Event Marketing: LGB of America & LPGA
Electric Model Trains
Toy Industry, North America
Event Marketing at the LPGA
LGB of America, the sole North American distributor of LGB brand electric model trains, sought to improve brand awareness and increase its customer base. They needed new ideas. MG Lomb Advertising was tasked with uncovering opportunities.
Expand LGBofA’s customer base by bringing in new blood. Historically, the client had engaged in only the most well known of hobbyist shows and events. These shows were satisfactory for existing customers, but not likely to bring in any new ones. Further, the client, although profitable, lacked a budget large enough to be aggressive with brand advertising. A cost efficient and results packed program was needed.
Professional Sporting Event Sponsorship – the LPGA. Market demographics played a KEY role in selection of the LPGA for brand marketing, as the overlap of customers was excellent. The typical attendee’s interests include gardening, they’re affluent, and they take pride in spending money on their yard. The match – LGBofA’s target customers are garden railroading hobbyists. Existing customers do attend LPGA events, but people who as of yet are not LGB customers attend in the hundreds of thousands. MG Lomb’s solution included involving as volunteers, local hobbyists.
Strategy: Visually engage future customers. LGBofA’s presence included a manned product info center, and an impressive 50′ x 25′ outdoor “live” electric model train display, on-site at the LPGA. The outdoor model railroad exhibit resulted in brand exposure covered by local television and radio, at no cost, and gained national media coverage via cable television for the LPGA.
Retailer Cooperative Program: MG Lomb recruited a local retailer and a hobby group to build the outdoor model railroad exhibit at no cost to our client. LGBofA simply paid the sponsorship fee. In return for co-promoting the selected local retailer, in advertisements and onsite exhibits, was able to avoid all costs associated with setup and maintenance at the event.
Cost Control: Where PGA sponsorship was exceptionally expense, the LPGA was affordable. Even better, no competitors were present. In addition to a cost reducing retailer cooperative program, MG Lomb was able to reduce our client’s sponsorship fee by 50%, in trade for a donation of product to be awarded to LPGA Pro-Am winners as prizes, which resulted in exposure of the client’s products and brand.
Participation in the initial LPGA event revealed a low cost opportunity to significantly increase LGB brand exposure. At conclusion, MG Lomb prepared a detailed summary report explaining how the client could capitalize on this strategy, by implementing a program on a national scale with LPGA events.