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Unit-1.1 Media Planning

DefinitionsBy-Pooja Gurwani 1. the series of decisions advertisers make regarding the selection and use of media, allowing the marketer to optimally and cost-effectively communicate the message to the target audience

2. process of selecting the advertising media and deciding the time or space in which the ads should appear
3. the process of selecting the advertising media and deciding the time or space in which the ads should appear to accomplish a marketing objective. the series of decisions advertisers make regarding the selection and use of media, allowing the marketer to optimally and cost-effectively communicate the message to the target audience. the process of evaluating and selecting the media mix that will deliver a clear, consistent, compelling message to the intended audience the process of evaluating and selecting the media mix that will deliver a clear, consistent, compelling message to the intended audience.





conceive, analyze, and creatively select channels of communication that will direct advertising messages to the right people in the right place in the right time 8. the process of deciding how to most effectively get your marketing communications seenby your target audience. 9. A process for determining the most cost-effective mix of media for achieving a set of media objectives. Goal: maximize impact while minimizing cost Media is often the largest MC budget item 10. The design of a strategy that shows how investmentsin advertising time and space will contribute toachievement of marketing objectives. 11. Media planning is about determining the best MediaMix (i.e., the best combination of one-way and two-way media) to reach a particular target for a particular brand situation.

MeaningMedia planning is generally the task of a media agency and entails finding the most appropriate media platforms for a client's brand or product. The job of media planning involves several areas of expertise that the media planner uses to determine what the best combination of media is to achieve the given marketing campaign objectives. In the process of planning the media planner needs to answer questions such as: 1. 2. 3. 4. How many of the audience can I reach through different media? On which media (and ad vehicles) should I place ads? Which frequency should I select? How much money should be spent in each medium?

In answering these questions the media planner then comes to an optimum media plan that enables him or her to deliver on the client's objectives. Choosing which media or type of advertising to use is sometimes tricky for small firms with limited budgets and knowhow. Large-market television and newspapers are often too expensive for a company that services only a small area (although local newspapers can be used). Magazines, unless local, usually cover too much territory to be costefficient for a small firm, although some national publications offer regional or city editions. Metropolitan radio stations present the same problems as TV and metro newspapers; however, in smaller markets, the local radio station and newspaper may sufficiently cover a small firm's audience.

For understanding the Media planning in detail as Pavitra sir explained in class one need to understand the classification of different types of media that a media planner may be dealing with which are given below1- Print Media -Newspaper -Magazines -All the other type of publications ( e.g.House Journals) 2- Electronic Media -Radio -Television 3- Cinema (Media) 4- Traditional/Folk Media

By-Pooja Gurwani

-puppetry -nukkad natak -jatra -folk songs -folk dance -nautanki -Tamasha 5-Outdoor Media -Banner -Neon Sign Boards -Transit Media -Sky balloons -Sandwitchman -posters,etc 5- New Media -Walkie-Talkie -Satelitte Phones -Pager -Mobile phones -internet (www page, window poppers, banner ads, etc) 6- Platform Media -International seminars -roadshows -agitations -sponsors -celeb endorsement By-Pooja Gurwani

Components of a Media Plan

THE COMPONENTS OF THE MEDIA PLAN A thorough knowledge of the characteristics of the various advertising media issomewhat like knowing the vocabulary to a language without the grammer. Like avocabulary, media characteristic dont allow you to put the pieces together into ameaningful whole. A media plan is made up of many elements in addition to adescriptive analysis of the various media. While there is no standard format, thefollowing elements are found in most national plans: Media Plan components Or Criteria Considered in the Development of MediaPlans 1.The media mix 2.Target market coverage 3.Geographic coverage 4 . S c h e d u l i n g 5.Reach versus frequency 6.Creative aspects and mood 7.Flexibility 8.Budget considerations 1. Media mix:

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The media mix has to reach the target consumer. It theadvertiser wants to reach men between 25 and 55 who are professional, theEconomic Times will be obviously a more appropriate choice than Femina. Butsometimes matching consumer profiles with media characteristics becomes alot more difficult. For example: Media planners will find it difficult to decide whichkind of households can be reached by the Hindi feature film TV slot v/s the 9Oclock serial slot. A thorough analysis of the target market will help in makingthis match and will reduce wastage of media expenditure.

