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Zone campaign Overview- DMX MUSIC

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The DMX MUSIC Zones for Health and Fitness …because different zones require different stimulation! As the health and fitness industry has grown so has DMX MUSIC’s focus on providing services to this market. But, at the end of 2004, we had still only sold in slightly over 1700 locations. In a market with over 26,000 locations, that’s just a penetration rate of .65% … lots of room for growth. (See the attached Health and Fitness Industry Summary for more details and sources). Once the executive team determined that health and fitness was a primary target industry, we set about defining the audience, their needs and how best to reach them. To perform this review, we spoke with members of the DMX MUSIC sales management and reps as well as clients and prospective clients. Our analysis determined that the health and fitness decision maker was a diverse audience with complex needs. Could be a franchisee or sole proprietor Might simply have a yoga studio, or could be a multi- floored gym with a number of specialized areas. There could be one primary activity, or they could host a wide variety of classes. Location could be a rural area, an urban center or somewhere in between. And on, and on. But, what unites these decision makers is their desire to use specific stimuli to create a particular kind of atmosphere. Yoga studios are meant to be soft, quite, soothing and serene. Weight rooms are energetic and alive. Spin classes are motivational and upbeat. Front desk areas should be welcoming and friendly.
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Page 1: Zone campaign Overview- DMX MUSIC

The DMX MUSIC Zones for Health and Fitness…because different zones require different stimulation!

As the health and fitness industry has grown so has DMX MUSIC’s focus on providing services to this market. But, at the end of 2004, we had still only sold in slightly over 1700 locations. In a market with over 26,000 locations, that’s just a penetration rate of .65% … lots of room for growth. (See the attached Health and Fitness Industry Summary for more details and sources).

Once the executive team determined that health and fitness was a primary target industry, we set about defining the audience, their needs and how best to reach them. To perform this review, we spoke with members of the DMX MUSIC sales management and reps as well as clients and prospective clients.

Our analysis determined that the health and fitness decision maker was a diverse audience with complex needs.

Could be a franchisee or sole proprietor Might simply have a yoga studio, or could be a multi-floored gym with a

number of specialized areas. There could be one primary activity, or they could host a wide variety of

classes. Location could be a rural area, an urban center or somewhere in between. And on, and on.

But, what unites these decision makers is their desire to use specific stimuli to create a particular kind of atmosphere.

Yoga studios are meant to be soft, quite, soothing and serene. Weight rooms are energetic and alive. Spin classes are motivational and upbeat. Front desk areas should be welcoming and friendly.

In short, this industry doesn’t segment so much by target type as they do by activity type. And, further, different activities require different forms of stimulus. So, our goal was to segment and brand the different forms of activity stimulus … and make them DMX MUSIC’s. Thus, the idea of Stimulation Zones was born.

The result: The DMX MUSIC Zones for Health and FitnessTo further detail how the Stimulation Zones will be used to generate new business as well as maintain our leadership position in the industry, this document includes details on the 2005 Campaign, the IHRSA Trade Show, Next Steps and details on the Health and Fitness Zones.

Page 2: Zone campaign Overview- DMX MUSIC

2005 CampaignWe first identified the primary types of usage areas that were most common in gyms (or that typically make up a gym with a single zone). Then, we gave these zones names and iconography that reflected the energy and purpose of the space. Finally, we aligned our service and creative programs within each zone.

Fortuitous timing provided a campaign launch tied to the biggest show for decision makers in the health and fitness industry: the IHRSA trade show. We utilized the campaign strategy and graphics in pre-, during and post-show tactics. These elements are outlined below and are also attached for reference.

IHRSA Trade Show Tactics Pre-show letter to all registered convention attendees Pre-show email to all IHRSA members Zone Work Sheet DMX MUSIC Zones sticker Zone T-shirts Press Releases

Results 133 booth leads (assigned to the Systems Sales Teams for follow-up) 2000 prospective leads via post-show attendee list from IHRSA

Next Steps 4/15, Distribute post-show attendee list to sales teams via Salesforce.com. 4/19, Provide Zone work sheet, script and email template for use by sales

teams as they attack the post-show attendee list for new business. w/o 5/2, Review results and sell-through percentage of show leads to

determine if additional mailings or shows should occur as well as additional next steps.

Health and Fitness Campaign and Zone Overview

For Internal Use Only, April 12, 2006Page 2 of 5

Page 3: Zone campaign Overview- DMX MUSIC

5/18-20, Send two attendees along w/ collateral and logos on all materials as part of sponsorship commitment to IHRSA Legislative Summit, Washington DC

Listed below are the primary and secondary zones along with their name, usage in the gym, services and creative content.

Primary Zones:Cardio Machine/Weight Room combination:  Pump ZoneDMX MUSIC Services:  Music, A/V Systems, Visual Messaging, Cardio TheaterDMX MUSIC Playlist:PUMP!GlowClassic Alternative WorkoutClassic Rock WorkoutPower Hits Circuit Training Area or Spin Room:  Burn ZoneDMX MUSIC Services:  High end audio system with consumer CD player and port for easy hook-up of a personal MP3 player/iPodDMX MUSIC Playlist:GlowElectrospherePower HitsClassic Alternative Workout‘70s & ‘80s Hits Workout Aerobics Studio:  Power Zone DMX MUSIC Services:  High end audio system with consumer CD player and port for easy hook-up of a personal MP3 player/iPodDMX MUSIC Playlist:GlowElectrospherePower HitsDance Yoga Studio:  Zen Zone

Health and Fitness Campaign and Zone Overview

For Internal Use Only, April 12, 2006Page 3 of 5

Page 4: Zone campaign Overview- DMX MUSIC

DMX MUSIC Services:  High end audio system with consumer CD player and port for easy hook-up of a personal MP3 player/iPodDMX MUSIC Playlist:New Age SpaTranquilityZenEarthtonesSubterranean

Spa / Massage:  Recharge ZoneDMX MUSIC Services:  High end audio system with consumer CD player and port for easy hook-up of a personal MP3 player/iPodDMX MUSIC Playlist:New Age SpaTranquilityZenEarthtones  Cafe/Juice Bar:  Refresh ZoneDMX MUSIC Services:  Music, A/V Systems, Visual Messaging, OnSite Message MarketingDMX MUSIC Playlist:Groove LoungeReggaeRetro DiscoOld School Funk Secondary Zones:Reception/Membership Sales/Check In Desk:  Welcome ZoneDMX MUSIC Services:  Music, A/V Systems, Visual Messaging, OnSite & OnHold Message MarketingDMX MUSIC Playlist:Party FavorsHoliday & HappeningsFlashback New Wave/Reality Bites (Fit)Plus, Region-specific options:  Modern Country, Urban Beat, Urban AC, Urban Alternative 

Locker Room:  Transformation ZoneDMX MUSIC Services:  Music, A/V Systems, Visual Messaging, OnSite Message Marketing

Health and Fitness Campaign and Zone Overview

For Internal Use Only, April 12, 2006Page 4 of 5

Page 5: Zone campaign Overview- DMX MUSIC

DMX MUSIC Playlist:Great StandardsVixens (Ladies' Locker Room)Modern Day Divas (Ladies' Locker Room)Rat PackRivieraCollege RockHolidays & HappeningsPlus, Region-specific options:  Modern Country, Urban Beat, Urban AC, Urban Alternative 

Additional Secondary Zones:   Names, services TBD if zones are applicable. Pool:  Splash ZoneKids Area:  Pilates Room:Physical Therapy:  Parking Lot:   

Health and Fitness Campaign and Zone Overview

For Internal Use Only, April 12, 2006Page 5 of 5


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