Media Planning and Strategy

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

The Traditional Media Landscape
Satellite radio stations 2 Broadcast networks (TV and cable) 100

TV stations 3,510

Consumer magazines 5,340

Newspapers (daily and weekly) 8,100

Radio stations 13,898

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

Media Terminology
Media Planning Media Objectives Media Strategy Media Broadcast Media 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
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

magazines.. etc. outdoor. 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 © 2007 McGraw-Hill Companies. Inc. McGraw-Hill/Irwin Coverage Frequency .Media Terminology Print Media Media Vehicle Reach Publications such as newspapers. direct mail.

Developing the Media Plan Situation analysis Marketing strategy plan Creative strategy plan Setting media objectives Determining media strategy Selecting broad media classes Selecting media within class Media use decision — broadcast Media use decision — print © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin Media use decision — other media .. Inc.

. Inc.Media Planning Difficulties Measurement Problems Lack of Information Problems in Media Planning Time Pressure © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin Inconsistent Terms .

Developing the Media Plan Analyze the market Establish media objectives Develop media strategy Implement media strategy Evaluate performance © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin . Inc..

McGraw-Hill/Irwin .Analyzing Market Potential Index Number Percentage of users in a demographic segment Index = Percentage of population in the same segment X 100 © 2007 McGraw-Hill Companies. Inc..

sales in market BDI = Percentage of total U.S. population in market X 100 © 2007 McGraw-Hill Companies..S. McGraw-Hill/Irwin .Brand and Category Analysis Brand Development Index Percentage of brand to total U. Inc.

Inc. population in market X 100 © 2007 McGraw-Hill Companies.S.Brand and Category Analysis Category Development Index Percentage of total product category sales in market CDI = Percentage of total U.. McGraw-Hill/Irwin .

. poor market potential © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin . good market potential B) low market share. What do these results imply? A) high market share. good market potential C) high market share. monitor for sales decline D) low market share. Inc.Test Your Knowledge In calculating both the brand development index (BDI) and the category development index (CDI) a media planner obtains the following results: Low BDI and High CDI.

Inc.Brand and Category Analysis High BDI High CDI Low BDI High market share Good market potential High market share Monitor for sales decline Low market share Good market potential Low CDI Low market share Poor market potential © 2007 McGraw-Hill Companies.. McGraw-Hill/Irwin .

The category isn’t selling well but the brand is. Both the product category and the brand are doing poorly. the reason should be determined.Brand and Category Analysis High BDI High CDI The market usually represents good sales potential for both the product and the brand. may be a good market in which to advertise but should be monitored for sales decline. McGraw-Hill/Irwin . Inc.. not likely to be a good place to advertise. Low CDI © 2007 McGraw-Hill Companies. Low BDI The product category shows high potential but the brand isn’t doing well.

Target Audience Coverage Population excluding target market Target market Media coverage Media overexposure Target Market Proportion Full Market Coverage Partial Market Coverage Coverage Exceeding Market © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin .. Inc.

Three Scheduling Methods Continuity Flighting Pulsing Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin .. Inc.

McGraw-Hill/Irwin .Reach and Frequency A. Reach of One Program B. Inc. Duplicated Reach of Both Total market audience reached D.. Reach of Two Programs Total market audience reached C. Unduplicated Reach of Both Total reached with both shows Total reach less duplicate © 2007 McGraw-Hill Companies.

McGraw-Hill/Irwin .. Inc.Graph of Effective Reach Figure 10-22 © 2007 McGraw-Hill Companies.

McGraw-Hill/Irwin . Inc.Marketing Factors Determining Frequency Marketing Factors Brand Loyalty Brand Share Usage Cycle Brand History Share of Voice Purchase Cycles Target Group © 2007 McGraw-Hill Companies..

Inc.Message Factors Determining Frequency Message or Creative Factors Message Complexity Message Uniqueness New Vs.. McGraw-Hill/Irwin . Continuing Campaigns Image Versus Product Sell Message Variation Wearout Advertising Units © 2007 McGraw-Hill Companies.

Media Factors Determining Frequency Clutter Scheduling Repeat Exposures Media Factors Attentiveness Editorial Environment Number of Media Used © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin .. Inc.

. McGraw-Hill/Irwin .Flexibility in Media Planning Strategies Market opportunities Market threats Flexibility Changes in media or media vehicle Availability of media © 2007 McGraw-Hill Companies. Inc.

McGraw-Hill/Irwin . Inc.Test Your Knowledge Why should an effective media strategy be flexible? A) due to the potential development of new advertising media B) due to an alteration of a competitor's media schedule C) due to the unavailability of the desired medium D) due to a drop in the ratings of a show previously on the media schedule E) due to all of the above © 2007 McGraw-Hill Companies..

.Determining Relative Cost of Media-Print Cost per thousand (CPM) CPM = Cost of ad space (absolute cost) X 1.000 Circulation © 2007 McGraw-Hill Companies. Inc. McGraw-Hill/Irwin .

. McGraw-Hill/Irwin . Inc.Calculating CPM Based on the Target Audience © 2007 McGraw-Hill Companies.

. Inc. McGraw-Hill/Irwin .Determining Relative Cost of Media-Broadcast Cost per rating point (CPRP) CPRP = Cost of commercial time Program rating © 2007 McGraw-Hill Companies.

Television Pros and Cons Advantages Mass coverage High reach Impact of sight. Inc. sound and motion High prestige Disadvantages Low selectivity Short message life High absolute cost High production cost High production cost Clutter Low cost per exposure Attention getting Favorable image © 2007 McGraw-Hill Companies.. McGraw-Hill/Irwin .

Radio Pros and Cons Advantages Local coverage Low cost High frequency Flexible Low production cost Well-segmented audience Disadvantages Audio only Clutter Low attention getting Fleeting message © 2007 McGraw-Hill Companies.. Inc. McGraw-Hill/Irwin .

.Magazine Pros and Cons Advantages Segmentation potential Quality reproduction High information content Longevity Multiple readers Disadvantages Long ad lead time for placement Visual only Lack of flexibility © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin . Inc.

Newspaper Pros and Cons Advantages High coverage Low cost Short lead time for placing ads Ads can be placed in interest sections Timely (current ads) Reader controls exposure Can be used for coupons © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin Disadvantages Short life Clutter Low attention getting Poor reproduction quality Selective reader exposure .. Inc.

.Outdoor Pros and Cons Advantages Location specific High repetition Easily noticed Disadvantages Short exposure time Short ads Poor image Local restrictions © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin . Inc.

. Inc.Direct Mail Pros and Cons Advantages High selectivity Reader controls exposure High information content Repeat exposure opportunities Disadvantages High cost per contact Poor image (junk mail) Clutter © 2007 McGraw-Hill Companies. McGraw-Hill/Irwin .

Internet Pros and Cons Advantages User selects product information User attention and involvement Interactive relationship Direct selling potential Flexible message platform Disadvantages Limited creative capabilities Websnarl (crowded access) Technology limitations Few valid measurement techniques Limited reach © 2007 McGraw-Hill Companies.. Inc. McGraw-Hill/Irwin .

McGraw-Hill/Irwin .. ______ would be most efficient medium for the “Got Milk” slogan.Test Your Knowledge In terms of media vehicles. Inc. A) television B) interactive media C) radio D) outdoor E) newspapers © 2007 McGraw-Hill Companies.

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