2. Target market coverage : Audience can also be described inpsychographics terms activities, interest, and opinions forming a life style,personality traits, and brand preferences. After having a complete picture of our target audience, we undertake the study of the medias readership in terms of demographic, economic and psychographics terms. 3. Geographic coverage: Media strategy is based upon market coverage.If media planners want to market products nationally, they will select all-Indianewspapers and magazines. However, if market is limited to a particular region,they shall select vernacular media popular in that region. In this way, mediaplanners do not waste resources by advertising product in the regions in which itis not available. They have to see how strong a product is in a particular geographical region and advertise more in high potential areas. 4. Scheduling: Media scheduling decisions are the decisions about thetiming, continuity and size of the ads. We have to see when to advertise, for how long, and for what time period. We have to see the size and placement of our ad. 5. Reach versus frequency: There should be an attempt in the mediaobjectives to balance the reach and frequency. There should be an appropriatemessage weight at the same time. This will help us realize our advertising plan.To face heavy competitive campaign, we should have greater frequency toensure the repetition of the message. It is not so important to have a wider reach. While advertising an innovation, a greater reach is preferred, to a greater frequency. It is also important to have a large message weight. Once the mediaobjectives are set, we are ready to develop strategies to realise them. 6. Creative aspects and mood: Creative considerations such as the qualityof reproduction, the colour effect, special effects, have to be considered. Themedium must be appropriate for the ad message. For example: The ads for icecream would be reproduced better in colour and therefore black and whitenewsprint is not appropriate. Media decisions have to be made in consultationwith the creative team that has actually produced the ad. Within the mediumselected, decisions related to unit buying, is also influenced by the creative team. There is a constant tug-of-war between the creative team and the mediateam . the creative team wants larger space, more TV and radio time andsuperior quality of POP material, while the media team along with the financedepartment of the client looks for economy and maximizing the effect of everyrupee spent on the media. 7. Flexibility: The ability of the media to adapt to changing and specificneeds of advertisers is flexibility. Certain media allows such flexibility withrespect to the advertised message, the geographical coverage and the adbudget For example: the times of India group of publication may offer advertisers the flexibility of placing ads in different editions of the paper. So if,for instance, Parles find that competitive activity has increased in Delhi, it mayuse the Delhi edition of Times of India to combat competitors activity. 8. Budget considerations: A choice of media will depend to a large extentupon the size of the advertising budget. Certain media types may be tooexpensive for the funds available. By-Pooja Gurwani

Media Scheduling
Scheduling refers to the pattern of advertising timing, represented as plots on a yearly flowchart. These plots indicate the pattern of scheduled times advertising must appear to coincide with favorable selling periods. The classic scheduling models are Continuity, Flighting and Pulsing.

This model is primarily for non-seasonal products, yet sometimes for seasonal products. Advertising runs steadily with little variation over the campaign period. There may be short gaps at regular intervals and also long gapsfor instance, one ad every week for 52 weeks, and then a pause. This pattern of advertising is prevalent in service and packaged goods that require continuous reinforcement on the audience for top of mind recollection at point of purchase. Advantages:

Works as a reminder Covers the entire purchase cycle Cost efficiencies in the form of large media discounts Positioning advantages within media

Program or plan that identifies the media channels used in an advertising campaign, and specifies insertion or broadcast dates, positions, and duration of the messages.

Flighting (or "bursting")

In media scheduling for seasonal product categories, flighting involves intermittent and irregular periods of advertising, alternating with shorter periods of no advertising at all. For instance, all of 2000 Target Rating Poinered in a single month, "going dark" for the rest of the year. Halloween costumes are rarely purchased all year except during the months of September and October. Advantages:

Advertisers buy heavier weight than competitors for a relatively shorter period of time Little waste, since advertising concentrates on the best purchasing cycle period Series of commercials appear as a unified campaign on different media vehicles

Pulsing combines flighting and continuous scheduling by using a low advertising level all year round and heavy advertising during peak selling periods. Product categories that are sold year round but experience a surge in sales at intermittent periods are good candidates for pulsing. For instance, under-arm deodorants, sell all year, but more in summer months. Advantages:

Covers different market situations Advantages of both continuity and flighting possible

Once the media planning and selection is accomplished to the satisfaction of both advertisers and agencies, the attention is diverted to the task of deciding the media scheduling. It concerns answering such questions as how many of each media vehicles space and time units be bought? Over what and time units, this will be bought? Over what period, should such buying be? Do we want a steady schedule or do we want a `pulsed' campaign, concentrating heavily in the beginning and later slowing down ? Normally media scheduling is considered for a four-week period. Thus, to an advertiser, the following six types of schedules are available.

