MARKETING TRENDS

1. MARKETING TRENDS

2. 2013 Trends • Smartphones outpaced the selling rate of PCs • Technology will soon be directly involved in every purchase consumers make. Many companies have changed their retail strategies to give consumers more incentive to make purchases online as opposed to going to stores to make purchases. Thus giving way to the popular trend of shoppable media. • Shoppable media is the idea of creating more online content for consumers. This type of media has the ability to leave considerable images with the consumer in the hopes they decide to purchase the company’s items.

3. 2013 Trends Continued • What sets shoppable media apart from other forms of media is the fact that its interactivity is able to do what static content cannot -- play on what people desire through receptive and personal images. • Though stores have used them to market to students and parents who are doing back to school shopping, some retailers have noticed the success of these shops and have decided to use them for other major shopping events during the year such as Black Friday.

4. Shoppable Media • According to IBIS World, there has been a 16 percent increase in pop-up shops across the country. • Storefront, a company which connects companies to available space in communities believes retailers save 80 percent more money by opening a pop-up store instead of opening an entirely new store. • The objective with shoppable media is to make shopping easier for the consumer.

5. Companies Utilizing Shoppable Media • The Walt Disney Company • Nickelodeon • Target • Bed Bath and Beyond • Toys “R”Us *The next three slides detail what a few of these companies are currently doing in the business world.

6. The Walt Disney Company Disney recently signed a deal with the Lucas film company to produce Star Wars films and other Star Wars concepts until the year 2020. It also has the rights to create Stars Wars toys for the next 7 years. Company saw an increase in profits due to a spike in sales in the following areas: girls toys, board games such as monopoly and magic: the gathering both climbing Twister and jenga Play-doh Playschool heroes Transformers rescue bots Sesame products

7. Nickelodeon • Nick recently signed a licensing deal with Rubies Costumes--the world’s largest costume manufacturer to create a series of Halloween costumes • Costumes will be centered around the extremely popular Teenage Mutant Ninja Turtle brand • Rubies Costumes will create costumes for children, adults, and pets • Teenage Mutant Ninja Turtles is currently the number-one new animated series for boys to date. • Earlier this year, Nickelodeon opened up an in store shop in Times Square’s Toys “R” Us location. • The store carries a variety of toys and adult and children’s apparel. The store is also filled with interactive LED screens displaying Nickelodeon content.

8. Target • From July 14th to July 18thTarget converted a parking lot in Los Angeles into a series of interactive dorm rooms referred to as the Bullseye University • Each room had real life roommates showcasing products and living in dorm rooms during the four day experience • If customers liked what they saw in the room, they had the option to purchase what they liked on the spot • Consumers also got the option to win goodies for their own college dorm rooms

9. Pop Culture Trends • What was old is new again.There was a resurgence of all things old during the first half of 2013. 90’s fashions we thought would never come back in style have graced the runways, and old boy bands like New Kids On the Block, Hanson, The Jonas Brothers, and 98 degrees have all reunited to give fame one more try. • This year, however, has been the year of the viral video and social media. Several viral videos have taken the online community by storm, and with more people taking to the internet to express themselves there will be more of these to come. • Sesame Street even got in on the action by recording an astounding one billion hits on YouTube. According to USA Today, it became the first non-profit and U.S. children’s media organization to achieve such a feat. Below: A snapshot of the Count congratulating You Tubers on Sesames’ 1 billion user hits Note: The next three slides showcase some of the year’s pop culture trends including those Sesame partook in as well.

10. Royal Baby Mania Royal Baby fever has officially hit Sesame Street. In a recent video done by the Associated Press and reported on by U.K.’s Heat World, Elmo recently stated he would love to go on a play date with the royal baby. It definitely sounds like something The Street should look into once Prince George is old enough to understand the meaning of a play date. Sounds like Royal fun if you ask me!! Royal Play date

11. Pop Culture Parodies • The Street even got in on the action recently by creating spoofs or parodies of popular songs. • Here is a list of some Sesame parodies based on pop culture: • Share it Maybe—based on Carly Rae’s hit song “Call Me Maybe” • The O Network---based on “The OWN Network” • Desperate Houseplants---based on the now cancelled Desperate Housewives show • The Closer

12. Pop Culture Parodies cont. The latest parody Sesame Street did on a popular song was Cookie Monster’s cover of Pop Icona’s song “I Love It”. The song is entitled “Me Want It But Wait”. The song was created to show children how easy it is for them to overeat and to teach them the value of eating in moderation.

