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Mistic Recap Report 7.25.2014
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MID-YEAR RECAP REPORT 07.25.2014
When PondelWilkinson partnered with Mistic in late 2013, our core objective was to help the brand stand out, capture customer loyalty and build awareness for its products across business, consumer and retail audiences.!!By building an effective, collaborative relationship with the Mistic management team, the initial phase of our engagement, in our opinion, has been a major success. With much work ahead, the momentum is strong and future bright as we continue to establish Mistic as a leader and authoritative voice in the fast-growing vaping industry.!!As we move forward, Pondel will continue to help Mistic craft a narrative that clearly defines their vision and value to stakeholders, forge relationships with media who will tell their story, and proactively leverage the ever-changing digital platforms to drive business growth.
OVERVIEW{ }
November
Mistic IndyCar Sponsorship Announced
Cool Ice and American Blend Introduced
October
FDA’s New Proposed Rule !Mistic Now at Family
Dollar
AprilJanuary
HAUS™ Personal Vaporizer by Mistic
Introduced
March
Sebastien Bourdais Rally
May
Mistic’s Indy 500 Dream Weekend Giveaway !
All Cartridge Filing in the USA
December
Mistic Top Selling E-Cig Brand at Walmart
February
HAUS™ at Walmart in Oklahoma !2014 American E-Cigarette
Etiquette Survey
June
HAUS™ GRC Debuts in Barbados
Father’s Day Tips on Switching to E-Cigs
July
Mistic Ranks No. 2 in XAOC
The following includes projects, campaigns and successes.
TABLE OF CONTENTS
3. Brand Messaging 4. Media Impressions 7. Building Buzz in the Business Community 8. Top of The Trade 10. Sponsorships 11. The Big Race Dream Weekend 12. The #Switch2Mistic 13. Leveraging Video 14. Social Call-To-Action 15. Facebook 16. Twitter 17. Pinterest 18. Instagram
Page Number
To ensure effective brand penetration and preservation
among Mistic’s core audiences, the agency developed
several talking points for company executives that
resonate with consumers, retailers and the business
and financial community. !
!These key messages continue to be updated, as new statements are added depending on company and market developments, such as positioning for FDA’s deeming regulations, taxes and product safety.!!Additionally, an extensive Mistic press kit was created,
which includes bios, FAQs, and a two-page fact sheet,
which is given to media for background on the company.
Specially designed Mistic-branded flash drives were
developed to store electronic versions of the press kit
and are given to media at key trade shows and at
IndyCar races.
CONSUMERS
RETAILERS
BUSINESS & FINANCIAL
PRESS
3
BRAND MESSAGING
PondelWilkinson continues to position John Wiesehan Jr. as
an expert media source on developments within the vapor
industry, also generating newsworthy press releases on various
topics, including:!
!• New product introductions!
• New customers !
• Racing sponsorship deals!
• 10 reasons why dads should switch to e-cigs this
Father’s Day
MEDIA IMPRESSIONS
Where do you see the e-cigarette category going in the next few years? John Wiesehan Jr.: E-cigarettes are disrupting the $90 billion tobacco industry and the segment is expected to grow to $2 billion in 2014. It could reach $10 billion in 2017. Some analysts believe that consumption of e-cigarettes will eclipse consumption of traditional cigarettes over the next decade as technology improves.
Mistic Ecig Blog
4
Mistic’s 2014 E-Cig Etiquette Survey also generated a lot of media
buzz offline and online, securing dozens of placements in outlets such
as MSNBC, NBC, Cleveland Plain-Dealer and Clear Channel Radio as
well as scores of trade magazines, online publications and blogs. !
!A targeted media strategy was leveraged, offering select press
advanced notice of the survey results, including a five-page
PowerPoint infographic presentation that was made available to all
media. Building on the success of traditional media outreach, a social
media plan of action was implemented, leveraging key survey
takeaways, culminating with a tweet chat with CEO John Wiesehan Jr.
A new study says nearly two-thirds of Americans are not bothered by electronic cigarette use in public–an opinion that presents a stark contrast with many lawmakers in Washington. The new study shows 71% of men and 55% of women surveyed were not bothered by e-cigarette use in their vicinity while out in public.“You have to start with who the target consumer is. We go after the current smoker,” Mistic CEO John Wiesehan, Jr. said in the company press release. Our study shows the consumers are pretty smart. They get it.”