By-Pooja Gurwani

Steady pulse: Steady pulse is the easiest types of schedules to prepare. For instance, one ad per week for 52 weeks or one ad per month for 12 months may be prepared. Seasonal Pulse: Seasonal nature of products dictate the use of seasonal pulse in advertising. Examples include Ponds Cold cream; ceiling fans; airconditioners etc., in the months of winter and summer respectively. Period Pulse: Scheduling of media at regular intervals but not related to the, seasons of the year, is called the periodic pulse. Examples may include media scheduling of consumer durables (e.g. mixes) and non-durables (e.g. semiprocessed food to eat) during Puja or X-mas festivals, for gift purposes. Erratic Pulse: When advertising is spaced at irregular intervals, it is called erratic pulse. Erratic pulse by itself is not to be ignored. It is quite likely that the advertiser is trying to cause changes in typical purchase cycles. For instance, ceiling fans, soft-drinks etc. Advertising in months other than the summer months, could attempt to even out purchases throughout the year. Start up Pulse: It is quite common to see a heavily concentrated media scheduling to open either a new product or a new campaign. This is called as start up pulse. For instance, the scheduling adopted by Videocon PIP television, or ONIDA - 21 or even the Liril Lime Soaps seen in the July - September 1989 period, had a distinct start up pulse. Promotional Pulse: This scheduling pattern suits only a particular promotional theme of company. Thus, it will be more in the nature of onetime only and advertising will be heavily concentrated during a particular time. Examples of promotional pulse would include the recent advertising for share/debenture issues by several companies and the MRF media campaign for the Jawahar Lal Nehru Centenary Sports meet in 1989. Any thoughts on media scheduling will be dictated by a careful analysis of three factors of media. They are Reach, Frequency and Continuity (RFC). Several researches have been conducted on analysing the data pertaining to RFC. Given below are some major findings which media planners would do well to remember Continuity assumes importance because advertising is often forgotten if not reinforced by continual exposure. It would thus, be unwise for a marketer to spend money one week on running an advertisement which is to be followed by another run say, after six months only. Such long gap will fail to reinforce the message. Repeated exposures are needed to impress a message on the memories of a large proportion of consumers. As number of exposure increases, the number of persons who remember it increase. Not only this the length of time for which they remember also increases. Remembering is a key thing to media planners. An intensive `burst' of advertising is more likely to cause a large number of people to remember it, at least for a short time than spreading the campaign uniformly. In many cases reaching as many people as possible may be as important as the task of reaching a fewer number of people but more frequently. It goes without emphasizing that media planning is more an art than a science because not many credible and universally applied scientific methods have been evolved as yet. It tests, therefore, the knowledge, perception and skills of any media planner.

Media Objectives
Media objectives often are stated in terms of reach, frequency, gross rating points and continuity.

Clearly worded statements that outline what the media plan should accomplish. 1. Who is the target market? 2. What is the advertising message? 3. Where are the market priorities? 4. When is the best time to advertise? 5. How many, often, long?

By-Pooja Gurwani

appeal to a new segment of the market attack an existing competitors product enhance the image of a product, a brand, a cause, a rm or an organisation increase sales of a product introduce a new brand or product support an existing brand. to reach the target audience to communicate the message all over to spread awareness to promote education to provide information To provide an cost effective measure in apt time Assess roles & responsibilities of both client and agency in media planning Differentiate among media objectives, media strategies and media execution Utilize terminology used in media planning Describe the steps involved in the media selection process Identify the factors affecting the size of an media budget Describe the methods of determining the size of an media budget By-Pooja Gurwani

Media Strategy
Media strategy is the way we seek to realize our media objectives. Whenformulated correctly, it enables an advertiser to rise above the clutter of ads,and stand out in the competition.Media strategy expects media planners to be creative in using the media. The useof the media should complement and supplement each other. The ad should be consistent with the editorial environment of the media. The placement should be strategic. The medias creative potential is fully used.The ad should provoke readers to look at it more than once. It should beengaging enough, say incorporation of a crossword puzzle in the copy of the ad. We can use non-traditional media like a Tamasha show, puppetry or a magic-show. Media can be used to build credibility.

