art

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COFFEE

KOMN SOCIETY

AOR:

TAZMIN KARMALI
DAMIETE OYIBO

JENNY MOURAO KIMBERLY NGAN

MAULIK SHAH MIKAELA WEISS

MKTG 5519
SHEILA MOORE
JULY 9, 2015
SECOND CUP COFFEE CO. | THE ART OF COFFEE

TABLE OF CONTENTS
Brand Review
Second Cup Coffee Co.
Brand Image
Brand Position
Unique Selling Proposition & Positioning
Problem
Industry Overview
Competitive Analysis
Audience Segmentation
Consumer Profile
Environmental Factors
Social and Cultural
Technological
Social Responsibility
IMC Objectives
Creative Objectives
Creative Strategy
The Big Idea
Appeal Techniques
Tone & Style
Key Messages
Creative Execution
Media Objectives
Media Habits
Strategic Media Recommendations and Rationale
Campaign Scheduling
Budget
Conclusion
Works Cited
Appendix A - Additional Creative Pieces
Appendix B - Television Storyboard
Appendix C - Media Calender (Blocking Chart)
Appendix D - Campaign Budget Breakdown

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COFFEE

SECOND CUP COFFEE CO. | THE ART OF COFFEE

SECOND CUP COFFEE CO. NEW STORE CONCEPT

KING & JOHN ST. (TORONTO)

SECOND CUP COFFEE CO. | THE ART OF COFFEE

BRAND REVIEW
SECOND CUP COFFEE CO.
Second Cup Coffee Co. is a specialty coffee caf that first opened in Toronto, Canada in 1975. The caf creates and
serves a number of specialty drinks including: espresso, whole leaf tea, lattes, cappuccinos, hot chocolate, ciders,
smoothies and blended drinks. In addition to coffee, each caf offers a small assortment of locally sourced food
items such as cookies, breads and sandwiches. There are now close to 350 Second Cup cafs across Canada of which
95% are franchisee operated. The international division, which operates as a separate business, has expanded the
Second Cup brand across the globe with locations in the U.S., Europe, Africa and Asia.

1970s

2000s

2015

BRAND IMAGE
Second Cup Coffee Co.s vision is to be, the coffee brand most passionately committed to quality and innovation
(Second Cup Coffee Co., 2015). Stemming from this vision, Second Cup has prided itself in offering the highest
quality coffee beans to its customers in the most responsible way possible. Every coffee bean used at Second Cup
is fairly traded, organic and rainforest alliance certified (Second Cup Coffee Co., 2015).

BRAND POSITION
In 2014 Second Cup Coffee Co. captured 0.5% of the Canadian coffee market, which totalled $2.3 billion for the
year (Euromonitor, 2015). In comparison to major out-of-home coffee competitors in Canada Tim Hortons (3.1%)
and Starbucks (5.5%), Second Cups market share is small. However, Second Cup executives arent alarmed by
the fact that theirs is a smaller operation in comparison to competitors. As stated by Second Cup Chief Executive
Officer, Alix Box, our goal isnt to be the biggest; our goal is to be the best coffee offering (Strauss, Second Cup
Aims for an Upmarket Vibe as Coffee Competition Heats Up, 2014). Second Cup isnt aiming to be an industry
leader in coffee, but to instead establish itself a niche of high-quality coffee drinkers.

UNIQUE SELLING PROPOSITION & POSITIONING

Recently, the company underwent a large re-brand, allowing Second Cup to re-establish the brand as an innovative,
quality and premium coffee offering. This re-brand included a newly designed flagship location in downtown Toronto
with a futuristic and premium design. Elements of the new store include a state of the art steam-punk brewer, an
interactive slow-bar and wireless charging stations. The store design is expected to be rolled out to other corporate
and franchise locations in spring, with 35%-40% of stores being converted by 2017 (Canadian Press, 2015).

SECOND CUP COFFEE CO. | THE ART OF COFFEE

THE PROBLEM

Second Cup Coffee Co. store concept prior to re-design

With the intense competition in the specialty coffee

industry, it has been difficult for Second Cup to establish
itself as a unique offering to consumers. Second Cup
is competing against various coffee retailers; from
high-end coffee chains like Starbucks to popular
restaurant chains McDonalds and Tim Hortons, as
well as independent coffee shops. There has been a
decrease in franchise sales and market share over the
years, causing Second Cup to shutter up to 30 locations
across Canada (Strauss, 2012).

In addition to the loss of sales, the Mississauga-based

company has seen its brand positioning erode. Second
Cup has found itself caught in the middle, not quite
meeting premium status in the market, but also not
having the prices to match main stream quick-serve
brewers. Being caught in between its competitors
market segments is not benefiting Second Cups longterm strategy or brand image. Second Cup is in need
of an identity overhaul in order to differentiate itself
from competitor coffee retailers. This re-branding has
already begun with the introduction of the new instore concept, but will now need to be communicated
to the companys audience at large.

Canadians are passionate about coffee and we know

that they are rooting for Second Cup to make a

dramatic comeback.

