Marketing Communication Authentic Assessment Case

Wife and husband team, Margarida and André Oliveira founded the now respected Brazilian denim company “Oliveira” in 1957. Margarida was a talented fashion designer who worked for other brands and felt it was time to launch her own brand. She was also very creative and wanted to launch her brand around clothing that was not normally considered for bespoke or couture fashion.

She began working with Brazilian cotton farmers to manufacture denim cotton that was supple and strong. Margarida designed three styles of women’s jeans and two for men and then customized every garment to suit individual clients’ body shapes and denim color preferences. Husband André turned out to be a talented salesman and they grew the business into a thriving local endeavor.

Margarida and André Oliveira were recognized by the Brazilian Government for hiring local employees and for their business efforts with two entrepreneurial awards in 1981 and 1982.

Daughter Francisca formalized the firm’s relationship with the Brazilian Association of Cotton Growers and expanded the Oliveira brand nationally, in the early 1990s. While still retaining the bespoke foundations, Francisca capitalized on a national marketing campaign, through traditional marketing channels, which highlighted that each garment was meticulously handcrafted and locally produced with local materials and employees, and every item was still personally signed by Margarida (even though she had retired). Customers loved the campaign, but the impact on sales was stilted.

In the 2000s, the company began to suffer through changing demands. Casual loungewear had exploded and these were typically made from wool, lightweight cottons, terry cloth and linens. Fashion trends included pleated, bubble and mini-skirts, cut out dresses and Capri pants. Oliveira responded by launching a new product line of bubble skirts, made from their softest denims, but the fashion trend was short-lived and the product line was never popular. The attempt to shift product lines cost the company dearly in terms of reputation, brand strength and financial investment.

In early 2021, granddaughter Juliana took over Oliveira as the new Chief Executive Officer. While young, Juliana has worked in the fashion industry her entire life. She has seen the importance of sustainability and recognises the important role that slow fashion will play in the next decade. Juliana describes slow fashion as manufacturing which respects people, environment and animals and the opposite of fast fashion.

She has set her sights on generating growth through innovation, and longer term, wants Oliveira to become a top 10 bespoke jeans brand in the world. To achieve this goal, Juliana began looking for a marketing communications expert to analyse the brand, with the view to launching a new product in early 2022.

As part of RMIT’s LinkedIn involvement, Juliana became aware of the significant positive impact that Marketing Communications students were having on the product development and marketing communications environment in Australia and she was impressed by your resume. Congratulations, you are the newly appointed “Marketing Communications Manager” for Oliveira

After undertaking a thorough analysis of the situation facing Oliveira in the jeans brand category, you realise that bespoke jean customers are particularly brand loyal to their favourite brand, once they find a brand they like, they tend to stick with it. They can also be loyal to a particular style. Existing Oliveira customers (75% of whom are women) love and have a deep connection with the brand, in part due to Oliveira’s country-of-origin and family-oriented emotional advertising.

However, Oliveira customers have not had much of a product choice. The company has always produced three main styles for women, high waisted, relaxed fit and flared. For men, they make two styles, straight leg and slim cut. Apart from their brief, unsuccessful, foray into bubble skirts, they have only made jeans, no other denim garments.

In your first meeting with Juliana, she tells you she has been working directly with several Brazilian cotton farmers, experimenting with the twill weaves to create unique diagonal ribbing patterns. This means that patterns could be combined with customised dying to create some truly one-of-a-kind jeans. Juliana has named this product line Padrão Estilizado” (loosely translated as styled or changed pattern).

To capitalise on the growing trend for environmental sustainability and responding to customer demand for ethically sourced materials and products, Juliana also has an idea that customers can bring in their old Oliveira jeans, that either no longer fit or are worn and the team will turn them into patchwork jeans using both the old jeans plus new, sustainably produced, material. Juliana has named the patchwork jeans idea, Estilo Sustentável (loosely translated as sustainable style).

Juliana and her team are looking to trial both new products, including any necessary rebranding work, in Australia first. You realise that Oliveira needs move fast. With this in mind, you begin the process of briefing a panel of respected full-service agencies with the aim of selecting an agency to assist you to formulate the appropriate campaign strategy and develop an integrated campaign idea.

