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Customer Loyalty: One Today, Two Tomorrow
August 15, 2007
Generate future clients by merchandising for kids
By Enrique Burgos
Do you remember the brands you had when you were a kid? Probably. And chances are it's because you still purchase these brands' products today—such as General Mills, Milton-Bradley and Hershey. Research shows a consumers' strongest brand loyalties are developed in their youth. That means its important for you as a marketer to get your messages heard by your customers as early as possible.
For those in the food, toy and entertainment industries, it's easy to appeal to kids' desires for fun. Just flash some bright colors and funny cartoon characters and you've more than likely made a sale—or at least triggered a series of childhood begging with his or her parents. But what if your company's products and services don't cater to the 12-and-under demographic? How can you begin marketing to these future customers now?
Take a hint from companies the express delivery sector—such as US-based FedEx, UPS, and Germany-based DHL—who already promote their trademarks through collectible toys for both children and adults. These branded toy cars and trucks create a positive association and produce brand awareness among all ages. The products allow companies to reach consumers and create a relationship between the brand, the service and the actual customer.
Companies looking to brand a toy car or truck have three different categories to choose from in this type of merchandizing development:
1. Selling branded scale-model vehicles as promotional items
Promotional toys for freight and packaging companies come in many forms: vans, trucks, commercial vehicles, planes, etc. All the major express delivery companies have developed at least some kind of this merchandise product. They are usually made of die-cast metal, injection moulds or plush. Domestic companies include UPS and FEDEX. International companies include DHL, Holland-based TNT and Spain-based SEUR.
2. Sponsoring NASCAR cars and producing sponsored die-cast models.
Sponsoring NASCAR is a two-hit marketing tactic: not only is a brand displayed on the actual race car, but the company then has the opportunity to merchandize its sponsorship. For example, UPS is the sponsor of the UPS Toyota Camry Racing Team of NASCAR and they have an online store where you can buy these model cars. FedEx also sponsors NASCAR and the FedEx Chevrolet Racing Team. They currently sell several products in the NASCAR store for their three types of carrier service—Express, Freight and Ground).
3. Agreements with Toy Manufacturers
Kids love toys and getting your brand’s logo stamped on a product in a toy store will get lot of attention. Toy companies such as Playmobil, MATTEL and Bruder can develop specific games and toys stamped with a company's logo. DHL is the most active company in this field.
Ultimately, successfully investing in a merchandizing sponsorship as a brand positioning strategy has to be complemented in several different merchandising programs. And remember, targeting to kids allows any company—no matter its sector or activity—to generate two impacts in one shot: father and son. That's one customer today and two in the future.
Sales & Marketing Management Magazine
This article is brought to you by Sales & Marketing Management, the leading authority for executives in the sales and marketing field.
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