Sunny Delight Co. Media Plan
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Transcript of Sunny Delight Co. Media Plan
Sunny Delight Beverage Co. Media Plan
Danny D’Apuzzo and Corry Salm
Table of Contents
Executive Summary..........................................................................................................1
Situation Analysis.............................................................................................................2
Company Background...........................................................................................2
Company History.........................................................................................2
Past Advertising..........................................................................................2
Corporate Culture and Ethical Principles....................................................3
Manufacturing Process...............................................................................3
SWOT Analysis......................................................................................................4
Marketing Mix.........................................................................................................5
Uncontrollable Constraints.....................................................................................6
Budget.........................................................................................................6
Competition.................................................................................................7
Economic Conditions..................................................................................7
Consumers Ever-Changing Needs and Wants...........................................7
Weather.......................................................................................................8
Brand Positioning...................................................................................................8
Competitive Information....................................................................................................9
Market Share.........................................................................................................9
Advertising Share.................................................................................................10
Competitor’s Media Mix.......................................................................................11
Competitor’s Share of Voice................................................................................14
Marketing Objectives......................................................................................................15
Advertising Objectives....................................................................................................16
Target Audience.............................................................................................................16
Primary Target Demographic...............................................................................16
Primary Target Psychographic.............................................................................16
Secondary Target Demographic..........................................................................17
Secondary Target Psychographic........................................................................17
Media Objectives............................................................................................................18
Media Mix.......................................................................................................................20
Cost Summary................................................................................................................25
Budget Recap.................................................................................................................30
Media Flight Plan Flow Chart..........................................................................................31
Year at a Glance.............................................................................................................32
Works Cited....................................................................................................................33
Executive Summary
Since Sunny Delight’s creation in 1964, the fruit juice drink has seen success in
its brand recognition. However, as competitors in the fruit juice drink market continue to
increase, the brand needs to find new way to stay relevant to consumers in 2011.
In 2006, the Sunny Delight Beverage Co. held an advertising share of 23.85% in
the fruit juice and juice drink market, but only held a 7.2% market share. The marketing
objective is to increase market share from 7.2% to 10% in 2011, by spending
advertising dollars in mediums most effective and efficient in reaching Sunny D’s target
market. These mediums include cable TV, FSI coupons, local newspaper, national
magazine, network TV, outdoor, Spanish language cable TV, Spanish language
network TV, spot radio, and spot TV. The advertising budget for the media mix is
$40,000,000, and this media plan will use $39,850,000.
The increase in market share will be accomplished by utilizing a pulsing
advertising approach. Spending on promotions will come in the beginning (January),
middle (June), and end of the year (December), thus reminding consumers to purchase
Sunny Delight throughout the year. The target includes white female homemakers aged
18 to 49 with children. The secondary target market includes 18 to 49 year old African
American and Hispanic female homemakers with children. The secondary market will
be reached through the pulsing months’ spot advertising in areas where this
demographic is more concentrated. The brand positioning for the upcoming year will
revolve around Sunny Delight’s fortified vitamins that moms love to serve it, and sweet
taste so kids love to drink it. Sunny Delight’s brand character is young and fun.
1
Situation Analysis
Company Background
Company History
The Sunny Delight Beverage Co., producer of Sunny Delight orange juice, is a
major player in the fruit juice and juice drink market. The beverage company consists of
over 660 employees in North America and 200 employees in Western Europe. Annually,
SDBC (Sunny Delight Beverage Co.) reports more than $550 million in revenue through
sales from the United States, Canada, Mexico, the United Kingdom, Ireland, Spain,
France and Portugal. The SDBC traces its history back to Florida in 1964 when Howard
Dick and Phillip Grinnell created Sunny Delight after realizing that their kids did not
enjoy drinking orange juice. Through a series of expansions and acquisitions, J.W.
Childs acquired Sunny Delight from Proctor & Gamble in 2004, thus founding the Sunny
Delight Beverage Co. The company has several brands including Sunny D Original,
Sunny D Orange Blends, FruitSimple Fruit Smoothies and Elations. All of these brands
are fortified with vitamins B1 and C. The mission statement of Sunny Delight Beverage
Co. is “to delight consumers by being the leading producer of juice-based drinks that
kids love and moms are proud to serve”. (Sunny Delight Beverage Co. 2009).
Past Advertising
Sunny D is a nationally recognized brand that is in the mature stage of the
product life cycle. In 2005, SDBC spent more than $98 million in all measured media.
Spending decreased to $32 million in 2006 and again to $31 million in 2007 and 2008.
Past marketing campaigns have used the tag-line “Bottling sunshine since 1964”.
In the mid-1990’s, Sunny D promoted its-self though an advertising campaign called
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“Reach for the Sun Bottle Hunt”. The campaign featured hidden Sunny D bottle graphics
on Web sites. Participants needed to discover where these bottles were hidden and
decipher a riddle to win prizes such free T-shirts and college scholarships.
In 2007, Sunny D introduced a diet friendly version with less sugar. the brand
utilized a press campaign with the tag-line “12 things all children should do before they
are 12 years old”. Other promotions include the Summer 4Ever Road Trip where two
Sunny D “Sunmobiles” traveled to multiple states giving supplies to youth centers and
summer camps. Another promotion included a 12-week traveling hip-hop tour to various
cities teaching children how to dance in the hip-hop format.
Corporate Culture and Ethical Principles
The Sunny Delight Beverage Co. goals and ethical principals are broken down
into three categories: economic, environmental and social. Under the economic
category, goals include increasing revenue and growth of their product portfolio by
offering consumers preferred products and increasing volume. Environmental goals
include reducing packaging materials and energy to minimize their carbon footprint.
