Media BMS SIES August 20

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    Media & AdvertisingABHISHEKBHATTACHARYA

    To effectively communicate, we must realizethat we are all different in the way we

    perceive the world and use this

    understanding as a guide to ourcommunication with others.

    Anthony Robbins

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    Media & Advertising

    Contents

    Marketing (in Brief)Definition, Brand, Positioning, Advertising

    Media

    Types of Media, Advantages, Disadvantages, Insights

    Key Insights into Advertising FunctionsMedia Planning, Media Research, Media Operations

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    Identify the Brand

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    Identify the Brand

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    Identify the Brand

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    Marketingis process

    ToIdentify the customer,

    Reach out to the customer,

    Attract the customer,

    Satisfy the customer,

    and

    Maintain Relationship with the customer

    Mar-ket-ing mrkitiNG (N)

    The action or business of promoting and selling

    products or services

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    Elements of Brand Brief

    Source: This graphic is from a book byAlina Wheeler: Designing Brand Identity

    http://www.amazon.com/gp/product/0470401427/ref=pd_lpo_k2_dp_sr_1?pf_rd_p=486539851&pf_rd_s=lpo-top-stripe-1&pf_rd_t=201&pf_rd_i=0471213268&pf_rd_m=ATVPDKIKX0DER&pf_rd_r=13P15YJ7TMY2YXJT89TDhttp://www.amazon.com/gp/product/0470401427/ref=pd_lpo_k2_dp_sr_1?pf_rd_p=486539851&pf_rd_s=lpo-top-stripe-1&pf_rd_t=201&pf_rd_i=0471213268&pf_rd_m=ATVPDKIKX0DER&pf_rd_r=13P15YJ7TMY2YXJT89TD
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    Market Make Up

    Theor

    eticalMaxim

    umMarket

    TheoreticalRe

    alisticMarket

    Theoretica

    lPotentialMarke

    t

    Rea

    lPotentialMarke

    t

    ActualMarke

    tMarketShare

    Total Population

    Those with teeth

    Habits and religion

    Income levels

    Served market

    Actual shareMarketShare

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    Yesteryears Advertising

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    Positioning

    The art of reaching consumers mind, remaining there successfully!

    Task

    Three stages

    1. identifying a set of possible competitive advantages upon which to build a

    position

    2. choosing the right competitive advantages

    3. selecting an overall positioning strategy

    Then, effective communication fordelivery of the chosen position to

    the market

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    Population of INDIA is about 120 Cr

    There are 28 States & 7 Union Territories74%INDIA is Rural*

    Literacy rate 65%(Male 75% , Female 54%)*

    Net GDP (current prices) is Rs. 73,06,990Cr (1.4 Tn USD)

    49 Billionaires, who have Combined Wealth - 20% of GDP

    62% INDIA is below age of 30 years

    Everything has been thought of before,but the problem is to think of it again!

    Johann Von Goethe

    German poet

    Source: Statistical Outline of India, 2008-09, *Census 2001, #Central Statistics Office - Data May 2011

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    Advertising?!!What's that?

    Any paid form of non-personal presentation and promotion of

    ideas, goods or services through mass media such as

    newspapers, magazines, television or radio by an identified

    sponsor.

    (Principles of Marketing: Kotler, Armstrong, Saunders and Wong)

    Advertising is the activity of attracting public attention to aproduct or business, as by paid announcements in the print,

    broadcast, or electronic media.

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    Make a Note of it!

    A recent study of brain activity has shown that humans think about300 to about a 1,000thoughts an hour

    An average person has about

    12,000thoughts a day

    It is also discovered that a deeper thinker can have up to

    50,000 thoughts a day

    In fact its known that a

    childis exposed to about

    40,000ads a year

    Source: hoomancan.com

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    Normal Life Span of a Brand

    12 years on average

    Must be promoted at least 4 times per year

    Thus, 12 x 4 = 48different dramatizations arerequired

    Freshness keeps your sales staff going and yourcustomers interested

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    Media

    The media's the most powerful entity on earth. Theyhave the power to make the innocent guilty and tomake the guilty innocent, and that's power. Because

    they control the minds of the masses.

