Written by the Marketing 201-20W Class Loyola University Chicago Quinlan School of Business 12/6/2013

BowTie Cause Marketing Plan 2014

DISCLAIMER
By reading this marketing plan you acknowledge and agree with the following disclaimer. Undergraduate students in the Quinlan School of Business at Loyola University Chicago created the marketing plan you are about to read as part of their course requirements. Nothing you may find here has been reviewed by marketing professionals with the necessary expertise to assure the information is complete, accurate, or reliable nor to assure the marketing strategies proposed will be effective. We hope that you will find some valuable insights and information. However, realize and be advised that the students submitting this report, the professor in whose class the marketing plan was prepared, and the report written, and Loyola University Chicago cannot guarantee, in any way whatsoever, the validity of the information nor the efficacy of the plan presented. This marketing plan is provided freely and without cost to you, and that no agreement or contract is created between you and the students, the professor, or the University. This disclaimer notwithstanding, we, the authoring students, hope that you find valuable insights and valuable information in the marketing plan here presented. Thank you for permitting us the opportunity to work on behalf of Bow Tie Cause.

Table of Contents
Page Number Disclaimer2 Executive Summary...4 Company Description...6 Strategic Plan and Focus.7 a. Core Values.7 b. Mission..7 c. Business....7 d. Goals7 e. Competencies and Competitive Advantage7 Situation Analysis...9 a. SWOT Analysis..9 b. Industry Analysis.10 c. Competitor Analysis...10 d. Company Analysis12 e. Customer Analysis...12 Market Product Focus...13 a. Marketing and Product Objectives13 b. Target Market.13 c. Points of Difference13 d. Positioning...13 Marketing Program.14 a. Product Strategy...14 b. Price Strategy.15 c. Promotion Strategy.15 d. Place Strategy.18 IMC19 a. Multi-Media Ideas19 b. Event Proposal..20 c. Public Relations21 d. Advertisements.22 Financial Data and Projections23 a. Revenue Strategy.23 b. Promotional Expense Planning...23 c. Expected Sales and Profits.24 d. Income Statement Analysis24 Organizational Structure.25 Implementation Plan.26 Evaluation 27

1. Executive Summary BowTie Cause is a company founded by NFL player Dhani Jones and his best friend Kunta LittleJohn that creates customized bow ties to organizations who sell them in order to raise funds. The organization values helping people to support charitable organizations and to create a meaningful impact for others. The financial goals of this plan are for BowTie Cause to establish more extensive accounting records so that they can better track the organizations finances. The nonfinancial goals work toward raising awareness of the bow tie as a sign of philanthropy and of BowTie Cause as a fundraising option for various organizations. The BowTie Cause team is tight knit and guided by passionate and varied leaders who sell primarily to non profit organizations in bulk orders and also to individuals through their website. We analyzed the companys strengths, weaknesses, opportunities, and threats both internally and externally. As far as their industry is concerned, ties and bow ties as a fashion choice have declined in the last two decades. At this point in time, the industry is neither growing nor shrinking. Fortunately, many thousands of charities utilize for-profit companies to raise funds, a need that BowTie Cause can effectively fill. Additionally, BowTie Cause would be wise to consider ways in which they can go green as it can benefit the organization in several ways. BowTie Cause also has a few direct competitors. Beau Ties Ltd. sells a variety of formal wear accessories, including ties that benefit various charities; Tie the Knot sells designer bow ties to support gay and lesbian rights; and Vineyard Vines sells ties and bow ties for less than BowTie Cause, although they do not help charity. BowTie Cause is different from these three in that it donates more back to charities, offers more customization, and is open to any organization. The objectives of this marketing plan are to grow current markets and expand into new markets and products, targeting primarily male philanthropists (age 20-80), but repositioning in order to reach a larger market. The current product line can be expanded to include more options for women and children. Current packaging and pricing do not need to change, but BowTie Cause should work to further promote itself. This can be done through already established sports connections, increased online presence, etc. Additionally, BowTie Cause can modify its placement by obtaining shelf space in high-end retail stores. An IMC plan is included and is a push for unification of your brand through ad, media, and PR tactics. Although we are unable to calculate financial projections for this plan, we recommend that BowTie Cause implement a process for doing so.