5
The survey was not conducted in anticipation of the Food and Drug Administration's expected announcement, sometime this year, of new proposed regulations for the sale and marketing of e-cigarettes, said John Wiesehan Jr., co-founder and CEO of North Carolina-based Mistic, which specializes in rechargeable products.!"We did this survey more for our own education, to be blunt about it," Wiesehan told The Plain Dealer. "Some municipalities allow e-cigarettes, some don’t. Some are looking at how they want to handle it."
6
Building on the company’s existing relationships with analysts at Wells
Fargo Securities and Hedgeye Risk Management, Pondel expanded
relations with key buy-side and sell-side analysts, such as with Judy
Hong from Goldman Sachs, securing participation on an e-cig panel
discussion during the company’s Global Staples Summit in New York. !
!Meetings also were arranged with analysts from Soros Fund
Management, Fidelity Management & Research and RBC Capital
Markets. The agency also continues to work to secure coverage on
behalf of Mistic in key business media, such as CNBC and The Wall
Street Journal, among other financial publications.
BUILDING BUZZ IN THE BUSINESS COMMUNITY
7
John Wiesehan, Mistic's chief executive, said his company was moving production even though it was satisfied with the quality of the products made in China. He conceded, however, that there was a perception of inferior quality with Chinese-made products. "I wanted to remove that stigma," he said. Mistic officials expect to cut costs by moving production to the United States because the company won't have to ship the fluid and could reduce the number of workers it employs. "You're in the beginning stages of this industry," Wiesehan said. "And we're developing standards as we speak."
Some early players in cigalikes are getting into vaporizers. Ballantyne Brands LLC, maker of Mistic cigalikes, has rolled out its Haus vaporizer in 18,000 stores since March, including 4,000 Wal-Marts. Njoy Inc., which makes Njoy, and VMR Products LLC, which makes V2 cigalikes, plan to launch vaporizers this summer.
The agency continues to support the brand at
key industry trade shows, such as this year’s
NATO Show, whether introducing new blends
at NACS 2013 to the launch of the HAUS™
Personal Vaporizer at TPC Expo 2014 in Las
Vegas, leveraged by a 90-second video of
John Wiesehan Jr. discussing the product at
the show booth, which already has close to
1,500 views.
Interviews with key media and analysts also
are arranged at each show, while live tweets
and posts are leveraged, further extending the
company’s brands across various social media
platforms.
TOP OF THE TRADE
8
Mistic® is a growing industry setting brand of world-class quality electronic cigarettes and vapor products, primarily sold through brick-and-mortar retail channels. The North Carolina-based company has a strong commitment to good corporate citizenship, manufacturing all of its e-liquid in the United States and only focusing on current adult smokers with a clear emphasis not to market to minors or adult non-smokers.
Always Adapting:!!At times, the industry can be said to be of two minds: there is resistance and momentum involving e-cigs, which you can pigeonhole in many ways—the establishment and the alternative; combustible and vaping; or old and new. But prevailing above all that is the nature of business, and the major manufacturers (Altria, JT, Lorillard, Reynolds American) have now weighed in behind early innovators (blu, E-Lites, FIN, Freedom, Krave, Logic, Mistic, V2, Vapor Corp., Veipor, Victory and White Cloud among many others) to stake their claims in the market.
9
The agency is providing full support of the company’s IndyCar sponsorship of the
No. 11 car driven by four-time Series champion Sebastien Bourdais, ranging from
engaging with on-site media to live posting and tweeting on race developments, as
well as interacting with customers during activation, creating exclusive video
content, leveraging our #Switch2Mistic campaign and the Mistic Challenge.!
!Race simulators and specially designed Mistic Pit Crew uniforms (for both men
and women) have created a truly branded experience for Mistic with thousands of
race fans, which have translated into new website users during onsite registration,
as well as new fans and followers on Facebook and Twitter.
SPONSORSHIPS
10
THE BIG RACE DREAM WEEKEND
Mistic’s Big Race Weekend Dream Giveaway generated enormous buzz on and off the track, giving a “Dream Weekend Opportunity” to three
lucky fans and their guests to receive an all-expense trip to the 2014 Indy 500. Special QR codes and large-size posters were developed and
activated at each race, giving race fans an opportunity to scan their entry forms. Press releases announcing the contest winners were
developed, plus videos of the winners discussing their Indy 500 experience and #Swtich2Mistic story also were leveraged on YouTube and via
social media channels. A huge social media push to help promote the contest was developed in conjunction with our media strategy, including
creating collaborative posts and tweets with Circle K and KVSH Racing.!
