Marketing

Agenda

I. Trade Activities Review

II. Residential Marketing Program Updates

III. Marketing Revenue Review

Activities Review

“BHMA Publishes Two New ANSI/BHMA

Standards and Updates Five in 2014”

Placements

“ANSI/BHMA Publishes First Two Residential

Standards”

Placements

Placements

“New ANSI/BHMA Residential Hardware Standards Published”

Placements

“New ANSI/BHMA Residential Hardware Standards Published”

Placements

“ANSI/BHMA Publishes First Residential

Standards, Hosts Spring Meeting”

“Upgrading your home to electronic

locks, finding the right fit”

Placements

Upcoming:Bylined Articles

Construction Canada

BHMA is working with the editor of Construction Canada magazine on

an article that will highlight the association, its standards and certification process, and its

upcoming residential program, to be published in the July 2015 issue.

Doors & Hardware

BHMA is also working with the editor of Doors & Hardware magazine, who

is interested in running an article about the history of the

association/its 90th anniversary this fall.

Ongoing BHMA LinkedIn Campaign

771Endorsements

+63since October 2014

257New Connections

+17%since October 2014

1,774Total Connections

1,270this time last year

Social Media: LinkedIn

LinkedInCompany Page

BHMA has created an official company page on LinkedIn. Going forward, this will be used in lieu of the BHMA profile page to share BHMA content and engage with target audiences. Advantages of utilizing a company page include:

• In-depth analytics on followers and updates

• A more robust showcase for BHMA standards, programs, and membership

• More methods to feature and archive content

• Easy page management by multiple administrators

• Ability to run ads, if desired

LinkedInCompany Page

LinkedInTransition Plan

• Transition followers from profile to company page via online and in-person outreach

• Enhance BHMA content on company page

o Post regular company page updates with breaking BHMA news, relevant industry stories, and highlights of BHMA resources

o Utilize LinkedIn’s new showcase feature for company pages to highlight the residential program

o Engage with company page followers via LinkedIn’s notification dashboard

o Expand company information to include current BHMA initiatives and collateral

• Use analytics to create quarterly benchmarks for following and participation

Next Steps:

Website Updates

• Hardware Highlights were prepared for the two new residential standards, published in January

• Three press releases were added:

o “BHMA Publishes Two New ANSI/BHMA Standards and Updates Five in 2014; Anticipates Publication of Two Residential Hardware Standards in 2015”

o “ANSI/BHMA Publishes First Two Residential Standards”

o “BHMA Kicks-Off 2015 With Spring Committee Week”

1. BHMA home2. BHMA Standards Scopes3. BHMA CPD Search4. How to certify page5. accredited procedures6. BHMA Standards Scopes7. Log in8. Architects/Specifiers9. Grade Levels10.BHMA Product Numbering11. Scope of A156.9 Cabinet Hardware16. Scope of A156.1 Butts & Hinges22. Scope of A156.2 Locks & Latches25. Scope of A156.5 - 2014 Cylinders

Website Analytics:Web Traffic

learningcenter.statefarm.com 911 96.05% 875 28.98%

es.statefarm.com 205 95.61% 196 68.29%

documbase.com 111 90.99% 101 59.46%

access-board.gov 69 95.65% 66 49.28%

marksusa.com 68 98.53% 67 80.88%

doc-txt.com 62 87.10% 54 41.94%

linkedin.com 40 67.50% 27 35.00%

ehow.com28 100.00% 28 46.43%

facilitiesnet.com 28 92.86% 26 28.57%

search.mywebsearch.com 28 85.71% 24 53.57%

Website Analytics:Referrals

BHMA History

BHMA Celebrates its 90th Anniversary!

