BarkleyOKRP | Agency Profile, Contacts, AOR, Client Relationships

• The agency will focus on refreshing Michaels's brand and marketing, which includes design, advertising, and visual identity.
• OKRP will also support the company's strategic marketing in order to target customers beyond traditional crafters.
• New work will reportedly launch in August 2023.
• We predicted that an agency review would fall sometime from November 2022-April 2023 in when Michaels parted ways with its former CMO, Ronald Stoupa.
  • Since then (about a year ago), it has appointed a new CMO, Amanda Rassi.
• The company will likely:
  • Implement strategy shifts
  • Return to higher spend, especially once it launches a new campaign
  • Conduct additional agency reviews
• Target demographic: 
  • Millennials with a strong female skew

Additional spending insights:

• Broadcast insights (TV ad creative spend, effectiveness, impressions, and performance)
  • YTD spend: So far this year, Michaels has allocated roughly $1m toward national TV commercials, only half of the roughly $2m allocated within the same 2022 timeframe.
  • Last year: The retailer allocated around $10.6m toward this channel in 2022 after having allocated 23% less, around $8.2m, in 2021.
  • 2023 ad programming: Michaels's 2023 commercials have targeted Gen-X watching shows such as Gunsmoke, Castle, Diners, Drive-Ins and Dives, Two and a Half Men, and The First 48.
• Digital and social insights (digital ad spend, effectiveness, impressions, and performance)
  • YTD spend: YTD, the company has spent approximately $11.8m on digital ads, 15% less than the approximately $13.8m spent by this point last year.
  • YTD data: Since the beginning of 2023, Michaels has earned about 1.2b digital impressions via YouTube (51%), Facebook (32%), Instagram (16%), and desktop display (1%) ads.
  • Last year: The company's estimated full-year 2022 spend, $46.5m, reached 9% less than that of $50.9m in 2021.
• Additional channel insights  
  • The company utilizes OOH, local broadcast, digital, Google Ads, TikTok, Instagram, Facebook, and online video (primarily via Youtube.com) ads.
  • It works with various influencers as well.
  • Michaels sponsors podcasts such as Office Ladies.
  • ​​​​​​​​​​​​​​The retailer also invests in short-form DRTV.
    • ​​​​​​​Michaels has very highly concentrated network TV coverage and will not likely launch a new campaign soon.

Additional agency insights:

• Opportunity: Michaels may seek additional new agency partners following this hire, so reach out soon to offer media, PR, digital analytics, experiential, multicultural, and/or influencer services.
• Current agency roster:
  • ​​​​​​​OKRP: Creative AOR (May 2023)
  • In-House: Media

Insight Sources: Broadcast insights estimated by .