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McGraw-Hill/Irwin 10 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology Media Planning - A series of decisions involving the delivery of messages to audiences. Media Objectives - Goals to be attained by the media strategy and program. Media Strategy - Decisions on how the media objectives can be attained. Media - The various categories of delivery systems, including broadcast and print media. Broadcast Media - Either radio or television network or local

Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

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Page 1: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-2Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Media Terminology

• Media Planning - A series of decisions involving the delivery of messages to audiences.

• Media Objectives - Goals to be attained by the media strategy and program.

• Media Strategy - Decisions on how the media objectives can be attained.

• Media - The various categories of delivery systems, including broadcast and print media.

• Broadcast Media - Either radio or television network or local station broadcasts.

Page 2: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-3Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Media Terminology

• Print Media - Publications such as newspapers, magazines, direct mail, outdoor, and the like.

• Media Vehicle - The specific message carrier, such as the Washington Post or Tonight Show.

• Coverage - The potential audience that might receive the message through the the vehicle.

• Reach - The actual number of individual audience members reached at least once by the vehicle.

• Frequency - The number of times the receiver is exposed to vehicle in a specific time period.

Page 3: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-4Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Media Use Decision— Print

Media Use Decision— Broadcast

Media Use Decision— Other Media

Creative Strategy Plan

Developing the Media Plan

Setting Media Objectives

Selecting Media Within Class

Selecting Broad Media Classes

Determining Media Strategy

Marketing Strategy PlanSituation Analysis

Page 4: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-5Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Developing the Media Plan

Analyze the Market

Establish Media Objectives

Develop Media Strategy

Implement Media Strategy

Evaluate Performance

Page 5: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-6Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Media Planning Difficulties

•Lack of information• Inconsistent terms•Serious time pressure•Measurement problems

Page 6: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-7Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Media Planning Criteria Considerations

•The media mix•Target market coverage•Geographic coverage•Scheduling•Reach versus frequency•Creative aspects and mood•Flexibility•Budget considerations

Page 7: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-8Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Brand and Category Analysis

Percentage of brand to total U.S. sales in market

Percentage of total U.S. population in market

BDI = X 100

Brand Development Index

Page 8: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-9Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Brand and Category Analysis

Percentage of product category total sales in market

Percentage of total U.S. population in market

CDI = X 100

Brand Development Index

Page 9: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-10Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Brand and Category Analysis

High market shareGood market potential

High market shareGood market potential

High market shareMonitor for sales decline

High market shareMonitor for sales decline

Low market shareGood market potential

Low market shareGood market potentialH

igh

CD

IL

ow

CD

I

Low market sharePoor market potential

Low market sharePoor market potential

High BDI Low BDI

Page 10: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-11Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Brand and Category Analysis

The market usually represents

good sales potential for both

the product and the brand.

The market usually represents

good sales potential for both

the product and the brand.

The category isn’t selling well

but the brand is; may be a

good market in which to

advertise but should be

monitored for sales decline.

The category isn’t selling well

but the brand is; may be a

good market in which to

advertise but should be

monitored for sales decline.

The product category shows

high potential but the brand

isn’t doing well; the reason

should be determined.

The product category shows

high potential but the brand

isn’t doing well; the reason

should be determined.Hig

h C

DI

Lo

w C

DI Both the product category

and the brand are doing

poorly; not likely to be a good

place to advertise.

Both the product category

and the brand are doing

poorly; not likely to be a good

place to advertise.

High BDI Low BDI

Page 11: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-12Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Target Audience Coverage

Population excluding target marketTarget marketMedia coverageMedia overexposure

CoverageExceeding

Market

PartialMarket

Coverage

FullMarket

Coverage

TargetMarket

Proportion

Page 12: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-13Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Three Scheduling Methods

Continuity

Pulsing

Flighting

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

Page 13: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-14Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Reach and FrequencyReach of Two ProgramReach of One Program

Unduplicated Reach of BothDuplicated Reach of Both

Total market audience reached Total market audience reached

Total reached with both shows Total reach less duplicate

Page 14: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-15Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Effects of Reach and Frequency1. One exposure of an ad to a target group within a purchase

cycle has little or no effect in I most circumstances.2. Since one exposure is usually ineffective, the central goal of

productive media planning I should be to enhance frequency rather than reach.

