone surveys, mail surveys, and personal interviews.
• Awareness tracking studies will also be used to “count the number of inquiries, coupon
redemptions, and sweepstakes entries” for tactics found in the sales promotions section
(Belch & Belch, 2012).
32
Kmart IMC Plan

3. Number measurement for sales promotions and direct marketing
• Sales promotions and direct marketing efforts such as: emails, coupons, sweepstake entries,
website hits, and catalogue requests would best be measured through an actual number of
participants i.e. quantitative data. Computers, scanners, other electronic devices, and data
entry systems would allow Kmart to keep track of the total number of participants in the
many proposed sales promotion and direct marketing tactics found throughout this IMC plan.
33
Kmart IMC Plan

Conclusion
The integrated marketing communications (IMC) approach seeks to “generate both short-term financial
goals and long-term brand and shareholder value” by planning, developing, executing, and evaluating
“coordinated, measurable, persuasive brand communications programs over time” (Belch & Belch,
2012). This IMC plan follows that approach by allowing Kmart to strategically integrate all of its
communications functions in order to present one, cohesive message across all platforms. In addition,
this synergistic approach will allow Kmart the opportunity to grow throughout 2014.
Since its origins in 1899, Kmart has been known for its strong corporate history (Corporate History,
2014). Though it has felt the test of time and suffered from various financial issues, this IMC plan offers
Kmart a way to help regain its footing and hasten its growth by entering into the Generation X mothers
market. Generation X currently encompasses 44 to 50 million Americans, and mothers make up 69% of
this massive market (Wang, Parker, & Taylor, 2013). Mothers also offer Kmart a staggering $2.4 trillion
market to tap in to (Walter, 2012).
This IMC plan will capture the attention of Generation X mothers by hiring celebrity talk-show host, Kelly
Ripa (also a Generation X mother), to promote Kmart’s new “Kelly @ Kmart” campaign and the new,
creative slogan: “Save time and money on what you really love.” Kelly Ripa will also help present Kmart
as being a genuine, relatable and family-oriented brand across all areas of traditional and digital media.
The objectives included in this plan are both measurable and attainable, while the strategies and tactics
are well thought-out and heavily researched. This IMC plan will use a combination of those objectives,
strategies and tactics across media, public relations, direct marketing, and sales promotion platforms in
order to meet the original campaign goals of:
• Improve the features and benefits of shopping at Kmart, leading to a 2% increase in sales in 6 months,
among the target audience
• Improve Kmart’s overall brand-perception by 5% within 8 months among the target audience
• Increase awareness of Kmart and its brands by 15% within 12 months among the target audience
• Reduce poor customer satisfaction by 20% within 12 months among the target audience
• Increase purchases at Kmart by 3% within 12 months among the target audience
This IMC plan will build upon Kmart’s mission of “improving the lives of our customers by providing
quality services, products and solutions that earn their trust and build lifetime relationships" (Fairfan,
2012). In addition, Kmart stands to gain a substantial share of the retail market by tapping into the
Generation X demographic, hiring Kelly Ripa as a spokesperson, and following the objectives, strategies
and tactics found throughout this IMC plan. By adopting an IMC approach now, Kmart can “avoid
duplication, take advantage of synergy among promotional tools, and continue to develop efficient and
effective marketing communications programs” now and in the future (Belch & Belch, 2012).
34
Kmart IMC Plan

Appendix A
Direct Marketing Mailing Example:
• This is an example of a direct marketing mailing that would be sent out to Generation X mothers.
It would be printed on glossy card-stock, and the washer and dryer would be Kenmore
appliances. In addition, it would contain a coupon for detergent printed on the back.
35
Kmart IMC Plan
Appendix 1
Creative Execution Example:
33
Kmart IMC Plan
Kelly @
Save time and money on what you really love
Let us help make your
everyday tasks a little more
enjoyable
(Kelly photo credit: housekaboodle.com)(Kelly photo credit: housekaboodle.com and Electrolux)

Appendix B
Sample Magazine Ad Example 2:
• Other creative execution options:
• Kelly using the Shop Your Way app to ﬁnd personalized coupons for her and her family
36
Kmart IMC Plan
Appendix 2
Sample Magazine Example:
• Other creative execution options:
• Kelly using the Shop Your Way app to ﬁnd personalized coupons for her and her family
34
Kmart IMC Plan
Save time and money
! on what you really love
#Kelly@Kmart
(photo credit of Kelly: youtube.com)(Kelly photo credit: youtube.com and Electrolux)

Appendix C
Media Flow Chart
Media Plan Mar
’14
Apr
’14
Jun
’14
July
’14
Aug
’14
Sept
’14
Oct
’14
Nov
’14
Dec
’14
Jan
’15
Feb
’15
Television
ABC
NBC
Lifetime
OWN
Oxygen
Magazines
Cosmopolitan
Redbook
Woman’s
World
Good
Housekeeping
O
Banner ads
LIVE
Kmart.com
Google
searches
Kmart app
Shop Your
Way app
37
Kmart IMC Plan

Media Plan Mar
’14
Apr
’14
Jun
’14
July
’14
Aug
’14
Sept
’14
Oct
’14
Nov
’14
Dec
’14
Jan
’15
Feb
’15
“Kelly @
Kmart”
microsite
Kmart
YouTube
videos
Blogger
YouTube
videos
Blogger
websites
Social media
accounts
Twitter
Promoted
accounts
Promoted
tweets
Promoted
trends
Ad Targeting
Facebook
Sponsored
stories
Promoted
posts
Page post
ads
38
Kmart IMC Plan

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Kmart IMC Plan

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Kmart IMC Plan

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41
Kmart IMC Plan

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