Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by...

Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell

Chapter 10

Media and contact strategy

10-1


Learning objectives

1. To understand the principles of brand contact points in media strategy.

2. To understand the key terminology used in media planning.

3. To recognise and be able to set media objectives.

4. To know how a media plan is developed.5. To know the process for developing and

implementing media strategies.6. To be familiar with sources of media

information and characteristics of media.

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10-3

Concepts

Where to say it?Reach

Frequency

Continuity and flexibility

Media landscape contact points

How often to say it?

Media plans and planning

How much will it costto say it?

Budget


Media contacts

10-4

The typical consumer is exposed to 3000+ messages daily from

an increasingly diverse range of

media

The typical consumer is exposed to 3000+ messages daily from

an increasingly diverse range of

media


Brand contact points

10-5


Brand contact points (cont.)

10-6


Traditional media landscape in AustraliaPlatform Media Number

Television Commercial networks 4

Government & community 2

Subscription TV 120

Radio Stations 261

Print

Magazines Consumer magazines 1100

Newspapers National daily 2

Metro daily 10

Metro Sunday 10

Regional 132

Suburban (community) 243

Cinema Screens 1907

10-7


Traditional media landscape in New Zealand

Media platform Number

Television channels 87

Radio stations 300

Consumer magazines

Locally published (650)

6000

Newspapers

Metro and community 150

Cinema screens 455

10-8

Source: Nielsen Media, New Zealand


10-9

Concepts

Where to say it?Reach

Frequency

Continuity and flexibility

Media landscape contact points

How often to say it?

Media plans and planning

How much will it costto say it?

Budget


Media terminology

10-10

A series of decisions involving the delivery of messages to audiences

A series of decisions involving the delivery of messages to audiences

Goals to be attained by the media strategy and program

Goals to be attained by the media strategy and program

Decisions on how the media objectives can be attained

Decisions on how the media objectives can be attained

The various categories of delivery systems, including broadcast and print media

The various categories of delivery systems, including broadcast and print media

Mediaplanning

Mediaplanning

Mediaobjectives

Mediaobjectives

Mediastrategy

Mediastrategy

MediaMedia


Media terminology (cont.)

10-11

The number of times the receiver is exposed to the media vehicle in a specific time period

The number of times the receiver is exposed to the media vehicle in a specific time period

The potential audience that might receive the message through the vehicle

The potential audience that might receive the message through the vehicle

Number of different audience members exposed at least once in a given time period

Number of different audience members exposed at least once in a given time period

The specific carrier within a medium category

The specific carrier within a medium category

Media vehicleMedia

vehicle

ReachReach

CoverageCoverage

FrequencyFrequency


Media spend, Australia 2009

10-12


Media spend, New Zealand 2009

10-13

Advertiser/ expenditure

($millions )

TV Radio News Mags Cine OOH Mail On-line

Total

Foodstuffs NZ 15.9 7.8 22.4 0.3 0.3 1.3 6.6 0.8 54.5

Progressive Enterprises

19.4 3.3 19.7 0.4 0 1.9 8.7 0.2 53. 5

The Warehouse 20.5 4.5 15.5 2.4 0 0.5 8.0 0.2 51.5

Harvey Norman 23.6 3.2 20.8 0.9 0 0 2.8 51.1

Telecom Corp 18.7 4.6 6.6 0.7 0.4 2.7 0.4 6.8 40.5

Noel Leeming Group

17.1 2.0 15.8 0 0 3.3 - 38.2

Reckitt-Benckiser 37.2 0 - 0.4 0 0.3 0 0.1 38.1

Unilever Australasia

32.5 0.1 0. 2 2.3 - 1.4 - 0.2 36.7

NZ Lotteries Commission

23.8 7.0 1.9 - 0 2.1 0 0.6 35.4

Mitre 10 NZ 18.2 1.2 9.3 - 0 - 3.7 - 32.5

Source: Nielsen, AIS Data, 2009


Media planning difficulties

10-14

Timepressures

Timepressures

Problemsin mediaplanning

Problemsin mediaplanning

Lack of information

Lack of information

Measurement problems

Measurement problems

InconsistentterminologyInconsistentterminology


Media research in Australia

10-15


The media plan and its relationship to marketing planning

10-16

Selecting media within classSelecting media within class

Media use decision— print

Media use decision— print

Media use decision— broadcast

Media use decision— broadcast

Media use decision— other media

Media use decision— other media

Determining media strategyDetermining media strategy

Selecting broad media classesSelecting broad media classes

Marketing strategy plan

Marketing strategy plan

Creative strategy plan

Creative strategy plan

Situation analysis

Situation analysis

Setting media objectivesSetting media objectives


Developing the media plan

10-17

Evaluation and follow-upEvaluation and follow-up

Media strategy development & implementationMedia strategy development & implementation

Establishment of media objectivesEstablishment of media objectives

Market analysisMarket analysis


Market analysis: to whom shall we advertise?