- Alix Box, CEO Second Cup

SECOND CUP COFFEE CO. | THE ART OF COFFEE

INDUSTRY OVERVIEW
Coffee is the third most consumed beverage in the Canadian
market, falling just behind juice and soft drinks. However, in
growth terms coffee is far outpacing competitor beverages
with +28% dynamic growth (Canadian Grocer, 2013). Much
of the stability of coffee can be attributed to the ritualistic
nature of coffee drinking. Canadian coffee drinkers are
consuming an average of 2.6 cups of coffee a day (Canadian
Grocer, 2013), with most of that coffee being consumed in
the morning with breakfast as part of a morning routine
and to wake the consumer up.
24% of coffee drinkers report consuming coffee out-of-home, either at restaurants or quick-serve cafs (Canadian
Grocer, 2013). However, this number has been decreasing and could continue to decrease as consumers have
more frequently been consuming coffee in-home, especially with innovations like single-serve coffee makers being
popularized. Never-the-less, Canada still has one of the highest percentage of out-of-home coffee drinkers in the
world, only falling second to Italy (Stapinsky, 2013). Most of the growth in out-of-home coffee drinking can be
attributed to the constant innovation in the specialty hot and iced coffee drink segments. Specialty coffee drinks
are enjoyed by 22% of Canadian coffee drinkers. In addition, caf latte drinkers has risen from 7% to 10% (Canadian
Grocer, 2013).
Baby boomers remain the largest consumers of coffee, with 37% penetration (Cardwell, Coffee-loving Canadians
Brewing up New Store Sales, 2015). However, the millennial demographic is the fastest growing segment of coffee
drinkers 1 of every 3 hot speciality coffee drinks is consumed by a millennial, and consumption in this segment
has increased by 6% since 2014 (Cardwell, Coffee-loving Canadians Brewing up New Store Sales, 2015). Speciality
coffee is also heavily skewed toward the female demographic, with 65% of speciality coffee drinks being consumed
by a female (Cardwell, Coffee-loving Canadians Brewing up New Store Sales, 2015). Overall, Canadian coffee
drinkers tend to be more educated, and want both quality and variety from their cafs (Stapinsky, 2013).

SECOND CUP COFFEE CO. | THE ART OF COFFEE

COMPETITIVE ANALYSIS
Second Cups competitors range from premium quick-serve cafs like Starbucks to more conventional options such
as McDonalds and Tim Hortons, as well as small independent cafs. Each competitor offers various specialty coffees,
teas, beverages and baked goods. In general, competing on the basis of product alone is a challenge since many
quick-serve cafs offer much of the same menu items. Besides unique offerings and products, coffee retail chains
also compete on the levels of location, advertising campaigns, loyalty programs, and in-store experience.

STARBUCKS
Starbucks is Second Cups biggest competitor in the premium coffee category. While
Second Cups pricing is slightly lower than Starbucks, the pricing is still close enough
that the two chains are constantly compared to one another. The biggest competitive
advantage of Starbucks is the vast amount of cafs they have across Canada. Starbucks
has over 1,400 cafs across Canada; that works out to 40 cafs per million people, which
makes Canada the highest Starbucks-per-person country (Babad, 2014). Starbucks has
also been one of the few competitors that has been successful in implementing product
innovation through the introduction of new Frappuccino flavors and seasonal items. They
spend very little on communications and advertising, however they also boast a highly
successful loyalty program that many consumers utilize.

TIM HORTONS
Tim Hortons is one of Canadas most beloved coffee brewers. The brand has been brewing
coffee in Canada since 1964 and plays heavily on its Canadian ties. In a recent study,
40% of women cited Tim Hortons as one of their favorite coffee brands (Haynes, 2014).
Advertising for Tim Hortons regularly plays on the brands hockey heritage and connection
to the Canadian people. Pricing on items is more conventional, making the brand less
skewed toward the premium category. However, Tim Hortons recently rolled out a dark
roast option which has been heavily marketed and very successful so far, as well as a
single origin brew; reflecting their efforts to provide a more premium experience. Also,
in a 2014 franchisee trade-show Tim Hortons showcased a store of the future concept
which was similar to the new direction that Second Cup is currently taking.

MCDONALDS
McDonalds has successfully been promoting its coffee options in Canada since 2009
when it introduced its premium blend Arabica medium roast coffee (Shaw, 2014). It
has also begun to incorporate specialty coffee options on its menu. There was a large
investment made in 2011 to redesign numerous pre-existing McDonalds locations into
McCafs incorporating fireplaces and a more inviting and warm atmosphere. The chain
has also implemented a loyalty rewards program, whereby after purchasing 7 McDonalds
coffees a consumer is eligible to get their 8th coffee free.

SECOND CUP COFFEE CO. | THE ART OF COFFEE

AUDIENCE SEGMENTATION
Audience segments of interest for Second Cup Coffee Co. include baby boomers (1946-1965), generation X
(1966-1976) and millennials (1977-1994). These three segments make up most of the Second Cup market. Coffee
consumption is still highest at 77% for consumers in the baby boomer category, followed by 49% penetration of
Gen Xers and 40% of millennials (Canadian Grocer, 2013). However, the millennial segment is experiencing the
most dynamic growth, with consumption in this segment increasing by 6% since 2014. Currently, baby boomers
make up the majority of Second Cups clientele. However, at 29% of overall restaurant visitation, millennials are
becoming an increasingly important customer segment (Strauss, Second Cup Aims for an Upmarket Vibe as Coffee
Competition Heats Up, 2014). Therefore, millennials will be a key segment that Second Cup will need to win over
in order to continue future success.