!Earlier in the year and as part of the race support, the agency took the point on organizing a pep rally in St. Petersburg, Fla., site of the season-
opening race. Pondel produced press announcements, ad copy, conducted media outreach and social media engagement to introduce
Bourdais and the Mistic Machine show car experience to local race fans.!
!PondelWilkinson is also fully engaged in Mistic’s latest sponsorship of the Red Bull Global Rallycross series, featuring driver Nelson Piquet Jr.
driving the HAUS™-sponsored Ford Fiesta No. 7 car.
11
THE #SWITCH2MISTIC
“I had been smoking for 35 years, then I gave Mistic ecigs a try. I love the taste, no smell or walls changing color. I am so happy I found
Mistic”
#Switch2Mistic
4. Social media posts !
5. Videos !
6. Additional strategies
1. Bylined articles !
2. Customer success
stories !
3. Media pitches
12
The strategic hashtag campaign developed by the
agency is being promoted across a variety of social
media platforms including Facebook and Twitter, as well
as traditional media. !
!#Switch2Mistic has become a powerful tagline
referencing tobacco users making the switch to Mistic,
leveraged with:
TELLING THE MISTIC STORY: LEVERAGING VIDEO
Visual storytelling has become essential to any branding and
marketing campaign. The agency has employed this strategy by
producing more than a dozen videos thus far, including a video
launching the HAUS™ Personal Vaporizer with CEO John
Wiesehan Jr., a #Switch2Mistic profile of a Mistic Pit Crew
member, a cutting-edge profile of the Mistic Machine, and various
customer success stories. These videos are leveraged on
YouTube, as well as across all social media, plus embedding
selected selected content in press releases and blog posts to
help tell a broader, fuller Mistic story.
New Haus Personal Vaporizer by Mistic John Wiesehan Jr. Discusses Roll Out of Haus Mistic Pit Crew at IndyCar in St. Petersburg
13
The Mistic Race Simulator landing page and form filled out at various tracks continue to generate sales leads and new customers.
! Included in the forms are three pre-checked boxes,
including the opportunity to take the Mistic Challenge.!
These C-T-A initiatives stimulated a boost in the growth of fans and followers in all our social media, including:
1. 1,989 people signed up to receive email promos. ! 2. 1,138 people agreed to learn more about the Mistic
Challenge.! 3. 967 people agreed to learn more about the
Facebook Dream Weekend Giveaway.! *As of April 30th, 2014
SOCIAL CALL-TO-ACTION
14
Mistic’s Facebook analytics showed a constant increase in the number of
likes and very good feedback from our audience overall. We brought the page
from 900+ to over 1,800 likes, expanding our reach organically and improving
our engagement by 144 percent.
The HAUS Facebook page has been launched and shows steady growth
based on existing posts about the new personal vaporizer, e-liquid blends and
other related HAUS products. Also creating a strong reaction from fans is the
new sponsorship of Nelson Piquet Jr’s No. 7 Global Rallycross car. His social
media audience is showing a huge interest in HAUS on Facebook.!
15
Twitter analytics, similarly, showed a steady increase in the number of
followers and engagement (such as retweets, favorites and other direct
forms of interaction). !
!In addition to daily content creation, we conducted special activities (such
as live tweets during the Wells Fargo “Tobacco Talk” with Mistic’s CEO),
which generated traffic to the website, encouraged a call-to-action and
overall engagement with Mistic.
16
After going from zero to over 1,000 followers during the launch phase of
HAUS on Twitter, we saw a great reaction on the platform.!
!While the follower base continues to grow, analytics show a good level of
engagement and overall interest toward the brand.
We restructured Mistic’s presence on Pinterest, delivering a unified and influential message, encouraging repins and other forms of engagement to improve brand awareness.!!Boards are regularly updated and new ones are created to reflect industry news and Mistic’s brand identity.
17
We recently created new profiles for Mistic and HAUS on
Instagram. The platform uses visual storytelling to capture the
attention of the audience and encourage “regramming" and
sharing of posts on mobile devices as well as online.!
!We also are engaging with key influencers
(@officialkvshracing, @IndyCar, @mattmagnino, @piquetjr,
@shrallycross) to better reach and resonate with our targeted
demographics of IndyCar and Global Rallycross. Ultimately,
Instagram will allow us to connect with followers in a more
intimate and tangible way.
18
Thank you for welcoming us into the Mistic Team. We look forward to continued success in the future.
! Pondel
~ THANK YOU ~