Marketing Communications - Chapter 11

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Advertising Media: CHAPTER 11 Planning and Analysis © 2010 South-Western, a part of Cengage Learning PowerPoint Presentation by Charlie Cook All rights reserved. The University of West Alabama Eighth Edition
Chapter Objectives After reading this chapter you should be able to: 1. Describe the major factors used in segmenting target audiences for media planning purposes. 2. Explain the meaning of reach, frequency, gross rating points, target rating points, effective reach, and other media concepts. 3. Discuss the logic of the three-exposure hypothesis and its role in media and vehicle selection. 4. Describe the use of the efficiency index procedure for media selection. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–2
Chapter Objectives (cont’d) After reading this chapter you should be able to: 5. Distinguish the differences among three forms of advertising allocation: continuous, pulsed, and flighted schedules. 6. Explain the principle of recency and its implications for allocating advertising expenditures over time. 7. Perform cost-per-thousand calculations. 8. Review actual media plans. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–3
Media versus Vehicles • Media  General communication methods that carry General advertising messages advertising  Examples: television, newspapers, and Internet • Vehicles  The specific broadcast programs or print choices in The which advertisements are placed which  Example: the American Idol program • Each medium and vehicle has a unique set of Each characteristics and virtues characteristics © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–4
Messages and Media: Messages A Hand-In-Glove Reaction • Advertising message and media considerations Advertising are inextricably related—creatives and media are reatives specialists must team up to design ads specialists • Choice of media and vehicles requires a variety of Choice decisions decisions  General media categories  Specific vehicles  Marcom budget allocations © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–5
Selecting and Buying Media and Vehicles • Choices:  Traditional full-service ad agencies separately Traditional providing creative, planning, and media buying services for a client’s individual brands services  Single media buyer and planner agency providing Single centralized media planning and buying services for all of the client’s brands of • Takeaway:  Creating effective messages is critical but it is just as Creating essential that the messages are placed in the right media and vehicles. media © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–6
The Media-Planning Process • Media Planning  Is the design of a strategy that will best allocate Is investments in advertising time and space to achieve the firm’s marketing objectives achieve  Involves coordinating three levels of strategy: Involves marketing, advertising, and media strategy marketing, • Media Strategy Activities 1. Selecting the target audience 2. Specifying media objectives 3. Selecting media categories and vehicles © 2010Buying media a part of 4. South-Western, Cengage Learning. All rights reserved. 11–7
Model of the Media-Planning Process Figure 11.1 © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–8
Selecting the Target Audience Segmentation Factors Lifestyle/ Geographic Buyographics Demographic Psychographics © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–9
Specifying Media Objectives Reach Weight Frequency Issues in Setting Media Objectives Recency Continuity Cost © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–10
Issues in Setting Media Objectives Reach What proportion of the population should be reached with What advertising message during specified period? advertising Frequency How frequently should audience be exposed to message How during this period? during Weight How much total advertising is needed to accomplish reach Weight and frequency objectives? and Continuity How should the advertising budget be allocated over time? How Recency How close to the time of purchase should the target Recency How audience be exposed to the advertising message? audience Cost What is the most economically justifiable way to accomplish What objectives? objectives? © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–11
Media Objective: Reach • Reach Reach  Is the percentage of the target audience exposed, at Is least once, during a specified time frame to the vehicles in which the advertising message is inserted vehicles  Also known as 1+, Net coverage, unduplicated Also audience, and cumulative audience (cume) audience,  OTS = opportunity to see • Determinants of Reach  Use of multiple media  Diversification of vehicles within each medium © 2010 South-Western, a part of Cengage Learning. All rightsradio and TV advertising  Varying dayparts for reserved. 11–12
Media Objective: Frequency • Frequency Frequency  Is the average number of times during a media- planning period that the target audience members are planning exposed to media vehicles carrying a brand’s advertising message. advertising © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–13
Hypothetical Frequency Distribution for the Fortwo Table 11.1 Advertised in Cosmopolitan Magazine © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–14
Media Objective: Weight • Weight Defined  The advertising volume required to accomplish The advertising objectives advertising • Ratings  The percentage of an audience that has an The opportunity to see an advertisement placed in a particular vehicle particular • Weight Metrics:  Gross rating points (GRPs)  Target ratings © 2 Effective ratings a part of 010 South-Western, Cengage Learning. All rights reserved. 11–15
Weight Metrics • Gross Rating Points (GRPs)  Represent the gross weight that a particular Represent advertising schedule is capable of delivering—the advertising —the sum of all vehicle ratings in a media schedule sum  GRPs = Reach (R) × Frequency (F) GRPs © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–16
Weight Metrics (cont’d) • Target Rating Points (TRPs)  Are adjusted vehicle’s ratings that reflect only those Are individuals who match the advertiser’s target audience audience  Indicate a media schedule’s net (non-wasted) weight © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–17
Weight Metrics (cont’d) • The Concept of Effective Reach  Answers the question of how often does the target Answers audience have an opportunity to be exposed audience  Is that an advertising schedule is effective only if it Is does not reach members of target audience too few or too many times or • Three-Exposure Hypothesis (Krugman)  A minimum of three exposures to an advertising minimum message needed for effective advertising message © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–18
Weight Metrics (cont’d) • Effective Reach Planning in Advertising Practice  No fewer than three and no more than ten exposures No during a four-week media planning period during  Use of multiple media  Subjective factors must be considered • Effective Rating Points (ERPs)  ERPs = effective reach (or exposures) × frequency © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–19
Alternative Media Plans Based on a $25 Million Table 11.2 Annual Budget and Four-Week Media Analysis © 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–20