Figure 8-1 Factors Affecting the Media Plan

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Discussion Slide
9
Media?
• On the average, how much time per
week do you spend with the
following media?
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•
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Television
Radio
Magazines
Newspapers
Internet
Outdoor (billboards, bus signs, etc.)
• In which media do you pay the most
attention to advertisements?
• What differences do you see
between your media habits and
those of your parents?
9-1
9
Advertising Media
Selection
Chapter Overview
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Nature of media strategy
Media planning
Media buying
Media choices
B-to-B and international media
selection
9-2
Media Strategy
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Objectives of the campaign
Target audience
Message theme
Constraints
9-3
FIGURE
9.1
Examples of Times Workers Are Exposed to Advertisements
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A favorite wake-up radio station or one that is listened to during
the commute to work.
A favorite morning news show or newspaper.
Trade or business journals that are examined while at work.
A radio station that is played during office hours at work.
Favorite computer sites that are accessed during work.
Favorite magazines that are read during the evening hours.
Favorite television shows that are watched during the evening
hours.
Internet sites that are accessed during leisurely hours.
Shopping, dining, and entertainment venues that are frequented.
9-4
People Involved in Media Selection
Media Buyer
Media Planner
Creative
Account
Executive
Client
9-5
Media
Planner
An advertisement by
New Balance placed
in Runner’s World
magazine by the
media planner.
9-6
Factors in Effective Media Purchases
• Quality of media choices.
• Creativity in developing the media
plan.
• Financial stewardship.
• Agency culture and track record.
• Good data analysis.
• Relationship between media buyer
and sales representatives.
9-7
Media Terms
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•
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Reach
Frequency
Rating
Gross rating points
Cost per thousand (CPM)
Cost per rating point
(CPRP)
• Continuity
• Gross impressions
9-8
Table 9.1
Cost for 4color full
page ad
Total
readership
(000's)
CPM
Total
National Geographic
$346,080
21,051
Newsweek
$780,180
People
Magazine
Target Market (20M)
Rating
(Reach)
Cost per Rating
Point (CPRP)
$16.44
16.1
$21,496
15,594
$50.03
12.2
$63,949
$605,880
21,824
$27.76
9.4
$64,455
Southern Living
$11,370
5,733
$1.98
2.4
$4,738
Sports Illustrated
$965,940
13,583
$71.11
10.5
$91,994
$1,324,282
21,468
$61.69
15.9
$83,288
Travel & Leisure
$183,216
2,205
$83.09
2.3
$79,659
U.S. News
$100,740
8,929
$11.28
8.3
$12,137
Time
9-9
Cost to Advertise on the Super Bowl
Year Price
1967 $42,000
1970 $78,200
1975 $110,000
1980 $275,000
1985 $500,000
1990 $700,000
1995 $1,000,000
2000 $2,100,000
Rating Viewers (millions) Cost/Rating Pt
23.0
N/A
$1,826.09
24.0
44.27
$3,258.33
25.0
56.05
$4,400.00
26.0
76.24
$10,576.92
27.0
85.53
$18,518.52
28.0
73.85
$25,000.00
29.0
83.42
$34,482.76
30.0
88.46
$70,000.00
CPM
N/A
$1.77
$1.96
$3.61
$5.85
$9.48
$11.99
$23.74
Source: Nielsen Advertising Research, Advertising Age Research.
9-10
Achieving Advertising Objectives
• Reach vs Frequency
• Recency theory
9-11
TAB LE
9 .Television
2
Television Advertising
Table 9.2
Advantages
Disadvantages
1.
2.
3.
4.
1. Greater clutter
2. Channel surfing during
commercials
3. Short amount of copy
4. High cost per ad
5. Low recall due to clutter
High Reach
High Frequency Potential
Low cost per contact
Quality creative
opportunities
5. High intrusion value
6. Segmentation possibilities
through cable outlets
9-12
STOP
Nielsen TV Ratings
INTEGRATED LEARNING EXPERIENCE
Http://www.nielsenmedia.com
Access the following sections of Nielsen Media Research
• Who We Are and What We Do
• Ratings 101
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What TV Ratings Really Mean
Measuring Ethnic TV Audience
Reports Available to the Public
Services
9-13
TAB LE
9.3
Radio Advertising
Advantages
Disadvantages
1.
2.
3.
4.
5.
6.
7.
1. Short exposure time
2. Low attention
3. Few chances to reach
national audience
4. Target duplication when
several stations use
same format
Lower cost per spot than television
Low production cost
Music can match station’s programming
High segmentation potential
Flexibility in making new ads
Able to modify ads to fit local conditions
Intimacy (with DJ’s and radio
personalities)
8. Creative opportunities with music and
other sounds
9. Mobile: people carry radios everywhere
9-14
STOP
INTEGRATED LEARNING EXPERIENCE
• To view the top 100 radio sites.
• Http://www.100topradiosites.com
• Radio Link – The Radio Advertising
Bureau’s Marketing Research Center on
the Internet.
