Old Navy's Promotion Strategy

Introduction

This third segment of the MKT-501 course is to explore Old Navy’s promotion strategy called “Mike” targeted at young adult males, with assignment specific focus on:

• Evaluate the choice of young adult males as a target for an Old Navy promotion.

• In choosing mobile media for this campaign, what assumptions were made about the viewing habits of this target? Do I believe these assumptions are valid? What would I recommend regarding this choice?

• What do I think of the creative strategy chosen for this campaign? What are the positives and negatives of content that relies on humor? Would you propose some modification to the concept chosen? What and why?

Old Navy

According to Yahoo Finance (2014), Old Navy commands a fleet of more than 1,010 family clothing stores throughout the US, Canada, and China offering items under its own brand name at discounted prices. Founded in 1994, Old Navy is owned by the king of casual apparel Gap Inc. Old Navy, which has suffered from sales declines in recent years, appears to be back on track, and has extended its brand to Japan.

Mobile/Video vs. Television Promotion

A sales promotion as such is viewed as an inducement or tactic with the purpose to encourage the purchase of a product/service immediately, and is mostly concerned with consumers’ short-term buying behavior. The analogy of a “snack” describing mobile/video promotions seems somewhat appropriate, as it is short, typically very familiar, and easy to find, grab and digest. They can be fun when having a couple of minutes at home or at the office, when bored or craving for something, anything.

It is quite common, that promotions can cause consumers to focus more on the promotion than on the product itself. It would therefore be safe to say, that consumers are not loyal to the product but attracted to the coupon, gift, or rebate (marketingteacher, n.d.)

According to numerous surveys, and the compiled advertising cost...