    Malcolm X

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    Media Vehicle

    Advantages

    Broad reach within a defined market area

    Reaches 57% Urban Individuals and 38% Nationally

    Newspaper offers targeting capability with regional

    delivery and special advertising sections

    Geographic selectivity is available in small towns

    Print lends Credibility i.e. Trusted by its Discerning

    Audience

    Marketplace for competitive price shopping

    Disadvantages

    Costly frequency medium

    Real time dissemination of info not possible

    Static Medium of Communication

    Highly cluttered

    Commands 44% media

    advertising revenue pie

    Habitual in nature, used

    to Tactical sales driven

    activities

    Education, Real Estate,

    Financial Services are

    major advertisers

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    Media Vehicle

    Advantages

    High speed of delivery and coverage

    Reaches 82% Urban Individuals and 57% Nationally

    3/4th TV Home has C&S Connections

    Measurability of each spot

    Use of audio and visual

    Ideal for Frequency & Emotive connect

    Seamless brand content integration possible

    Doordarshan connects a large rural audience

    Disadvantages

    Coverage too vast for small advertisers

    Loyalty is with content not with channel

    Creative / content development is Expensive

    Limited Inventory

    Commands 41% media

    advertising revenue pie

    There are 520 TV

    channels currently in

    India

    FMCG, Automobiles,

    Insurance, HFL,

    Telecom are major

    advertisers

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    Media Vehicle

    Advantages

    Higher shelf life then other mediums

    Least expensive cost per impression

    Ideal for Focused targeting

    Larger then life graphics = stopping power

    Increase awareness faster

    Aided recall for other media

    Believable copy due to visibility and tangibility

    Disadvantages Cannot change copy readily

    Local zoning ordinances can limit coverage

    Medium Reach

    Commands 6% media

    advertising revenue pie

    Considered as a lead

    medium to create impact

    through frequency

    Three major categories

    Traditional, Transit and

    Alternate media

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    Media Vehicle

    Advantages

    High speed of delivery with modest coverage

    Reaches 23% Urban Individuals and 20% Nationally

    Easily and widely available

    Social listening a great opportunity to reach/ connect

    with rural India

    Flexible for seasonal or spot promotions

    Disadvantages

    Market segment without geographic consistency

    Highly cluttered market in Metros

    Lack of robust data (listenership)

    Audio not as believable as visual

    4% media advertising

    revenue pie

    There are 260 FM radio

    stations currently in 90

    cities in India

    Retail, Social

    Awareness,

    Government are major

    advertisers

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    Media Vehicle

    Advantages

    High reach and longevity then other mediums

    (in film)

    Engaged and seated audience with a leisure mindset

    Ideal for Focused targeting

    Emotional Connect (in film)

    Low cost of engagement

    Disadvantages

    High Cost (in film) Permanent Medium (in film)

    Unable to generate high frequency

    Delivering smaller audiences

    On average 750 feature

    films are produced in India

    Acc. to Film Federation of

    India there are over 13000

    theaters in India

    60% of these are in4 southern states

    Financial Services, FMCG

    extensively use In film

    placement for high impact

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    Media Vehicle

    Advantages

    Low cost and High speed of delivery

    Unmatched Targeting & Re-Targeting capabilities

    Personalized (Direct marketing)

    Facilitates two-way communication

    Emotional connect with social media

    Measurable Results

    Disadvantages

    The competition can easily detect the newmovements and develop a quick counter strategy

    May look Intrusive and create immediate

    dissonance

    Fastest growing medium

    in India, almost doublingevery year

    4th Largest Market in world.

    Penetration only 7%

    Interactivity takes brand

    closer to Target

    Automobiles, Financial

    Services, Technology,

    Travel are major

    advertisers

    Source: juxtconsult.com

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    Source: Advertising Agencies Association of India - www.aaaindia.org

    Key Insights into

    Advertising

    Functions

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    Advertising Agency

    Advertising agencies need to have a wide expertise inthe area of marketing and communications

    Hence they employ specialists who expertise inunderstanding economic, demographic andpsychographic data

    They add significant insights to this from their ownexperience and data banks

    Source: Advertising Agencies Association of India - www.aaaindia.org

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    The Parts of an Agency

    Account Management:They are the face of the agency.

    They meet the client regularly and ensure that the work goes out on timeand the bills are paid

    Media Planning:

    They ensure that the client's money is spent efficiently to get maximumefficiency from a campaign

    Definition : Media planning is the process of designing a course ofaction, that shows how advertising time and space can be used, tocontribute to the achievement of marketing objectives

    Source: Advertising Agencies Association of India - www.aaaindia.org

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    The Parts of an Agency

    Account Planning:

    The planners come up with insights and are the 'futurologists' of theagency. They analyse markets and consumer behavior and are the oneswho write the briefs

    Creative:

    Probably the most important set of people. They write the ads and it istheir work that the world gets to see

    Digital Studio:

    Often called the DTP section, this set of people work on the finalartworks that are sent to the various publications for release

    Source: Advertising Agencies Association of India - www.aaaindia.org

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    Elements of Media Strategy

    Media Reach/Frequency

    WHAT? will you say to her

    Target Audience

    Geography

    Scheduling

    Creativeconsiderations

    WHO?

    WHERE?

    WHEN?

    HOW OFTEN?

    is the girl you want to impress

    can you meet her

    is the best time to approachher

    must you reach her to getresults

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    Print Plan

    Publ. Lang Freq Circl. Edition Size Col/BW Ins Rate Cost

    A Eng Dly 50 All 400 sqc BW 4 100 400

    B Hin Dly 60 All 240 sqc BW 4 150 600

    C Eng Dly 40 All 800 sqc BW 4 200 800

    X Ben Mnly 100 Cal FP Col 1 250 250

    Y Tam Fnly 20 Mad FP Col 2 300 600

    Z Tel Wkly 10 Hyd DS Col 4 200 800

    Plan Total 19 3450

    Rate for Newspapers is per sqcms basis. For magazines it is as per prescribed dimensions.*The above chart is for information purpose only.

