ASU Marketing Club Presentation

Arizona State University

American Marketing Association

• About Me– Arizona Native– Second Generation Sun Devil– 24 years in Marketing– Currently Chief Marketing Officer at Massage Envy

• Today’s Agenda– My Career Path– Marketing A Luxury Product In Today’s Economy– Marketing For A Franchise

• Career Path– Started on “Creative” side

• Wrote company newsletter• Gained graphic design skills and became production artist• Art director at photo studio

• Career Path– Evolved into management

• Advertising Production Manager at Bashas’• Director of Advertising

• Career Path– Transitioned to business focus

• Vice President of Marketing at Bashas’• CMO Massage Envy

• Marketing A Luxury Product In Today’s Economy– Turn wants into needs– Position as a healthy necessity– Remind of value– Existing customers are best new customers

• Marketing Massage Envy– What is Massage Envy

• Established 2002• National franchise chain of 535 therapeutic massage clinics• Operating in 36 states• Generating Revenues of $340 Million

• Marketing Massage Envy– ME Brand – Professional, Convenient, Affordable

• Professional – Licensed, certified massage therapists

– Standards of practice emphasize modesty– Comfortable modern facilities

• Convenient– 88 hours of operation a week -- after work, after dinner, before church– National network on the way home from work, on a business trip, on vacation

• Affordable– Low introductory price– Monthly massage wellness program

– Approximately 40% of day spa cost and even more savings compared to resort spas

• Marketing Massage Envy– Marketing supports three key areas – driving new prospects,

converting prospects to members, retaining existing members• New Prospects

– Traditional Advertising

» Print, Direct Mail» Radio» Television» Interactive

– Public Relations

– Referral Marketing

• Marketing Massage Envy• Converting prospects to members

– Collateral material

– Training

– Promotions

• Marketing Massage Envy• Retaining existing members

– Member Usage

– Upgrades

– Member Outreach

» Member Publication

» E-mail

• Marketing Massage Envy– Additional Marketing Functions

• Pricing• Product Development• Market Research• Recruitment• Franchisee Development

• Franchise Marketing – communication is key– Set overall strategy– Develop tools– National Media– Role of consultant

Marketing Support

National Media

Thank you for your time.

Questions?