In order to achieve these objectives, BowTie Cause should create headbands and hair bows for women and children and carefully monitor the success of these new products, use more pictures and advertisements, complete the process of recreating the website, and take fuller advantage of the organizations professional sports connection to promote the bow ties. The effectiveness of these efforts can be measured by keeping careful track of sales figures and comparing figures from before and after implementation of this plan.

2. Company Description BowTie cause was an idea that originated from a conversation between the Cincinnati Bengals, Dhani Jones, and his friend Kunta Littlejohn who teased him and said, If you wanna be somebody, you gotta rock a bow tie. Dhani did not think too much of it at the time, but it eventually lead to the creation of this organization. At the time of this conversation, Kunta was battling Stage 4 Non-Hodgkins Lymphoma and Dhani was in search of a way to support his friend. It didnt take long for Dhani to embrace the bow tie as a sign of support for his friend, and only a decade later it became the idea behind this growing organization. Since 2010, BowTie Cause has provided a way for others to show support for organizations close to their own hearts all around the United States. Since its founding, over 60 organizations have used bow ties as a way to support their causes by raising money and awareness through the purchase and reselling of customized bow ties specific to their cause. BowTie Cause partners with organizations to produce ties that are unique for that cause by involving the organization in the design process. The organization is then requested to sell the bow tie for a minimum of 57 dollars, Dhani Jones jersey number, providing them a substantial profit for the cause. Their organization and product is unique in the sense that each bow tie that is created and sold tells a specific story, and a story card is included in each package with the bow tie so people know what they are supporting and why wearing it is so important. BowTie Cause believes that the bow tie is more than a fashion choice. It is a way to pursue philanthropy. They believe that it is catalytic and mutual while utilizing the bow tie as an interaction tool to pursue a common good. This marketing plan outlines how the company can take this service and newfound purpose of the bow tie and extend and share it across new and unexplored markets in the coming years.

3. Strategic Plan and Focus Core Values: If you wanna be somebody, you gotta rock a BowTie. Kunta Littlejohn BowTie Cause provides an avenue for people to support individuals and organizations they believe in by rockin' a signature BowTie. Mission: Our hope is that each BowTie serves as a catalyst for conversation while creating a meaningful impact for others. Business: Nonprofit Organization that sells bow ties to support organizations. Goals: Financial Goals: Create and maintain a quarterly income statement that recognizes all data regarding revenues and expenses in the respective quarter. Produce and sustain a cash flow statement to monitor operating, investing, and financing activities and to forecast short-term growth. Generate a plan to measure financial success such as setting quarterly sales goals to monitor changes in profit margins. Non-Financial Goals: To get the bow tie to stand for philanthropy by highlighting causes, events, dates, etc. o Change tagline to: Tied to a Purpose. Expand the target audience o Creating bow tie products for women and children Develop social media and web design Reach out to new organizations Competencies & Competitive Advantage Rocking the bow tie means that you are choosing to support something that is greater than you. The knot in the bow tie represents education, which is really the core of everything BowTie Cause stands for. Each corner also stands for something: selfrepresentation, service, collaboration, and critical thought. Dhani Jones

Figure 1: The bow tie that started it all! This bowtie supports the Leukemia Lymphoma Society

Figure 2: Retired NFL linebacker, Dhani Jones (left) and his best friend, Kunta Littlejohn (right), founders of BowTie Cause

4. Situation Analysis This situation analysis will begin by determining the current internal and external factors BowTie Cause is currently facing through a SWOT (strengths, weaknesses, opportunities, and threats) Analysis. Following this overview, the analysis will delve deeper into the details of the current industry, competitors, company and consumers.
Table 1: SWOT Analysis