Social responsibilities are built upon enhancing the wellness of employees and
improving the communities in which they operate. This is done through wellness
incentives and donations.
Manufacturing Process
In an effort to reach their sustainability goals, SDBC operates on a “Lean to
Green” environmental platform. Through this, SDBC is reducing waste in their
manufacturing process. Manufacturing has reduced the amount of waste going into
landfills and hopes to have zero waste to landfills by 2013. Through the manufacturing
3
process, packaging has decreased in weight, thus reducing the plastic waste of the
products.
SWOT Analysis
4
Marketing Mix
Product
Sunny D is a fruit flavored drink that contains vitamins B1 and C. Each eight
ounce serving contains 5% juice and 15% of the daily vitamin B1 required for a healthy
diet. Each serving also helps the immune system by providing 100% of the daily vitamin
C value. In one eight ounce serving there is 90 calories. The bottles come in 6.75
ounces, 16 ounces, 64 ounces, 128 ounces, and 333 milliliters. Sunny D Original comes
in Tangy Original, Mango, and Smooth flavors. There are also other flavors and brands
within the Sunny Delight Beverage Co. including EnhanceD (which has as much
calcium as a glass of milk) and BlenDs (which are blended with other fruit flavors). The
sweet taste and many flavors of Sunny D available appeals to kids, leading female
homemakers with children to be a target market.
Place
Sunny D is available at supermarkets, convenience stores, mass merchandisers,
and warehouse clubs. The drink is also sold in other outlets such as vending machines,
small food stores, health and natural food stores, delis, and schools. Supermarkets are
the leading channel that sell fruit juice and juice drinks accounting for 68% of sales in
2000 and 57% of total market sales in 2009 (“Fruit Juice and Juice Drinks: The Market”
Feb. 2010). The next highest is other outlets, which accounts for 17% of sales in 2000.
Because Sunny D is not sold in specialty stores and is readily available to the average
consumer, it would not be advantageous to market Sunny D in premium locations.
5
Price
Price depends on the geographical region and the retail outlet in which the
product is being sold. It also depends on the specific brand and flavor. For Sunny D
Original, prices would range near $2.50 to $5 for a 64 ounce bottle. Sunny D EnhanceD
and BlenDs are a little bit more expensive based on the region and channel. Since
Sunny D is relatively inexpensive, it would not be prudent to market it as a premium
drink.
Promotion
Sunny D has ran various consumer promotions such as manufacturer coupons
and public relations promotions. Coupons include 50 cents off one six-pack of any
Sunny D product and $1.00 off three six-packs of any Sunny D product. Other activities
include a co-sponsored promotion with Coachmen where consumers can win a
Coachmen Mirada recreational vehicle and a gasoline debit card worth $1000. This
complements the Summer 4Ever Road Trip promotion.
Uncontrollable Constraints
Budget
The most influential uncontrollable constraint to the media plan is the $40 million
advertising budget for all of the Sunny Delight Beverage Co.’s brands. However,
because this is a large budget, it is not such a large constraint for the brand. The funds
are available to use for consumer advertising media expenditures, and do not include
things like production, public relations, and talent expenses. The budget goes solely to
any media used to carry the promotions. The constraints on the budget only allow for a
certain amount of mediums to be used since the budget cannot be overspent.
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Competition
The main competition to SDBC is Coca-Cola, which includes Minute Maid, Five
Alive, and Bright & Early, Pepsi Co., which includes Tropicana and Dole, and Florida’s
Natural. These account for 35.2%, 18.6%, and 7.3% of the juice market, respectively,
while private labels and others account for 16.2% and 15.5% of the market,
respectively. Coca-Cola’s Minute Maid sales have declined $63 million during 2008-
2009, and Pepsi Co.’s Tropicana sales have declined $150 million in the same time
period (“Fruit Juice and Juice Drinks: The Market” Feb. 2010). Most of these major
competitors consider themselves to be premium juices and have raised their prices,
thus shunning many price conscious consumers.
Economic Conditions
Although the total fruit juice drink market increased 9% from 2004-2009, this is
actually a decline of 6% when adjusted for inflation (“Fruit Juice and Juice Drinks: The
Market” Feb. 2010). Overall fruit juice prices have also declined for the first time in five
years. In the future, due to their sugary ingredients, juice drinks may be taxed by the
Obama Administration in an effort to reduce childhood obesity.
Consumers Ever-Changing Needs and Wants
Due to consumer preferences of value, private label brands have grown in
market share at the expense of branded juice drinks. Consumers are also known to
purchase basics in rough economic times. Value and a simplified brand positioning are
likely to attract them. There has been a recent trend in consumers’ health wants and
needs. The juice market has changed to reflect these needs by adding nutrients.
However, some health-conscious consumers are still wary because of the high caloric
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content of juice. Consumers are turning to ready-to-drink teas, energy drinks, and other
reduced-calorie drinks.
Weather
Because SDBC’s products contain 5% juice, weather would not be a major
uncontrollable constraint. Poor weather harming orange and fruit harvesting would not
be a major concern since there is not a large percentage of juice content in the
products.
Brand Positioning
Due to Sunny D’s sweet taste, it is unique in the juice drink market which usually
consists of tangy drinks. This gives a greater appeal to children who prefer a sweeter
taste over a more bitter and citrusy one. Sunny D’s image is young and fun. The benefit
of Sunny D is that it is fortified with vitamins so moms love to serve it, and it is sweet so
kids love to drink it.
