Media plan Beer

Media Plan Bud Beer

Brinda Mathew - February 4, 2016

BEER MEDIA PLAN �1

Table of ContentsMarket Overview (Summary) 3

Purchase behaviour and Consumption chart 4

Demographics

Summary 5

Sex 6

Age 7

Language 8

Income 9

Education 10

Employment Status 11

Vocation 12

Marital Status 13

Children 14

Market Size 15

BDI/MDI - Implications 16

Seasonality/ Timing 17

Reach/ Frequency/ Continuity/ Recency 18

Creative 19

Overall Recommendation 20


Market Overview

This is the second year since the launch of Canada’s first marijuana infused beer. This beer is likely to be distributed through controlled outlets such as the LCBO. Brand loyalty is strong in the beer category however, drinkers do seek the occasional novelty. Bud Beer wants to achieve high brand awareness this year along with generating social media buzz. The brand has to be very careful to target consumers of the legal drinking age. The brand sales in Montreal are the highest at 35% followed by Toronto at 30 % and then Vancouver at 20 %. The remaining 15 % of sales are from all other Canadian cities.


Purchase behaviour and Consumption chartRationale: To target heavy users of beer

Recommendation:It is recommended that Bud Beer target medium and heavy users as they

constitute the majority of all users by a substantial amount of 90.38%. They are likely to purchase the most quantity of products and ideally become repeat consumers. These consumers would be highly aware of the different options of beer and by targeting them, Bud Beer will be able to increase brand awareness and consequently increase sales and brand loyalty from this group.

Category of purchases

% of Population % Purchasers Individual Purchases

Total # of purchases

% Purchases of Total

Any 33.9 100 - - 100%

Light 16.54 48.66% 2 9,382 9.6%

Medium 7.93 23.33% 5 11,245 11.52%

Heavy 9.52 28% 9 24,300 78.86%


78.88%

11.52%

9.60%

Light Medium Heavy

Demographics Summary

Based on the information below, Bud beer will be target medium and heavy consumers of beer who drink 4+ glasses per week. According to Vividata, they are men, between the ages of the legal drinking age (LDA)- 49 years. They are predominately English speaking Canadians with a houseold income of $75,000-$100,000+. They are educated with secondary/High School graduates and University/ other non - University Certificate. it is recommended to target full time employment status individuals amongst all vocational groups. Targeting individuals who are married or living together and with a household composition including the presence of children under 18. The market size would be targeting Montreal/ Toronto/ Vancouver and Community sizes <99,999.


Demographics - Sex Recommendation: Target Men

Rationale:

Target Men as they constitute 75.21 % of total users in the category which is three-fourth of the total population. Men also have a higher index of 153 as compared to 44 for women which means they are most likely to drink beer than the Canadian population

Total (000)

% of Total User group (000)

% of User group Index

Male 13,941 49.16% 3722 75.21% 153

Female 14,420 50.84% 1226 24.77% 49


25%

75%

Male Female

AgeRecommendation: Target 18-49 age group

Rationale: It is recommended to target adults between the ages of 25-64 as they form 73.39 of the population as they represent the largest group of medium/heavy consumers of beer in the past 7 days. This category of age group is broad as the age category of 25- 34 and 35-49, has a high index of 120 and 103 which means they are 20% and 3 % more likely than the Canadian population to consumer beer.

Total (000)


% of user group Index

18- 24 3386 11.94 698 14.1 118

25-34 4865 17.15 1019 20.59 120

35-49 7299 25.74 1312 26.51 103

50-64 7401 26.01 1301 26.29 101

65+ 5410 19.08 619 12.51 66


13%

26%

27%

21%

14%

18- 24 25-34 35-49 50-64 65+

LanguageRecommendation: Target English Canada

Rationale: From the data, it is evident that the population of English speaking Canadians is substantially higher than the French speaking Canadians. For this reason, its recommended to target English Canadians as they represent a much larger proportion of both the total population and of the user group.


Total (000)



French Canada 5674 20.01% 1242 25.1% 125

English Canada 22687 79.99% 3706 74.88% 94

74.63%

25.37%

French Canada English Canada

IncomeRecommendation: Target HHI of 75,000- 100,000+

Rationale: According to Vividata, individuals with a household income of $75,000- 100,000+ are most likely to be medium/heavy consumers of beer. They form 52.6% which is more than half in this category. Moreover, it is evident in the index as individuals in the category of $75,000- $99,999 are 6% more likely to purchase beer and individuals in the $100,000 + category are 4 % more to purchase beer making it significantly stronger than the other income categories. By targeting individuals with higher household income, we know that they spend on high quality and tend to be loyal which is ideal to target for Bud Beer.