13. Social Media Trends • As of this May, Facebook recorded over a billion people logging into its’ site daily. Instagram, which has only been in existence for two and a half years, has logged a record 100 million users. Twitter is still going strong with its 200 million reported followers. • Today Sesame Street’s Twitter account has over 800,000 followers, while Sesame Workshop has close to 60,000 followers on Twitter. The Streets’ presence on other social media sites such as Facebook have also grown exponentially in recent years as Facebook’s users increase by the day. • Though Sesame Street does have an Instagram account, it has a relatively small amount of followers compared to the number of followers it has on Twitter. It has also begun to use Vine, the social media network owned by Twitter which allows users to post short videos. Sesame Street should utilize Instagram more frequently since it has recently added a video feature to its site.

14. Children’sApps Here are Apps Sesame Street created to meet the growing need of parents looking to give their kids something educational to do in their spare time: • Sesame Street 123: Sesame Street • Sesame Street Playground by Sesame Street • Potty Time with Elmo by Sesame Street • Elmo’s Monster Maker by Sesame Street • Elmo Calls: Sesame Street • Another Monster at the end of this book: Starring Grover & Elmo by Sesame Street • Achieve It With Sesame Street by Sesame Street • Sesame Street: The Fix-It Shop Fact: Children have become increasingly tech savvy. Kids today are only accustomed to a world filled with technology. They play with their parents phones and gadgets in their spare time, making them more comfortable with technology than previous generations of young people.

15. New Development Areas Sesame Workshop has done a lot to enhance its brand in recent years. However there are still some areas the company has not tapped into that might benefit the brand in the years to come. Technology: The rise in smartphones and other advanced technological gadgets has led to a revolution in the way people operate. Some of the most iconic trends have come about in recent years in this particular sector. Sesame could develop the following items in the future which would not only increase their popularity with children but also with young adults and adults as well. • Headphones- have become a huge trend with people of all ages. Beats by Dr. Dre has become an increasingly popular headset. Though the Beats are pricey, young adults and adults are buying them at incredible rates. On the side of the headphones which displays the Beats by Dre logo, you could incorporate retro pictures of Sesame Street characters older generations would surely connect with.

16. New Development Areas cont. Another slightly different area Sesame Workshop could venture into is: the world of NailArt. • NailArt has become increasing popular with women of all ages particularly girls and women between the ages of 18-25. Celebs from Rihanna to Katy Perry to Selena Gomez have all been spotted rocking the last nail art trends. • But nailart, particularly those involving Sesame characters is not the easiest to create if you are not a nail technician. • The images which exist online of nailart involving sesame characters are good but they could be even better if Sesame partnered with nail companies like Sally Hansen to create a line of nailart for young girls and women. • Some parents don’t want their daughters wearing nail polish so this is great way to please both parents and children and still benefit from the idea as a company.

17. Hair Accessories • Hair accessories for girls never go out of style. Girls are constantly defining their style by what they can add to their outfits. With back-to-school season upon us, girls will buy accessories in droves. • Sesame Street already has adorable hair accessories for smaller children, but through my research I did not find hair accessories which catered to girls between the ages of 7-12. • The accessories I found online were mostly ribbons with Sesame Characters. Sesame can branch out to do headbands, barrettes, hair clips, etc.

18. Stationery Trends Most of these cards are available online for users to create. These cards allow for more creativity and ingenuity on behalf of the customers and even greater sense of satisfaction in the overall retail experience. This season DIY cards have become extremely popular. Sesame Street has partnered with Cardstore to create cards using other Sesame characters besides Elmo and Big Bird. Due to the back-to-school season, teachers and students will flock to office supply stores to purchase necessities they need for the school year. Teachers will especially need to prepare their classrooms for the arrival of their new students. This means they will purchase various types of stationery for themselves and their students. To meet this need, Sesame could partner with Meade to create notebooks and notepads with Sesame Street characters on them. Sesame could also partner with Post-it to create a series of post it notes with Sesame characters on them.

19. Eyewear • Floral is a big trend in everything from suits, to pants, to shirts, to even eyewear. For the spring fashion season, floral was a big hit with not only celebrities but with regular consumers as well. • Eyewear companies shockingly have picked up on this trend by incorporating it into the hinges of the eyeglasses they create. • It has become a trend for school age children as young as six to want trendy glasses. Gone are the dorky, huge rimmed glasses kids avoided wearing. Glasses today are a lot smaller and sleeker. • Sesame Street could capitalize on the back to school season by creating glasses with Sesame characters particularly for younger children such as toddlers who might be wearing glasses for the first time.

