Media Management

Major chunk of your advertising costs is consumed in acquiring media and therefore the decision to select right media vehicle for your voice becomes all the more crucial.

Understand the various viewpoints and key considerations involved with Media Acquisition.

1. Media Management

2. A series of decisions involving the delivery of messages to audiences Goals to be attained by the media strategy and program Decisions on how the media objectives can be attained The various categories of delivery systems, including broadcast and print media Either radio or television network or local station broadcasts A series of decisions involving the delivery of messages to audiences Goals to be attained by the media strategy and program Decisions on how the media objectives can be attained The various categories of delivery systems, including broadcast and print media Media Terminology Media Planning Media Objectives Media Strategy Media Broadcast Media

3. Publications such as newspapers, magazines, direct mail, outdoor, etc. The specific carrier within a medium category Number of different audience members exposed at least once in a given time period The potential audience that might receive the message through the vehicle 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 Number of different audience members exposed at least once in a given time period The specific carrier within a medium category Publications such as newspapers, magazines, direct mail, outdoor, etc. Media Terminology Print Media Media Vehicle Reach Coverage Frequency

4. Media Management Simply Defined Media planning : The series of decisions involved in delivering the message to the target audience. Media plan : The actual document detailing media planning decisions. Media objectives : Objectives of media plan. Media strategies : action plans to reach objectives. Medium : channel such as print, broadcast. Media vehicle : Specific carrier in a media category (television, magazines).

5. Types of Media Media : agencies, means, or instrument used to convey message

6. Newspaper Advantages High readership Relatively cheap Timely Easily changed Disadvantages Wasted circulation Short life span Less appealing format Magazine Advantages Know your audience Higher print quality Longer life span Variety of formats Disadvantages More expensive Longer deadlines

7. Direct Mail Advantages Selective about receivers Control timing Wide variety of formats Disadvantages Low level of response “junk mail” Dated customer lists Higher costs Directory Relatively inexpensive Found in 98% of households Kept Can’t adjust or change until next year

8. Outdoor Nonstandardized Used by local firms at their place or in other locations Pay rent to owners Standardized ( posters, painted bulletins, and spectaculars ) Billboards Placed near highly travels roads Owned by an ad company Transit Uses public transportation Includes Business and commuter trains Taxis and buses Located in railroad, bus, or airplane terminals

9. Broadcast Media TV Radio People spend: 10 years watching TV 6 years listening to radio There are: Approximately 10,000 radio stations 11,600 Cable channels

10. TV Advertising Communicate with sound, action, and color Prime time 8-11 30 or 60 second spots Advantages Disadvantages Directed at an audience high costs Can be adapted many leave room

11. Radio Advertisement Reaches 96% of people over 12 Wide audience Best during “Drive Time” 15,30, or 60 second ads Adv Disadv Wide audience lack visual involvement Easily changed short life span mobile

12. Online Advertisements Small part of advertisement budget but growing up Types Banner Pop Ups Advantages Disadvantages Easily counted considered annoying

13. Specialty media are relatively inexpensive, useful items with an advertiser's name printed on them. Successful specialty media include bottle openers, calendars, magnets, pens and pencils, memo pads, and key chains. Specialty Media

14. Media Planning

15. Media Planning Defined Media planning can be defined as: Finding ways of reaching the right number of appropriate people; the right number of times; at the best time and place; with the right advertisement; at minimum cost; to achieve the brand’s/service’s objectives The role of media planning is crucial to the effective expenditure of approximately R6 billion in advertising annually

16. The Media-Planning Process Media planning: The design of a strategy that shows how investments in advertising time and space will contribute to the achievement of marketing objectives. Advertising Strategy Advertising Objectives Advertising Budget Message Strategy Media Strategy Media Strategy Target Audience Selection Objective Specification Media and Vehicle Media Buying Marketing Strategy

17. Selecting Media Within Class Selecting Broad Media Classes Determining Media Strategy Media Use Decision — Print Media Use Decision — Broadcast Media Use Decision — Other Media Developing the Media Plan Setting Media Objectives Marketing Strategy Plan Creative Strategy Plan Marketing Strategy Plan Situation Analysis Creative Strategy Plan Situation Analysis