Total (000)



HHI Under $25,000

3535 12.46% 480 9.7% 78

HHI $25,000-‐$39,000

3436 12.12% 524 10.59% 87

HHI $40,000-‐$59,000

4478 15.79% 810 16.37% 104

HHI $60,000-‐$74,999

3059 10.79% 532 10.75% 100

HHI $75,000-‐$99,999

4560 16.08% 920 18.59% 116

HHI $100,000+ 9293 32.77% 1683 34.01% 104

34.01%

18.59% 11%

16.37%

10.59%

9.70% HHI Under $25,000HHI $25,000-$39,000HHI $40,000-$59,000HHI $60,000-$74,999HHI $75,000-$99,999HHI $100,000+

EducationRecommendation: Target Secondary/High School graduates and University/ other non - University Certificate

Rationale: Together the Secondary/High School graduates and University/ other non - University Certificate individuals represent the larges proportion of the total population being 50.63%. Both categories are most likely to purchase beer by 1% and 6 % respectively.


Total (000)



No Cer'ficate Or Diploma

3772 13.3% 593 11.98% 90

Secondary/High School Graduate

7261 25.6% 1283 25.92% 101

Trade Cer'ficate/Diploma

3362 11.85% 754 15.24% 129

University/Other Non-‐University Cert.

6594 23.25% 1223 24.71% 106

Bachelors Degree

4732 16.68% 703 14.2% 85

Post Graduate+ Degree

2639 9.31% 393 7.94% 85

8%

14%

25%

15%

26%

12%No Certificate Or DiplomaSecondary/High School GraduateTrade Certificate/DiplomaUniversity/Other Non-University Cert.Bachelors DegreePost Graduate+ Degree

Employment StatusRecommendation: Target full time employment status individuals

Rationale: It is recommended to target individuals with full time employment status. This group represents 53.27 % of the total population and 62.52% of the user group. They are 17% more likely than the Canadian population to purchase beer. Moreover, individuals in this category are more likely to have higher disposable income to purchase products.


Total (000)



Full Time 15109 53.27% 3085 62.34% 117

Part Time 2369 8.35% 373 7.54% 90

Not Employed 10882 38.37% 1490 30.11% 78

30%

8% 63%

Full Time Part Time Not Employed

Vocation Recommendation:Target all vocational groups

Rationale: It is recommended to target all vocational group because all the categories are too small to target specifically to get a good share for beer drinkers. Groups that will have a higher weightage are Other managers, skilled workers and other. Skilled workers also have a higher index of 41% which reflects that they are more likely to purchase beer.


29%

1%12%

14%6.04%12%

15%

5.33%5.22%

Professionals Senior Managers/OwnersOther Managers Technical/Sales/Teaching/Other White CollarClerical/Secretarial SkilledUnskilled PrimaryOther

Total (000)



Professionals 1750 6.17 230 4.65 75

Senior Managers/Owners

1187 4.19 272 55 131

Other Managers

3588 12.65% 736 14.87% 118

Technical/Sales/Teaching/Other White

Collar

3205 11.3% 627 12.67% 112

Clerical/Secretarial

2114 7.45% 317 6.41% 86

Skilled 2790 9.84% 687 13.88% 141

Unskilled 2632 9.28% 542 10.95% 118

Primary 360 1.27% 60 1.3% 96

Other 10,735 37.85% 1478 29.86% 79

Marital StatusRecommendation: To target individuals who are married or living together

Rationale:It is recommended to target individuals who are married or living together because they represent the largest percentage of the user group being 62.66%. This is presumably because there are more people living under one roof who purchase alcohol.


Total (000)



Single 6702 23.63% 1413 28.5% 121

Married Or Living Together

18122 63.9% 3101 62.66% 98

Widowed 1583 5.58% 152 3.07% 55

Separated 528 1.86% 86 1.76% 93

Divorced1293 4,56% 178 3.6% 79

3.61%1.77%3.08%

62.92%

28.62%

Single Married Or Living TogetherWidowed SeparatedDivorced

Children RecommendationTo target household composition - Presence of children under 18

Rationale: As no information is provided for the other category, it is recommended to target the household composition with the presence of children under 18 as we know that the user group represents 34.19% of beer consumers.

Total (000)



HH Composition - Presence of Children under 18

9636 33.98% 1692 34.19% 101


67%

33%

HH Composition - Presence of Children under 18 Other

Market sizeRecommendation: To target Montreal/ Toronto/ Vancouver and Community sizes <99,999

Rationale: It is recommended to target Montreal/ Toronto/ Vancouver markets and Community sizes <99,99. This is because a high percentage of medium/heavy users reside in these communities and they form 63% of the total user group. Moreover, according to the briefing document, 85% of brand sales by city comes from Toronto, Montreal and Vancouver.


