'Case Memo Fashion Channel\r'

'Ms Dana Wheeler, Senior Vice President, Marketing subject: Suggestions for coming(a) Marketing Plan date: 10/12/2013 TFH is indeed in a rather ingenious situation at the moment. Although I agree with you that at that place is an undeniable need for well-nigh substantial changes, I am equally concerned about the proscribe reception of these changes by our viewers and even our employees. jibe to me, the aim right now should be to nothingness our channel way from the risks of declining viewers and advertising prices.However, in order to achieve this, I do not at the same time think it would be wise to expose ourselves to higher concentration risks than is necessary. Therefore, my recommendation is to opt for the third scenario as mentioned in your projections, which targets two ‘Factionists and ‘Shoppers & Planners. This strategy could help maintain or set the damage to our existing viewers, and potentially increase our communicate rating by 20%; and our ann ual CPM median(a) from $2 to nearly $3.This could result in a consequent increase in ad revenues to upwardly of $320 million, which is a much better projected saving than of the first two options. I have explained some reasons below to support this argument. The current CPM is projected to overhaul by 10% next year if our set audience-mix endures. Change in this bea, is therefore vital to Techs talent to grow and address increasing competition. Attracting a multi-cluster of viewers, may increase metrical composition, but will not do much to avoid the probable drop in CPM.It would be necessary therefore to place enormousness on attracting a specific viewer demographic which has could contribute towards increasing our ad revenues. As you are aware, the demographic segment of female viewers of age(p) 18-34 commands a higher CPM in the market. Additionally, of the four attitudinal clusters determine in the report from SGF Associates, ‘Factionists are found to be compri sed of the highest portion of the demographic mentioned above. Planners and Shoppers on the other conk seem to be comprised more of our existing viewers demographic, heap ‘Sustainability and ‘Basics are broader clusters, with lower involvement and interest in fashion. It is quite clear from this that the first cluster would be an obvious target for our future marketing. However, given that it comprises of a relatively small portion of the television reckon population of the US, targeting ‘Factionists could jeopardize our current viewer numbers and therefore our network rating.In light of this, I engage it strategically much more sensible to set out this risk by including Planners & Shoppers in addition to ‘Factionists in our strategy, which could result in achieving a healthy rating, epoch increasing the number of higher-value viewer (in ground of CPM) demographic. Also, unconnected the first scenario, this would avoid over- expansion of our view er demographic, which is something virtually advertisers are weary of. I therefore would apprise you to seriously consider Scenario 3, which seems to be efficient, both, in toll of performance, as well as in terms of risk.\r\n'