New Innovations; New Possibilities

With the expansion of social networks also comes the expansion of ideas. New mediums mean there are new ways in which we can reach an audience. Some of these include online gaming, consumer-generated content and branded entertainment, just to name a few. As Rust-Oleum Specialty continues to grow and expand into social media, these three areas will play a strong role in consumer engagement and awareness.

Gaming
Games are no longer just for children; they are slowly becoming a critical tactic in building a brand. As Paul Glazowski points out in a blog post, "the brands behind those platforms [social media networks] – stick around for the long term, its entertainment. And in modern terms, that means games. Games, games, and more games” (Glazowski, 2008).

In 2007 alone, it was estimated that 217 million people played online games with that number predicted to grow according to comScore (Riley, 2007). In fact, Zynga, the social gaming developer who develops games on Facebook surpassed the 10 million daily active users mark in May of 2009 (Parr, 2009). This signifies that there is a tremendous opportunity for Rust-Oleum Specialty to capitalize on this.

For example, once the brand develops its Facebook presence, it can include an online gaming component, which can then further expand to its own Web site. These games might include recreating a dream kitchen with the stainless steel paint, or maybe a game that sees how creative one can get by creating a chalk mural or drawing on the brand’s chalkboard paint. This could be followed by a contest to enter your drawing for free paint or a room makeover. These are just a few initial ideas, but they do demonstrate that there is an opportunity for Rust-Oleum Specialty to engage consumers through online gaming. Gaming is engagement, and since it creates an experience for a consumer, they are more willing to participate.

Consumer-Generated Content
Brands are part of our lives, and the goal of this campaign is to make Rust-Oleum Specialty a part of the lives of consumers. With that said, consumer-generated content could provide a strong outlet for the brand.

Consumer-generated content allows the consumer to be a part of the communications process (Jaffe, 2005). It is a different kind of marketing tactic that allows the consumer to truly embrace the brand and participate in it. With consumer-generated content, the consumer is actually a part of the brand. They can tell why they use it and believe in it; essentially, why it is a part of their lives.

Rust-Oleum Specialty would be able to use consumer-generated content in its social media marketing campaign. My initial idea is to have customers write in via a Facebook page, Twitter account, or possibly even a dedicated Web site and tell how Rust-Oleum Specialty made their house a home. The campaign, “Making Our House Our Home,” allows the customer to tell the story, which includes an experience and promotes how the product can be used. To add another customer engagement component to it, those who log onto the site can vote for their favorite story with the winner receiving a grand prize. Maybe it is something they still need for their home or maybe it is cleaning service for a year. The possibilities truly are endless.

Branded Entertainment
Branded entertainment is frequently called product placement. Whereas some individuals do not think product placement may be beneficial, I believe it could be extremely beneficial for Rust-Oleum Specialty as long as it is strategic and does not look like it is an complete endorsement for the product.

I admit, as a public relations professional, I am weary of the “pay-to-play” concept, but I do believe at times it can work. According to PQ Media, branded entertainment was expected to reach a spend of $25.8 billion in 2008 and continue to grow (PQ Media, 2008). This is due in part because it is not a traditional advertising tactic. For Rust-Oleum Specialty, I envision a possible partnership with HGTV, maybe on a show such as Design to Sell where there is a limited budget available to transform a house. By using the products on this type of programming, consumers will be able to see how they are used as well as the end result.

It is interesting to see how many alternatives there are to traditional media, and it is exciting to see how these alternatives can be beneficial to building a client’s brand both online and on the airwaves.