3. The evidence suggests strongly that an exposure frequency of two within a purchase cycle is an effective level.

4. Beyond three exposures within a brand purchase cycle or over a period of four or even eight weeks, increasing frequency continues to build advertising effectiveness at a decreasing rate but with no evidence of decline.

5. Although there are general principles with respect to frequency of exposure and its relationship to advertising effectiveness, differential effects by brand are equally important

6. Nothing we have seen suggests that frequency response principles or generalizations vary by medium.

7. The data strongly suggest that wearout is not a function of too much frequency; it is more of a creative or copy problem.

Page 15: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-16Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Graph of Effective Reach

Exposures

Per

cen

tag

e R

each

0 5 10 15

25%

20%

15%

10%

5%

0%

IneffectiveReach

EffectiveReach

IneffectiveReach

Page 16: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-17Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Marketing Factors Important toDetermining Frequency

•Brand history

•Brand share

•Brand loyalty

•Purchase cycles

•Usage cycle

•Competitive share of voice

•Target group

Page 17: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-18Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Message or CreativeFactors Important to

Determining Frequency

• Message complexity• Message uniqueness• New vs. continuing campaigns• Image versus product sell• Message variation• Wearout• Advertising units

Page 18: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-19Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Media Factors Important toDetermining Frequency

• Clutter

• Editorial environment

• Attentiveness

• Scheduling

• Number of media used

• Repeat Exposures

Page 19: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-20Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Determining RelativeCost of Media

Cost of ad space(absolute cost)Circulation

CPM = X 1,000

Cost per thousand (CPM)

Page 20: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-21Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Determining RelativeCost of Media

CPRP =Cost of commercial timeProgram rating

Cost per rating point (CPRP)

Page 21: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-22Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Television Characteristics

Advantages• Mass coverage• High reach• Impact of sight,

sound, and motion• High prestige• Low cost per

exposure• Attention getting• Favorable mage

Disadvantages• Low selectivity• Short message life• High absolute cost• High production

costs• Clutter

Page 22: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-23Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Radio Characteristics

Advantages• Local coverage• Low cost• High frequency• Flexible• Low production

costs• Well-segmented

audiences

Disadvantages• Audio only• Clutter• Low attention

getting• Fleeting message

Page 23: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-24Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Magazines Characteristics

Advantages• Segmentation

potential• Quality reproduction• High information

content• Longevity• Multiple readers

Disadvantages• Long lead time for

ad placement• Visual only• Lack of flexibility

Page 24: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-25Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Newspapers Characteristics

Advantages• High coverage• Low cost• Short lead time for

placing ads• Ads can placed in

interest sections• Timely (current ads)• Reader controls

exposure• Can be used for

coupons

Disadvantages• Short life• Clutter• Low attention-

getting capabilities• Poor reproduction

quality• Selective reader

exposure

Page 25: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-26Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Outdoor Characteristics

Advantages• Location specific• High resolution• Easily noticed

Disadvantages• Short exposure time

requires short ad• Poor image• Local restrictions

Page 26: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-27Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Direct Mail Characteristics

Advantages• High selectivity• Reader controls

exposure• High information

content• Opportunities for

repeat exposures

Disadvantages• High cost/contact• Poor image (junk

mail)• Clutter

Page 27: Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology

McGraw-Hill/Irwin 10-28Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

Internet / Interactive Media Characteristics

Advantages• User selects

product information• User attention and

involvement• Interactive

relationship• Direct selling

potential• Flexible message

platform

Disadvantages• Limited creative

capabilities• Web snarl (crowded

access)• Technology

limitations• Few valid

measurement techniques

• Limited reach