CONSUMER PROFILE
MEET SAM an ambitious 20-something year old business professional, living in a condominium in the
Toronto downtown core. Sam is well educated and earns around $65,000 annually. Living in close proximity to
work, Sam prefers to commute via public transit and does not own a car. Sam is digitally savvy and relies heavily
on mobile devices to stay connected on-the-go, and meet the demands of a busy work and social life. Sam is on
multiple social media platforms and uses these to interact with friends, family and favorite brands. Sam is excited
about new technology and innovation and is willing to pay a premium to experience new and unique products and
services that are ahead of the curve. Sam values creativity and authenticity when choosing brands and rewards
companies that support sustainability efforts through their regular business operations. Sam is well-traveled and has
a strong appreciation for foreign films and exotic, international cuisines. Due to a hectic lifestyle, Sam spends little
time at home and eats most meals at local independent dining establishments, especially those with unique and
unconventional offerings and a relaxed and trendy atmosphere. Sam exemplifies the Second Cup target consumer.

SECOND CUP COFFEE CO. | THE ART OF COFFEE

ENVIRONMENTAL FACTORS
SOCIAL AND CULTURAL
There has been a huge change in Canadian purchasing and coffee consumption habits. Canadian consumers are now
in the mindset of saving money and are becoming more cautious when it comes to spending, leading them to brew
their own coffee at home. It has been noted that out-of-home coffee sales have fallen by more than 3% annually
in recent years due to the popularity of single-serve coffee machines, such as Keurig and Tassimo (Cardwell, Coffee
consumption habits continue to shift in Canada, 2015).
The millennial generation has increasingly become more fascinated and immersed in the coffee culture, viewing it
as an engaging social experience due to its inviting and comfortable atmosphere. 49% of millennials socialize with
their friends at coffee shops, and 43% of them choose their primary coffee shop based on what their friends choose
(yconic, 2013).

TECHNOLOGICAL
Mobile technology has affected the social behaviours and norms of the everyday consumer. Consumers now depend
on their mobile devices to access their everyday tasks, such as checking their e-mails, reading current events and
staying connected through social media networks. The access to media and information via mobile devices is a
necessity and one that can bring large opportunities to businesses.
Many coffee chains and restaurants now offer complimentary Wi-Fi connection inside their stores in order to
allow consumers to continue their day without any disruptions. As well, offering this service can improve the instore experience, leading to greater foot traffic, more time spent in-store and increased customer spending. WiFi connections also allow customers to access the companys mobile applications and loyalty programs while instore, further improving the consumer experience. Additionally, charging stations are now being incorporated into
retail spaces, allowing customers to stay in store longer, contributing to further in-store spending and customer
experience. This makes retail stores an attractive spot for students, writers, freelancers, and young entrepreneurs to
spend their time on a regular basis.
The growth and impact of social media has led to retail companies remodeling their strategies, especially with the
millennial segment. Social networks are an important part of millennials lives, being a convenient and efficient
way to connect and read about news, trends, events and more. With this in mind, companies are now investing
more heavily in digital marketing and advertising initiatives as a way to increase their reach, and to target various
connected and tech-savvy demographics.

SOCIAL RESPONSIBILITY
Consumers are becoming increasingly sensitive towards cultural, economic and environmental issues that are
occurring around the world. Interestingly, 55% of consumers, especially millennials, are willing to pay more for
environmentally responsible products, and they regularly check packaging for sustainable labeling (Rayapura, 2014).
Additional social initiatives such as using re-usable cups, recycling and donating money to important causes are ways
that companies show consumers that they are demonstrating social responsibility. It is highly important to consumers
that they purchase from companies that believe and encompass ethical and standardized health practices, such as
Fair Trade and organic certifications.
SECOND CUP COFFEE CO. | THE ART OF COFFEE

IMC OBJECTIVES
To alter brand perception and achieve an awareness level of 60% for Second Cups new positioning in the
primary and secondary target market by the end of Q4 2016

To increase revenue by 10% and same-store sales by 4% by the end of Q4 2016

To engage consumers with the brand and brand experience by increasing social media engagement
across all platforms by the beginning of Q2 2016:

2x the followers on Facebook

3x the followers on Instagram

2x the followers on Twitter

To receive at least 1,500 new entrants for the My Second Cup contest (#my2ndcup)

CREATIVE OBJECTIVES
Second Cup will covey to consumers that it is a provider of premium, innovative and specially crafted coffee. Second
Cup offers this through its new in-store Caf of the Future design and experience. This includes features like the
Steam Punk brewer, wireless charging stations and the slow bar where consumers can watch as their coffee is artfully
crafted by expert baristas. Second Cup also provides top quality to its consumers through its locally sourced food
items, and superior quality coffee bean selection.

We hear from people that, as much as they are passionate

about our franchise being their local cafe, they do feel that

the brand is tired and they want to see a refresh. We have to

change peoples perceptions of who we are.

- Vanda Provato
VP Marketing Second Cup

SECOND CUP COFFEE CO. | THE ART OF COFFEE

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CREATIVE STRATEGY
Second Cup will covey to consumers that it is a provider of premium, innovative and specially crafted coffee. Second
Cup offers this through its new in-store Caf of the Future design and experience. This includes features like the
Steam Punk brewer, wireless charging stations and the slow bar where consumers can watch as their coffee is artfully
crafted by expert baristas. Second Cup also provides top quality to its consumers through its locally sourced food
items, and superior quality coffee bean selection.

THE BIG IDEA

The cornerstone of this campaign and key message that will be communicated through the various chosen media is
embodied in the campaign slogan The Art of Coffee.

The campaign will encourage coffee drinkers to appreciate a hand-crafted cup of coffee, much as they would a unique
piece of artwork. In this way, consumers will no longer see Second Cup coffee as merely a commodity, but instead
elevate it to the level of fine art. A multitude of factors impact the artistic process and end-result, including the
materials and ingredients that are used, the tools that are employed and the skill and technique of the craftsperson.
The newly introduced slow bar allows customers to experience and learn about the brewing of their coffee. Patrons
and baristas are encouraged to interact with one another and collaborate in the crafting of an individualized, premium
Second Cup coffee.

