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Thoughts on Value Creation
Volume 2, No. 1
Couch-to-Cash Register
The Key to Profitable Sales Growth is Effectively Integrating Marketing
Adjusted Gross Sales. Total Net Sales. Cost of Sales. Gross
Profit/Margin. Marketing Expense. Selling & Distribution Expense.
General & Administrative Expense. Income from Operations. EBITDA.
Although each of these terms is immediately recognizable as the key
lines of the Profit and Loss Statement, what do they have to do with
integrated marketing or a concept I refer to as “Couch-to-Cash
Register©”? … Everything.
The challenge general managers face today is to develop and execute
integrated marketing plans that build your brand, recognize the wants
and needs of your customers and create value for your business. In
many circles, integrated marketing has been defined as identifying your
key benefits message and simply communicating that message in the
same way across the entire marketing mix. Seems simple enough.
The same clear message is communicated in the same way across all
elements.
There are two problems with that approach. First, it does not recognize
the way in which people consume media. Second, it does not permit
your message to build and take on a greater meaning. I tackled these
problems first hand when I was the Vice President of Marketing for
Dunkin’ Donuts.
Once we had re-positioned the business to run against the higher
volume, higher margin coffee segment and ramped up our new product
pipeline, it was time to consider how we should best go to market. Of
course, I said, “Everything needs to be integrated.” However, the more
our team worked to integrate our marketing, the less sense the concept
made to us. We were in need of a different approach to telling our
customers about the delicious coffee and baked goods products we
were offering. And we were in need of a way to get the most out of our
advertising, public relations, promotion, collateral, etc. speding.
choices. The entire process of building awareness to achieving trial and
repeat purchase is achieved.
The following is an example of how we applied the Couch-to-Cash
Register concept to the in the introduction of our new bagels:
Product Proposition Introducing the new Dunkin’ Bagel … freshly
baked all day and available in a dozen different varieties … no better
way to start your day than with our coffee and bagels
Television Advertising (aka “The Couch”)
Build the Dunkin’ Donuts brand through
humor around the new bagel offering
Outdoor Advertising
bagels
Communicate that DD has new freshly baked
Radio Advertising Communicate that DD has freshly baked bagels,
mention the varieties, and drive the introductory trial promotion
Public Relations Communicate that DD has freshly baked bagels …
freshly baked all day and available in a dozen different varieties … no
better way to start your day than with our coffee and bagels
Promotion Primary – free sampling to drive trial; Secondary – Bagel &
Cream Cheese with Coffee for $1.99 to drive repeat
Pylon Sign Communicate that DD has new
freshly baked bagels
Roof Banner Communicate Coffee and Bagels to
start your day
Window Poster/Door Decal Communicate freshly baked and varieties
Hence, I created the concept of “Couch-to-Cash Register©.” It is an
approach to integrated marketing that is as simple as its name suggests.
Couch-to-Cash Register is a planning tool that enables marketing and
sales teams to methodically map out the process of moving the
consumer from their couch (or the beginning of the sales process) all the
way to the point-of-sale, the cash register. Couch-to-Cash Register is
a highly adaptable concept that works for any business.
In this process, specific roles are assigned to each element of the
marketing mix.
Advertising, collateral, public relations, trade
communications, sales presentations, packaging, merchandising, web
design, etc. deliver the key messages most appropriate to each medium.
All key messages are then communicated, from an overall brand story,
to new product information, price or promotional news, variety or product
Menu Board Communicate Coffee and Bagels, at a price point, to start
your day
Register Toppers/Staff Buttons (aka “The Register”) Communicate
promotional messages
As a result of applying the Couch-to-Cash Register approach, we
delivered on all of our financial targets for the bagel introduction, and
Dunkin’ Donuts became the number one retailer of bagels in America.
Couch-to-Cash Register is a compelling way to breakdown purchase
dynamics and to move your customer systematically through the buying
process. It recognizes that each business problem requires its own
APEX GROWTH STRATEGIES
Management Consulting
LLC
“Couch-to-Cash Register”
Page 2
solution and applies the right combination of tools. Finally, Couch-toCash Register ties marketing planning and programming directly to
business results. The more your marketing is associated with making
the cash register ring, the more it will be understood as an integral part
of the P&L.
Today’s dynamic marketplace requires clear strategies, resource
allocation and executional plans in order to realize value. I hope you
find “Couch-to-Cash Register” helpful to your business development
process.
Apex Growth Strategies is a management consulting firm that is focused
on helping both companies and private equity firms identify and
maximize strategies for profitable growth. Given our core practice areas
of strategic planning and business development, we have had the
opportunity to work with companies that range in size from $10 million in
revenue to more than $1 billion dollars annually, in an equally wide
range of industries, including consumer products, healthcare, financial
services, retail and manufacturing.
We would welcome the opportunity to speak with you about your
business opportunities and challenges. Please feel free to contact me
anytime.
Eddie Binder
Principal
APEX GROWTH STRATEGIES
15 Lewis Street, Suite 402
Hartford, CT 06103
860.524.8655
[email protected]
www.apexgrowth.com
©2006, Apex Growth Strategies, LLC
APEX GROWTH STRATEGIES
Management Consulting
LLC