To draw an analogy from the world of sports, competing teams would always have a gameplan or a strategy which is designed to win or at least not to lose a match. Similarly the media strategy is the overall game plan which is geared towards strengthening the communication while countering any move the competition may have. Media strategy therefore defines and provides rationale for the recommended media, spelling out the specific role each one plays either in complementing or supplementing the others. It is not however the tactical plan specific vehicles and exact allocation of budget. Four basic elements of Media strategy statement are: Media Mix Usage of Media Geographic Allocation Scheduling Strategy Let us examine what each of these are : Media Mix For each target market, a market-media match exercise needs to be done and the role each medium would play in contributing to the achievement of media objectives is described. Summary explanation of the approximate allocation by medium is also provided. Usage of Media Each medium lends itself for use in various ways, by way of commercial forms in which it is available. How each is to be used in terms of spot buying vs. sponsorship on television, time/space units general interest vs. special interest publications, prime time/space vs. non-prime time/space, colour vs. black & white, main issue vs. supplements and so on are decisions to be taken so as to extract the best mileage out of the selected media. Geographic Allocation In view of the market priorities and the differential media objectives set for such market, how the media mix is to be used in order to allocate the advertising effort is explained in strategic terms. Scheduling Strategy The extent and spacing of the media activity in a time frame is expostulated. Rationales for controlling the continiuty of the exposures are also provided. These are dependent upon various factors drawn from various background analysis done earlier on seasonality, competitive advertising, budgetary considerations, brand purchase cycle and so on. Any other factor which is of strategic media significance and is believed to have a positive impact on the success of the media plan also needs to be highlighted in the Media strategy statement. Example Brand X is "a cough tablet distributed nationally, with a concentration in Maharashtra. Target audience: Men 18-45 years with an income of Rs 750 + per month, residing in urban areas, smokers who seek temporary relief by consuming brand X. Creative is based on Audio-Visual demonstration of product in use. The role of advertising is to keep the product at a.Top-of-mind recall level since it is an impulse purchase product. Media Strategy Statement By-Pooja Gurwani

Given the target group exposure, the role of Advertising and the national coverage requirement, Television emerges as the most cost efficient and effective medium. While National Television is to be used to provide for a national coverage, regional inputs for priority market of Maharashtra would be to provide with the use of the regional Television network. Programmes with consistent Men viewership would be chosen. Continuous advertising cannot be provided due to budgetary limitations, hence a PULSE scheduling strategy is to be employed to maintain a perception of consistent presence.

Media Operations
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Media Budgeting
Every business, whether a Fortune 500 company or the business you've started at your kitchen table, invests in media in one form or another. From print advertising and commercials to stationery and business cards, media is what businesses depend on to get their message out. Understanding where your business spends its media dollars is critical to making effective spending decisions.

What a Media Budget Includes

Typical media budgets include funds for online, print and broadcast advertising; interactive social media; consultants' fees; brochures, booklets or videos; equipment or software required to produce company media; and all production costs related to media content creation.

How Media Budgets Are Set

Media budgets are generally established in one of four ways. First, a budget may be set when an owner or executive arbitrarily chooses a figure that constitutes media spending for the year. Second, a media budget may be pegged to a company's sales, with a certain percentage of sales dedicated to media spending. Third, media spending may be based on the amount of money spent on media by competing businesses. And finally, a media budget may be determined by making reasonable assumptions from data about what will be required to reach the desired market or sales results.

Who Controls the Media Budget

In smaller companies, media budgets are under the control of the company's owner or CEO, who generally oversees every part of the company's budget and approves all major purchases. In larger companies with marketing departments, the media budget may be controlled by a media or advertising director, or by a vice-president of marketing or advertising. Spending may also be directed by a media buyer, whose job is to purchase media, especially advertising, at the best possible price.

How the Media Budget is Allocated

How a company's media budget is allocated depends on such factors as the company's overall marketing strategy, previous years' allocations, previous investment in media-related equipment or production tools, past performance of the various media categories and how the company has been reaching its core demographics. The company's evolving product line and new or rising media outlets, such as new TV shows or print publications, may also influence media budget allocation.

How Media Budget Spending is Evaluated

Evaluating the effectiveness of media spending is notoriously difficult, since most customers are "touched" often and by different types of media before making a purchase. What's more, the effect of media spending on intangible items such as branding, building customer loyalty and public relations, which do not directly promote sales, can only be assumed. However, advertising purchases -- one category of media spending -- are often evaluated based


on how customers rate the company or product, with future spending directed to those media outlets that seem to generate the most customers, or "leads."

Setting a media budget for your advertising campaign can be tricky, especially for new companies. But as you track and measure the effectiveness of your advertising over time, you will get a better idea of how much to budget to generate the business you need. Spending too little on your advertising campaign will cost you more than spending too much. You need to stay in front of your customers. A random or infrequent advertising campaign schedule equals wasted money. We can assist you with some industry guidelines, but as a general rule, we recommend that you at least match your direct competitors spending on advertising as a percentage of sales. If you want to grow your business, you will probably want to invest more than your competitors are spending as a percentage of sales. [20% more would be a minimum starting point]. In general, you will get a better response if you use more than one medium. A larger company will do better to spend money on some combination of print, mail, radio, Internet, outdoor, and/or television advertising than to spend the budget all in one place. For smaller companies, you will do better to spread your advertising campaign budget between print and direct mail to get the best return for your investment. But there are no hard rules in advertising. Much depends on your products or services, and the relative effectiveness of each type of media for delivering your specific message. Please read Using Media More Effectively and Advertising Planning for more specific ideas on what media to use. You will also get a better response if you run smaller, more frequent ads. Dont trade frequency for a one-time big bang in your advertising campaign. Dont trade frequency in print for a less frequent television schedule.

