Topics Covered

Advertising Campaign - Advertising

v/s Consumer Behavior; Electronic
Media Buying
 Advertising Planning Framework:

MESSAGE DECISION:
•Message
strategy
BUDGET DECISION:
•Message
OBJECTIVE SETTING:
•Affordable execution CAMPAIGN
EVALUATION
•Communication Approach
Objective •Percent of sales •Communication
•Sales Objective •Competitive parity impact
•Objective & task •Sales impact
MEDIA DECISION:
Reach ,frequency,
impact, timing,
media vehicles or
types
 Step:1: setting advertising objective

• Must be stated clearly in a precise and measurable terms.

• “sales oriented” or “communication oriented”

 Step:2: setting the advertising budget

Methods:
 Affordable approach
 Percentage of sales method
 Competitive parity method
 Objective & task method
 Step:3: Creating advertising message

• Gain and hold attention

• Imaginative, Entertaining and Rewarding to consumers.

• “creativity plays an important role in developing effective message.”

 Advertising Appeal:

The advertising appeal refers to the basis or approach used in the

advertisement to attract the attention or interest of consumer and
to influence their feelings towards the product, service or cause.

Advertising appeals can be broken down into 3:

 Informational appeal
 Emotional appeal
 Moral appeal
Step:4: Media planning:

A media planner needs to answer the following question:

 What audiences do we want to reach?

 When & how to reach them?
 Where to reach them?
 How many people should be reached?
 How often do we need to reach them?
 What will it cost to reach them.
 Types of Media Vehicles:

 Print media: Newspaper, magazines, pamphlets, visiting cards,

yellow pages etc.
 Broadcast media: Radio, T.V, Cinema.
 Out door Advertising: Bill boards, hot air balloons, wall
writings, hoardings etc.
 Transit advertising: buses, loud speakers
 Specialty advertising: T-shirts, caps, cups etc.
 Internet
 Step:5:Evaluating the effectiveness of advertisements:

The advertising program should evaluate both the communication effect and
the sales effect of advertising regularly.
Measuring the communication effects of an advertisement-copy testing- tells
whether the ad is communicating well.

The sales effect of advertising are often harder to measure than the
communication effect because sales are effected by many factors besides
advertising- such as product features, price and availability.
 5 M’s of advertising:

MONEY

MISSION MESSAGE

5
M’s

MEASURE
MEDIA
MENT
 Advertising Agency:
The American Association of Advertising Agency (AAAA) defines an
advertising agency as “ an independent organization of creative people
and business people who specialize in developing and preparing
advertising plans, advertisements and other promotional tools.”

Types of Advertising Agencies:

• Full service agency:
Full service agencies are geared to provide complete range of services to
its clients, which includes services such as strategic planning, creative
development, production, media planning, media buying and other
related services.

In India, HTA, Clarion, Lintas are some of the Full Service agencies.
 Types of Advertising Agency (conti…):

2. Limited service agency:

They concentrate on creative aspect of advertising. They are well
appreciated and used by clients looking for high quality creative work
while depending on other sources for media planning and execution of
the campaign. They are also known as creative boutiques or creative
shops.

3. House agency:
The house agency is an advertising agency established by a company to
look after its advertising requirements.
eg. Mudra Communication pvt ltd,- owned by reliance.
 India’s 10 leading advertisers by media spend:

 Hindustan Lever($376 m)
 Paras Pharmaceuticals ($120 m)
 Procter & Gamble ($114 m)
 Coca-Cola company ($95 m)
 Godrej industries ($80m)
 Colgate-palmolive ($67 m)
 Pepsico ($62 m)
 Nirma chemicals ($52 m)
 Nestle ($50 m)
 Dabur India ($49 m)
 India’s 10 leading advertising/PR companies of India:

 Ogilvy & mather

 J walter Thompson India
 Mudra Communivation Pvt Ltd
 FCB Ulka advertising Ltd.
 Rediffusion- DY&R
 Erickson India Ltd.
 RK Swamy/BBDO advertising Ltd.
 Grey worldwide(I) Pvt. Ltd.
 LEO Burnett India Pvt Ltd.
 Contract advertising India Ltd.
 Advantages and Disadvantages of the Various Advertising Media
Media Advantages Disadvantages
Newspapers Flexibility Short lifespan
Community prestige Hasty reading
Intense coverage Poor reproduction
Reader control of exposure
Co-ordination with
national advertising
Merchandising service
Magazines Selectivity Lack of flexibility
Quality reproduction
Long life
Prestige associated with
some magazines
Extra services
Television Great impact Temporary nature of
Mass Coverage message
Repetition High cost
Flexibility High mortality rate for
Prestige commercials
Evidence of public distrust
Lack of selectivity
 Advantages and Disadvantages of the Various Advertising Media