References
Glazowski, P. (2008). Gaming to carry and grow social networks into the future. Mashable Blog. Retrieved November 23, 2009, from http://mashable.com/2008/03/02/social-network-gaming/

Riley, D. (2007). 217 people play games online. Tech Crunch. Retrieved November 23, 2009, from http://www.techcrunch.com/2007/07/10/217-million-people-play-online-games/

Parr, B. (2009). Watch out Nintendo. Social gaming is rapidly on the rise. Mashable Blog. Retrieved November 23, 2009, from http://mashable.com/2009/05/12/zynga-social-gaming


Jaffe, J. (2005). Consumer generated content. iMedia Connection Blog. Retrieved November 23, 2009, from http://www.imediaconnection.com/content/6096.imc

PQ Media (2008). PQ Media Research: Branded Entertainment Market Defies Slowing Economy, Expands 14.7% to $22.3 bil. in 2007. Retrieved November 23, 2009, from http://www.pqmedia.com/about-press-20080212-bemf.html

Tweeting Opportunity

Social media outlets do present many opportunities to companies if they are used properly. One of the mediums that presents the greatest opportunity for Rust-Oleum is Twitter. In future posts, other social mediums will be detailed. First, here is some background on Twitter:

Background and Opportunity
Since going live in August 2006, Twitter has had an explosive impact on the digital and social media worlds. In fact, in 2008 Twitter’s users grew by 900%. Yet, numerous companies and individuals do not understand the full potential of this medium.

Twitter has the potential to be a powerful tool used to disseminate relevant and timely information out to a company’s “followers,” who are a captive audience. As the medium continues to grow, more and more businesses will most likely join Twitter. First and foremost, businesses need to strategize and determine why they are electing to tweet. The reasons for joining Twitter need to align closely with their business goals. Twitter can help to create awareness for an unknown brand, promote a product or educate consumers.

The most compelling argument though for Twitter usage can be the fact that according to Performics and ROI Research, 48% of individuals who saw a brand’s name on Twitter went to a search engine for additional information on that brand. This is compared to 34% for other social networks (Sullivan, 2009). Learn more about this study and its findings here.

This is especially true for Rust-Oleum. Even though the brand is well-known in the home-improvement industry, many individuals do not know of all of the product lines that fall under the brand. For example, there is the Rust-Oleum Specialty product line, which contains products such as chalkboard paint, dry erase paint, paint for stainless steel and appliance paint, among others. View Rust-Oleum Specialty here. For the purpose of this analysis, the focus will be on the Rust-Oleum Specialty line because there is tremendous opportunity for this unique product line to showcase itself via social media outlets.

What Twitter Offers
Twitter affords Rust-Oleum Specialty numerous opportunities to engage its customer base. With a Twitter account, Rust-Oleum Specialty can provide its “followers” with product updates, usage tips, applications and specials. This is critical since these products are so unique, yet so cool. These are products most do-it-yourselfers may not have even thought about, but Twitter allows the brand to build itself and showcase capabilities to an engaged audience.

In addition, the brand can use Twitter as a customer service tool by answering customer questions directly from the site. Plus, with Twitter, the Rust-Oleum social media team or those who monitor social media for the company can also search the site to see what is being said about a particular product. This way the company can proactively reach out to customers and educate them about the product and offer other tips. Essentially, Twitter enhances dialogue between the consumer and the company.

The above are general brand building techniques Rust-Oleum Specialty can use via Twitter. Yet, with Twitter’s introduction of the “Lists” feature, there are even more opportunities. Twitter launched this feature on November 2, 2009. It allows individuals and companies to group together followers or find new ones (Catone, 2009). Rust-Oleum Specialty can use the lists feature to its advantage once it sets up an account. For example, the company can group together users of its various products to communicate with them about product-specific information. The company is also able to search lists to find people. In addition, the list feature also allows individuals to recommend pages to others. This means current Rust-Oleum Specialty followers could recommend the company’s Twitter page to those they know with the same interests.

Another cool tool to emerge this week for Twitter users, the introduction of Listi, which is a Web-based application that informs an individual of when a company name or brand has been mentioned in a tweet from a specific Twitter list (VanGrove, 2009). Think of this as Google Alerts for Twitter. With this feature, Rust-Oleum Specialty can further extend its customer service outreach by receiving hourly updates on what is being said about the brand on the site. Even though Listi is in its early stages, it is definitely an advantage to using Twitter for promoting a brand. Learn more about Listi at http://www.listi.com/.

