Planning and Strategy

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    Media Planning

    and Strategy

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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    Satellite radiostations

    2

    Satellite radiostations

    2

    The Traditional Media Landscape

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Broadcastnetworks (TVand cable)

    100

    Broadcastnetworks (TVand cable)

    100

    TV stations3,510

    TV stations3,510

    Consumermagazines

    5,340

    Consumermagazines

    5,340

    Newspapers(daily and

    weekly)8,100

    Newspapers(daily and

    weekly)8,100

    Radio stations13,898

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    A series of decisions involving the delivery ofmessages to audiences

    Goals to be attained by the media strategyand program

    Decisions on how the media objectives canbe attained

    The various categories of delivery systems,including broadcast and print media

    Either radio or television network or localstation broadcasts

    A series of decisions involving the delivery ofmessages to audiences

    Goals to be attained by the media strategyand program

    Decisions on how the media objectives canbe attained

    The various categories of delivery systems,including broadcast and print media

    Media Terminology

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    MediaPlanning

    MediaObjectives

    MediaStrategy

    Media

    BroadcastMedia

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    Publications such as newspapers,magazines, direct mail, outdoor, etc.

    The specific carrier within a mediumcategory

    Number of different audience membersexposed at least once in a given time period

    The potential audience that might receivethe message through the vehicle

    The number of times the receiver is exposedto the media vehicle in a specific time period

    The potential audience that might receivethe message through the vehicle

    Number of different audience membersexposed at least once in a given time period

    The specific carrier within a mediumcategory

    Publications such as newspapers,magazines, direct mail, outdoor, etc.

    Media Terminology

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    PrintMedia

    MediaVehicle

    Reach

    Coverage

    Frequency

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    Selecting media within class

    Selecting broad media classes

    Determining media strategy

    Media use decision print

    Media use decision broadcast

    Media use decision other media

    Selecting media within class

    Determining media strategy

    Selecting broad media classes

    Developing the Media Plan

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Setting media objectives

    Setting media objectives

    Marketingstrategy plan

    Creativestrategy plan

    Marketingstrategy plan

    Situationanalysis

    Creativestrategy plan

    Situationanalysis

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    Evaluate performance

    Implement media strategy

    Develop media strategy

    Establish media objectives

    Analyze the market

    Implement media strategy

    Develop media strategy

    Establish media objectives

    Analyze the market

    Developing the Media Plan

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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    Analyzing Market Potential

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Percentage of usersin a demographic segment

    Percentage of population

    in the same segment

    Index = X 100

    Index Number

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    Brand and Category Analysis

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Percentage of brand to totalU.S. sales in market

    Percentage of total U.S.

    population in market

    BDI = X 100

    Brand Development Index

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    Test Your Knowledge

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    In calculating both the brand development index (BDI)

    and the category development index (CDI) a mediaplanner obtains the following results: Low BDI andHigh CDI. What do these results imply?

    A) high market share; good marketpotential

    B) low market share; good market potentialC) high market share; monitor for sales

    declineD) low market share; poor market potential

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    High market shareGood marketpotential

    High market shareGood marketpotential

    Brand and Category Analysis

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    L o w

    C D I

    H i g h C D I

    High BDI

    Low market shareGood market potentialLow market shareGood market potential

    Low BDI

    High market share

    Monitor for salesdecline

    High market share

    Monitor for salesdecline

    Low market share

    Poor market potential

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    The market usuallyrepresents good salespotential for both theproduct and the brand.

    The market usuallyrepresents good salespotential for both theproduct and the brand.

    Brand and Category Analysis

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    L o w

    C D I

    H i g h C D I

    High BDIThe product categoryshows high potential butthe brand isnt doing well;the reason should bedetermined.

    The product categoryshows high potential butthe brand isnt doing well;the reason should bedetermined.

    Low BDI

    The category isnt sellingwell but the brand is;

    may be a good market inwhich to advertise butshould be monitored forsales decline.

    The category isnt sellingwell but the brand is;

    may be a good market inwhich to advertise butshould be monitored forsales decline.

    Both the product categoryand the brand are doing

    poorly; not likely to be agood place to advertise.