SWOT Analysis for Bow Tie Cause

Internal Factors Locations Strengths Span coast to coast in 24 major cities Unique, high quality, customizable product that is meant for philanthropic purposes Opportunity to develop a brand new program CEO is a well known NFL athlete and philanthropist Sales have greatly increased in the last year Offers customization Opportunities Expand target audience by including hair bows for women; expand by selling in department stores Distinctive packaging and product that are unique to the organization Personal accounts on websites for smoother, quicker collaboration between company and clients Numerous not-for-profits that are in need of fundraising, but many other for-profit organization also have needs for fundraising Weaknesses Lacking in the western states and Great Plains region Only offers one type of product There is currently no marketing program in place Small management may restrict options Growth may be restricted as new competitors enter the market Fixed lot size of 100 at a time Threats High cost may limit the amount the profit that organizations could fundraise by being outside of the mass publics price range May lower cost opportunities to fundraise Competitors have the ability to produce smaller orders to increase the number of potential clients without increasing costs More people focused on donations that purchasing products fro fundraising purposes; not-forprofits have limited funds to spend

Offerings

Marketing Management Finance Manufacturing External Factors Consumer/Social

Competitive

Technological

Economic

Industry Analysis Ties and Bow Ties: In recent years ties have lost their place as a staple at corporate dress and dress events. However, steady consumers of the fashion piece have been keeping it alive. The bow tie industry is at a standstill, not dying out, but not particularly growing. The number of men who purchase a tie yearly has steadily decreased over the past several years. This is a trend that does not seem to be changing soon according to research group Packaged Effects. This is because of a tendency to now associate with the ultra conservative and traditionalists. Fashion is seemingly taking a more casual direction. The sale of ties peaked in 1995 at 1.3 billion dollars, and has dropped to a relatively consistent $677.7 million dollars since 2007. Consumers of the ties tend to be middle to upper class, men between the ages of 18 and 70 for the used for work and dress up affairs. Philanthropic Fundraising Initiatives: There is still a need for non-for profits to focus great attention on generating funds through a myriad of different avenues. Specifically, there are about 6,000 charities that hire for-profit corporations to raise money for their organization. A good, highly efficient, charitable organization usually spends approximately 25 percent of their funds in this industry for fundraising. There has been a huge turn to technology and social media for fundraising opportunities, but other traditional efforts are still utilized. Businesses Going Green: It is critical in todays market to focus on green initiatives to be a successful, lasting company. This is important for the environment in general because without a healthy planet there would not be a healthy economy. It is a social obligation to be aware of the way the planets materials are used. There are benefits for organizations as well. It is now a competitive advantage, but will soon become necessary to even compete, due to the fact that going green allows a company to reduce waste and decrease costs. Additionally, it increases a positive public image and leads to increased sales, some organizations have seen up to a 20% increase in sales that they attribute solely to their green initiatives. Finally, it is beneficial to employees to feel that their company is being socially responsible increasing loyalty and productivity in many organizations who have focused on green practices. Competitor Analysis Competitors are other companies who sell similar products at competing prices. While BowTie Cause is a relatively unique idea, it does face direct competition from several companies, which we will detail below, Beau Ties Ltd. of Vermont, Tie the Knot, and Vineyard Vines.

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Beau Ties Ltd. of Vermont is a family owned company that has been around for twenty years. They sell an array of items including bow ties, neckties, cummerbunds, hats, as well as hair bows for women. Their bow ties run at an average of $40.00 and they even have a section of ties entitled, Ties for a Cause. They donate 25% on the profits made off of the Ties for a Cause to the charities that each tie represents, such as The Breast Cancer Research Foundation, Ronald McDonald House Charities, and The Foundation for AIDS Research, just to name a few.