SECOND CUP COFFEE CO. | THE ART OF COFFEE

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The folllowing images are photos of the new Second Cup Coffee Co. concept store:

APPEAL TECHNIQUE
The message will use a positive appeal, featuring creative that is product-focused, with an emphasis on the process
of crafting a high-quality coffee beverage and the premium end-result. Additionally, elements of lifestyle appeal
techniques will be used as a means of associating the Second Cup Coffee Co. brand with being upscale, trendy and
innovative.

TONE & STYLE

The Art of Coffee campaign is:

Intriguing
Luxurious

Classy
Artistic

Inspiring
Innovative

Upscale

KEY MESSAGES
Key messages that will be used throughout various communications include:

Your coffee should be a masterpiece

It all begins with the bean Every one of our creations starts with the highest quality Arabica coffee

Experience The Art of Coffee

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CREATIVE EXECUTION
The Art of Coffee campaign will make use of several media which include television advertising, out-of-home
marketing, experiential marketing, digital marketing and social media. This integrated approach will allow the key
message of the campaign to be delivered consistently through a variety of channels which will extend both its reach
and impact.

TELEVISION
The television commercial will focus on the visual aspects of creating coffee to appeal to the human senses. It will
feature close up shots of a premium cup of coffee being made from scratch using the innovative Steam Punk brewing
machine. The Steam Punk brewing machine, of which Second Cup is the first coffee chain in Canada to feature in
its stores, is a high-end artful machine that is famous with coffee connoisseurs and trend setters around the world
(Canadian Press, 2014). Throughout the commercial, the camera will focus solely on the product and process of
creating the coffee. There will be music playing as the viewer is taken through images of the entire process of
creating a Second Cup coffee from picking the beans in Ethiopia to brewing the coffee in-store. At the end of the
commercial, when the final coffee has been poured, a hand then takes the cup and places it on a pedestal. At this
point the camera pans out slightly to reveal that the pedestal is located in a gallery surrounded by great masterpieces
of world art. Finally, the campaign slogan The Art of Coffee appears across the screen. Please refer to Appendix B
to view the television storyboard.

OUT-OF-HOME
The Art of Coffee
The Art of Coffee out-of-home advertisements will showcase Second Cup coffee as a work of art within a museum
environment. This will drive the campaign concept of coffee as art in the consumers mind. The Second Cup coffee
will be placed on a pedestal with spotlights shining down on it. Surrounding the coffee will be popular works of art
that are easily recognizable to customers. Billboards, subway posters and bus shelter ads will be used to drive traffic
to the nearest Second Cup Co. franchise in the area by including a message on the advertisement to, Head to (insert
intersection). Bus wraps, Street Cars and King Bus posters will be used to increase awareness of the campaign, but
will not state a specific Second Cup location as they are mobile vehicles. Please refer to Appendix A for additional
out-of-home creative.

Bus Shelter Ad

SECOND CUP COFFEE CO. | THE ART OF COFFEE

TTC King Poster Ad

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My Second Cup Contest

Out-of-home advertising will also be used to promote the My Second Cup contest. These ads will show the cup
designs that are already being used in-store at Second Cup locations, which were created by Canadian artists. Beside
these designs will be an easel with an image of a blank cup on it, ready to be designed by a customer. The ads will also
feature the contest hashtag #my2ndcup and the address to the contest microsite www.theartofcoffee.com. Please
refer to Appendix A to see the seventies poster relating to the contest.

EXPERIENTIAL
Piaggio
The experiential marketing will take place in the three key markets: Toronto, Montreal and Calgary on separate
occasions and during special events. Second Cups Piaggio vehicle will be used for sampling Second Cup coffee to
consumers. The Piaggio is a custom built mobile mini-caf serving station that is unique and eye-catching. The use
of the Piaggio will bring Second Cups experiential marketing initiatives
to a whole new level as people are drawn to it during key events like
Toronto International Film Festival (TIFF), Christmas markets and Nuit
Blanche. A decal with the new company logo and the slogan The Art
of Coffee will be displayed on the Piaggio, as well as the hashtag and
microsite for the My Second Cup contest.

SECOND CUP COFFEE CO. | THE ART OF COFFEE

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The Creative Cafe

The Creative Caf events will be used as a launching point for the My Second Cup contest. Influencers, bloggers and
local celebrities will be invited to newly renovated Second Cup cafs in Toronto, Montreal and Calgary to participate
in a night of creativity, fine food and beverages. Here individuals will have a chance to create their own cup designs
as a group which will be featured on the contest website, listen to local Canadian artists and enjoy all that Second
Cup has to offer. From this event Second Cup will receive PR coverage from the invited individuals which will allow
the contest to become more widespread within each geographic target market.

DIGITAL
As a supplement to the Second Cup corporate website, a microsite will be created (www.theartofcoffee.com) which
will be an online hub for the campaign in terms of contest submissions, content and news about sampling events and
Creative Caf. The contest will give Canadians the opportunity to channel their inner creativity and submit artistic
designs for takeaway cups that reflect their personal inspirations. Five winners will be chosen for a prize of $5,000
each and all five designs will be featured on cups at locations throughout the country starting in the New Year.