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    TV PlanChannel Prog Day/Time Dur Rate Spots Cost

    X A Mon/2100 30 100 4 400

    B Tue/2100 30 200 4 800

    C Wed/2100 30 300 4 1200

    Y D Thu/2100 30 400 4 1600

    E Fri/2100 30 500 4 2000

    F Sat/2100 30 600 4 2400

    G Sun/2100 30 700 4 2800

    Plan Total 28 11200

    Rate for TV is per spot (10 sec each) basis.

    Two types of Advertising

    1 - Regular Spots

    A: RODP Run on Day Part Ads displayed during the channel prime time

    B: ROS Run on Spot/ Schedule Time other then prime time

    2 AFP Advertisers Funded Program : Content is specially created for advertiser.

    *The above chart is for information purpose only.

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    Databases Used by Planners

    NRS - National Readership Survey

    IRS - Indian Readership Survey

    Product profiles - Data on product and brand usage ABC - Circulation figures

    TAM Television Audience Measurement

    RAM Radio Audience Measurement

    AdEx

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    Some Basic Concepts

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    Reach

    Reach is a measurement of the size of the audience to whom

    you wish to communicate

    The total number of different people who have been exposedto the campaign

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    Frequency

    The number of times the audience gets exposed

    to the campaign

    Number of times an advertisement or message

    may reach its prospect in a particular time frame

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    CDI

    Category Development Index:

    Ratio of the sales of a product category to

    the population of a specific area

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    BDI

    Brand Development Index:

    Percentage of a brand's sales in a particular

    area in relation to the percentage of the

    country's population in that area

    Eg.: If a brand has 10 percent of sales, in an area

    where the 20 percent of country's people live then its

    BDI in that area is 50 (10 x 100 20).

    BDI indicates where significant groups of a brand's

    customers live and helps direct marketing efforts

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    Average Frequency/OTS

    The average number of times the target

    audience was exposed to the campaign

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    Media weight

    The product of reach and frequency is known as GRPs.

    Gross Rating Point :

    This is the sum of all TVRs of programmes, running in a particular

    channel.

    Suppose, Zee Bangla runs two programmes : Subarnolata & Keya Patar Nouka

    The TVR of Subarnolata is 1.5 & that of Keya Pata is 2.5. Then the GRP is 4.0 for

    Zee Bangla

    GRP is a measure of the media weight delivered by a media plan

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    CPRP

    CPRP is the abbreviated term for Cost Per Rating Point.(aka. CPR Cost Per Rating, CPP Cost Per Point)

    This is used in TV. This the cost of every rating point of a

    programmeCost Per Rating is a method of comparing different media

    forms by relating costs of advertising units to audience ratings

    Eg.: An ad has been run in a show with a cost of Rs. 1,00,000 & the show TVR is 5.0

    Then CPRP: 1,00,000/5 = 20,000

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    CPM

    Cost Per Mille: This is used for digital business, This isalso called "Cost Per Thousand impressions (CPT), is

    where advertisers pay for exposure of their message to a

    specific audience. "Per mille" means per thousand

    impressions, or loads of an advertisement

    EG.: The cost of running an ad in a particular website is Rs. X. The totalimpression on this website during the campaign period is Y.

    CPM : (Rs. X/ Y) *1000

    CPT (Print) : (Cost of Ad/ Readership IRS Figures) * 1000

    Mille Rate (Print) : (Cost of Ad/ Circulation ABC Figures) * 1000

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    Media Research

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    SEC Classification - Urban

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    SEC Classification - Rural

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    Calculation of TRP- The Peoplemeter Method

    Universe : 10 people (A,B,C,D,E,F,G,H,I,J)Programme : Balika Vadhu telecast at 8.00 - 9.30 pm

    Duration : 30 minutes

    Viewership of BV

    Viewer Start Time End Time Minutes Watched

    A 8:30 8:40 10

    B DNW - -

    C DNW - -

    D 8:46 8:50 4

    E DNW - -

    F 8:30 8:35 5

    G DNW - -

    H DNW - -

    I DNW - -

    J 8:33 8:58 25

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    Calculation of TRP- The Peoplemeter Method

    TRP of BV :

    10 4 5 25

    + + +30 30 30 30 x 100 = 15

    10

    The corresponding TRP under Diary Method : (4/10)x100 = 40

    S f M k i i U d di h

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    Media & AdvertisingABHISHEKBHATTACHARYA

    Success of Marketing is Understanding that

    Every Man has Two Personalities

    One, what he is

    Another, what he wants/ aspires to be!