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Kindle fire media project
- 3. Overview • Amazon, the first entrant in the e-book category • Yearly sales exceed prior sales in the past 5 yrs • Kindle sales dropped because of arriving of iPad • Younger buyers went to iPad, while 40+ buyers stayed with Kindle • Two years to develop the next product – the Fire
- 4. Kindle Fire • Released on Nov. 15, 2011 • $199 • A tablet version of Kindle e-reader • Color 7” multi-touch screen • Android operation system • Online service, movies, TV shows, music, web, apps, games, and reading
- 5. Business Goal • Introduce a product with enough innovation, while maintain core base buyers • At the same time, sway over any potential Apple buyers • Low price, name brand, and ease of use to sell million of product
- 6. Media Goal • Build awareness of Kindle Fire • Take advantage of holiday shopping season • Turn e-reader owners into tablet buyers • Solidify the thought that Kindle Fire reaches iconic status • Not compete with iPad
- 8. Newspaper • Compensate for the absence of TV • High circulation reaching the massive audience • Audiences tend to have regular reading habit • Some newspapers can be downloaded to Kindle Fire • Target specific cities
- 9. Magazine • Specific audiences • Aim at target audience by different titles and interest • Visual means of communication with crisp and colorful image • Also can be downloaded to Kindle Fire • Repeat exposure
- 10. Internet • Inexpensive and broad audiences • Bring traffic to website right away • User accustomed to technology • Interactive platform
- 11. Out of Home • Right spot, right place • High frequency and repetition • Large audience with low cost • Versatility of the visual and appearance
- 12. Direct Mail • Highly targeted • More personal
- 13. Target Audience Assignment Target Audience Media Usage Psychographics
- 14. Assigned Target • Male and Female • 40+ • HHI: $65,000 • Reads 2+ books per month • Own a cell phone , but not a smartphone • Convert his/her book buying to e-reading via Amazon bookstore.
- 15. Consumer Insight • If I can have one device that accomplish everything, why carry another? • “The tablet is really killing the e-reader” (FastCompany) • Sales of tablets v.s. e-readers of 2011: 24.1 million and 11.8 million (Mintel) • Amazon Kindle gets 62% of U.S. e-reader usage, and Kindle Fire is 14% of tablet (GeekWire) • Apple user tend to be younger (nielsen)
- 16. New Target Audience • Male & Female • 45 – 64 • Graduated college+ • Professional, management, business, and financial operations • HHI: $75,000 + • Marital: Married • Region: West coast and East coast • E-reader owner: 11.8 million
- 17. Media Usage • Magazine: Heavy usage (Index= 131) • Newspaper: Heavy usage (Index= 158) • Internet: Heavy usage (Index= 167) • Outdoor: Slightly heavy usage (Index= 116) • Consider but not recommend: Radio
- 18. Psychographics & Lifestyle • New to tablet • Used to buy books on Amazon • Digital immigrants: consumers who grew up with old technologies, such as TV or print, and adapted to newer one • Frequent flyer • Enjoy life – gourmet, home décor, and travel. • Luxury sport
- 19. Who are they? Luxury Sport Enjoy Life Amazoner Frequent Flyer Digital Immigrant E-Reader Reader Michael & Jennifer
- 20. Timing
- 21. Seasonality • Time Frame: July to December • Center on holiday shopping season • Gift for family, friends, and even themselves • Pulsing Scheduling - Travel season • Frequency > Reach Emphasis Frequency Reach Behavioral Change/ Purchase
- 22. Travel Season 0 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000 8,000,000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Grand Total Grand Total
- 23. Dollar Spending on Holiday $0 $200 $400 $600 $800 $1,000 $1,200 $1,400
- 24. Media Tactics Newspaper Magazine Internet Out of Home Direct Mail
- 25. Newspaper
- 26. Newspaper_ Centre spread, kindlefireshape layout
- 27. Newspaper Wall Street Journal 2,096,000 Index=260 Travel for Vacation in Last 3 Months: Index=153 USA Today 1,829,000 Index=172 New York Times 1,600,000 Index=330 Los Angeles Times 850,000 Index=246 Chicago Tribune 700,000 Index=276 Affluent Adults: Career and family focused. Educated. Active. 90% made at least one domestic trip in the past year Circulation Index
- 28. Magazine
- 31. Internet
- 32. Internet wsj.com 6,306,000 Index=332 nytimes.com 19,294,968 Index=313 cnn.com 12,2655,278 Index=217 travelchannel.com 1,200,000 Median Age: 47 Median HHI: $71,528 College Grad+: 39% foodnetwork.com 14,800,000 Median Age: 46 Median HHI: $72,601 College Grad+: 38% visitors Index & Demographic
- 33. Out of Home
- 34. Out of Home Hartsfield- Jackson Atlanta International Airport 89,331 O’Hare International Airport 66,774 Los Angeles International Airport 59,070 Dallas-Fort Worth International Airport 56,906 J.F.K. International Airport 46,514 (000) Annual traffic
- 35. Direct Mail
- 36. Direct Mail Kindle owner 2,161,378 Nook owner 1,647,026 Sony e- reader owner 987,213
- 37. Recap
- 39. Audience Delivery • Circulation: 23,501,963 • Impression: 208,422,000
- 40. Flow Chart
- 41. Research Tools
- 42. Tools • SRDS • Mintel • MRI • Quancast • Nielsen
- 43. Resource • www.amazon.com/kindlefire • http://www.geekwire.com/2012/amazon-kindle-holds- steady-62-ereader-usage/ • http://www.fastcompany.com/1835676/follow-up-the- tablet-really-is-killing-the-e-reader • http://blog.nielsen.com/nielsenwire/online_mobile/changin g-demographics-of-tablet-and-ereader-owners-in-the-us/ • http://blog.nielsen.com/nielsenwire/consumer/the- connected-devices-age-ipads-kindles-smartphones-and- the-connected-consumer/ • http://www.shoppertrak.com/news-resources/press- releases/2011-11/shoppertrak-identifies-top-10-best-days-to- shop-this-holiday-season • http://www.fastcompany.com/1835676/follow-up-the- tablet-really-is-killing-the-e-reader • http://www.comscore.com/Press_Events/Press_Releases/201 2/1/U.S._Online_Holiday_Shopping_Season_Reaches_Record _37.2_Billion_for_November-December_Period