Another direct competitor that BowTie Cause has is Tie the Knot. Two men named Jesse Tyler Ferguson and Justin Mikita established this company in 2012. Their goal is to advocate for gay and lesbian rights across the United States, and to look good while doing it. Each season they release a new collection of bow ties inspired by people, fashion, and art. The collections are made in a limited quantity in order to promote uniqueness and individuality. All of the proceeds go to organizations that work to fight for the civil rights of lesbians and gays. They encourage people by their tagline: Tie the Knot, so that one day, we can too. Tie the Knot has also partnered with The Tie Bar, which is an online company that sells a plethora of neckwear. The bow ties run at $25 and $20 of each purchase goes directly to gay and lesbian rights groups in the name of Tie the Knot.

Vineyard Vines is a well-established apparel and accessory company that was founded on Marthas Vineyard in 1998 by Shep and Ian Murray. Today they are a full retailer, but they originally only sold ties. While they do not donate the proceeds from the sales of their bow ties, they are a very well known company that has a line of colorful, creative and distinct bow ties. These bow ties are also sold at $45.00, which is $12 less

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than BowTie Causes price. Their website, http://vineyardvines.com, offers step-by-step directions on how to tie a bow tie as well. They also offer holiday and seasonally themed neckwear, along with collegiate, professional sports (MLB, NFL, and NHL), and sorority themed prints for their ties. Vineyard Vines is heavily prevalent on college campuses. They even offer bow ties for young boys.

Company Analysis The friendship that led to the foundation of BowTie Cause has generated to an impassioned leadership team to guide the organization to growing success. A small flat team empowered them with dual personalities, providing multiple, experienced perspectives as they venture into this new business. After only three years, this experienced team has allowed the company to turn a profit after only three years. The company has a very team oriented investment into the company to lead to the success of the organization. They are very in touch with their product and focus. Thus, allowing for very close relationships to develop with their customers and the production of their product. Customer Analysis Customers include non-profit organizations that are looking for a way to fundraise at galas or events. They have the opportunity to design their own print for their bow tie, which they can then sell on their own at a minimum of $57.00 to patrons and supporters of their cause. Schools and universities have also designed their own bowties for events that they have held to raise money for sports teams, charities, etc. in their name. Other customers are the supporters of specific causes who buy the bowties online off of http://bowtiecause.com. Customers include The Armed Forces Foundation, Boy Scouts of America, and Autism Speaks just to name a few. BowTie Cause asks each organization to share their story, why they do what they do, and what they stand for. The organizations then work with BowTie Causes designers to create a bowtie that represents their organization through their colors or symbols. 12

5. Market Product Focus This section describes this years marketing and product objectives for BowTie Cause and the target markets, points of difference, and position of its lines of bow ties. Marketing and Product Objectives BowTie Cause should take full advantage of its brand potential, while gaining revenue as well as providing funding for non-profit organizations that the bow ties sponsor. These are detailed in the three areas below: Current markets: Current markets will be grown by expanding media outlook and better communicating the message of BowTie Cause to the public and major nonprofit organizations New markets: New markets can be created by extending BowTie Causes product line from being limited to only online users into direct retail markets New products: BowTie Cause, while expanding into retail markets, should create female and children's products to expand their consumer market Target Market The primary target market for BowTie Cause is male philanthropists, from ages 2080, with a cause in mind. BowTie cause is looking to become a well known name in the nonprofit world; looking for individuals who are part of a non-profit organization, or are in the process of creating their non-profit, that believe they can make a difference through their cause, and wish to do so with help of using a bow tie. Points of Difference The points of difference that make BowTie Causes products unique compared to other competitors falls into 3 areas: Donate profits to organizations: When pricing the bow ties at $57, and donating back 25% of the profit to the organization, we are able to generate more of profit meaning that we are able to donate more money to the organization that has been chosen. Creative freedom: It is the only company that allows the partner organization to design their own ties. Open to any organization: BowTie Cause is open to any non-profit organization that is willing to work with BowTie Cause and have a vision for their organization. Positioning Bow ties have been seen in the past as simply a male accessory, but with BowTie Cause, for the first time, a bow tie can represent a sophisticated, playful, transformative, and personal message to those who purchase them.