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Competitive Information
Market Share
Figure 1 shows the market share of the top six competitors in the fruit juice and
juice drink market in 2006. Pepsi Co. holds the highest market share with 35.2%
followed by Coca-Cola with 18.6%. Together, these two brands account for more than
half of the market with 53.8% share. Private Labels account for 16.2% of the market
share with Others following close behind with 15.5%. Florida’s Natural holds 7.3%, and
Sunny Delight Beverage Co. has 7.2% of the market share.
Figure 1
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Advertising Share
Company Advertising Expenditures Advertising Share
Others $50,000,000 37.6%
Sunny Delight Beverage Co. $31,591,300 23.85
Minute Maid Company $30,717,100 23.1%
Tropicana $15,331,700 11.5%
Dole Blended Juices $5,331,700 4%
Total $132,971,800 100%
Figure 2 represents the advertising share among competitors in the fruit juice and
juice drink market for 2007. Although Others spent the most in media over the year with
37.6% share, this is an estimate of many company’s spending, not just a single
company’s spending. Sunny Delight Beverage Co. holds 23.8% of the advertising
share, and Minute Maid Company follows closely behind with 23.1%. Tropicana and
Figure 2
10
Dole Blended Juices, both under Pepsi Co., hold 11.5% and 4% of the advertising
share, respectively.
After looking at the past advertising share for the companies and comparing the
years 2005, 2006, and 2007, it should be noted that Sunny Delight Beverage Co. spent
more on their advertising (23.6%) than they held in market share (7.2%) in 2006.
Compared to the other companies, SDBC controlled more of the advertising share
through the three years, with the exception of 2006 where Tropicana outspent SDBC by
12.2%. SDBC’s dominance in advertising share shows their aggressive advertising
strategy.
Competitor’s Media Mix
Figure 3 Sunny Delight Beverage Co.
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Figure 4 Minute Maid Company
Figure 5 Dole Blended Juices
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Figures 3 through 6 represent the media mix for the four major competitors in the
market in 2007. Some mediums in each companies media mix only account for a small
percentage of their expenditures. The main mediums in which the four companies spent
the most are cable television, national magazine, and network television. FSI coupons
were used more by Dole Blended Juices and Tropicana with 22.9% and 8% of each
brand’s media mix, respectively. Sunny Delight Beverage Co. allotted a large portion of
their media mix to Spanish language network television, unlike the other brands, with
18.3% of their media mix.
Figure 3 shows that Sunny Delight Beverage Co. spent the most in cable TV
(55%), Spanish language network TV (18.3%), network TV (13.4%), and national
magazine (9.5%). Minute Maid Company’s media mix is divided up mostly between
network TV (44.3%), national magazine (25%), and FSI coupons (21%), as expressed
Figure 6 Tropicana
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in Figure 4. Figure 5 depicts Dole Blended Juices spent the most in national magazine
(61%), FSI coupons (22.9%), and network TV (9.8%). Finally, Figure 6 represents
Tropicana’s spending with national magazine (86.5%), FSI coupons (8%), and network
TV (3.4%) being the most used mediums.
Competitor’s Share of Voice
Company Business to
Business Cable TV
FSI Coupon
Internet Local
Newspaper National
Magazine National
Newspaper
Sunny Delight Beverage Co.
0% 72.9% 2% 0% 22.2% 11% 0%
Minute Maid Company
0% 27% 11.5% 90.4% 77.8% 28.2% 100%
Dole Blended Juices
50% 0.01% 43.3% 4.8% 0% 12% 0%
Tropicana 50% 0.01% 43.3% 4.8% 0% 48.8% 0%
Company National Sunday
Supplement
Network TV
Outdoor Spanish
Language Cable TV
Spanish Language
Network TV
Spot Radio
Spot TV
Syndicated TV
Sunny Delight Beverage Co.
0% 22.4% 0% 87% 88% 25.7% 74.5% 0%
Minute Maid Company
0% 72.1% 2.6% 13% 12% 0.06% 25.1% 100%
Dole Blended Juices
50% 2.8% 48.7% 0% 0% 37.1% 0.2% 0%
Tropicana 50% 2.8% 48.7% 0% 0% 37.1% 0.2% 0%
Figure 7 depicts the competitor’s share of voice for the fruit juice and juice drink
market for 2007. Sunny Delight Beverage Co. has the highest share of voice in Spanish
language network TV (88%), Spanish language cable TV (87%), spot TV (74.5%), and
Figure 7
14
cable TV (72.9%). It is important to note that SDBC has consistently had a dominant
share of voice in both Spanish language network TV and Spanish language cable TV
from 2005 to 2007. Minute Maid Company has the highest share of voice in national
newspaper (100%), syndicated TV (100%), Internet (90.4%), local newspaper (77.8%),
and network TV (72.1%). Only SDBC does not have any share of voice for Internet.
Dole Blended Juices ties with the highest in share of voice with Tropicana in business to
business (50%), national Sunday supplement (50%), outdoor (48.7%), FSI coupon
(43.3%), spot radio (31.7%). The only difference between the two brands within all 18
mediums is national magazine where Tropicana holds 48.8% and Dole Blended Juices
holds 12%. On looking into previous years, this trend of similarity in share of voice holds
true through 2005 to 2007. This could be due to the fact that both brands are owned by
Pepsi Co.
Looking at all three years, it can be noted that Sunny Delight Beverage Co.’s
share of voice has increase steadily in cable TV. Also, they hold the highest share of
voice in that medium for both 2005 and 2007. Another noticeable trend is in the Internet.