Twitter provides a pulse of the world with 26 million tweets a day (Cohen, 2009). This also means that it presents a great opportunity for growth. In the next few weeks, Twitter is expected to unveil its “geolocation” feature (Cohen, 2009). This feature will enable users to indicate his or her location when posting a tweet. For example, Rust-Oleum Specialty can use the location feature to inform consumers of where they can purchase products in a specific area.

Twitter presenters numerous opportunities for Rust-Oleum Specialty. Once the company embraces all of its capabilities, it will be able to reach an engaged, targeted audience in a manner in which it never did before. From showcasing product tips, to featuring actual completed projects, Twitter can be a powerful tool for the brand.

Links to the articles mentioned throughout this post are located in the References section


References
Sullivan, L. (2009). Consumers More Willing To Share Brand Info On Social Networks Than Previously Thought. Media Post Publications Blog. Retrieved November 8, 2009, from http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=116866

Catone, J. (2009). HOW TO: Use Twitter Lists. Mashable Blog. Retrieved November 6, 2009, from http://mashable.com/2009/11/02/twitter-lists-guide/

VanGrove, J. (2009). Listi: Google Alerts for Twitter Lists. Mashable Blog. Retrieved November 8, 2009, from http://mashable.com/2009/11/05/listiti/

Cohen, N. (November 8, 2009). Refining the Twitter Explosion. New York Times. Retrieved November 8, 2009, from http://www.nytimes.com/2009/11/09/business/09link.html

Additional Research; Additional Competition

Research is critical to any strong marketing (traditional or social media) strategy. Delving deeper into the Rust-Oleum brand, additional competitors have been identified. The following is a listing of these competitors and their respective social media activity/presence:

Valspar
Valspar Paint Colors has a Twitter account (@ValsparColors). Presently there are 23 followers; however there are no tweets associated with the account. The company does not have a presence on Facebook. Valspar commercials are posted to YouTube.

Krylon
Krylon does have a strong presence on Twitter (@KrylonStain). The account, which provides product information and tips as well as contests, has 767 followers. However, it does not appear that Krylon has a Facebook page, even though there is a fan page for Krylon spray can collectors, which has 116 members. Ironically, a can of Rust-Oleum is in the cover picture. There are a limited amount of Krylon how-to-videos on YouTube.

Quickcrete
Quickcrete, a garage floor coating, does not have a presence on Twitter, Facebook or YouTube.

Minwax
While the brand has neither a Twitter nor Facebook account, there are many how-to-videos posted to YouTube about using the product. In addition, there is a Facebook fan page called “I Love Minwax” with 21 members. This page does not look as if it is operated by corporate.

Kiltz
Kitlz does not have a presence on either Twitter or Facebook, but there are numerous videos on YouTube detailing the product and its application.

As previously stated, there are numerous competitors, but not all of them are utilizing the social media tools available. This presents a tremendous opportunity to reach an engaged and targeted audience. One of which Rust-Oleum can capitalize. The key will be to identify the messaging and information for which this audience is looking.

Home Improvement - A Social Affair?

New home construction and even home improvement were hard hit with the economic downturn of 2008 and 2009. Even though the economy looks to be improving, the Home Improvement Research Institute predicts that spending on home improvement products will decrease by 8.3% from last year (Home Improvement Research Institute, 2009). The Institute also predicts that the home improvement product market will not experience growth until 2010, and that growth will only be 1.2% (Home Improvement Research Institute, 2009). While these numbers may seem bleak, they do signify a strong opportunity for creative marketing tactics in order to reach a target audience.

One company that has a strong-hold in the home improvement/do-it-yourself space is Vernon Hills, Illinois-based Rust-Oleum. In fact, Rust-Oleum is first in brand recognition and market share position in the United States and Canada in the rust-preventative, decorative, specialty and professional segments of the small-project paint category (RPM International Inc. Website, 2009). Founded in 1921, it is evident that Rust-Oleum has a vested interest in the growth and sustainability of this market segment. Its mission is to provide its consumers with the highest quality paint so you get the best results.