Here are some of the methods companies use to set their advertising campaign budgets. 1. The Percent of Sales Method: The advertising campaign budget is a constant percentage of desired sales. A car manufacturer may spend less than 1% of sales, while a small retailer may budget 3 -7% of sales. A jewelry store may budget 8 -12% of sales, and other companies may budget 20% or more. This method works as long as the advertising campaign budget is set as a percentage of desired sales. If the budget is set to actual sales, and sales drop, you do not want to cut your advertising campaign budget, or you will get caught in a downward spiral. 2. The Task Objective Method: How much money do you need to spend to reach the specific goals you have outlined for the advertising campaign? This is especially effective when you are starting out, or if you are trying to grow rapidly. Some advertising campaign strategies call for heavy spending upfront in order to win long-term customers. 3. The Historical Method: How much did you spend to reach your sales goals in previous years or periods? You will find that by tracking your ads, you will know in advance what you need to do to accomplish your goals. 4. Share of Market - Share of Voice: This method links market share to advertising expenditure. A company with a 20% market share would spend slightly more than 20% of the total advertising dollars spent in the market for that product or service. For new companies, expenditures would be 1.5 times the desired market share until that position is attained. [So if you want 20% market share, you spend 30% of total advertising dollars in that market until you get it].


By-Pooja Gurwani

5. Competitive Parity: With competitive parity you spend in equal amounts to your competitors as a percentage of market share. This is a self-defense method of budgeting marketing and advertising expenditures. 6. The Combination Method: The best advertising campaign budget you can set will be based on some combination of all of the previous models. You want to maintain a minimum level of advertising, fulfill specific goals, maintain your market share, keep up with your competitors, and compare everything to last year.

Media Selling
Media buying and selling helps in purchasing space and running time for the advertisments.This help you to select the kind of media which directly hit to targeted audience .Right media space is very important for every advertisement so that it easily reach to the people. The media industry is a fast-moving and ever-changing sector that relies on the ability of its sales people to sell a given medium as the solution that will connect them with their target audiences. This could mean selling into a single medium such as a local newspaper or magazine for a few hundred pounds or selling high-value packages worth tens of thousands across a portfolio of media, such as ambient media (e.g. supermarket receipts, floor signs), radio, internet, billboards, cinema, trade publications, taxis, trains, tube stations or digital media. It is your job to develop new leads, cold call potential clients, manage existing customer relationships and close the deal, either over the telephone or in person, with the aim of maximising sales revenues, increasing your client portfolio and hitting targets. The role of a media salesperson is a challenging, one especially in light of the plethora of media options that advertisers can choose from. But as Maurice Saatchi, the man heralded as the guru of the advertising industry, said: People do not know what they want until a brilliant person shows them.

Media Innovations
The media is being assaulted by change at an ever-increasing rate and, therefore, the need for creativity and innovation has never been great. In fact, John Kao in his book Jamming: The Art and Discipline of Business Creativity refers to the present as The Age of Creativity. Kao writes, The business world is already launched on a new quest. The ancient pursuitsfor capital, for raw materials, for process technologyremains eternal. But now business seeks a new advantagedelicate and dangerous, and absolutely vitalthe creativity advantage. Innovation and creativity are inextricably linked. First, what is creativity? James Adams in hisbook Conceptual Blockbusting, wrote, Creativity has sometimes been called the combination of seeminglydisparate parts into a functioning and useful whole. Teresa Amabile in a groundbreaking study definedcreativity as follows: A response will be judged as creative to the extent that (a) it is both a novel andappropriate, useful, or valuable response to the task at hand and (b) the task is heuristic rather thanalgorithmic. A heuristic is an incomplete guideline or rule of thumb that can lead to learning or discovery when there is no clear path or formula. An algorithm is a complete mechanical rule for solving a problem or dealing with a situation. Finally, many creativity theorists have also noted that problem discovery is an important part of much creative activity. More simply, creativity is solving a practical problem in a new way. A bunch of monkeys throwing different colored paint on a canvas might produce something that looks interesting, or even look like a Jackson Pollock painting, but it wouldnt be creative because the monkeys didnt start out trying to solve a problem. Pollock did; he wanted his paintings to show his gestures and to create a response from a paintings viewers without using any concrete images. When Pablo Picasso and George Braque invented cubism, they were trying to show a third dimension on a twodimensional surface, so they attempted to paint both the top and the bottom of a table in a picture. They were trying