Consumers will submit their art through the microsite or the pre-existing Second Cup mobile app, which will be
modified to include the My Second Cup contest. The contest will be open to residents of Canada over the age of 18.
Winners will be determined based on the number of votes received from the public. This will encourage participants
to promote the contest, share their individual submissions, and to direct friends and family to the microsite or mobile
app to vote. The contest will launch September 1, 2015 and the entry period will last 10 weeks, ending November
15, 2015. Voting will continue until November 30, 2015 and the winners will be announced on December 1, 2015.
The microsite content will also feature an extended version of the television commercial as well as in-store
demonstration videos of the newly renovated locations. This will provide more information about the new offerings
and build excitement about the new Second Cup concept. Please refer to Appendix A for additional digital creative.

SECOND CUP COFFEE CO. | THE ART OF COFFEE

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SOCIAL MEDIA
Consumers will submit their art through the microsite or the pre-existing Second Cup mobile app, which will be
modified to include the My Second Cup contest. The contest will be open to residents of Canada over the age of 18.
Winners will be determined based on the number of votes received from the public. This will encourage participants
to promote the contest, share their individual submissions, and to direct friends and family to the microsite or mobile
app to vote. The contest will launch September 1, 2015 and the entry period will last 10 weeks, ending November
15, 2015. Voting will continue until November 30, 2015 and the winners will be announced on December 1, 2015.
The microsite content will also feature an extended version of the television commercial as well as in-store
demonstration videos of the newly renovated locations. This will provide more information about the new offerings
and build excitement about the new Second Cup concept.

MEDIA OBJECTIVES
WHO:

Primary Target: Millennials, with the sweet spot being young urban professionals aged 25-34.
Secondary Target: Baby boomers, loyal Second Cup customers living in downtown centres.

The campaign will run in key Canadian urban centres that have a larger concentration of Second Cup
locations, specifically Toronto, Calgary and Montreal.

WHERE:

WHEN: 6 month period, between September 2015 to February 2016. The budget will be heavily loaded in the first
2.5 months of the campaign when the contest is running. Advertising will slow down during the holiday season while
a separate seasonal holiday campaign is run outside of The Art of Coffee. The campaign will then continue until
February.

HOW: Second Cup will be utilizing a pulse media schedule. Leading up to the holiday season it will be important
for Second Cup to establish its new store concept as well as promote engagement in the My Second Cup contest.
Therefore, there will be heavier emphasis on media coverage in the first 2.5 months of the campaign. The campaign
will slow down for the holidays. In January the campaign will pick up again and continue until the end of February.
The advertising will focus on The Art of Coffee concept, elevating coffee from a commodity to an art form.
It will communicate to consumers the skill behind coffee making, appreciating the process and the premium quality
of the Second Cup brand.

WHAT:

SECOND CUP COFFEE CO. | THE ART OF COFFEE

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MEDIA HABITS
The primary target audience are millennials, specifically young professionals between the ages of 25-34 years old
who live in urban centres. They are digitally savvy and consume the majority of their media on mobile devices, or on
the go. According to recent research, 3 out of 4 consumers in this age group own a smartphone, and this is expected
to increase to 100% in the next few years (Dua, 2014). This segment also thrives on social media, using it as a source
of current affairs, information and entertainment. They are increasingly attracted to image-sharing social media
platforms such as Facebook, YouTube and Instagram. Despite the high increase in the use of subscription television
such as Netflix, Hulu and internet streaming services, there is still a high number who subscribe to television networks
and tune in throughout the week (Dua, 2014).
Studies found that the Facebook app, as of 2013, had over 47 million unique visitors between the ages of 18-34
years old, with continuous increases over the years (Blattberg, 2014). This makes Facebook the biggest mobile app
among the millennial segment. This increase within millennials is also evident in other photo sharing sites such as
Instagram. These social media habits will need to be kept in mind when promoting the contest and communicating
Second Cup's new brand position.
Studies show that millennials are more comfortable with mobile technology because they grew up with it. They are
also adept at multi-tasking and their lifestyle gives them more time to use their devices, especially on the go (Chung,
2013). It is therefore important when targeting this group to focus on multiple media platforms to engage them at
all levels.
Millennials are also more likely to use public transit than older Canadians (Chung, 2013). This is why out-of-home
media platforms, especially on transit, is an important medium to utilize. The target audience is also attracted to
large urban centres, where socializing is made easy for them. All out-of-home advertising will be focused in urban
cities to better reach the millennial segment.

STRATEGIC MEDIA RECOMMENDATIONS AND RATIONALE

TELEVISION
Television has remained an effective means of reaching a broad audience and outperforms digital and offline channels
in driving metrics such as sales and new accounts (Lynch, 2015). Given the broad reach of television advertising, the
intention is to reach not only millennials but also the secondary target market, baby boomers.
The television commercial will be a 30 second spot. The commercial will air in the three target markets: Toronto,
Montreal, and Calgary. Spots will be purchased on multiple networks during three different programs, strategically
selected to reach the primary target market as well as the secondary target market. The TV spots chosen include:

The Local CTV Evening News - airing weeknights at 6pm

Audience per airing: 1.8 million viewers (Maloney, 2014)
The commercial will air on the local CTV Evening News in selective spots of Toronto, Montreal and Calgary.
A benefit of this program selection is that viewers are less likely to PVR the news broadcast and therefore
would not be fast forwarding through the commercials.

SECOND CUP COFFEE CO. | THE ART OF COFFEE

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CTVs The Big Bang Theory - airing during primetime 6pm-9pm, once a week

Audience per airing: 2.7 million viewers (Bell Media, 2014)

This program has the highest audience viewership for a comedy sitcom in Canada. The Big Bang Theory
also ranked as the number 1 program amongst Canadian viewers aged 25-54 (Bell Media, 2015). Advertising
on a primetime show such as The Big Bang Theory is a way to not only reach a large amount of viewers,
but also allows the targeting of the primary demographic of 25-34 year olds.