As part of this process, you must clarify the thinking that will form the foundation of the work. It is especially important to you that the successful agency fully understands integrated marketing communication
and the myriad of tools (communication touchpoints) available

SECTION A:

REQUIRED

QUESTION ONE

You have a solid grounding in marketing communications theory and practice, but you feel that some of your Oliveira team aren’t sure what you mean when you talk about “marketing communications”.

You decide to provide your team with a briefing to make sure that everyone understands.

a) Present your definition of marketing communications and explain in detail two of the main concepts within that definition (you may choose any two). Use examples (either from Oliveira or from other companies, products or services) to explain your definition and two chosen concepts.

b) In looking through the past and current marketing strategy documents for Oliveira you realise that there doesn’t seem to be a clear idea of the target audience. This is a serious omission. Identify and define the target audience for Oliveira for either Padrão Estilizado (styled or changed pattern) or Estilo Sustentável (sustainable style).

c) Explain the value of segmenting customers. Explain the key bases for segmentation you could consider when identifying the optimal target audience for a new launch campaign for either Padrão Estilizado or Estilo Sustentável, and why?

QUESTION TWO

You realise the importance of developing a clear message strategy for Oliveira given the cost to reputation and branding the company has already experienced. You have carried out some preliminary market research which has led to the development of several insights and you are now considering the creative brief elements.

a) Something you feel has been missing from Oliveira’s previous marketing campaigns is a clear positioning strategy and key benefit claim. One of your team is not familiar with these terms.

First discuss the importance of positioning and write a positioning statement for Oliveira; then explain what a key benefit claim is and write one for either Padrão Estilizado (styled or changed pattern) or Estilo Sustentável (sustainable style). Explain your answer.

b) Select either Padrão Estilizado or Estilo Sustentável and explain if a hedonic or utilitarian appeal would be most appropriate and why.

c) One of your team is worried that directing market offerings to particular consumer segments may raise ethical dilemmas. How will you address your team member’s concerns?

SECTION B

REQUIRED:

OPTIONAL QUESTION: QUESTION ONE

In your experiences with integrated marketing communication (IMC) campaigns you have seen endorsers used very well and very badly.

a) Discuss the role of endorsers in IMC campaigns. What types of endorsers can be used in marketing communications plans? Outline the characteristics of each type of endorser and their ability to influence consumer behaviour. (5 marks)

b) What major issues regarding the selection of an endorser does Oliveira need to consider before making an offer to a potential endorser? Do you believe Oliveira should include endorsers in either or both of the new product ideas? Explain and justify your answer.

Oliveria has historically focussed on traditional marketing, but the rise in social media channels has also seen the rise of a new type of endorser: the so-called ‘social media influencer’.

c) Using your knowledge of social media influencers, explain the categories of nano, micro, macro, and mega influencers. Are any of these categories of social media influencers suitable for either Padrão Estilizado (styled or changed pattern) or Estilo Sustentável (sustainable style)? Be sure to justify your answer.

OPTIONAL QUESTION: QUESTION TWO

A well designed launch campaign for each new product line is going to be critical for success.

a) Both Padrão Estilizado (styled or changed pattern) and Estilo Sustentável (sustainable style) can be seen as ‘new’, therefore, successfully communicating adoption-related characteristics is important. With regard to the strategic adoption factors, which one would you recommend highlighting with priority in appropriate and ethical marketing communication activities.

Explain why you chose that factor and how you would recommend utilizing it in a campaign for either Padrão Estilizado or Estilo Sustentável. ?

The marketing communication mix involves all the tools that can be used to communicate with both current customers and potential customers. In looking through Oliveria’s marketing materials, you realize that no one has ever applied the marketing communication mix to this firm.

b) Describe and define the marketing communication mix. Apply the marketing communication mix elements to Oliveira. What marketing communications mix tools do you think are important, not as important, not important at all, for both the new jeans product proposals (Padrão Estilizado and Estilo Sustentável). Be sure to explain and justify your reasons. What further work is needed to fine-tune your suggested communications mix tools?