Although no one spent any portion of their media budget in Internet in 2005, Minute
Maid Company holds the highest in 2006 with 97.5% and 2007 with 90.4%. Minute Maid
Company has also holds the largest share of voice in local newspaper throughout the
three years. However, the share has decreased as time went on.
Marketing Objective
To increase Sunny Delight Beverage Co.’s market share from 7.2% to 10%
within the 12 months from January 2011 to December 2011 among female homemakers
aged 18 to 49.
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Advertising Objective
Sunny Delight Beverage Co.’s advertising objective is to remind female
homemakers aged 18 to 49 that Sunny Delight is a drink with the sweetness that kids
love drink and the vitamins that moms love to serve during the campaign year of
January 2011 to December 2011. Reminder advertising will be beneficial because
Sunny Delight is in the mature stage of the product life cycle.
Target Audience
Primary Target Demographics
We recommend that Sunny Delight Beverage Co. target 18 to 49 year old white
female homemakers with children aged eight to 12. Although whites are 5% less likely
than the national average to purchase Sunny Delight, they account for 74.2% of Sunny
Delight purchasers. Due to this large base of existing Sunny Delight purchasers, the
white population must be targeted. This demographic is married with between one and
three children. Households with children and higher numbers of family members are key
juice drink consumers (“Marketing to Moms” Feb. 2010). The target is married and has
a household income of between $50,000 and $75,000. Also, they typically do not have
occupations, but are solely homemakers. Geographically, the white female homemaker
is spread out fairly evenly across the nation and is more concentrated in suburbs.
Primary Target Psychographics
This homemaker target prefers purchasing brands that they are familiar with for
their children. They do seek product information from many sources, but they also follow
their own instincts and preferences when purchasing. When looking at food and drink to
16
purchase for their families, these moms are careful about reading the nutritional
information on the label. If a homemaker is employed, she is much less likely to view
her job as a career. She views her family and raising the kids as her primary
responsibility. She is more oriented toward her children and family and typically does
not take much time to do something for herself. “Moms’ desire to bring the family
together for dinner presents an opportunity for supermarkets and food brands to make
an emotional connection.”
Secondary Target Demographics
For a secondary target market, we recommend focusing on 18 to 49 year old
African American and Hispanic female homemakers with children aged eight to 12. The
target has a household income of between $40,000 and $55,000 and do not tend to
have professional or managerial occupations. The Hispanic portion of this target speak
Spanish both in and out of their homes. These homemakers live in major metropolitan
areas like Miami, San Antonio, and Los Angeles. The heaviest concentration of this
population is in the Southeast and the Southwest. Another reason for choosing this
specific target is because they have high index numbers with respect to consuming
Sunny Delight. African Americas are 25% more likely than the national average to have
consumed Sunny Delight in the past six months, and Hispanics are 18% more likely
than the national average.
Secondary Target Psychographics
For the Hispanic homemaker, she has strong ties to her culture and heritage.
Also, there are several subcultures within the overall Hispanic market each with their
own unique characteristics. Because many Hispanics have a large family, they are more
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Reach Frequency
Level Range Average Range Average
High 76% - 99% 80% 9 - 12 10
Medium 61% - 75% 68% 6 - 8 7
Low 50% - 60% 55% 2 - 5 3
likely to shop and live with a large group. Due to this, Hispanics tend to have a high
weekly grocery expenditure (“Marketing to Moms” Feb. 2010).
African Americans, like Hispanics, tend to shop more frequently than whites.
Similar to Hispanics, African Americans are loyal to their culture and prefer brands that
communicate in accordance to this. However, they do notice that there is a lack of
representation of blacks in the media.
Media Objectives
Figure 8 depicts what reach and frequency would be considered high, medium, and low
as well as what is considered the average for each level.
Campaign Year
- Period 1: January 2011 (75 reach goal, 8 frequency goal)
- Period 2: February - March 2011 (70 reach goal, 7 frequency goal)
- Period 3: April - May 2011 (70 reach goal, 6 frequency goal)
- Period 4: June (75 reach goal, 8 frequency goal)
- Period 5: July - September 2011 (70 reach goal, 6 frequency goal)
- Period 6: October - November 2011 (70 reach goal, 7 frequency goal)
- Period 7: December 2011 (75 reach goal, 8 frequency goal)
Figure 8
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Sunny Delight Beverage Co.’s media objectives for the 2011 campaign year are
to keep a reach between 70 and 75 and a frequency between seven and eight. The
reach and frequency stay in a high level through the periods because the advertising
objective is to remind consumers and the marketing objective is to increase market
share. The continuity scheduling will be to maintain a pulsing strategy throughout the
seven periods. Because Sunny Delight is in the maturity stage of the product life cycle,
the campaign year is broken into seven periods. The pulsing strategy has a medium
reach and frequency for four of the seven periods, and a high reach and frequency in
the other three periods for promotions where advertising will serve as a reminder to
consumers.
During Period 1, Period 4, and Period 7, SDBC will run special promotions. The
media objective during this time is to maintain the high reach and frequency goals
established for those months. The spot reach and frequency goals during these
promotion months are 95 reach and 11 frequency for each of the months. The high
reach and frequency during these periods will compliment and support each other. The
promotions will facilitate higher reach and frequency, and the frequency of exposure will
raise awareness which will lead to more participation in each promotion. To ensure that
consumers keep Sunny Delight fresh in their minds the promotion schedule is spread
out in the beginning, middle, and end of the campaign year. More specifically about the
promotions, coupons will be offered in the form of 50 cents of one six-pack of any
Sunny D product and $1.00 off three six-packs of any Sunny D product. The 50 cents
off coupon will run in Period 1, and the $1.00 coupon will run in Period 7. In Period 4 a
promotion to win a Coachmen Mirada recreational vehicle and a gasoline debit card
19
worth $1,000 will run. This promotion compliments the Summer 4Ever Road Trip public
relations promotion.