The Food Network Canadas Chopped airs Wednesdays at 8pm EST

Audience per airing: 393,000 viewers (Ogden, 2014)

Chopped is one of the Food Networks top shows. Studies have shown that viewers of the Food Network
are more inclined to purchase what is advertised during the networks programming (Prime Media, 2014).
This spot was selected because the program is in line with the central theme of the Second Cup campaign.
Chopped Canada represents an appreciation for innovative food while also focusing on the process of
creating handcrafted food and beverages.

OUT-OF-HOME
Out-of-home print ads are being chosen due to Second Cups strategy to target consumers in urban settings within
Toronto, Montreal and Calgary. Out-of-home ads provide a means of targeting individuals geographically, with eyecatching visuals. There is a proliferation of these options within downtown cities, which will allow the campaign to
reach its target audience and utilize it to drive the consumer to Second Cup retail locations.
Billboards, bus shelters and subway posters are being used to direct customers to their closest Second Cup location.
This is important because one of the key objectives to the campaign is to increase sales and same-store sales across
Second Cup locations in the three key markets. Stationary print mediums can be utilized to drive the message to
consumers and then direct them where to purchase Second Cup products. Millennials are also much more likely to
take public transport on a regular basis, so the utilization of bus shelters and subway posters will be key to reaching
this demographic. The subway stations where posters will be located are strategically being chosen for their high
level of traffic and proximity to Second Cup locations that are being renovated in the target cities (Toronto: Union,
St. Andrew, Bloor-Yonge, St. George, and Queen stations; in Montreal: St. Laurent, Place-des-Arts, McGill, Atwater,
and Square Victoria stations; in Calgary: Centre Street, and 4th Street stations). Second Cup also recognizes that its
competitors have many more locations than it does. Therefore, it will be important to call out the specific locations
of Second Cup so consumers know where to find their locations specifically.
Bus wraps, Street Cars and King Bus posters will be used to increase awareness, but not call out specific Second Cup
locations to visit. These forms are mobile, eye-catching and will be seen by many eyes throughout the day.
Seventies will be used to promote the My Second Cup contest to consumers. These ads will again be mobile; located
at the back of bus transportation. It will also be useful for advertising to drivers as they wait in traffic behind bus
vehicles.

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EXPERIENTIAL
The events that Second Cup has chosen to promote at during The Art of Coffee campaign are Toronto International
Film Festival (TIFF), Toronto Christmas Market, Toronto Nuit Blanche, Calgary International Film Festival (CIFF),
Montreal Nuit Blanche and the Creative Caf. All of the events chosen align with the creative concept of coffee as
art.

Toronto International Film Festival (TIFF)

TIFF is a film festival that is run each September in Toronto, with an estimated audience of 400,000 (TIFF, 2014). It is
a prestigious event that attracts top celebrities from the film industry and showcases a number of highly acclaimed
films. This event will represent an opportunity to reach a desirable demographic of creative individuals who appreciate
film as an art form.
Toronto Christmas Market
The Toronto Christmas Market is a street market that celebrates traditional sights, sounds and scents of Christmas
(Toronto Christmas Market, 2015). It was voted one of the top 10 holiday markets by Fodors Travel (Toronto Christmas
Market, 2015). It is run during the weeks leading up to Christmas and attracts a wide audience including families,
millennials and baby boomers.
Toronto & Montreal Nuit Blanche
Nuit Blanche is an annual art festival held at night in Toronto and Montreal, celebrating contemporary art that is
produced in collaboration with local artists (Toronto.com, 2015). The event occurs throughout the city in many
locations and is visible to a large audience including millennials and baby boomers.
Calgary International Film Festival (CIFF)
CIFF is the largest film festival between the Rockies and the Great Lakes (CIFF, 2013). It is a 12-day event that
showcases numerous films from over 40 different countries (CIFF, 2013). The festival attracts creative individuals
who appreciate the art of film.
The Creative Caf
The Creative Caf will be run out of newly renovated Second Cup locations in each of the three target markets.
The rationale for this event is to build up hype for the My Second Cup contest by inviting influencers and social
media mavens to the event, so they can experience the Caf of the Future and share their experiences online. The
millennial target market is highly connected to social media and is influenced by stories that are shared online, so
this event will be key for getting them involved with Second Cup.

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DIGITAL
80% of Canadians use the internet for personal use, with the highest internet usage occurring amongst those 18-34
years old (Tuckwell, 2014, pp. 193-194). Therefore, the use of a microsite to host the contest platform is essential
in reaching the Second cup primary target market. The microsite is also a way to design the contest entry system to
have a different and younger feel than what is currently being used on the corporate Second Cup website.
90% of Canadian millennials are mobile, with many of them using both a tablet and a smartphone (Bouw, 2015). For
this reason, it is important that Second Cup augment its pre-existing smartphone app to also include links to the My
Second Cup contest. This way contestants and voters can have access to the contest via the microsite and also onthe-go via their mobile smartphones.

SOCIAL MEDIA
Social media is a complimentary medium to utilize with The Art of Coffee campaign. 90% of millennials are online,
and 86% of those are participating on some form of social media (Tuckwell, 2014, p. 221). Social media is therefore
essential for reaching the primary target market of the campaign and will function to help spread the key messages
of the campaign through word-of-mouth. Contestants can also use social media to share their designs for the My
Second Cup contest and to receive more votes. Second Cup will additionally be able to interact with its consumers
by having one-on-one conversations with them through social media.