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6. Marketing Program Product Strategy Let us first summarize the BowTie Cause product line, how we view the product quality, and how the packaging reflects the class and uniqueness of each bowtie design. Product Line: The products that BowTie Cause currently supplies are few, but unique:

Bow Ties

Bowtie Necklaces

Bowtie Pins

BowTie Cause has been looking to expand their product line and the perfect market to go into is women and children. For women, BowTie Cause could create more jewelry options such as rings, bracelets and earrings shaped as bows. Another great option would be to add hair bows for women and children. Bow are very much in style right now and could increase sales at events and galas for organizations because they would have products that are not only for men. Making smaller sized bowties that could fit young boys, and cufflinks for men are two other options for product expansion. Packaging: When someone purchases a BowTie Cause bowtie it comes packaged in a classy, yet simple, black box with the companys logo on the top. The box contains the bowtie as well as a small card that reads the companys tagline: Tied to a Purpose. On the inside of the card there are details about the organization that is represented and is being supported by the purchase of the bowtie. The bow tie arrives neatly folded with directions on how to tie the perfect bow tie.

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Price Strategy All bowties are sold at a minimum of $57.00, bowtie necklaces are $57.00 and the bowtie pins are $5.70. 57 was CEO Dhani Jones jersey number when he played for the Cincinnati Bengals which is why that is the benchmark price. Organizations are welcome to auction off bowties, or sell them at higher prices at their galas/events, but the lowest price they may be sold for is $57.00. This price is significantly higher than competitors such as Vineyard Vines, Beau Ties Ltd. and Tie The Knot each of who sell theirs at around $45.00, $40.00 and $25.00 respectively. BowTie Cause does not see this as a problem as their price reflects the quality of the material and uniqueness of each specific tie. The people who purchase these bowties know that the money is being donated to a cause that they support. Promotion Strategy The promotions that should be implemented for 2014 include several ideas that will generate more brand awareness and sales for BowTie Cause. We want to continue working with Ken Rosenthal, as he is currently BowTie Causes key endorser and has brought the bow ties to national television. We plan to have Ken drop BowTie Causes name periodically while he is commentating Major League Baseball games throughout the season. We plan to attempt to branch out to other commentators that work with Ken to adopt the bowties when they are on the air as well. Eventually we recommend branching out of just MLB personalities and expanding to work with other popular sports commentators as well. This leads to our next suggestion. As Dhani Jones used to play in the NFL for the Cincinnati Bengals, we suggest that BowTie Cause use that connection. BowTie Cause could work out a partnership, or event to make a Bengals themed bow tie. The profits that are made from this bow tie would then be donated to an organization of the Bengals choice. This could be a local charity in Cincinnati, so that fans living in the area would be more apt to purchase a bow tie, or it could be for a national organization that the Bengals support. If this partnership is successful, BowTie Cause could then work with other NFL teams to create bow ties for their respective organizations for similar causes. To expand on our goal of creating more awareness of the company, we suggest that BowTie Cause increases their online presence. This can be done by improving their already existing Facebook, Twitter, and Pinterest Page and by creating a BowTie Cause Instagram.

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Figure 3 shows BowTie Causes current Facebook page. It could use some serious updating to make it more visually attractive. We recommend using a less pixelated photo for the profile picture, having the company name on the photo, and sizing it so that the viewer can see the entire bowtie without clicking on the picture. The cover photo should be bolder and more eye catching. If BowTie can use their Facebook page to promote new bow ties, inform the people who have liked the page of contests and they can post polls and surveys. Doing this will help increase likes and shares of the page. By the end of 2014, BowTie Cause should set a goal to have at least 10,000 likes.