18. Measurement Problems Lack of Information Inconsistent Terms Time Pressure Lack of Information Measurement Problems Media Planning Difficulties Problems in Media Planning

19. Evaluate Performance Implement Media Strategy Develop Media Strategy Establish Media Objectives Analyze the Market Developing the Media Plan

20. Setting Media Objectives

21. Setting Media Objectives The Media Target Media Coverage and Delivery Media Coverage Media Delivery Optimization or Balance Reach Frequency

22. Along A Continuum Reach Frequency Emphasis Frequency Emphasis Reach Balanced Awareness/ Attention Interest Attitude/ Desire Some Examples: Emphasis Reach: Reach 80% of women 35-64 an average of 4 times every 4 weeks. Emphasis Frequency: Reach 50% of men 25-49 an average of 3 times each week before a home football game

23. Example: Axe Body Spray Brand Planning Target: “Contemporary, cool young men looking for an edge in the dating game” Media Planning Target: Profile of “Contemporary, cool young men” based on usage of contemporary, cool products Media Measurement Target: Simple demographic like “men aged 18-24

24. Specifying Media Objectives What proportion of the population should be reached with advertising message during specified period (reach) How frequently should audience be exposed to message during this period (frequency) How much total advertising is needed to accomplish reach and frequency objectives (weight ) How should the advertising budget be allocated over time (continuity) How close to the time of purchase should the target audience be exposed to the advertising message (recency) What is the most economically justifiable way to accomplish objectives (cost)

25. Reach Percentage of target audience that is exposed to an advertisement, at least once , during a certain time frame (usually four weeks ) Average number of times, on average, during the media-planning period that members of the target audience are exposed to the media vehicles that carry a brand’s advertising message . How much advertising volume is required to accomplish advertising objectives Three weight metrics: Gross ratings: Target ratings : Adjust a vehicle’s rating to reflect just those individuals who match the advertiser’s target audience Frequency Weight Ratings, in an advertising sense, simply mean the percentage of an audience that has an opportunity to see an advertisement placed in a particular vehicle. GRPs=Reach(R) X Frequency(F)

26. Clutter Number of Media Used Repeat Exposures Editorial Environment Scheduling Attentiveness Media Factors Determining Frequency Media Factors

27. Target Market Proportion Full Market Coverage Partial Market Coverage Coverage Exceeding Market Target Audience Coverage Population excluding target market Target market Media coverage Media overexposure

28. Three Scheduling Methods Continuity Pulsing Flighting Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

29. Reach and Frequency A. Reach of One Program Total market audience reached B. Reach of Two Programs Total market audience reached C. Duplicated Reach of Both Total reached with both shows D. Unduplicated Reach of Both Total reach less duplicate

30. Media Versus Vehicles Media are the general communication methods that carry advertising messages —television, magazines, newspapers, and so on. Vehicles are the specific broadcast programs or print choices in which advertisements are placed. For example, television is the media, and American Idol is the vehicle. Each medium and vehicle has a unique set of characteristics and virtues . Advertisers are placing more emphasis than ever on media planning. The choice of media and vehicles can be the most complicated of marcom decisions .

31. Media Strategy

32. The Development of the Media Strategy The media Strategy Contains five basic elements: Target Audience WHO Geographic Spending WHERE Scheduling WHEN Creative Considerations WHAT Media Weight / Delivery HOW MUCH

33. The Development of the Media Strategy Always involves a series of trade-offs The decision made for each element has a “price tag” Trade-offs or compromises will be necessary The skill of media planning is to achieve the best balance of these dimensions relative to the campaign objectives CONTINUITY / TIME (Longer campaigns, more bursts) COVER / REACH FREQUENCY (More publications, another medium) ( More repetition, higher number of insertion) DOMINANCE / IMPACT (Longer commercials, bigger spaces , colour , special positions)

34. Offensive or Defensive Approach Defensive as in protection of the current business Offensive as in opportunistic In Reference to ALL strategic decisions Deciding Media Strategies Offensive or Defensive Approach Setting a Media Budget Strategies to Accomplish the Objective Setting a Media Budget Objective/Task Affordability Percentage of Sales Competitive Spending