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CAMPAIGN SCHEDULING
Refer to The Art of Coffee detailed blocking chart in Appendix C for the media calendar of all communication mediums.

SEPTEMBER

The TV commercial will premiere in week 36 of the media calendar on The Big Bang Theory. This is the time when
the sitcom premiers its new season and the show achieves its highest ratings. Thus, it will be an ideal time for Second
Cup to launch the TV commercial on the show to gain the most reach. The TV commercial will air on The Big Bang
Theory once a week from 8:00-8:30pm EST
The TV commercial will start to be shown on CTV Evening News in week 40 of the media calendar in the selected
spots of Toronto, Montreal and Calgary. The TV commercial will air 5 days a week from 6:00pm-7:00pm local time
All out-of-home advertising, except for billboards, will start simultaneously in all target markets during week 36 of
the media calendar. This will achieve maximum impressions, reach and awareness of the campaign across Toronto,
Calgary and Montreal
Seventies bus posters will be used to advertise the My Second Cup contest starting in week 36
Social media outlets such as Twitter, Instagram and Facebook will begin to advertise the My Second Cup contest
starting week 36 as well as content for The Art of Coffee
The microsite for The Art of Coffee campaign will be launched in week 36, as well as the feature to start submitting
applications for the My Second Cup contest
The Creative Caf experiential events will be implemented in week 36 for Toronto and Montreal, and week 37 for
Calgary so that word can get out about the contest and design applications can start being collected
The mobile application will be revamped in week 36 to include the voting system for the My Second Cup contest
The Piaggio will travel to TIFF during weeks 38-39 of the media calendar and CIFF during week 40

OCTOBER

After week 41 of the media calendar the TV commercial will discontinue on The Big Bang Theory until week 1 of
2016. This is due to the costs of airing on The Big Bang Theory rising during the holiday months, and the Second Cup
campaign being unable to absorb these extra costs
The TV commercial will continue to air each night on selected spots of CTV Evening News throughout October
All out-of-home advertising will continue, except for billboards, throughout October
The Piaggio will travel to Toronto Nuit Blanche as well as CIFF during week 41 of the media calendar
Social Media engagement will continue online throughout October driving engagement from consumers in the
contest, and with added content for The Art of Coffee campaign

NOVEMBER

The TV commercial will continue to air on select spots of CTV Evening News throughout November
Contest entry applications will be accepted until November 15, 2015. Users will be able to vote on as many entries
as they like until November 30, 2015
Social media content and engagement with consumers will continue throughout November
Bus shelters, bus wraps and subway posters will continue throughout November
King bus posters, Seventies as well as Toronto street car wraps will end week 47 of the media calendar

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DECEMBER

December 1, 2015 the winners will be announced for the My Second Cup contest via the microsite, mobile app
and social media. The 5 winners for the contest will be awarded their prize winnings
The Piaggio will travel to the Toronto Christmas Market during weeks 50-52 of the media calendar
Bus shelter, bus wraps and subway posters will continue throughout December
Billboards will start in week 49 and continue throughout December
The TV commercial will air on week 49 of December, and then all commercial airing for The Art of Coffee will be
halted until the New Year.

JANUARY

The winning cup designs from the My Second Cup contest will start to roll out in all Second Cup locations
The TV commercial will resume airing week 1 of 2016 and continue airing for the remainder of January
The TV commercial will start airing on The Food Networks Chopped. Chopped has its season premiere in January,
when it receives the most viewership. The TV commercial will air 5 days a week from 8:00pm-9:00pm EST
Bus shelters, bus wraps, subway posters and billboards will continue throughout January

FEBRUARY

The TV commercial will continue to air on all 3 chosen programs; The Big Bang Theory, CTV Evening News and
Chopped throughout February
Bus shelters, bus wraps, subway posters and billboards will continue throughout the month of February
The Piaggio will travel to Montreals Nuit Blanche event in week 8 of the media calendar
The campaign concludes in week 8 of February

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CAMPAIGN BUDGET
Refer to Appendix D for a detailed breakdown of The Art of Coffee budget.
Second Cup has allotted $5 million for the 6-month campaign, The Art of Coffee, running from September 2015 February 2016.

OUT-OF-HOME

49% ($2.46 million) of the media budget was allocated to out-of-home media. This includes billboards, bus shelters,
subway posters, bus posters and bus wraps
Rates for all out-of-home advertising were found online from Blog TO (Flack, 2010). 49% of the media budget was
allocated to out-of-home advertising because this medium allows for geographic targeting of individuals in urban
downtown centres. Additionally, research has shown that millennials more often are seen taking public forms of
transit, therefore having advertising on subways, buses and bus shelters will help Second Cup better target this key
demographic. A key objective of the campaign is to drive consumers to the newly designed Second Cup locations;
this will be better accomplished by utilizing out-of-home media platforms that are within close proximity to the
stores in order to tell consumers exactly where to go.

TELEVISION

38% ($1.93 million) of the media budget has been allocated to television broadcasts
Rates for each television spot that The Art of Coffee TV commercial will be shown in were derived from U.S. television
spot pricing that was found on a Globe and Mail article (Ryan, 2014). The typical U.S. rate for a 30-second spot on
The Big Bang Theory is around $326,000, where the viewership is approximately 20 million. Given that Second Cup
will be airing their commercial on the Canadian broadcast of the show, which has a viewership of 2.7 million, the
ad rate was divided by 10 to account for the lower viewership. These rates were then extrapolated to both CTV
Evening News and Chopped, based on the shows average viewership. 38% of the budget was allocated to television
broadcast commercials in order to attain high reach of audience members for The Art of Coffee campaign. Television
is also a highly influential form of advertising that utilizes sight, sound and emotion to capture audience attention
(Tuckwell, 2014, pp. 148-149). Second Cup will utilize this in order to better communicate the companys position
and demonstrate the companys new in-store experience.