Media Mix
The media mix for Sunny Delight Beverage Co. will use 10 of the 18, cable TV,
FSI coupons, local newspaper, national magazine, network TV, outdoor, Spanish
language cable TV, Spanish language network TV, spot radio, spot TV. These particular
mediums were chosen on an individual basis in accordance with the targets’ media
habits. The advertising budget for the media mix is $40,000,000, and this media plan
will use $39,975,400. Figure 8 below expresses the advertising share for SDBC’s media
plan.
Television
For the media campaign, television represents the primary medium with 65.9% of
the budget, accounting for $26,375,700. We chose TV because of the large market
coverage and high exposure potential. Homemakers who have purchased Sunny
Delight in the last six months are in quintile I for television, meaning that they are heavy
users of the medium. The ads which run in television will be :30 sec spots and show the
delicious taste of Sunny D that children love, and moms love to serve.
Cable television is the primary medium with 15.6% of the overall budget. One
reason to devote this large percentage of the advertising expenditures to cable TV is
due past expenditures within in the medium. According to 2007’s share of voice, Minute
Maid accounted for approximately 27% in the cable TV medium. By allocating such a
large percentage and amount ($6,234,700) of our advertising budget to this medium,
Sunny Delight will be able to dominate and stay current in consumers’ minds. Cable
20
television also provides the ability to easily segment the market based on specific
channels. This allows Sunny Delight to reach programming aimed towards the primary
target market of white female homemakers and programming aimed at the secondary
target of African Americans. More specifically, the media plan will include commercial
presence on the ABC Family Channel (31% of homemakers watch), Animal Planet
(30.1% of homemakers watch), CMT (14.2% of homemakers watch), Hallmark Channel
(19.2% of homemakers watch), Lifetime Movie Network (18.4% of homemakers watch),
Nickeloden (18.8% of homemakers watch), TBS (10.1% of homemakers watch) and
TNT (37.4% of homemakers watch). BET is the channel which will be utilized to reach
out to African Americans due to the “Black Entertainment” content being disseminated.
Network television accounts for 45.5% of the budget ($18,203,500). The largest
amount of money spent in network television by Sunny Delight’s competition is Minute
Maid at $13,606,000. Although Sunny Delight’s budget is less than Minuite Maid, the
overall spending in this medium for Sunny Delight will be an increase from 2007. Media
will be bought on the three major networks NBC, ABC and CBS. Primetime shows are
watched heavily by the primary target, and the following shows are suggested vehicles
for media buys: Desperate Housewives, The Biggest Loser and Parenthood. The Today
Show and ABC World News are news programs that the primary target enjoys to watch.
The budget for Spanish language cable TV is 0.003% advertising
share($120,000). This is an increase of money spent, but an overall decrease in percent
of media budget allocation. With increased spending, the share of voice for this medium
could increase from 87% in 2007.
21
Spanish language network TV accounts for 18.3% ($7,320,000) of the media
plan. This is the same percentage from 2007, but an overall increase in spending in this
medium. Spanish language network TV is an area where Sunny Delight typically
dominates due to the need of reaching the brands secondary target market of
Hispanics. The television network Univision is a suitable provider to purchase
advertising space from. Univision has a large spread within the Hispanic community.
Spot TV accounts for 4% of the budget ($1,604,500). The purpose of allocating
almost one million dollars to this medium is to help reach the secondary target. While
the majority of efforts in cable TV and network TV are focused on white female
homemakers, the spot TV budget is dedicated predominately towards reaching African
American consumers. Since spot TV allows for purchase of commercial time on a
market to market basis, we recommend purchasing time in areas of high African
American concentrations. The markets to target for spot TV are Atlanta, Boston,
Chicago, Dallas-Fort Worth, Houston, Los Angeles, New York, Philadelphia, San
Francisco, and Washington D.C.
Magazine
The media mix will use 9.8%, or $3,928,500, of the advertising budget for
national magazine. This is a 0.8% increase from the advertising share SDBC held in
2007, which is $1,405,600 increase from the spending in 2007. The reason for this
increase is that homemakers who have purchased Sunny Delight in the past six months
are heavy users of magazines. They are 19% more likely than the national average to
be in quintile I for magazine usage. National magazines will be used, but not local
magazines, because of the wide coverage and availability in many markets around the
22
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nation where the target lives. General interest magazines will be the primary form as
opposed to trade publications. Magazine advertising will consist of full page with full
color and bleed. More specifically, the media plan for magazines will include Better
Homes and Gardens (24.4% of homemakers read), Child (3.5% of homemakers read),
Ebony (8.9% of homemakers read), Family Circle (14.7% of homemakers read), Good
Housekeeping (16.8% of homemakers read), Jet (5.9% of homemakers read), Latina
(2.5% of homemakers read), Parents’ Magazine (11% of homemakers read), People
(23.6% of homemakers read), Reader’s Digest (21.1% of homemakers read), Southern
Living (9.8% of homemakers read), and Woman’s Day (16.5% of homemakers read).
Although a smaller percentage of homemakers read Jet and Latina compared to the
rest of the magazines, it is beneficial to use these magazines because they have a
heavy readership among the secondary target. Similar to this, Child has a smaller
percentage of readers, but homemakers that have purchased Sunny Delight in the past
six months are 29% more likely than average to read the magazine.