20. Back-to-School Gear • With the days of summer dwindling and the start of school rapidly approaching, one thing is for sure :Back-to-school season is in full gear. Here are some trends parents and product designers should keep in mind when they are marketing and buying clothes for children: • All Shades of Purple are on trend • Glitter is Glamorous • Grey is for everyone • Mix prints with neutral colors for touches of originality • Add color to school uniforms with accessories---hats, scarves, belts, backpacks • Sequins are Supreme • Stripes are right for everyone---both boys and girls • Denim on Denim is IN • Polka Dots and Florals are still cool • Superhero T’s never go out of style

21. Back-to-School Gear cont. New takes on these trends will set kids apart from their classmates: • Camo • Studs • Chains • Lace • Knitwear Key Looks to try for Fall School wear • Indie-rock look: Most commonly worn by people at festivals and concerts. • Boho-prep: A mix of styles that takes blazers and pairs them with jeans and fashion forward hats.

22. Trend Alert: My Little Pony • My Little Pony has done exceedingly well among girls of all ages. The brand which gave its licensing rights to Hasbro, says it will expand and focus most of its attention on creating a retail line that ranges from digital gaming, plush, and fashion & beauty. • The Brand will offer everything from sleepwear to t-shirts to and jewelry. • Licensees like FAB, Jerry Leigh, Truffle Shuffle, Knitmania, Somerbond, Freegun and Rudolph Stein will bring products to worldwide markets this year. • It will also partner with H&M to create a line targeting older girls and women of all ages. Sesame could implement a similar marketing strategy. It already has a great licensing database, but it can partner with a major retailer such as H&M or Forever 21 to take the brand to new heights particularly for the upcoming school year and for the holiday season.

23. New Development: Blurred Lines There is always one song every summer that people just can not get out of their heads. This summer it’s Robin Thicke’s song Blurred Lines featuring T.I. and eclectic artist Pharrell. The song has received over 80 millionhits on YouTube. Though some see the song as controversial, many have capitalized on its success by making spoofs off of the song’s video. Sesame is know for its children and urban apparel. Sesame could capitalize off of it’s success by creating a shirt to with a lyric from the song. It could create a shirt with dancing Sesame characters singing “I hate this Blurred Lines”. The characters would be in suits and ties or dresses for the ladies.

24. New Development: Converse Sneakers Converse sneakers are great for people of all ages. However, they tend to appeal to kids because of their durability and overall trendiness. Though I am unsure if Sesame has previously partnered with Converse, I think great products could come out of such a union. There is one style online of such a collaboration but there is nothing of this sort for older school aged children. With back to school season upon us, there is no better time to create new kids footwear than this time of year. The New Balance Sneakers pictured seem to be great for any age group. The converse sneakers seem to be a great fit for only small children. What Sesame can do to change this, is to allow Converse to use characters besides Elmo on its sneakers. The sneakers would be geared primarily to young adults. From top to bottom: New Balance Sesame sneakers and Converse Sesame Sneakers

25. NewDevelopment:Jewelry The earring line would be great for children and young adults, particularly for girls who are not yet old enough to wear larger sized earrings. The earrings should not be too small, because they can become a choking hazard to children. They should also be light enough for smaller children’s earlobes. • Sesame has done a great job with its accessories line, but it could generate more revenue if it were to create a line of earrings to add to its already impressive accessory line. • Most of the earrings I found through my research seem to be self made, but I was unable to find any earrings Sesame created on its own.

26. New Development Storage Containers Sesame Street has a number of storage containers for food and other items, but it has yet to develop multi storage bins to used in classrooms, bedrooms or other kid related spaces. Several companies currently have websites which allow customers to customize bins based on their personal preferences. Teachers and parents could create bins online with their students favorite characters. These bins could be used to help children practice tidying up their rooms and classrooms. They would associate clean up time with these containers and be enticed to clean up.

27. Conclusion Sesame Street is a brand which will continue to exist and actively compete with similar entities for many years to come. Its award winning show has successfully secured this feat, but its marketing strategies will continue to visit avenues that its show cannot—the pockets of various consumers worldwide. This is enough to maintain the company’s position in the ever expanding business world.