EXPERIENTIAL

5% ($250,000) of the media budget was allocated to experiential forms of marketing, through various events
Costs for each event that Second Cup will be attending to promote The Art of Coffee were estimated based on past
experience coordinating promotional events. Second Cup currently owns the Piaggio prior to The Art of Coffee
campaign, therefore it was decided to leverage this asset for the campaign as it represents a low-cost means of
bringing experiences to Second Cup consumers. Additionally, the Creative Cafs are a low cost way for Second Cup
to promote the My Second Cup contest and generate PR buzz for the brand.

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DIGITAL & SOCIAL MEDIA

3% ($150,000) of the media budget was allocated to digital and social media
A portion of the digital budget includes the prizing for the My Second Cup contest, which represents $25,000. There
will be 5 winners of the contest, each winning $5,000. The cost for the microsite and mobile app were estimated
based on information found from the site Entrepreneur.com (Campanelli, 2006). The site estimates that a microsite
can cost anywhere from $2,500-$50,000. The agency decided to air on the side of caution and estimate the microsite
on the high-end, due to the high amount of content that will be included on the microsite. The mobile app is not
being made from scratch and will instead be an add-on to the pre-existing Second Cup app. Therefore, the cost of
this item was estimated at $50,000. In addition, $25,000 was allotted for new creative content for Second Cup social
platforms.

CONTINGENCY

$204,090 was left for contingency if any advertising item is to run over the estimated cost. This contingency can
also be used for various marketing items, such as search engine optimization (SEO) and additional creative for social
media platforms

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CONCLUSION
The Canadian coffee market is becoming an increasingly competitive landscape. Second Cup has lost its position to
competitors such as Tim Hortons, McDonalds and Starbucks. The primary focus of this campaign is to re-establish
Second Cup as an innovative, quality and premium coffee brand.
The campaign The Art of Coffee will establish Second Cup as an innovative brand by utilizing imagery from their new
in-store Caf of the Future concept. It will clearly define Second Cup as a premium coffee brand by bringing Second
Cup back to its core-value of superior-quality coffee and the artistry that is incorporated into every cup of Second
Cup coffee.
Focusing on Second Cups long-term strategy means establishing a connection with the millennial market. Research
has shown that millennials are drawn to creative concepts and artistic endeavors. Therefore, establishing Second
Cup coffee as coffee in an art form will resonate with this market.
The advertising mediums for the campaign were chosen with the primary target market in mind, as well as attaining
broad reach with the campaign message. There is a focus on out-of-home advertising to reach the millennial target
market in downtown urban centres of Toronto, Montreal and Calgary. These are key geographic markets for second
cup, as they roll-out their new in-store concept and re-define their image to Canada.
The My Second Cup contest is a way for Second Cup to have a more personal interaction with its consumer base. The
contest represents an important strategy for engaging the millennial market, as this segment enjoys being a part of
the creative process of products they purchase (Chung, 2013). This personal interaction with consumers also draws
on Second Cups desire to focus its brand on the individual customer experience (Second Cup Coffee Co., 2015).
Moving forward Second Cup will want to design communications centered on their commitment to quality and
innovation. Second Cup could create a communication plan centred on its new rewards program. This will help to
establish a loyal base of consumers for Second Cup cafs and works as a competitive advantage when competing
against larger coffee chains like Tim Hortons, McDonalds and Starbucks. By utilizing a rewards program Second Cup
can collect customer data on its target market, and employ this to continue to improve its communications and
product offering.

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APPENDIX A - ADDITIONAL CREATIVE PIECES

FIGURE 1 - BILLBOARD AD

FIGURE 2 - BUS SHELTER AD

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FIGURE 3 - MOBILE APP INTEGRATION

FIGURE 4 - MICROSITE

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FIGURE 5 - SUBWAY POSTERS

FIGURE 6 - SEVENTIES POSTER TTC

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APPENDIX B - TELEVISION STORYBOARD

1. The commercial begins with a
breath-taking view of the Ethiopian
landscape. Camera pans to a group
of Fair Trade workers on a coffee
bean plantation harvesting Second
Cup Arabica beans.

2. The Ethiopia portion of the

commercial ends with a look at
Second Cup coffee in its simplest
form.

3. The commercial then transitions

to a bustling city street (ensuring
that the city is neutral as to its
location). The viewer is brought
inside the newly designed Second
Cup caf.

4. Visuals of baristas crafting

specialty coffee creations
at the slow-pour station as
consumers look on in wonder
and excitement.

5. The commercial pans over to

another barista crafting a Second
Cup coffee with the innovative
Steam Punk brewer focusing on
the bubbling process within the
steam tubes.

6. The coffee is finished and the

viewer gets a quick glimpse of
the master piece before it goes
to its final destination.

7. The viewer is finally

transported to their final
destination an art gallery!

#TheArtofCoffee

8. The viewer travels through

the art gallery, passing by many
recognizable pieces of art along
the way and finally comes to
the main attraction
A hand-crafted cup of Second
Cup coffee

9. The final image is of the

Second Cup brand and the
campaign slogan The Art of
Coffee, including the hashtag
#TheArtofCoffee

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