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Print, Email Opps: Tuesday Morning 'strategizing' next brand evolution, messaging (Score 69)
Subject: print, digital, social media
Company: Tuesday Morning Corp., closeout retail chain that sells upscale housewares, seasonal goods and gifts in 811 locations and 47 states in the US.
Opportunity: During this week's Q2 earnings call, COO Melissa Phillips said TM has been "strategizing the next evolution of the brand and resulting messaging." Phillips and CEO Steve Becker both stated that the company has been "talking" to its loyal customers about what is important to them and incorporating some of this feedback into its recently-opened stores.
TM will also be introducing new store signage in an effort to focus on elevating the in-store guest experience. In addition to new in-store signage, TM is continuing to test new ways to drive both brand awareness and traffic by diversifying its marketing channels. Keep in mind that in the last earnings call (Q1), execs said that new channels would be additional to existing channels, such as print and email (more
Sellers, particularly radio, print and digital – you should reach out now to secure revenue this year. Keep in mind that TM’s fiscal year ends in June, so it is likely that test results will begin to be reflected in its media mix during its Q1/Q2 (July – Dec). In fact, Phillips mentioned that as TM learns more from its tests, they will continue to modify its advertising mix accordingly.
Note that Becker stressed that TM has traditionally relied on word-of-mouth to garner customers. As such, TM has "tremendous" acceptance in the Southeast, but there are parts of the country "where people frankly don't know what a Tuesday Morning is and where there's a lot of opportunity to educate the customer as to the value propositon."
VP of marketing Athena Spencer joined the company in February and, as with any DM shift, there is a chance for major spending shifts or agency roster changes. However, keep in mind that TM tapped Cleveland-based here). One year is short for an agency tenure, but new brand messaging could signal upcoming changes.
Media Spend: According to Kantar Media, TM decreased measured media spend in 2015 – down to $1.3 million from $1.7 million in 2014. For the past three years (since 2013), the overwhelming majority of spend has been allocated to print ads. Note, however, that while over 98% of budget went to print in 2013/2014, that percentage dropped to 92.6% in 2015. That allowed for TM to spend 7.3% on radio ads in 2015.
Print Marketing: Print has been a cornerstone of TM's marketing efforts for a while. But, while the company will evolve from it, don't look for print to go away anytime soon. Phillips mentioned during the call that print media improved performance through improved circulation planning and a “better look and feel” in Q2. Additionally, TM pulled print spend from Q1 to Q2 this year, which allowed it to layer-in one additional print event in December.
TM has reduced the number of pages in its circular over the last three years and also took this holiday to “optimize” print advertising.
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