Radio
In regards to radio, the media plan will only be focusing on spot radio and will not
include network radio. Spot radio will hold a 3.1% advertising share in the media plan,
spending $1,234,400. This is an increase from spending in 2007, which was $52,500. In
2007 SDBC held a advertising share only a small percentage below that of Tropicana
and Dole Blended Juices. However, it is important to create a higher share so that
SDBC can reach the target better. Radio advertising will be in the form of :60 sec spots
purchased through spot radio, which will reach the secondary target. For the Hispanic
market, advertising will be purchased through spot radio for the Top 25 in the Southeast
24
and Southwest based on this demographic’s geography. Spot radio will be purchased
for the Top 10 in Major Metropolitan Cities in order to reach the African America target.
Newspaper
The media plan allocates 11.6% of the advertising budget to local newspaper.
The $4,625,600 will be spent in local, as opposed to national, newspaper. Because the
focus will be on local newspaper, advertising will be able to reach our target more
effectively. Ads will be placed in local newspapers in major metropolitan cities and cities
in the Southeast and Southwest. The ads will be half page in black and white. This size
will make the SDBC stand out from the other, smaller advertising in the local
newspapers.
Outdoor
Previously SDBC has not allocated any advertising budget for outdoor. However,
all of the other competitors (Minute Maid Company, Dole Blended Juices, and
Tropicana) spent a portion of their budget it outdoor. In part because of this, it is
important for SDBC to begin allocated some of the budget to outdoor. Another reason is
that homemakers are 16% more likely than the nation to be in quintile II, meaning
medium-heavy users of outdoor. For this media plan for 2011 outdoor will have a 9.5%
advertising share for Sunny Delight Beverage Co. The $3,812,400 being spent on
outdoor is in comparison to Minute Maid Company’s $1,800, and Dole Blended Juices’
and Tropicana’s $33,500 each.
Cost Summary
Total Budget: $40,000,000
Period 1 (January 2011) - $5,809,390 with 572 GRPs
- Network TV--Early Morning ($218,265) :30 sec, 15 GRPs, $14,551 CPP, $22.08 CPM
- Network TV--Daytime ($183,800) :30 sec, 10 GRPs, $18,380 CPP, $27.89 CPM
- Network TV--Early News ($290,205) :30 sec, 15 GRPs, $19,347 CPP, $29.36 CPM
- Network TV--Prime ($310,490) :30 sec, 10 GRPs, $31,049 CPP, $47.12 CPM
- Network TV--Late Nite/Late News ($173,010) :30 sec, 10 GRPs, $17,301 CPP, $26.26 CPM
- Network Cable--Daytime ($22,884) :30 sec, 6 GRPs, $3,814 CPP, $5.79 CPM
- Network Cable--Early Fringe ($34,544) :30 sec, 4 GRPs, $8,636 CPP, $13.11 CPM
- Network Cable--Prime ($344,925) :30 sec, 15 GRPs, $22,995 CPP, $34.90 CPM
- Network Cable--Late Fringe ($76,912) :30 sec, 8 GRPs, $9,614 CPP, $14.59 CPM
- Magazines--Women’s ($45,845) FPG 4C, 5 GRPs, $9,169 CPP, $13.91 CPM
- Magazines--General Interest ($250,110) FPG 4C, 14 GRPs, $17,864 CPP, $27.11 CPM
- Spot TV--Daytime ($159,090) :30 sec, 30 GRPs, $5,303 CPP, $25.07 CPM
- Spot TV--Early Fringe/News ($120,930) :30 sec, 15 GRPs, $8,062 CPP, $38.11 CPM
- Spot TV--Prime ($199,720) :30 sec, 10 GRPs, $19,972 CPP, $94.42 CPM
- Spot TV--Late Fringe/News ($55,069) :30 sec, 7 GRPs, $7,867 CPP, $37.19 CPM
- Spot Cable ($99,500) :30 sec, 10 GRPs, $9,950 CPP, $47.04 CPM
- Spot Radio--Morning Drive ($117,945) :60 sec, 15 GRPs, $7,863 CPP, $37.17 CPM
- Spot Radio--Daytime ($197,758) :60 sec, 22 GRPs, $8,989 CPP, $42.50 CPM
- Spot Radio--Evening Drive ($93,090) :60 sec, 10 GRPs, $9,309 CPP, $44.01 CPM
- Spot Radio--Nighttime ($2,652) :60 sec, 2 GRPs, $1,326 CPP, $6.27 CPM
- Newspapers ($1,541,854) HPG BW, 75 GRPs, $20,558 CPP, $97.19 CPM
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- Outdoor ($1,270,792) 50 show, 1237 GRPs, $1,027 CPP, $4.86 CPM
Period 2 (February - March 2011) - $2,722,310 with 163 GRPs