• Http://www.rab.com
• Access Media Facts
• Access Radio Facts
9-15
Outdoor Advertising
ADVANTAGES
• 1. Large, spectacular ads possible
• 2. Able to select key geographic areas
• 3. Accessible for local ads
• 4. Low cost per impression
• 5. Broad reach
• 6. High frequency on major commuter routes
DISADVANTAGES
• 1. Short exposure time
• 2. Brief messages
• 3. Little segmentation possible
• 4. Cluttered travel routes
9-16
Outdoor Advertising
Dennis Carter discusses
how billboard advertising
was used to encourage
existing customers to
move to a newer Intel
product. Customers had
been reluctant to move
from their familiar 286
processor to the new 386
processor.
Click picture to play video.
9-17
This ad for a portable email device is aimed at busy
travelers looking for convenience.
http://www.billboardinfo.com
9-18
Http://www.jessicamcclintock.com
9-19
STOP
INTEGRATED LEARNING EXPERIENCE
Http://www.lamar.com
• Under “Rates and Markets” find your state
and your area. What are the rates for your
area. Compare it to rates in other areas.
• For benefits of outdoor advertising. access
the “Why Lamar” section.
• For a view of the various options, access the
“Products & Services” area.
9-20
Internet Advertising
Advantages
Disadvantages
1. Creative possibilities
2. Short lead time to send ad
3. Simplicity of segmentation
4. High audience interest on each
website
5. Easier to directly measure
responses
1. Clutter on each site
2. Difficult procedures to place ads
and buy time
3. Only for computer owners
4. Low intrusion value
5. Hard to retain interest of surfers
6. Short life span - viewers lose
interest quickly
9-21
STOP
INTEGRATED LEARNING EXPERIENCE
• Nielsen/Net Ratings
• Http://www.nielsen-netratings.com
• Weekly Top 10 properties.
• Weekly Top 10 banners.
• Weekly Top 10 usage data.
9-22
TAB LE
9 .Magazines
6
Magazine Advertising
Table 9.6
Advantages
Disadvantages
1. High market segmentation
2. Targeted audience interest by magazine
3. High color quality
4. Availability of special features (e.g., scratch
and sniff)
5. Long life
6. Direct response techniques (e.g. coupons,
web addresses, toll-free numbers)
7. Read during leisure time (longer attention
to ad)
1. Long lead time to ad showing
2. Little flexibility
3. High cost
4. High level of clutter
5. Declining readership (some magazines)
9-23
How important is advertising to
magazines?
The chart below shows the top five magazines and the
percentage of their revenues generated by advertising,
subscriptions and newsstand sales
TV Guide
People
Time
Sports Illustrated
Better Homes & Garden
Total Revenue Advertising Subscribers Newstand
$1,172,127,000
41.9%
43.2%
14.9%
$1,155,395,000
61.8%
18.9%
19.3%
$962,651,000
68.4%
27.2%
4.4%
$905,313,000
67.8%
28.6%
3.6%
$595,667,000
74.6%
23.0%
2.4%
Source: Http://www.adage.com (1999 figures)
9-24
TAB LE
9 Newspapers
.7
Newspaper Advertising
Table 9.7
Advantages
Disadvantages
1. Priority for local ads
2. Coupons and specialresponse features
3. High credibility
4. Strong aud ience interest
5. Longer copy/message
possible
6. High flexibility
7. Cumulative vo lume discounts
1. Internet classified
competition
2. Major clutter (especially
ho lidays)
3. Short life span
4. Poor quality reproduction
(especially color)
5. Poor buying procedures
9-25
Direct Mail
Advantages
• Normally lands in the purchaser’s hands
Disadvantages
• High cost
• Clutter
• Nuisance factor
9-26
Media Mix
United States
Radio
13.0%
Outdoor
1.8%
Magazines
12.2%
Newspapers
34.3%
Television
38.7%
Projected U.S. total ad spending = $134.3 billion
Ad Spending per capita = $437.60
Source: Http://adage.com/dataplace/topmarkets/us.html
9-27
FIGURE
9.2
Developing Logical Combinations of Media
9-28
FIGURE
9.3
Business-to-Business Advertising Expenditures
Other
4.6%
Trade Magazines
32.2%
Business Magazines
15.8%
Yellow Pages
4.0%
Consumer Magazines
6.2%
Outdoor
1.4%
Radio
4.4%
Newspapers
16.9%
Television
14.4%
Source: Sean Callahan, “Advertising Remains Favorite Communications Vehicle, With Traditional Trade
Publications, Advertising Age’s Business Marketing, May 99, p. S4.
9-29
Shift by B-to-B Advertisers to
Non-Business Media
Fact: 64% of all business advertising dollars
are spent in non-business environments.
Reasons for shift:
• Business decision makers also
consumers.
• Business decision makers difficult
to reach at work.
• Clutter among business mediums.
9-30
FIGURE
9.4
Top six B-to-B Advertisers
9-31
Media Selection in
International Markets
• Media importance varies.
• Media viewing habits vary across
countries.
• Media buying is different.
• Cultural mores vary.
9-32
STOP
INTEGRATED LEARNING EXPERIENCE
• Comparison of international media
expenditures.
• Http://adage.com/dataplace/topmarkets
9-33
Building Your IMC Campaign
• Develop the media strategy plan.
• Choose the best media for your
product.
• Develop media plans for the
consumer market, channel market
and b-to-b market.
• Match the media with the creative
briefs you have already developed
9-34
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