By-Pooja Gurwani

Media selling involves the art and science use of perception, imagination, emotions, and physical sensations of to make sales in the selling of radio, television and the print industry.

to solve a problem. Scientists, engineers, and chemists can be creative, because they not only discover problems but also come up with practical solutions. Creativity is very practical because it is the art of problem solving. What is innovation? Innovation is applied creativitythe working solution. However, usually an innovation requires changingthrowing out the old and trying something new. As Picasso said, Every act of creation is first of all an act of destruction. Innovation is something that every organization needs today. This need is doubly assured for the domain of media, communication and entertainment. No content of media or its delivery etc can survive with the audiences without constant innovations. Major innovations in contemporary media hover around CONVERGENCE in every sphere of media functioning: consumption, ownership, content creation, marketing and delivery. People consuming media are doing it through all vehicles: offline, on-air, on-ground, and very fast online. People advertising in media are asking for integrated media solutions, with their ads or advertorial messages appearing across all media vehicles. People owning media are now becoming multi-media barons to have synergy at the work-place and market-place, both. Technologies are converging on one platform. Alongside, skill-sets are also converging within the top media professionals. Good examples are Washington Post, Zee Group, BBC or the Times of India Group. The second innovation, also emanating from the first, is about DIGITIZATION of media and entertainment. The metamorphosis of the Digital Dawn has just started in Asian media markets, whereas it is in a matured stage in the Western markets. For example, in the Indian context, the three iconic media moments of 2011 were the victory in the World Cup Cricket, the Anna Hazare led anti corruption movement, and the Kolaveri Di song went viral overnight. All three were aided and abetted by a fast expanding media going digital. Registering a growth of 12% in 2011, the USD 16 billion Indian M&E industry is now digitizing at every level: digital television distribution, print media putting in place new media content and digital delivery platforms, cinema production and exhibition going digital in one-third of the screens, animating/VFX/gaming gaining sharp growth, and digital advertising and PR recording high growth this year. The third innovation we need to look at is the ENGAGEMENT strategy as opposed to interactive and entertainment strategy. The ever younger evolved media consumer today needs to be engaged, and not merely entertained, informed or interacted with. It is the age of user generated content, user friendly devices (tablets and gaming devices), more touch points to engage the audiences, going regional, and getting more niche content across multiple platforms. Ra.One versus Paan Singh Tomar/ Kahaani is a good case-study. By-Pooja Gurwani

Circulation (How far the publication is reaching) Print advertising prices are based on the circulation of the publication in question. Publications will quote an advertiser a circulation figure based on paid subscribers. The audited circulation figures are verified by monitoring organizations. The publications will try to convince the advertiser that actual circulation is higher by including the free copies they distribute and the pass-along readership they claim. Sometimes these claims of "bonus" circulation are validfor example, magazines distributed on airlines get at least eight readers per copy. Still, advertisers should be wary of inflated circulation figures.

When you've finished one section, you will have an overview and the tools you need to create a media plan for your business. Let's start with basic vocabulary. The term you'll hear most often is CPM, or cost per thousand. CPM analysis is the method media buyers use to convert various rate and circulation options to relative terms. CPM represents the cost of reaching one thousand people via different types of media. To calculate CPM, you find the cost for an ad, then divide it by the total circulation the ad reaches (in thousands). By finding this information and calculating this cost for each of your options, you can give them a numerical ranking for comparison. CPM is a basic media concept.


Cost Per Thousand (CPM) Cost Per Thousand (CPM) allows a media planner to compare media based on two variables: audience and cost. CPM is used as a comparative device. The lowest cost per thousand medium is the most efficient, all other variables being equal. Oftentimes the media with the lowest cost per thousand are selected, but not always. CPM may be computed for a printed page or broadcast time, and the audience base may be either circulation, homes reached, readers, or number of audience members of any kind of demographic or product usage classification.