- Network TV--Early Morning ($436,530) :30 sec, 30 GRPs, $14,551 CPP, $22.08 CPM
- Network TV--Daytime ($238,940) :30 sec, 13 GRPs, $18,380 CPP, $27.89 CPM
- Network TV--Early News ($425,634) :30 sec, 22 GRPs, $19,347 CPP, $29.36 CPM
- Network TV--Prime ($465,735) :30 sec, 15 GRPs, $31,049 CPP, $47.12 CPM
- Network TV--Late Nite/Late News ($207,612) :30 sec, 12 GRPs, $17,301 CPP, $26.26 CPM
- Network Cable--Daytime ($41,954) :30 sec, 11 GRPs, $3,814 CPP, $5.79 CPM
- Network Cable--Early Fringe ($77,724) :30 sec, 9 GRPs, $8,636 CPP, $13.11 CPM
- Network Cable--Prime ($344,925) :30 sec, 15 GRPs, $22,995 CPP, $34.90 CPM
- Network Cable--Late Fringe ($115,368) :30 sec, 12 GRPs, $9,614 CPP, $14.59 CPM
- Magazines--Women’s ($64,183) FPG 4C, 7 GRPs, $9,169 CPP, $13.91 CPM
- Magazines--General Interest ($303,705) FPG 4C, 17 GRPs, $17,864 CPP, $27.11 CPM
Period 3 (April - May 2011) - $2,331,808 with 137 GRPs
- Network TV--Early Morning ($436,530) :30 sec, 30 GRPs, $14,551 CPP, $22.08 CPM
- Network TV--Daytime ($183,800) :30 sec, 10 GRPs, $18,380 CPP, $27.89 CPM
- Network TV--Early News ($328,899) :30 sec, 17 GRPs, $19,347 CPP, $29.36 CPM
- Network TV--Prime ($341,539) :30 sec, 11 GRPs, $31,049 CPP, $47.12 CPM
- Network TV--Late Nite/Late News ($224,913) :30 sec, 13 GRPs, $17,301 CPP, $26.26 CPM
- Network Cable--Daytime ($26,698) :30 sec, 7 GRPs, $3,814 CPP, $5.79 CPM
- Network Cable--Early Fringe ($34,544) :30 sec, 4 GRPs, $8,636 CPP, $13.11 CPM
- Network Cable--Prime ($344,925) :30 sec, 15 GRPs, $22,995 CPP, $34.90 CPM
- Network Cable--Late Fringe ($96,140) :30 sec, 10 GRPs, $9,614 CPP, $14.59 CPM
- Magazines--Women’s ($45,845) FPG 4C, 5 GRPs, $9,169 CPP, $13.91 CPM
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- Magazines--General Interest ($267,975) FPG 4C, 15 GRPs, $17,864 CPP, $27.11 CPM
Period 4 (June 2011) - $5,809,390 with 572 GRPs
- Network TV--Early Morning ($218,265) :30 sec, 15 GRPs, $14,551 CPP, $22.08 CPM
- Network TV--Daytime ($183,800) :30 sec, 10 GRPs, $18,380 CPP, $27.89 CPM
- Network TV--Early News ($290,205) :30 sec, 15 GRPs, $19,347 CPP, $29.36 CPM
- Network TV--Prime ($310,490) :30 sec, 10 GRPs, $31,049 CPP, $47.12 CPM
- Network TV--Late Nite/Late News ($173,010) :30 sec, 10 GRPs, $17,301 CPP, $26.26 CPM
- Network Cable--Daytime ($22,884) :30 sec, 6 GRPs, $3,814 CPP, $5.79 CPM
- Network Cable--Early Fringe ($34,544) :30 sec, 4 GRPs, $8,636 CPP, $13.11 CPM
- Network Cable--Prime ($344,925) :30 sec, 15 GRPs, $22,995 CPP, $34.90 CPM
- Network Cable--Late Fringe ($76,912) :30 sec, 8 GRPs, $9,614 CPP, $14.59 CPM
- Magazines--Women’s ($45,845) FPG 4C, 5 GRPs, $9,169 CPP, $13.91 CPM
- Magazines--General Interest ($250,110) FPG 4C, 14 GRPs, $17,864 CPP, $27.11 CPM
- Spot TV--Daytime ($159,090) :30 sec, 30 GRPs, $5,303 CPP, $25.07 CPM
- Spot TV--Early Fringe/News ($120,930) :30 sec, 15 GRPs, $8,062 CPP, $38.11 CPM
- Spot TV--Prime ($199,720) :30 sec, 10 GRPs, $19,972 CPP, $94.42 CPM
- Spot TV--Late Fringe/News ($55,069) :30 sec, 7 GRPs, $7,867 CPP, $37.19 CPM
- Spot Cable ($99,500) :30 sec, 10 GRPs, $9,950 CPP, $47.04 CPM
- Spot Radio--Morning Drive ($117,945) :60 sec, 15 GRPs, $7,863 CPP, $37.17 CPM
- Spot Radio--Daytime ($197,758) :60 sec, 22 GRPs, $8,989 CPP, $42.50 CPM
- Spot Radio--Evening Drive ($93,090) :60 sec, 10 GRPs, $9,309 CPP, $44.01 CPM
- Spot Radio--Nighttime ($2,652) :60 sec, 2 GRPs, $1,326 CPP, $6.27 CPM
- Newspapers ($1,541,854) HPG BW, 75 GRPs, $20,558 CPP, $97.19 CPM
- Outdoor ($1,270,792) 50 show, 1237 GRPs, $1,027 CPP, $4.86 CPM
Period 5 (July - September 2011) - $2,331,808 with 137 GRPs
27
- Network TV--Early Morning ($436,530) :30 sec, 30 GRPs, $14,551 CPP, $22.08 CPM
- Network TV--Daytime ($183,800) :30 sec, 10 GRPs, $18,380 CPP, $27.89 CPM
- Network TV--Early News ($328,899) :30 sec, 17 GRPs, $19,347 CPP, $29.36 CPM
- Network TV--Prime ($341,539) :30 sec, 11 GRPs, $31,049 CPP, $47.12 CPM