Figure 3: Current Facebook page

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For BowTie Causes Twitter, they should use the same profile picture as their Facebook page to keep it consistent. Whatever cover photo they use for Facebook should also be used as the background photo for their Twitter. BowTie Cause can be found on Twitter by the handle @BowTieCause. They should also try to use hashtags (#) to get their page more hits. Some examples of hashtags could be #BowTieCause or #TiedToAPurpose. On their twitter they can share similar information that they share on their Facebook page, as well as short 140 characters or less updates on what they are working on.

Figure 4: Current Twitter page

BowTie Causes Pinterest page also needs some serious attention. Pinterest is a great place for companies to post pictures of their products and of people wearing their products. The most pictures that BowTie Cause pins on their boards the more people will be able to see them, and more repins and favorites will occur. Again, all of the profile pictures from Twitter, Facebook and Pinterest should be consistent.

Figure 5: Current Pinterest page

Lastly, BowTie Cause should create and Instagram profile to upload pictures and create more hits to their site by using consistent hashtags like #BowTieCause and #TiedToAPurpose, and the handle @BowTieCause for search purposes.

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BowTie Cause should also partner up with an organization to create a bow tie design contest for the general public. They should also send out media kits to upscale department stores such as Neiman Marcus or Nordstrom to put their bow ties on their shelves. They should also work on selling their bow ties in wedding boutiques. These promotions will be expanded upon in section number seven, Integrated Marketing Communications. Place Strategy BowTie Cause currently has two areas where sales take place: online and at philanthropic events. We are looking for BowTie Cause to obtain shelf space in high-end department stores, such as Neiman Marcus or Nordstrom and in small wedding boutiques. Also, after the update of bowtiecause.com in January, we plan to revamp the way that items are marketed online to increase traffic to the webpage and to generate more sales.

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7. Integrated Marketing Communications The IMC portion of a plan is a push for unification of your brand through advertisement, media, and public relations tactics. Tied to a Purpose Multi-Media Ideas Bow Tie Bombing: BowTie Bombing will require an Instagram account in addition to Twitter. The concept is simple: staff members and followers show BowTie Cause bow ties tied to inanimate objects, people, animals etc. and post them to the site with hashtags such as: #bowtiecause #bowtie #awesome #(the cause the bow tie represents) #bowtiebombing. This was inspired by yarn bombing. (Shown below)

Figure 6: Examples of "yarn-bombing"

Bow tie Design Contest: This competition could be monthly or yearly. With the companies BowTie Cause reaches out to or the sponsors you already have, they should select one for the competition. The competition should be advertised up to three months before the deadline and have a hard push (large amounts of advertising and social media about the competition) two to six weeks before its due date. They then should select a top

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five at the due date and then have those five competitors raise votes by putting links on their Twitter, Facebook and Instagram accounts to get the final bowtie. This will also help increase the awareness of BowTie Cause. Bowtie Cause 10 for friends deal: Run a campaign on Twitter and Facebook where they encourage their existing followers and friends to refer someone to the site. When they do, their friend gets a 10% off code by entering their email and liking the Facebook page, and the referrer does as well, for a limited time only. Event Proposal The Bow Tie Benefit: The Black Bow Tie Event This event is a chance for BowTie Cause to hit two birds with one stone. For this benefit, BowTie Cause will request a basket from each of their partners. The baskets should consist of anything the partners would like to donate for a silent auction. BowTie Cause will also have specialty bow ties for each basket and the silent auction will take place on the night of the event. Proceeds will be split between BowTie Cause and each organization that donated. The event will be a black bow tie event and the first benefit would be great to start in BowTie Causes founding city, Cincinnati, Ohio. Here are a few venues that BowTie Cause could look into: The Bell Event Centre Very Formal Capacity: 300 Cost: $41-$50 per person Lighting and sound and food included www.belleventcentre.com
Figure 7: Bell Event Centre

The Phoenix Semi-Formal Capacity: 450-1500 Cost N/a will need to contact An event staff is in house to help with decoration and theme http://thephx.server275.com/home/