35. Strategies to Accomplish the Objective Scheduling : Continuity, Pulsing, F lighting Specific Geography: Where in the region The Media Mix The Audience/Media Relationship Media functionality Consumer involvement Availability of Resources Time Time to make the advertisement Time to execute the placement Money Cost to make the advertisement Cost to place the advertisement Geographic Emphasis

36. Choosing the Media Mix Discriminating Factors Effectiveness Audience use of the media Audience coverage of the media Efficiency Costs per thousand audience Costs per delivered rating point

37. Charting the Tactical Plan The Media Flowchart Shows Media used Message/insertion timing Costs by media You Can Make a Flowchart Media planning software Project planning software Excel spreadsheet

38. Example: Media Flowchart

39. Reach and Frequency Spot run Home A Home B Home C Home D Total Exposures 1 st time X X 2 2 nd time X X 2 3 rd time X 1 4 th time X X X 3 Total Exp. 2 3 3 8

40. Reach and Frequency Four television homes = universe. Three homes or 75% of universe receive message. That’s a rating of 75. 8 exposures divided by number of homes hit = exposures . 8_exposures = 2.67 average exposure 3 homes Reach times frequency equals gross ratings points: 75 rating (3 homes hit in universe of 4) times 2.67 exposures = 200.25 gross rating points.

41. CPP VS CPT CPP is the cost of achieving one rating point or 1% reach in any given market. Extensively used in electronic media CPT refers to the advertising cost purchasing 1000 units of audiencei PSCCM Per single column centimeter Newspaper pages are divided into columns for advertising These do not correlate to columns for editorial, which vary depending on layout and editorial policy Share of Voice = one brand’s ad expenditures divided by total product category expenditures in a medium

42. Selecting Media Appropriate image Target audience Obtain desired response

43. Modern Media Planning Setting Media Objectives Deciding Media Strategies Choosing the Media Mix Charting the Tactical Plan

44. Media Alternatives Media available by media class Media spending by retail category Retail spending by media Media audience measures and rankings by class Special geographic media alternatives available

45. Media Research

46. Market Research: How do you find this stuff? Primary Research Store or customer research Media research Secondary Research Government reports Industry reports Syndicated research

47. Surveys Focus Groups Mall Intercept questionnaires One-on-one Interviews Primary Research Locally Secondary Research Locally Government Reports Chamber of Commerce research Survey of Buying Power US Census data Government Studies Statistical Abstract

48. Secondary Research Locally Industry Reports Trade magazines Trade associations Specialized reports Syndicated Research Donnelly Demographics Regional/Market studies by Nielsen, Arbitron, Scarborough CD-ROM databases Published media reports Media associations Media services like SRDS

49. Media Buying

50. Media Buying Buying is a complicated process The American Association of Advertising Agencies (AAAA) lists no fewer than 21 elements in the authorization for a media buy Providing inside info Media buyers are important information sources for media planners Close enough to day-to-day changes in media popularity and pricing to be a constant source of inside information Selecting Media Vehicles Choose the best vehicles that fit the target audience’s aperture The media planner lays out the direction; the buyer is responsible for choosing specific vehicles Negotiation Media buyers pursue special advantages for clients Locate the desired vehicles and negotiate and maintain satisfactory schedule and rates

51. Preferred Positions Locations in print media that offer readership advantages Preferred positions often carry a premium surcharge Extra Support Offers Value-added media services Contests Special events Merchandising space at stores Displays Trade-directed newsletters Billing and Payment It is the responsibility of the advertiser to make payments to various media The agency is contractually obligated to pay the invoice on behalf of the client Monitoring the Buy The media buyer tracks the performance of the media plan as it is implemented, as well as afterward Poorly performing vehicles must be replaced or costs must be modified

52. Media Buying Make-Goods A policy of compensating for missed positions or errors in handling the message presentation Ensure that the advertiser is compensated appropriately when they occur Post-campaign Eval Once a campaign is completed, the planner compares the plan’s expectations and forecasts with what actually happened Provides guidance for future media plans

53. Thank You !