BHMA Member Survey

Top-Line Findings: Industry Evolution (Since 1992)

• More participation/testing when it comes to codes/standards; producing better and safer products

• Expansion into other areas like residential, ligature resistant and PCR

• Many traditional channels have changed as a result of

o Electric hardware; emerging technologies

o Company consolidations

o Focus on value of engineering

o Globalization through supply chain consolidation and international trade liberation

• Total Respondents: 16• Total Companies Represented: 15

BHMA History

� 73% of respondents cited electrified

hardware/new technologies

� 40% of respondents said their company has added electronic hardware to their product lines within the last 20 years

� 64% of respondents cited consolidation

� 64% of respondents cited a new and improved

standards systems (to better address market needs and to create better and safer products)

� 45% of respondents cited globalization

Industry TrendsHow has the builders hardware industry evolved,

particularly since 1992, when the first history was printed?

ResidentialProgram

Goals• To educate and create awareness about the benefits of

purchasing and installing BHMA certified products

• To create an easily recognized BHMA residential label

• To launch, create awareness and educate the general public about the new BHMA residential label

• Consumerso Homeowners o Do-it-Yourselfers

• Building Tradeo Residential Contractors

Target Audiences

Overview

Phase 1: Pre-LaunchMarketing

Label Development & Testing

Consumer Education & Awareness

Residential Program Website

Message Development

Label Design

Media Messaging Consumer Focus Groups

Consumer SurveyTagline Development

Media MessagingThe committee developed approved messaging that focuses on home safety and security; why certification is important; and how to read and interpret the BHMA residential label. Message examples:

SECURITY• A secure home

gives a homeowner peace of mind.

• Having the appropriate lock on your door can help to keep your family safe.

ASSURANCE• Having a certified lock

offers added assurance that one’s security will not be compromised.

• A BHMA certified lock means that it has been

tested to industry standards, which

includes testing at an independent testing

laboratory.

EDUCATION• An educated consumer is

a smart consumer…this label and the information behind it educate the consumer to make smart, informed and confident choices when purchasing locks for their homes.

Message Development

When it comes to a consumer audience, a catchy key phrase can often create a higher awareness level in a shorter amount of time. The following tagline ideas were presented to the consumer focus groups to determine which one resonated most with our target audience:

• Tagline 1: Protecting your most valuable assets.• Tagline 2: Safe. Secure. Certified.• Tagline 3: A practical solution to a safer home.• Tagline 4: The key to security.• Tagline 5: Locking in security.• Tagline 6: The ABC’s of Security

Tagline Development

Message Development

Label Development & Testing

Feedback Indicated:

• Manufacturers would expect to see their packaging with the new label in stores anywhere from 30 days up to six months after the label is approved

• While space may vary with each product/company, label size should be small overall – approximately 0.451in x 0.945in to 0.217in x 0.468in in size

• For packaging purposes, label should contain minimal colors – only one color, in some cases

“Big Box” SurveySubcommittee was surveyed to gather information about how quickly the BHMA Residential Label could appear on product packaging and on what special sizes/requirements are needed.

LabelDevelopment & Testing

Consumer Focus GroupsOVERVIEW:

• 3-day online discussion groups

• Two groups:o Homeowners/DIY-erso Residential contractors/homebuilders

• Participants answered questions twice a day; morning and afternoono 25 homeowners/DIY-erso 10 residential contractors/homebuilders

• Initial key findings focus on participants’:o Familiarity with/expectation of BHMAo Reactions to labelso Reactions to packaging (including labels)

LabelDevelopment & Testing

Consumer Focus GroupsPRELIMINARY FINDINGS:

• Residential Contractorso 55% rate their familiarity with the BHMA Certified logo at a 4 or

better (on a 7-point scale)o 33% say they are not at all familiar with the BHMA Certified logo

• Do-it-Yourselferso 77% say they are not at all familiar with the BHMA Certified logoo Despite lack of familiarity, this group is enthusiastic about the

residential certification program and expect BHMA to set the industry standards

• Homeowners• 90% say they are not at all familiar with the BHMA Certified logo• This group finds the certification program appealing and likes the

idea of having a ‘seal of approval’

Label Design: Overview

LabelDevelopment & Testing

The committee worked together to develop 11 different concepts for a new residential label that would make it easy for the consumer to understand the value of BHMA certification when it comes to purchasing the perfect hardware for their home design projects.