- Network TV--Late Nite/Late News ($224,913) :30 sec, 13 GRPs, $17,301 CPP, $26.26 CPM
- Network Cable--Daytime ($26,698) :30 sec, 7 GRPs, $3,814 CPP, $5.79 CPM
- Network Cable--Early Fringe ($34,544) :30 sec, 4 GRPs, $8,636 CPP, $13.11 CPM
- Network Cable--Prime ($344,925) :30 sec, 15 GRPs, $22,995 CPP, $34.90 CPM
- Network Cable--Late Fringe ($96,140) :30 sec, 10 GRPs, $9,614 CPP, $14.59 CPM
- Magazines--Women’s ($45,845) FPG 4C, 5 GRPs, $9,169 CPP, $13.91 CPM
- Magazines--General Interest ($267,975) FPG 4C, 15 GRPs, $17,864 CPP, $27.11 CPM
Period 6 (October - November 2011) - $2,722,310 with 163 GRPs
- Network TV--Early Morning ($436,530) :30 sec, 30 GRPs, $14,551 CPP, $22.08 CPM
- Network TV--Daytime ($238,940) :30 sec, 13 GRPs, $18,380 CPP, $27.89 CPM
- Network TV--Early News ($425,634) :30 sec, 22 GRPs, $19,347 CPP, $29.36 CPM
- Network TV--Prime ($465,735) :30 sec, 15 GRPs, $31,049 CPP, $47.12 CPM
- Network TV--Late Nite/Late News ($207,612) :30 sec, 12 GRPs, $17,301 CPP, $26.26 CPM
- Network Cable--Daytime ($41,954) :30 sec, 11 GRPs, $3,814 CPP, $5.79 CPM
- Network Cable--Early Fringe ($77,724) :30 sec, 9 GRPs, $8,636 CPP, $13.11 CPM
- Network Cable--Prime ($344,925) :30 sec, 15 GRPs, $22,995 CPP, $34.90 CPM
- Network Cable--Late Fringe ($115,368) :30 sec, 12 GRPs, $9,614 CPP, $14.59 CPM
- Magazines--Women’s ($64,183) FPG 4C, 7 GRPs, $9,169 CPP, $13.91 CPM
- Magazines--General Interest ($303,705) FPG 4C, 17 GRPs, $17,864 CPP, $27.11 CPM
Period 7 (December 2011) - $5,809,390 with 572 GRPs
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- Network TV--Early Morning ($218,265) :30 sec, 15 GRPs, $14,551 CPP, $22.08 CPM
- Network TV--Daytime ($183,800) :30 sec, 10 GRPs, $18,380 CPP, $27.89 CPM
- Network TV--Early News ($290,205) :30 sec, 15 GRPs, $19,347 CPP, $29.36 CPM
- Network TV--Prime ($310,490) :30 sec, 10 GRPs, $31,049 CPP, $47.12 CPM
- Network TV--Late Nite/Late News ($173,010) :30 sec, 10 GRPs, $17,301 CPP, $26.26 CPM
- Network Cable--Daytime ($22,884) :30 sec, 6 GRPs, $3,814 CPP, $5.79 CPM
- Network Cable--Early Fringe ($34,544) :30 sec, 4 GRPs, $8,636 CPP, $13.11 CPM
- Network Cable--Prime ($344,925) :30 sec, 15 GRPs, $22,995 CPP, $34.90 CPM
- Network Cable--Late Fringe ($76,912) :30 sec, 8 GRPs, $9,614 CPP, $14.59 CPM
- Magazines--Women’s ($45,845) FPG 4C, 5 GRPs, $9,169 CPP, $13.91 CPM
- Magazines--General Interest ($250,110) FPG 4C, 14 GRPs, $17,864 CPP, $27.11 CPM
- Spot TV--Daytime ($159,090) :30 sec, 30 GRPs, $5,303 CPP, $25.07 CPM
- Spot TV--Early Fringe/News ($120,930) :30 sec, 15 GRPs, $8,062 CPP, $38.11 CPM
- Spot TV--Prime ($199,720) :30 sec, 10 GRPs, $19,972 CPP, $94.42 CPM
- Spot TV--Late Fringe/News ($55,069) :30 sec, 7 GRPs, $7,867 CPP, $37.19 CPM
- Spot Cable ($99,500) :30 sec, 10 GRPs, $9,950 CPP, $47.04 CPM
- Spot Radio--Morning Drive ($117,945) :60 sec, 15 GRPs, $7,863 CPP, $37.17 CPM
- Spot Radio--Daytime ($197,758) :60 sec, 22 GRPs, $8,989 CPP, $42.50 CPM
- Spot Radio--Evening Drive ($93,090) :60 sec, 10 GRPs, $9,309 CPP, $44.01 CPM
- Spot Radio--Nighttime ($2,652) :60 sec, 2 GRPs, $1,326 CPP, $6.27 CPM
- Newspapers ($1,541,854) HPG BW, 75 GRPs, $20,558 CPP, $97.19 CPM
- Outdoor ($1,270,792) 50 show, 1237 GRPs, $1,027 CPP, $4.86 CPM
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Budget Recap
30
Media Flight Plan Flow Chart
31
Year at a Glance
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Works Cited
“Fruit Juice and Juice Drinks: The Market - US.” Mintel. Feb. 2010. Web. 1 Dec. 2010. <http://academic.mintel.com.lp.hscl.ufl.edu/sinatra/oxygen_academic/ search_results/show&/display/id=482462>. Sunny Delight Beverages Co. 2009. Web. 30 Nov. 2010. <http://ww2.sunnyd.com/ company/overview.shtml>. “Marketing to Moms - US.” Mintel. Feb. 2010. Web. 3 Dec. 2010. <http:// academic.mintel.com.lp.hscl.ufl.edu/sinatra/oxygen_academic/search_results/ show&/display/id=482474>.
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