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What Are P&G’s 10

Key Media
Investment Rules?
(i) Invest In The Right Areas

• Spend behind the business


Market Business Split Media Budget Allocation
A 10% 10%
B 25% 25%
C 50% 50%
D 15% 15%

• May vary with test markets, upweights etc.


• Basic consideration - support areas of business strength,
not weakness
(ii) You Can Shift Budgets, But..

Budgets are controlled Regionally:

• Global Business Units (GBUs) are responsible for the


Brand Portfolio & Strategy
– They develop the NPD & innovation programmes, equity &
positioning, communication strategies, creative materials, and
channel guidelines & marketing budgets
• GBUs control the budgets, through to execution – and
could reallocate:
– Across countries for their Brand(s)
– Occasionally within a category itself
– But not between categories
(iii) Consolidated Buying for Maximum
Effective

• Buying AOR – 1 buying point across all brands


• Negotiating under the P&G umbrella delivers certain
advantages
– Price and market strength
– Rotate brands to respond to competition
– Secrecy for launches (currently not utilised in Vietnam)
– Best positions
– Good short term opportunities
• Global deals – i.e. Viacom
(iv) They Buy Eyeballs

• The 3 most important principles when buying media


for P&G:
1. Low CPM
2. Low CPM
3. Low CPM
– Buy it cheap, stack it high
– There is no such thing as programme “quality”
– A rating is a rating is a rating
(v) Across The Year

• “Continuity is more often associated with business


success”
• 210 U.S. Brand Media Plans studied found conclusively in
favour of continuity
Weeks-In % Brands Grow/Held Share
39+ 51%
26-38 8%
• “Flighting is not a strategy, it’s a reaction to budget
scarcity” Jim van Cleave P&G Media
(vi) Always Concentrate on TV

• TV advertising works (best)


• P&G learning suggests that no other medium grows brand
share more effectively than TV

Identify minimum monthly effective TV weights and then


maximise the number of weeks on-air

• Traditional forms of advertising are the most effective


• P&G have now tested, name & event sponsorship
(vii) Utilise the Copy to its fullest

• Analysis tells us that P&G will rotate copy roughly every


3000 ratings
• This is may vary by market due to the accuracy of the
report systems
• However as an average it still holds true in Vietnam
The Average Complies With The P&G
Actuals
Rule
GRPs
10,000
9,000
8,000 Average GRPs per P&G copy : 3,036
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0

10,000
9,000
8,000 Average GRPs per P&G hair copy : 2,943
7,000 Active weeks per Hair copy
6,000
Max : 38 wks ( title H&S World best )
5,000
4,000 Average : 10
3,000
2,000 Minimum\ Often : 4 wks
1,000
0
1 4 7 10 13 16 19 22 25 28 31 34 37 40 43 46 49

Source: TNS
(viii) Print Can Be Effective When Used
With TV

• Print can reach specific target groups and increase overall


coverage levels
• Print should be scheduled at the same time as TV
• Print should run for a strategic minimum of 26 weeks
• Single pages are more cost effective than double pages
– FP4Clr : 100 index awareness
– DPS 4Clr : 124 index awareness *
– * Starch study
(ix) S.O.V Is Important But A Guide
• Consumers don’t see S.O.V. - but P&G aim for SOV
leadership

• Over the long terms, brands with Share of Voice


leadership tend to be market share leaders

• Short-term S.O.V. objectives means the competition


writes the media plan/strategy

• First objective : Weights that are right for our target


group, then consider the competitive activity/weights
(x) Don’t Take Risks
• Use data/facts not judgement

• Key P&G words : Learning


Best practice
Search and re-apply

• Sometimes they use “judgement”


• Ideally they would always use data, facts and evidence

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