Media Advantages Disadvantages

Radio Immediacy Fragmentation
Low cost Temporary nature of
Practical audience message
selection Little research information
Mobility
Outdoor Quick communication of Brevity of the message
Advertising simple ideas Public concern over
Repetition aesthetics
Ability to promote products
available for sale nearby
Direct Mail Selectivity High cost per person
Intense coverage Dependence on quality of
Speed mailing list
Flexibility of format Consumer resistance
Complete information
Personalization
Planning The Best Message

“A I D A”
A - Attention
I - Interest
D - Desire
A - Action

Page531
Prepared for Marketing 106
Copyright, Professor W.T.G.
Richardson, Seneca College
 Buying and
Selling Media
 Implementing the Media Plan
• The Role of Media Planning
• The Role of Media Buying
• The Role of Media Sales
• Other Media Players
– Media Research
– Media Management
– Media Traffic
– Agency Billing
 The Role of Media Planning
• Prepare and present the recommended plan
– Analysis
– Strategic recommendations
• Translate the plan into a buying brief
 The Buying Brief
• Designated buying target
– Strictly demographic
– Often same as plan “measurement target”
• Summary of plan objectives
– Restatement of the reach/frequency goals
– Rationale
 The Buying Brief
• Summary of key plan strategies
– Scheduling – specific timing goals
– Geography – market or regional emphasis
– Media Mix – media by class/type
• Rationale for each
 The Buying Brief
• Detailed media requirements
– Purchase weight goals by week
• By media
• By market
– Typically presented in a spreadsheet
 The Buying Brief
• Budget breakdown and cost parameters
– Planning cost guidelines become cost parameters
– Buying budget goals by week
• By media
• By market
 The Buying Brief
• Media market and merchandising strategy
– Upfront buying
– Bulk buying and “pools”
– Merchandising extras
• Television sponsor billboards
• Magazine reader surveys and BRCs
• Radio contests and “remotes”
 The Role of Media Buying
• The Basic Buying Process
– Identify alternatives
– Evaluate alternatives
– Negotiate details
– Execute the buy
– Manage the buy
 Identify the Alternatives
• Identify possibilities
– Meet with sales reps
– Read the trade press
– Media research resources
• Assemble the important information
– Relative to plan strategies
– Relative to message requirements
 Evaluate the Alternatives
• Complete the analysis
• Prioritize and rank alternatives
– Based on plan criteria
 Negotiate the Details
• Most variables are negotiable
– Cost/pricing
– Positioning/placement
– Timing
– Merchandising extras
 Execute the Buy
• Contract with the media
• Contract distribution
– Billing department
– Media traffic
 Manage the Buy
• Contract conditions
– Proof of run
• Tearsheets
• Air checks
– Proof of audience
– Competitive separation
• 6 pages
• Commercial pods
 National TV Upfront Buying
• Upfront Market flow and timing
– Mar/Apr start
– May Negotiations and buying
– September – following August airing
• Upfront Buy degrees of firmness
– Varying by quarter of the year
• Higher, more firm early quarters
– Release mechanism for both the media and the marketer
 The Role of Media Sales
• Research and Analysis
– The goal is to position the media property
• Sales and Negotiation
– The art of problem solving
– Finding the right problem that the media property can best
solve
• Post-buy Tracking and Evaluation
– Ongoing relationship between seller and buyer
 The Role of Other Players
• Media Research
– Throughout the process, supports all aspects
• Media Management
– Decisions on content and pricing to attract audiences and
advertisers
• Media Traffic
– Distribution of message materials from agency to
contracted media
• Agency Billing
– Keeps money moving between client companies, agencies,
and media
 Summary
• Media planners and the Buying Brief
• Media Buyers and the Buying Process
• Media Sales and the Art of Problem Solving
• Other important media functions and the jobs
they do