GNC Corporation | Company Profile, Marketing Contacts, Media Spend, Brands
GNC Corporation, headquartered in Pittsburgh, PA, is a specialty retailer of nutritional supplements and other health products. GNC stores are both company-owned and franchised in the U.S., Canada and in global markets.
|Main Telephone||(412) 288-4600|
|Main Fax||(412) 288-2099|
GNC Corporation ContactsContacts (5/15)
|Jeff H.||Executive Vice President & Chief Marketing & eCommerce Officer||PA|
Sample of Associated Brands
|Paul Y.||Senior Vice President & Chief Information Officer||PA|
|Robert M.||Interim Chief Executive Officer||PA|
|Tricia T.||Chief Financial Officer||PA|
|Mike D.||Executive Vice President, Operations||PA|
|*** ***********||******* *****||public relations||2012||present|
|*** ***********||**********||AOR - media buying & planning||2015||present|
|*** ***********||******* ***||Creative||2016||present|
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H2 Media Opps: GNC shifting back to direct mail from traditional mass media
Subject: TV, radio, digital, social media, outdoor, sponsorship, print
Company: Winmo), the Pittsburgh-based specialty retailer of nutritional supplements and other health products.
Opportunity: During the Q1 earnings call, GNC CEO Michael Archbold said that “despite continued improvements and success in targeted marketing,” GNC’s overall marketing returns “are not where we need them to be.” In February, we told you about Archbold’s concerns about customer acquisition levels, and despite increased marketing spend in Q1, the numbers continue to disappoint. In order to drive sales and customer acquisition, GNC “clearly” must do a “better job” investing marketing dollars in areas that drive the greatest return.
As a part of this effort, Archbold said that GNC is “digging deeper” into customer marketing analytics in order to “develop more precise plans regarding the channels that will be most effective in capturing the customers we are seeking.” For starters, this will include increasing direct mail and re-targeting, as well as increasing call-to-action messaging and highlighting its products in future campaigns. Archbold also mentioned that TV did not work for the company in Q1 and, consequently, the company would pull marketing away from traditional mass media, opting instead for digital, direct and targeted marketing.
Among the promotions GNC has executed were two all-store BOGO promotions in Q1. According to Archbold, less than 40% of the BOGO sales were for the same product, meaning, he stated, that customers were using the BOGO to try new products – a vitally important factor in GNC’s evolution. Archbold said GNC is committed to strategically placing all-store BOGO events throughout 2016, so look for possible in-store and direct opportunities around these promotions.
Keep in mind that GNC will also support new product lines (and line extensions) will targeted marketing efforts. This includes changing the promotion and marketing for the company’s Vitapaks, which have seen declining sales for a number of quarters.
GNC's agency partners haven't been on board that long, but it only took less than nine months for digital and social media to move from still fuels GNC's DR approach, but that relationship is also more than two years old and now that marketing and customer acquisition has faltered, the company could be looking for a new partner.
Sellers – note that GNC wants to reach the wider health and wellness market – not just athlete and bodybuilder segments. As such, boosting appeal, visit frequency and dollars per transaction with healthy active women will continue to be a top priority (research here).
Ad Spend: GNC spent $64.3 million on advertising last year, down from $70.5 million in 2014, according to a filing with the SEC.
National TV Spend: In January, GNC launch the “Just Ask. We Make It Simple” campaign (per iSpot). Comprised of three spots, GNC spent $2.8 million to air the ads through mid-March. Since then, the company has (unsurprising) run no national TV spots (and likely won’t for the foreseeable future). The most money was spent to air the ad during shows such as “Chopped,” “The First 48,” “Diners, Drive-Ins and Dives,” “Criminal Minds” and “NBA Basketball,” which is in line with the female, health-focused demographic GNC is currently targeting.
Digital Breakdown: So far in 2016, Moat reports that GNC has run 226 display ads on 2,461 publishers (<1% mobile). Top ad destinations include: prevention.com, mitbbs.com, healthheadlines.com, oprah.com and dealmoon.com (11% placed site direct versus programmatically). GNC has also run 42 high impact and seven video ads on sites such as Women’s Health Magazine, Prevention and Runner’s World.
For the same period 2015, Moat reports that no display ads were run, so digital sellers will want to jump on this increase for potential revenue.
300 Sixth St.
Pittsburgh, PA 15222
Executive Vice President & Chief Marketing & e-Commerce Officer
Media Planner & Buyer – Crossmedia