1. For print media (when audience data are not available): CPM = Cost of 1 ad x 1000 Circulation Because many print media do not have audience research data, this formula is often used. By-Pooja Gurwani

2. For print media (when audience data is available): CPM = Cost of 1 ad x 1000 Number of prospects reached

3. For broadcast media (based on homes reached by a given program or time period): CPM = Cost of 1 unit of time (commercial) x 1000 Number of homes reached by a given program or time period

4. For broadcast media (when audience data is available): CPM = Cost of 1 unit of time (commercial) x 1000 Number of prospects reached by a given program or time period

5. For newspaper (when cost of ad is known): CPM = Cost of ad x 1000 Circulation

Print advertising prices are based on the circulation of the publication in question. Publications will quote you a circulation figure based on paid subscribers. The audited circulation figures are verified by monitoring organizations. The publications will try to convince you that actual circulation is higher by including the free copies they distribute and the pass-along readership they claim. Sometimes these claims of "bonus" circulation are valid--for example, magazines distributed on airlines get at least eight readers per copy. Still, you should be wary of inflated circulation figures.


Audience is the equivalent of circulation when you're talking about broadcast media. Audience size varies throughout the day as people tune in and tune out. Therefore, the price for advertising at different times of day will vary, based on the audience size that the day-part delivers. Penetration is related to circulation. Penetration describes how much of the total market available you are reaching. If you are in a town with a demographic count of 200,000 households, and you buy an ad in a coupon book that states a circulation of 140,000, you're reaching 70 percent of the possible market--high penetration. If, instead, you bought an ad in the city magazine, which goes to only 17,000 subscribers (households), your penetration would be much less--8.5 percent. What degree of penetration is necessary for you depends on whether your strategy is to dominate the market or to reach a certain niche within that market. Reach and frequency are key media terms used more in broadcast than in print. Reach is the total number of people exposed to a message at least once in a set time period, usually four weeks. (Reach is the broadcast equivalent of circulation, for print advertising.) Frequency is the average number of times those people are exposed during that time period. To make reach go up, you buy a wider market area. To make frequency go up, you buy more ads during the time period. Usually, when reach goes up, you have to compromise and let frequency go down. You could spend a lot of money trying to achieve a high reach and a high frequency. The creative part of media planning comes in balancing reach, frequency, and budget constraints to find the best combination in view of your marketing goals.

Unit-1.2 Factors affecting Media Plan

The media plan which is derived from the marketingand advertising plan has set a broad framework for media decisions. The execution of this plan dependsupon the following considerations: 1. Budget: A choice of media will depend to a largeextent upon the size of the advertising budget.Certainmedia types may be too expensive for the funds available. For example: the cost of nationaltransmission over Doordarshan may be too high for an advertiser. The cost of maintaining a neon signcannot be afforded by small budget advertisers. 2. Competitors Strategy: Media decisions of oneadvertiser are influenced by the competitors strategy.Some years ago only large advertisers used televisionin India. But with the runaway success of Nirmadetergent,manufacturers large or small usedtelevision to gain maximum exposure, with the hopeof creating another success story. An advertiser tries to reach the same audience as itscompetitors. He may also attempt to find specifictarget groups not reached by his competitors . Inboth these cases he considers his competitorsstrategy before deciding his media mix. 3. Frequency v/s Reach. As explained in the earlier section, frequency and reach are importantconsiderations in the media plan. Frequency refers tothe number of times the advertiser reaches the sameperson, while reach refers to the total number of people covered. The greater the frequency withwhich you reach the same person through mediaselection, smaller the reach will be and vice versa (assuming a limitation in the size of thebudget) . An advertiser will need to know thequantitative data about media audience in order tomake more accurate frequency and reach decisions. For example: If an advertiser uses radio, he may beable to afford to broadcast the advertising jingle every30 minutes, and this increases the frequency of theradio listeners exposure to the advertised message.But the reach of this message is limited and will notcover those who are not listening to the radio. Withthe same budget, the advertiser can buy less radiotime, place a few insertions in the print media and buysome television time. This combination will reduce thefrequency at which an individual consumer is exposedto the advertised message but will increase its reach.Thus,


By-Pooja Gurwani

there is always a trade-off between thesetwo considerations. 4. Increasing distributors support: Althoughconsumer media are selected primarily to affect theconsumer, the impact of media upon distributionchannels, that is the middlemen, is also important.Effective use of advertising media lends support tothe middlemens selling efforts. Middlemen are morelikely to support a brand that has greater exposure inthe local media. Retailer sometimes runs their owntie-in advertising along with the producersadvertisement, in the same media. 5. Continuity: A decision must be made about howlong an advertisement campaign should be run onone media. There is a cumulative advantage fromcontinuity, as a greater audience will be reached inTerms of both frequency and coverage by advertisements