The designs pictured at the left were selected by a combination of homeowners, do-it-yourselfers and residential contractors/homebuilders over the course of a 3-day online focus group.

Note: All groups agreed that label # 3 best represents home door hardware/locks/locksets

Label Design: Residential Contractors

LabelDevelopment & Testing

• # 3 good visual representation of residential hardware

• # 11 is clear, direct and concise

• Respondents were relatively divided on which label seemed most credible, but # 1 garnered the most responses

• Having the BHMA letters clearly visible appears to be the most important influencer of credibility

BEST REPRESENTATIONOF BHMA RATING SYSTEM MOST CREDIBLE

Label Design: Do-it-Yourselfers

LabelDevelopment & Testing

• # 3 helps them instantly recognize this certification is for a home remodeling/repair project

• # 10 is easy to read

• Simple and professional design made this label appear most credible

BEST REPRESENTATIONOF BHMA RATING SYSTEM MOST CREDIBLE

Label Design: Homeowners

LabelDevelopment & Testing

• # 3 because of the house shape

• # 11 because it is simple and clear• All three labels were viewed as

most credible due to their simplicity, familiarity and directness

BEST REPRESENTATIONOF BHMA RATING SYSTEM MOST CREDIBLE

LabelDevelopment & Testing

Consumer Focus GroupsPRELIMINARY CONCLUSIONS:

• Further explanation of the labeling and rating system is needed, especially for the consumer segments.

• Current labels (without explanation) communicate a “good, better, best” grading system rather than giving clarity to the ratings’ relation to a product’s appropriate installation site or use.

• Labels that are bold and direct performed better than those that seemed complex.

LabelDevelopment & Testing

Consumer Focus GroupsPRELIMINARY CONCLUSIONS (con’t):

• It appears that the label shape can greatly impact product choice: square labels indicate strength, durable and security and the house-shaped label indicates that the product would be for residential use. Labels that included circular shapes did not communicate either of these messages to participants.

• Participants indicated they would expect to see the label used/promoted on product packaging, at home/trade shows, on-shelf, on retailer websites (e.g., Home Depot or Lowe’s, where many shop) and on manufacturer websites.

• When given an image of each label on a mock-package, all groups selected the packages based on the ratings of the label more so than the label design.

Consumer Focus GroupsTagline 1: “Protecting Your Most Valuable Assets”

Positives• Comforting• Tells me my valuables will be protected• Implies the product has met standards for certification• Tells me my family will be protected• Tells me that the BHMA is looking out for my interests• Promotes security• Relevant because everyone wants to protect their home and family.

Negatives• Sounds like an insurance tagline• Sounds like a tagline for a product/company, not an organization.

TaglineDevelopment & Testing

Tagline 2: “Safe. Secure. Certified.”

Positives• Clearly communicates safety, a benefit that is relevant to

homeowners• Homeowners like the simplicity and directness of this tagline• “Certified” is a differentiator• Communicates that homeowners can feel safe and secure

because the product has been certified

Negatives• Some consumers are unclear about the certification process,

diminishing the impact of this tagline.

Consumer Focus Groups

TaglineDevelopment & Testing

Tagline 4: “The Key to Security”

Positives• Simple• A play on words that creates

a visual of a lock• Could be used in an

advertisement• Sounds professional

Negatives• Cliché• Doesn’t convey a feeling of

security• Vague• Doesn’t give the consumer

peace of mind

Consumer Focus Groups

TaglineDevelopment & Testing

Key Findings

• Overall, taglines that are direct and communicate safety and security in a bold strong manner resonated best with participants (e.g., Safe. Secure. Certified)

• Taglines that require the respondent to think too much or create their own interpretation (e.g., “the key to security”) were not well received

Consumer Focus Groups

TaglineDevelopment & Testing

BHMA has secured Nielsen/Harris to develop an online omnibus survey of all Americans. The committee is currently developing the key questions, which will focus on:

o Home security

o Home safety

o Purchasing decisions when it comes to locks

Consumer Survey

• Will be launched in early May

• Provides statistically-viable data that can serve as a key tool when it comes to formulating press releases that position BHMA as an authority

• Helps the committee hone-in on the messaging and relative emphasis of the program.