Figure 8: The Phoenix

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The Centennial Barn Semi-Formal Capacity: 200-260 Cost: N/A will need to contact Kitchen, tables, chairs, audio and visuals included http://www.centennialbarn.org/EventRental.html
Figure 9: The Centennial Barn

The Cincinnati Zoo- Botanical Gardens Casual/Semi Formal Capacity: multiple venues to choose from 501000 Cost - Bowtie Cause is a partner with the zoo and the probability of making a deal with the zoo off the benefit ticket or as a donation is probably high.
Contact for amenities http://cincinnatizoo.org/groups/rental-facilities
Figure 10: Cincinnati Zoo Botanic Gardens

Public Relations Natural Disaster Relief: Creating bow ties to support natural disaster relief funds could be a great philanthropic move. BowTie Cause should research current events and design a bow tie to help people in need after fires, hurricanes, earthquakes, tornadoes etc. The profits from these bow ties can go to help those communities that were affected by the disaster. This will also help with media coverage. The bow ties help people look good and do good philanthropic deeds. Media Kits: These usually come in a folder or as a USB drive that holds information about a company. BowTie Causes should contain its major contacts, mission statement, upcoming events, and what they would like the media to cover, i.e.) galas, special news, anniversaries etc. A great place to obtain coverage would be the local Cincinnati news channels. Partner Packages: These identical to media kits but they show what type of benefits a partner will receive, such as information on how much exposure their logo receives if they are on BowTie Causes website, instead of just media coverage.

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Advertisements One of the biggest difficulties newer companies face is brand awareness. BowTie Cause should not be afraid to compete. Google Analytics, Ad Words and Facebook Ads would be good places to begin. Digital ads are much less expensive than print, therefore, this would be the initial place to start advertising BowTie Cause. Other good websites to consider placing ads would be: Details.com GQ.com Urbanoutfitters.com Fab.com Josbanks.com Menswearhouse.com Ad Ambassadors: This is an opportunity to get more involved at the collegiate level. There are many amazing events and galas that go on at campuses across the nation. By contacting the national fraternities or major colleges student governments, BowTie Cause could implement an ad ambassador. An ad ambassador(s) is a person that represents BowTie Cause at the university. BowTie Cause would offer a part of the profit or reward/merit such as a small scholarship or graduation chord to this individual(s) for his or her BowTie Cause implementation at their institution. This would also work well in: High Schools (Prom/Homecoming) Social Groups (Cotillion/Debutante) Speech/Debate Teams

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8. Financial Data and Projections Revenue Strategy Since production and selling costs appear to be rigid, profit margins are relatively inflexible as well. However, changes can be made in the percentage donated to the sponsoring organization. These adjustments could be made specific to each organization or overall to all organizations. If using an individual organization strategy, we recommend a maximum of 5% change in the donation amount allowing a range of 20%-30% to be implemented accordingly. A simplified profit analysis per tie is shown below: Sales Revenue: $57.00 Donation to Sponsoring Organization (25%): $14.25 Average Manufacturing Cost: $18.47 Profit per Tie: $24.28 Promotional Expense Planning Although this section does not include actual promotion costs, it lays the groundwork for planning previously offered advertising expenses and determining proper implementation times to incur the costs.
Table 2

Promotion Bengals / NFL Integration MLB Live Advertising Website Reconstruction Social Media Management and Advertising BowTie Design Contest Partnership with Department Stores First Quarter Costs: $_________ Second Quarter Costs: $_________ Third Quarter Costs: $_________ Fourth Quarter Costs: $_________ Year End Total Costs: $_________

Expense

Implementation Period(s)