10-18

Sources of informationSources of information

Internal sources

Situation analysis Prior research Databases

Internal sources

Situation analysis Prior research Databases

External sources

Syndicated research Commissioned research Secondary sources

External sources

Syndicated research Commissioned research Secondary sources


Syndicated research

10-19


Analysing syndicated research

10-20

Percentage of users in a demographic segment

Percentage of population in the same segment

Index = x 100

Index number


Media research in Australia

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Media strategy and objectives

10-22

Factors influencing media strategy development

Factors influencing media strategy development

Internal factors Size of budget Managerial capabilities

Internal factors Size of budget Managerial capabilities

External factors Economy

(media costs)Technology

(New media)Competitive activity

External factors Economy

(media costs)Technology

(New media)Competitive activity


Setting media objectives

10-23

Frequency (exposing the target audience to

the message a specific number of times)

Frequency (exposing the target audience to

the message a specific number of times)

Reach (reaching the target audience)

Reach (reaching the target audience)

Continuity (over the life of the campaign)

Continuity (over the life of the campaign)

Media objectives should be limited to those that can be accomplished through media

strategies.

Media objectives should be limited to those that can be accomplished through media

strategies.


Media objectives

Examples of media objectives: Reach 60% of the target audience at least

three times over the same six-month period. Use broadcast media to provide coverage of

80% of the target market over a six-month period.

Concentrate heaviest advertising in winter and spring, with lighter emphasis in summer and autumn.

10-24


Presenting a media diary

10-25


Presenting a media diary (cont.)

10-26


Developing and implementing media strategies

Media plan Criteria to be consideredThe media mix Reach vs frequency

Target market coverage Creative aspects and mood

Geographic coverage Flexibility

Scheduling Budget considerations

10-27


Target market coverage

10-28

Population excluding target marketTarget marketMedia coverageMedia overexposure

Target market proportion

Full market coverage

Partial market coverage

Coverage exceeding market

21 3 4


Data used to develop media coverage strategy

10-29

Windows User

No notes with this slide. I added what I could


Three scheduling methods

10-30

Continuity

Pulsing

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Flighting


Northern Territory Tourism media schedule

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Source: Extract from N.T. Tourism Media Schedule, 2005

Windows User

Do we need permission for this?


Characteristics of scheduling methods

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Reach and frequency planning

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How much reach is necessary?

i.e. how many members of the target audience should be exposed to your message?

How much reach is necessary?

i.e. how many members of the target audience should be exposed to your message?

What frequency level is needed?

i.e. how many times should the average audience member be exposed to your message?

What frequency level is needed?

i.e. how many times should the average audience member be exposed to your message?

Two key questionsTwo key questions


What level of frequency?

10-34

When brand awareness is a campaign objective, aim for

high reach.

When brand awareness is a campaign objective, aim for

high reach.

Ads with high impact require lower levels of frequency.

Ads with high impact require lower levels of frequency.

When products/ brands have short life cycles, aim for high

reach quickly.

When products/ brands have short life cycles, aim for high

reach quickly.

General guidelines for

setting frequency objectives

General guidelines for

setting frequency objectives

Windows User

I'm not sure that the notes are relevant for this slide. They are about reach but slide is about frequency.


Reach and frequency

10-35

Windows User

No notes for this slide


Reach and frequency (cont.)

10-36

A. Reach of one program

Total market audience reached

B. Reach of two programs

Total market audience reached

C. Duplicated reach

Total reached with both shows

D. Unduplicated reach of both

Total reach less duplicate


Target audience ratings points

10-37

Target audience ratings points (TARPs)

TARP =

Number of PPL in a target audience reached by a media buy

Potential target audience for media buy

x 100


Gross ratings points

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GRP =

Gross ratings points (GRP)

Reach x Frequency


Estimates of reach

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What level of frequency?

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Effective reach

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Effective vs average frequency

10-42

By comparing effective frequency with average frequency, planners are able to fine tune

campaigns.

By comparing effective frequency with average frequency, planners are able to fine tune

campaigns.

Effective frequency

Desired level of frequency (media objective)

Effective frequency

Desired level of frequency (media objective)

Average frequency

Observed frequency for an actual or planned campaign

Average frequency

Observed frequency for an actual or planned campaign

vsvs


Marketing factors determining frequency

10-43

Target groupTarget groupBrand historyBrand history

Share of voice

Share of voice

Purchase cycles

Purchase cycles

Brand loyaltyBrand loyalty Brand shareBrand share Usage cycleUsage cycle

Marketing factorsMarketing factors


Message factors determining frequency (cont.)