ConsumerEducation & Awareness

ConsumerEducation & Awareness

The committee has launched an in-depth digital analysis to understand how consumers think, talk and find information about residential hardware, in addition to how they make purchase decisions and/or recommendations about these products.

Key Findings:

• Identified over 182K online conversations resulting in over 732 Million estimated impressions and over 30 Million search queries related to residential hardware from March 2013 through February 2015.

• Demand for information far outpaces the volume of online conversation.

• Both major residential hardware segments, door locks and door knobs/handles are growing, suggesting a large and open opportunity for BHMA activation and engagement.

Website

ConsumerEducation & Awareness

Website (con’t)

Conversation Volume Summary:

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

Deadbolts Door Knobs/Handles

Month-over-Month Growth In Conversation

Door Knobs/Handles Deadbolts

1.6%+ 6.4%+

ConsumerEducation & Awareness

Website (con’t)

Conversation Tonality Summary:

-80

-60

-40

-20

0

20

40

60

80

100

Door Knobs Deadbolts

Avg Net Sentiment In Conversation

Door Knobs/Handles Deadbolts

50 49

Phase 1 Next Steps:

Collateral Development• Brochure/Fact Sheet—Will be developed to explain why and

how the label works and what BHMA tests for in the residential building arena.

• Infographic—Will be created in an effort to help explain the label in a more appealing, visual way.

Retailers’ Education & Awareness• Create a downloadable guide and tool kit of customizable press

releases, information sheets, P-o-P signage for the new website

• Conduct media outreach to the trade publications that service these retail outlets

• Work with BHMA members to encourage them to include the guidelines during interactions with their customers.

Upcoming Projects

Phase 2: Marketing and Communications Campaign

Media Outreach:• Press releases: introduce label/describe what it means• Distribute syndicated and wire releases• Social media: engage in a one-on-one conversation with consumers

using social platforms

Video: Create a video that explains the label; to be placed on website and YouTube, and to be shown at trade shows and seminars

Launch Education/Awareness Efforts:• Real Estate Community• Law Enforcement• Fire Safety Officials• Insurance Industry

Phase 3: Projects and Partnerships

Establish partnerships with national organizations, television shows and other philanthropic efforts; possible spokesperson

Revenue & CPD

T2014 Sales4

69

59

53

51

42

35

27

2221

20

171716

15

1312

11

9 9 98

7 7 76 6 6

5 54 4 4

3 3 32 2 2 2

1 1 1 10 0 0 0 0 0

Number of Standards

1. A156.10 Power Operated Pedestrian Doors

2. A156.19 Low E Power Operated Doors

3. A156.9 Cabinet Hardware

4. A156.4 Door Controls-Closers

5. A156.1 Butts and Hinges

6. A156.18 Materials and Finishes

2013-14Publications Revenue

by delivery method

0.00

10,000.00

20,000.00

30,000.00

40,000.00

50,000.00

60,000.00

70,000.00

80,000.00

90,000.00

2013

2014

2014 Revenueby vendor

Thomson

Reuters

56,904.90

IHS Global

19,557.77

Compu-

Tecture

3,428.04

ANSI

3,840.20SAI Global

714.80

BHMA

Website

6,055.00Document

Center

46.80

CPD Summary2011- 2014

Jan-11 Jan-12 Jan-13 Jan-14

44 45

52 53

0 0 3 4

13 1316

25

full member companies assoc member companies companies nonmember

0

5

10

15

20

25

30

35

40

# listings 2013

# listings 2014

2013-2014 CPD Listingsby standard

Full Member 59%

Associate Members

6%

Non-Members35%

2013 CPD Revenue

2014 CPD Revenue

Member Revenue

59%

Assoc. Member Revenue

5%

Nonmember Revenue

36%

Thank you.