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Expected Sales and Profits Based on the information provided, an accurate measure of future sales and profits cannot be calculated at this time. Nevertheless, BowTie Cause should actualize efforts to increase net profit through investing in promotions and advertising plans. Setting a goal of a 15% increase in sales and a 10% increase in net profit for the next fiscal year is suggested. Income Statement Analysis Maintaining an accurate and up-to-date income statement is crucial for calculating fundamental financial computations. The essential financial elements and ratios are given below: Markup on cost (%) measures the relationship between markup and cost to produce the bowtie (Markup / Cost of Goods Sold) X 100 Stockturn rate measures the ability to move inventory quickly. Since the bow ties are typically ordered in batches when requested, the stockturn rate should remain relatively low. Net Sales / Average Inventory at Selling Price Return of Investment measures the profit performance of the firm compared with the previously invested money Net Income / Investment X 100

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9. Organizational Structure BowTie Cause is currently a small start-up organization that creates bow ties for charitable events. The organization works with foundations such as Juvenile Diabetes Foundation, Leukemia and Lymphoma Society, Alzheimers Organization and many others to produce a bow tie to fundraise for the particular organization. The chairman and founder is Dhani Jones, a former linebacker in the NFL for 11 years. Assisting Mr. Jones is Kunta Littlejohn who is a special advisor to the chairman. BowTie Cause also currently has a project manager named Amanda Williams, and recently the company has added two sales representative companies to help them expand. Dhani Jones created BowTie Cause when he was showing support for his friend Kunta Littlejohn, who was battling cancer. Ever since, the organization has helped 30 different organizations raise over $300,000 in charitable efforts. After gaining an understanding of the organizational structure of BowTie Cause we feel that it would be beneficial for BowTie Cause to hire a Chief Communications Officer (CCO). Responsibilities of the newly hired CCO would include but are not limited to: Assisting in every aspect of the company from an advertising/public relations standpoint. Overseeing BowTie Causes website, and keeping it up to date. As it currently stands the website needs to become more visually appealing to visitors. Overseeing any social media sites such as Facebook or Twitter for the organization. Working on an advertising campaign for BowTie Cause, which can range from magazine ads to Internet ads. Working closely with Ms. Williams and both sales representative companies in ensuring the advertising, and public relations success of the product.

Figure 11: Company Structure

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10. Implementation Plan Improving BowTie Causes exposure to the market requires a major improvement in the promotional strategy as well as expanding the market to include women and children. The first step is to change the tagline to Tied to a Purpose, to highlight the mission of the company and clarify what they stand for. Next, expand the market to women and children to increase the target market, creating headbands and bows. These new products will allow BowTie Cause to compete against its competitors. Sales of headbands and bows will be monitored carefully to determine whether expanding the target market to women and children is significantly increasing profit. If so, BowTie Cause can attempt to sell bowties to large department stores. BowTie Cause must include more pictures and advertisements that can be found on their website and through Twitter, Facebook, Pinterest and Instagram. Through these social media sites, men, women and children are able to see what these bow ties look like as well as what Bowtie Cause is all about. By January 2014, the BowTie Cause website will be redone to become more appealing to the eye of the consumer. This will include pictures on the websites home page of people and organizations wearing these bow ties, supporting a cause. There will be direct links to Twitter, Facebook and Pinterest, allowing consumers to follow or like these bow tie creations. Using the National Football League as a promotional strategy is an important step to further expose Bowtie Cause. Players who are interviewed after games and in press conferences, as well as sports announcers, should wear one bow tie to promote the look and BowTie Cause. Dhani Jones and Kunta Littlejohn both have connections in the NFL, so they must connect with other teams and players whom have ties to organizations that support certain causes. BowTie Cause will assess the promotional strategy and the expansion of the market and determine if profits are increasing or if new organizations have reached out to BowTie Cause. How effective these promotional strategies are determines how well BowTie Cause will do in the next couple years and where they can sell bow ties next.

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11. Evaluation The simplest way to evaluate the effectiveness of this marketing plan would be to compare sales figures before and after the plan is implemented in order to determine if sales increased. An optional survey could also be given to customers asking them about the marketing efforts of BowTie Cause (ex: How did you hear about BowTie Cause?). This would give some idea about which marketing efforts are leading customers to complete sales.

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