Grafica, Inc.: Winning the New Jersey Lottery A

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Grafica, Inc. Winning the New Jersey Lottery (A)

• Market Plan Recommendations
• High R.O.I. Consultants
• Ryan Cannon
• Heather Plitt
• Tony Simmons

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Issues

• The New Jersey Lottery need a company to
  implement the advertising, public relations, and
  promotional programs for the dozens of games that
  were part of the their lottery portfolio.
• Winning this account would enhance Graficas
  reputation and enable them to attract other big
  clients.
  
• The New Jersey Lottery offered a plethora of
  games to choose from with a constant revolving
  launch of new games and plans to introduce 40 new
  games in 1998.
• The current lottery offers to much product
  clutter and very little attempt to breath life
  into mature products.
  

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Grafica, Inc.

• Full-service advertising agency.
• Located in Chester, New Jersey.
• Well-known for its integrated marketing approach
  to customer relationship management and its
  expertise in using digital technologies in
  marketing communications and advertising.
• Employeed more than 50 people and served a number
  of marquee accounts including ATT, Lucent
  Technoloties, PSEG, Allied Signal, Horizon Blue
  Cross/Blue Shield, Novartis, Coldwell Banker
  Commercial, and Hasbro.

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Competition

• Strong competitive environment
• Bordering states like MD, Penn, DC, NY, Del. VA,
  administered government sanctioned lotteries,
  legal forms of gambling, and horse racing.

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Competitive Growth Strategies
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Strengths

• Full-service advertising agency.
• Well-know for its integrated marketing approach
  to customer relationship management and its
  expertise in using digital technologies in
  marketing communications and advertising.
• Experience of serving many marquee accounts.

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Strengths
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Weaknesses

• Not completely comfortable with New Jerseys past
  marketing approaches.
  
• Apprehensive about criticizing for fear of losing
  the bid.
  
• Had to work with limited funds.

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Opportunities
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Threats

• Competition
• Bordering states like MD, Penn, DC, NY, Del. VA,
  administered government sanctioned lotteries,
  legal forms of gambling, and horse racing.
  
• Limited budget.

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Current Customer

• 80 of the New Jersey population of various
  incomes.
  
• Tourist
• Loyalist (Avid lottery players)
• Those who play infrequently and just for fun.

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Business Customers Value

• Best use of time
• Staying in touch
• Achieving business objectives
• Not loosing momentum
• Time saving services
• Laundry, room service, etc.

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Leisure Customers Value

• Rest and Renewal
• Many sought active pursuits
• Sports
• Sightseeing
• Activities for children

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Target Customer?
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Four Seasons

• Marketing Plan

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Target Customer

• Business and leisure traveler
• Strengthen our existing customer base
• Business Travelers become Leisure travelers
• New customers within our target
• High income, well educated
• Prefer high value over low cost

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Target Customer

• Web access
• Like the personal touch
• High expectations
• Busy people - time is important
• Share good experiences with family, friends, and
  associates

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Objectives
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Product
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Product
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Price
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Promotion
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Promotion
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Promotion
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Promotion
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Place (Distribution)
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Control

• If we do not increase our multi property
  customers to 25 or revenue to 15
  
• Increase national advertising
• Offer more nonfinancial incentives, like free
  dinners, etc.
  
• Tell a friend promotion
• Offer 3rd night deals for weekend trips

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Control

• If we do not increase web site reservations to
  30
  
• Customer survey to evaluate web experience
• Check increases in phone reservations from web
  site
  
• Offer more incentives to use web

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Control

• If our customer service is diminishing
• Surveys to evaluate customers feelings
• Reevaluate the use of the web and e-mails
• Consider personal phone calls to invite customers
  to a weekend
  

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Lessons

• Personalized marketing has its place
• Premium price strategy does work
• Higher price - Higher value
• Marketing is multifunctional
• Human resources, facilities, accounting
  development, etc.

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Lessons