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Message complexityMessage complexity

Message uniquenessMessage uniqueness

New vs. continuing campaignsNew vs. continuing campaigns

Image vs. product sellImage vs. product sell

Message variationMessage variation

WearoutWearout

Advertising unitsAdvertising units

Messageor

creative factors

Messageor

creative factors


Media factors determining frequency (cont.)

10-45

ClutterClutter

Number of media usedNumber of media used

Repeat exposuresRepeat

exposures

Editorial environment

Editorial environment

SchedulingScheduling

AttentivenessAttentiveness

Media factorsMedia factors


Creative aspects and mood

10-46

Media environment

Media environment

Creative opportunities

Creative opportunities

BudgetBudget

MoodMood

FlexibilityFlexibility




Creative impact

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Flexibility in media planning strategies

10-48

Market opportunities

Market opportunities Market threatsMarket threats

Availability of mediaAvailability of mediaChanges in media or media vehicle

Changes in media or media vehicle

FlexibilityFlexibility


Determining relative cost of media—print

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CPM =Cost of ad space (absolute cost)

Circulation

Cost per thousand


10-50

Determining relative cost of media—print (cont.)


Determining relative cost of media—broadcast

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CPRP =Cost of commercial time

Program rating

Cost per rating point (CPRP)


Determining relative cost of media—broadcast (cont.)

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Calculating CPM based on the target audience

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Top advertisers

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Television: advantages and disadvantages

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Short message lifeShort message life

High production costHigh production cost

Low selectivityLow selectivity

High absolute costHigh absolute cost

ClutterClutter

Mass coverageMass coverage

High reachHigh reach

Impact of sight, sound and motion

Impact of sight, sound and motion

High prestigeHigh prestige

Low cost per exposureLow cost per exposure

Attention gettingAttention getting

Favourable imageFavourable image

AdvantagesAdvantages DisadvantagesDisadvantages


Radio: advantages and disadvantages

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ClutterClutter

Fleeting messageFleeting message

Audio onlyAudio only

Low attention-gettingLow attention-getting

Local coverageLocal coverage

Low costLow cost

High frequencyHigh frequency

FlexibleFlexible

Low production costLow production cost

Well-segmented audienceWell-segmented audience



Magazines: advantages and disadvantages

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Visual onlyVisual only

Long lead time for ad placement

Long lead time for ad placement

Lack of flexibilityLack of flexibility

Segmentation potentialSegmentation potential

Quality reproductionQuality reproduction

High information contentHigh information content

LongevityLongevity

Multiple readersMultiple readers



Newspapers: advantages and disadvantages

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ClutterClutter

Poor reproduction qualityPoor reproduction quality

Short lifeShort life

Low attention-gettingLow attention-getting

High coverageHigh coverage

Low costLow cost

Short lead time for placing ads

Short lead time for placing ads

Ads can be placed in interest sections

Ads can be placed in interest sections

Timely (current ads)Timely (current ads)

Reader controls exposureReader controls exposure

Can be used for couponsCan be used for coupons

Selective reader exposureSelective reader exposure



Outdoor: advantages and disadvantages

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Short adsShort ads

Local restrictionsLocal restrictions

Short exposure timeShort exposure time

Poor imagePoor image

Location specificLocation specific

High repetitionHigh repetition

Easily noticedEasily noticed



Direct mail: advantages and disadvantages

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Poor image (junk mail)Poor image (junk mail)

High cost per contactHigh cost per contact

ClutterClutter

High selectivityHigh selectivity

Reader controls exposure

Reader controls exposure

High information content

High information content

Repeat exposure opportunities

Repeat exposure opportunities



Interactive media: advantages and disadvantages

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Websnarl (crowded access)Websnarl (crowded access)

Few valid measurement techniques

Few valid measurement techniques

Limited creative capabilitiesLimited creative capabilities

Technology limitationsTechnology limitations

Limited reachLimited reach

User selects product information

User selects product information

User attention and involvement

User attention and involvement

Interactive relationshipInteractive relationship

Direct selling potentialDirect selling potential

Flexible message platformFlexible message platform



Summary and conclusions

Media planning is a process involving many layers of complex decisions.

At its heart, media strategy attempts to find the best match of media, having regard to the target market and given budgetary constraints.

Media planners attempt to balance reach and frequency objectives while also giving consideration to creativity and other relevant non-quantifiable factors.

Media planning is both an art and a science.

10-62

Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by...

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