6. Flexibility: The ability of the media to adapt tochanging and specific needs of advertisers isflexibility. Certain media allows such flexibility with respect to the advertised message, the geographicalcoverage and the ad budget For example: the timesof India group of publication may offer advertisers theflexibility of placing ads in different editions of thepaper. So if, for instance, Parles find that competitiveactivity has increased in Delhi, it may use the Delhiedition of Times of India to combat competitorsactivity. 7. Franchise Position:Advertisers using aparticular medium over a period of time may enjoyspecial franchise positions. Special pagepositions in magazines and newspapers may bereserved for them. For example: The back page of Business India may be booked by Bajaj Auto whilethe inside back cover of India Today may be bookedon a long term basis by Wills Filter Cigarettes. 8. Standard of Acceptance and Codes of Ethics : Most media vehicles have codes of ethics that setthe standards of acceptance. 9. Cost per Thousand: This is the most importantconsideration while making media decisions. Althoughthe cost is considered while fixing the budget, theconcept of cost per thousand is the accepted norm for measuring the media effectiveness. The formula for computing cost per thousand is equal to Price of themedium to the advertiser/Delivered audience (inthousands).This formula has certain limitations. The deliveredaudience may not be the same as the prospectivecustomers. Adjustments to arrive at the prospectivecustomers are possible but this is not always easy tocompute. Secondly, there is no data available to findout whether the delivered audience has actually seenor heard the advertised message. 10. Creative considerations: Creativeconsiderations such as the quality of reproduction, thecolour effect, special effects, have to be considered.The medium must be appropriate for the ad message.For example: The ads for ice cream would be reproduced better in colour and therefore black and white newsprint is not appropriate. Media decisions have to be made in consultation with the creative team that has actually produced the ad. Within themedium selected, decisions related to unit buying, isalso influenced by the creative team. There is a constant tug-of-war between the creative team andthe media team . the creative team wants larger space, more TV and radio time and superior quality of POP material, while the media team along with thefinance


By-Pooja Gurwani

continually placed in one medium.The same medium will have some new audience. For products such as toothpaste, soaps, that arefrequently re-purchased, continuity is a moreimportant consideration. But products that arepurchased infrequently may find it more suitable touse a variety of media in order to reach variedaudience. For example: the ads of Sintex water tanks.

department of the client looks for economy and maximizing the effect of every rupee spent on the media. 11. The medium and Target Consumer Match: Themedia mix has to reach the target consumer. It theadvertiser wants to reach men between 25 and 55who are professional, the Economic Times will beobviously a more appropriate choice than Femina. Butsometimes matching consumer profiles with mediacharacteristics becomes a lot more difficult. For example: Media planners will find it difficult to decidewhich kind of households can be reached by the Hindifeature film TV slot v/s the 9 Oclock serial slot. Athorough analysis of the target market will help inmaking this match and will reduce wastage of mediaexpenditure. 12. Language: In India this is an importantconsideration and depending upon which a particular ethic group has to be reached a particular languagenewspaper, or television and radio programme mustbe used. 13. Prestige of media: It is said that the prestige of the advertising medium is transferred to theadvertised product . When an ad appears in times of India, the image of the newspaper is transferred to theproduct and this helps in building the brand image.Sponsorship of prestigious programme such asthe Oscar awards, Grammy awards, World Cupmatches, are also considered prestigiousadvertising opportunities. 14. The Editorial Environmental: Since thebroadcast media , that is the radio and TV media, aregovernment controlled, they are not perceived tohave independent editorial policies. But the printmedia enjoys the freedom of press and eachpublication has its individual editorial philosophy. Theeditorial environment in turn influences reader profile.Advertisers would like to place their ads in publicationhaving an appropriate editorial environment. For instance, the ads of political parties have appeared invarious newspapers while the ads promoting brandname of liquor tend to use mens magazines as their vehicles. 15. Nature of the product or services and natureof the market to be covered: Some products haveniche markets and a special direct advertisingmedium will be suitable for them. For example:Detergents for washing machines can be used onlyby people having washing machines, but dailyconsumer products have a wider market and hencemay use mass media.The geographical extent of the market has also to beconsidered. Is the market local, national or international for example: The ads of Air India willappear both in national media as well as internationalmagazines and other media. But the ads of IndianAirlines will probably use only national media. 16. Availability of Media Time and Space: Mediatime and space have to be booked in advance. Whenan announcement is to be made immediately, theadvertiser has little choice but use the available mediatime and space. Most popular media slots have to bebooked months in advance. Media buying hasbecome an important component of media planningdue to the cost constraints and increase incompetitive activity.


By-Pooja Gurwani


By-Pooja Gurwani