Total (000)



Community Size 500,000+ (exc. Tor/Van/Mtl)

5165 18.21% 888 17.94% 99

Community Size -‐

100,000-‐499,999

4854 17.12% 854 17.96% 101

Community Size < 99,999

8264 29.14% 1541 31.14% 107

Montreal/ Toronto/

Vanvcouver

10078 35.53% 1665 33.64% 95

33%

30.93%

17.84%

17.82%

Community Size 500,000+ (exc. Tor/Van/Mtl)Community Size - 100,000-499,999Community Size < 99,999Montreal/ Toronto/ Vanvcouver

Brand Development Index /Market Development Index

Implication Atlantic: The brand is doing extremely well compared to the market, the brand should spend enough to keep the brand high at that level and allocate a portion of that budget to another market that isn't doing as well such as Quebec.

Quebec: The brand is doing significantly worse than the market which means that the brand should increase their advertising budget in this region. The low BDI in the region demonstrates that the brand is underdeveloped and there is room for the brand to grow potentially to reach the MDI in the future.

Ontario: The brand is doing relatively well as compared to the market, but its recommended to increase the advertising spend to bring the brand on par with the market.

Prairies: The brand is doing better than than the market significantly which indicates that the brand can maintain or even reduce their advertising expenditure.

British Columbia: The brand and the market are doing well which indicates that the brand should maintain their current levels of advertising expenditure.

RecommendationOverall the brand is doing well in comparison with the market. Ontario and Quebec are the markets which require additional expenditure to bring the brand up to and overtake the market. It is recommended that some budget from Atlantic and the Prairies be moved towards Ontario and Quebec to increase brand development. It is essential to maintain the budget for British Colombia.

Region Population % Brand Sales % Market Sales % BDI MDI

Atlantic 6.84 7.8 6.13 114.03 89

Quebec 23.5 25.1 28.01 106.8 119.19

Ontario 38.46 35 36.91 91.0 95.96

Prairies 17.87 19.3 16.09 108.00 90.0

British Colombia

13.32 12.8 12.85 96.0 96.47


Seasonality/Timing

Recommendation :It is recommended to begin with a 20 % of the total budget during the first quarter of the year as sales as the lowest at 19.7% and then increase it to 35 % as that would be spring leading into summer season. People consume a lot more beer in the summer and by promotion Bud Beer heavily at that time, it will increase sales. As sales are the highest in Q3, the budget can be decreased to 20 % as sales are projected to be high from Q2 carrying forward to Q3. For the last quarter, increase in budget to 25% is recommended as sales in the past have dropped by 4% and increased advertising expenditure could potentially increase sales.

Quarter % of Brand and Market Sales

Q1 19.7%

Q2 27.5%

Q3 28.5%

Q4 24.3%

Quarter Revised % Allocation of Media Budget

Q1 20

Q2 35

Q3 20

Q4 25


Reach/ Frequency/ Continuity/ Recency

Recommendation:It is recommended to begin with recency in Q1 as sales as the lowest and its important to be prominent in the minds of consumers so they choose Bud Beer while making a purchase decision. in Q2, its recommended to use a reach approach as its an effective way to reach as many consumers as possible, to generate awareness and influence purchase decision. More consumers will be eager to make a trial purchase at this stage. Following that in Q3, a frequency focus will be pivotal as Bud Beer should be on top of mind and my targeting consumers multiple times would help achieve the goal. In Q4, a continuity approach will be effective to maintain brand presence in the marketplace especially around the holiday time.

Quarter Strategy

Q1 Recency

Q2 Reach

Q3 Frequency

Q4 Contunity


CreativeThe main objective for the creative plan is to continue to achieve high brand awareness among beer drinkers LDA- 34 years and to continue to generate social media buzz. It is important to promote responsible use of the product as well.

Creative recommendation :

Central theme: Group of working professionals just finish work and enter a bar and get a table at the patio. The weather is beautiful and sunny and everyone around the table are talking. laughing and having a good time. The bartender approaches them asking them what they would like to order and they all unanimously say ‘Bud beer”. the shot goes to the bartender who pours the beer on tap into a cold, frosted beer mug.

Tone and Style: Persuasive, warm colours with the sun and background and the colour of the beer.

Appeal: Lifestyle appeal as Bud Beer wants people to associate their lifestyle with this brand to incorporate it.

Visual impact is extremely important

Evoke sight and sound to increase the impact of the ad.

Creative should be compatible across TV, Radio, Outdoor, Print and Digital.



Marketing

Media plan Beer