Rust-Oleum is committed to providing innovative products to make home improvement projects easier and come out looking great. Some of these products include Zinsser primers, Testors hobby paints, EPOXY Shield garage coatings, Rust-Oleum Universal spray paint, automotive coatings and specialty products such as chalkboard, stainless steel, plastic and appliance paints.

With such a diverse product line, Rust-Oleum has a strong advertising plan in place to showcase all of its brands and their respective attributes. One cannot turn on TLC, HGTV or other home improvement cable stations without seeing a commercial for Rust-Oleum’s decorative paints. These advertisements are creative and show the products’ individual capabilities. Yet, these advertising outlets are interesting because according to Quantcast, Rust-Oleum’s primary target audience is males, ages 35 and older with a household income of between $30,000 and $60,000 (Quantcast, 2009).

In addition to advertising, Rust-Oleum uses sponsorships as another marketing tactic. For example, the company served as a sponsor of the 2009 Home Idea show.

Advertising and sponsorships are not the only marketing tactics Rust-Oleum has undertaken. In addition, the company has begun to enter the social media realm. The company has a presence on Facebook via a “fan page.” Upon logging onto Facebook on November 1, 2009, the page, which has 255 fans, displays product information, how-to videos, discussion boards and news items. Yet, the one thing that could be confusing is the fact that there are three “fan pages” dedicated to Rust-Oleum. How can a consumer differentiate between the three, and how does one know they are on the official Facebook page? This is something that will be explored throughout the course of this class and this project. Rust-Oleum will, in the end, need to take hold of its brand on the site especially since its target demographic aligns perfectly with Facebook’s largest growing segment, those 35 and older (Facebook, 2009).

As for Twitter, Rust-Oleum does not have an active page. There is a listing for the company with only 12 followers, but nothing has been posted to this site. Twitter affords a great opportunity for Rust-Oleum to reach a very targeted demographic with how-to tips and company news. This is one social media outlet that should definitely be explored.

Rust-Oleum’s competitors include Sherwin-Williams, PPG and DuPont Paints and Coatings. Upon reviewing competitor information on Twitter, PPG Industries has a Twitter account with 248 followers. Some of Sherwin-Williams’ local paint stores also have Twitter accounts that highlight specials and tips from that specific location, but the corporate office does not have a page. DuPont is not listed on Twitter.

When looking at Facebook, Sherwin-Williams has a page that is dedicated to its employees as a way to connect and communicate. It does not use this as a means to communicate with consumers or the news media. PPG Industries is the only competitor that has a fan page for its paints on Facebook, and the page currently has 22 fans. DuPont does not have a presence on Facebook.

Sherwin-Williams’ page is a closed page since they are only for employees so links could not be provided. The following is the link to the PPG Industries Facebook fan page: http://www.facebook.com/search/?q=PPG+Industries&init=quick#/pages/Pittsburgh-PA/PPG-Industries/110808087655?ref=search&sid=1206900200.4159729070..1

Based on Rust-Oleum’s current marketing initiatives, competitive analysis and target audience, a compelling need has been demonstrated for a comprehensive and enhanced social media marketing strategy. There are numerous social media opportunities, including using Twitter, expanding its YouTube presence and utilizing SlideShare, that the organization has yet to unearth, but these will soon come to the surface.


References

The Home Improvement Research Institute (2009). “Home Improvement Products Market Forecast Update, August 2009.” Retrieved November 1, 2009, from http://www.hiri.org/inside.asp?id=21#2

RPM International Inc. (2009). RPM Consumer Companies. Retrieved November 1, 2009, from http://www.rpminc.com/consumer.asp

Quantcast (2009). Rust-Oleum Audience Profile. Retrieved November 1, 2009, from http://www.quantcast.com/rustoleum.com

Facebook Statistics. Retrieved November 1, 2009, from www.facebook.com