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    TargetMarket

    Proportion

    FullMarket

    Cover age

    PartialMarket

    Cover age

    CoverageExceeding

    Market

    Target Audience Coverage

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Population excluding target marketTarget marketMedia coverageMedia overexposure

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    Three Scheduling Methods

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Continuity

    Pulsing

    Flighting

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

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    Reach and Frequency

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    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

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    Graph of Effective Reach

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Figure 10-22

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    TargetGroup

    BrandHistory

    Share ofVoice

    PurchaseCycles

    BrandLoyalty

    BrandShare

    UsageCycle

    PurchaseCycles

    Share ofVoice

    BrandHistory

    UsageCycle

    BrandShare

    BrandLoyalty

    Marketing Factors Determining Frequency

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    MarketingFactors

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    Message Complexity

    Message Uniqueness

    New Vs. Continuing Campaigns

    Image Versus Product Sell

    Message Variation

    Wearout

    Advertising Units

    Wearout

    Message Variation

    Image Versus Product Sell

    New Vs. Continuing Campaigns

    Message Uniqueness

    Message Complexity

    Message Factors Determining Frequency

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Messageor Creative

    Factors

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    Clutter

    Number ofMedia Used

    RepeatExposures

    EditorialEnvironment

    Scheduling

    AttentivenessAttentiveness

    Number ofMedia Used

    EditorialEnvironment

    RepeatExposures

    Clutter

    Media Factors Determining Frequency

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    MediaFactors

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    Marketopportunities Market threats

    Availability ofmedia

    Changes inmedia or media

    vehicle

    Availability ofmedia

    Market threatsMarketopportunities

    Flexibility in Media Planning Strategies

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Flexibility

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    Determining Relative Cost of Media-Print

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Cost of ad space(absolute cost)

    Circulation

    CPM = X 1,000

    Cost per thousand (CPM)

    Calculating CPM Based on the Target

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    Calculating CPM Based on the TargetAudience

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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    Determining Relative Cost of Media-Broadcast

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    CPRP =Cost of commercial time

    Program rating

    Cost per rating point (CPRP)

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    Short message life

    High production cost

    Low selectivity

    High absolute cost

    Clutter

    Mass coverage

    High reach

    Impact of sight, soundand motion

    High prestige

    Low cost per exposure

    Attention getting

    Favorable image

    High production cost

    High absolute cost

    Short message life

    Low selectivity

    Favorable image

    Attention getting

    Low cost per exposure

    High prestige

    Impact of sight, soundand motion

    High reach

    Mass coverage

    Television Pros and Cons

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Advantages Disadvantages

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    Clutter

    Fleeting message

    Audio only

    Low attention getting

    Local coverage

    Low cost

    High frequency

    Flexible

    Low production cost

    Well-segmented audience

    Low attention getting

    Clutter

    Audio only

    Well-segmented audience

    Low production cost

    Flexible

    High frequency

    Low cost

    Local coverage

    Radio Pros and Cons

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Advantages Disadvantages

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    Visual only

    Long lead time forad placement

    Lack of flexibility

    Segmentation potential

    Quality reproduction

    High information content

    Longevity

    Multiple readers

    Visual only

    Long lead time forad placement

    Multiple readers

    Longevity

    High information content

    Quality reproduction

    Segmentation potential

    Magazine Pros and Cons

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Advantages Disadvantages

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    Clutter

    Poor reproduction quality

    Short life

    Low attention getting

    High coverage

    Low cost

    Short lead time forplacing ads

    Ads can be placed ininterest sections

    Timely (current ads)

    Reader controls exposure

    Can be used for coupons

    Selective reader exposure

    Poor reproduction quality

    Low attention getting

    Clutter

    Short life

    Can be used for coupons

    Reader controls exposure

    Timely (current ads)

    Ads can be placed ininterest sections

    Short lead time forplacing ads

    Low cost

    High coverage

    Newspaper Pros and Cons

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Advantages Disadvantages

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    Short ads

    Local restrictions

    Short exposure time

    Poor image

    Location specific

    High repetition

    Easily noticed Poor image

    Short ads

    Short exposure time

    Easily noticed

    High repetition

    Location specific

    Outdoor Pros and Cons

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Advantages Disadvantages

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    Poor image (junk mail)

    High cost per contact

    Clutter

    High selectivity

    Reader controls exposure

    High information content

    Repeat exposureopportunities

    Poor image (junk mail)

    High cost per contact

    Repeat exposureopportunities

    High information content

    Reader controls exposure

    High selectivity

    Direct Mail Pros and Cons

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Advantages Disadvantages

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    Websnarl (crowdedaccess)

    Few valid measurementtechniques

    Limited creativecapabilities

    Technology limitations

    Limited reach

    User selects productinformation

    User attention andinvolvement

    Interactive relationship

    Direct selling potential

    Flexible message platform

    Few valid measurementtechniques

    Technology limitations

    Websnarl (crowdedaccess)

    Limited creativecapabilities

    Flexible message platform

    Direct selling potential

    Interactive relationship

    User attention andinvolvement

    User selects productinformation

    Internet Pros and Cons

    2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

    Advantages Disadvantages

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    Test Your Knowledge

    In terms of media vehicles, ______ would be most

    efficient medium for the Got Milk slogan.A) televisionB) interactive mediaC) radioD) outdoor

    E) newspapers