The following media plan was prepared with exquisite detail to budget, media
selection, and scheduling. With the use of this media plan Coca-Cola will reach set
marketing objectives and continue to rank superior to all other products in the category.
Target Market
The target market is very important in deciding what media to recommend. CocaCola’s target market was chosen based on highest sales potential demographic segments.
The demographics segments are age, marital status, and profession. The reason why
these three particular demographics were weighed so heavily is because when looking at
the MRI data they had the biggest number difference in BDI for each category. This is
important because if the BDI has a big number difference that means that the sales
volume potential will also be high, and in return higher sales which is the ultimate goal.
When looking at the MRI data for age, the primary category is people from age
25-34 and secondary are age 35-44 as shown in the table below.
Age
A
Total # of users (‘000)
B
Share of users
D
BDI Index
D Rank
BDI rank
A*D
Sales volume potential
A*D Rank
Rank of sales volume
potential
25-34
35-44
18-24
27800
27686
18298
23.6
23.5
15.6
113
106
122
2
3
1
3141400
2934716
2232356
1
2
3
Marital status was also weighed heavily because of the BDI number difference
and greatest sales potential. The primary user is married people and the secondary is
parents. These categories could be higher due to more people in the household.
Marital
Status
A
Total # of users
(‘000)
B
Share of users
D
BDI Index
D Rank
BDI rank
A*D
Sales volume potential
A*D Rank
Rank of sales volume
potential
Married
66198
45168
56.3
38.4
98
110
4
2
6487404
4968480
1
2
34933
29.7
108
3
3772764
3
Parents
Working
Parents
1
The third variable is profession. The reason why profession was weighed highly is
because not only does it show a great difference in MRI sales volume potential but it also
helps to show which professions to target. The primary category is other employed
because it has the greatest sales volume potential and the second is clerical, sales, and
technical because it has the second highest sales potential volume.
Profession
A
Total # of users
(‘000)
B
Share of users
D
BDI Index
D Rank
BDI rank
A*D
Sales volume potential
A*D Rank
Rank of sales volume
potential
Other
Employed
25675
21.8
111
2
2849925
1
Clerical/
Sales/
Technical
Precision/
Crafts/ Repair
23029
19.6
103
3
2371987
2
9590
8.2
113
1
1083670
3
Considering the numbers above, the primary target is described as 25-34 years
old, married and employed in non-clerical, sales, or technical positions. Secondary target
is defined as 35-44 years old, parents, and hold employment positions in clerical, sales,
and technical areas.
Media Objectives
For this fiscal year, BJH&A Worldwide will implement a continuity strategy
showing Coca-Cola as a mature and driven company. The seasonality of sales for CocaCola fluctuates, so heavy advertising varies and is not always necessary. A pulsing
strategy will be executed in order to create not only more reach, but maintain and
increase levels of frequency for our advertising this year. Our company has reached the
decision that it would not be wise to use a flighting or continuous continuity strategy,
simply due to the fact that Coca-Cola is a product that is widely known and immensely
used. Since the product speaks for itself, we have chosen not to create two different
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extremes, which are, to create an advertising hiatus or saturate the consumer with
advertisements.
The product lifecycle for this company is determinable when examined, because
the company is very mature and has been around for many years. After looking over the
estimated budgets from previous years, we determined that since Coca-Cola has such a
large advertising budget the best strategy of continuity for us to take is pulsing. By using
the pulsing strategy, we are able to create incomparable and preferred advertisements at
the time when Coca-Cola should dominate the soft drink competition.
Throughout the entire campaign period, BJH&A Worldwide plans to obtain an
average reach goal of 63/63, and a medium frequency goal of 7/7. We will be focusing
much of our attention on the months of November/December, and June/July/August for
both high reach and frequency. These months are the peak for advertising particularly
because November/December is the time when family and friends gather to bring in the
holidays with one another and celebrate, and June/July/August are the main targets
because its summer and it hot! What’s better than to have a nice cold refreshing CocaCola in your hands? We plan to remain as consistent as possible in choosing which
mediums to advertise in. As well as being a reliable and constant influence in several
different media’s to access our largest possible audience of viewers, listeners, etc.
Frequency is our main key for this year’s success in maintaining Coca-Cola’s superiority
in the market. Remembering to advertise with high reach at certain key moments in the
business is important. Though, frequency is more of a focus for this fiscal year.
The goals for each month were set based on their importance for sales peak times,
which are mostly summer and winter because these times are very significant and can
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make the largest impact. The reach goals of the June/July/August period are a high of 80
with a high frequency of 9. The winter season including the months of
November/December also have a high reach of 80 and a high frequency of 9. Since
Coca-Cola is a mature company, we decided to focus on more prominent months than
beginning a new start in the first month of the year.
Our focus has been to push a high frequency and a medium to low reach. So in
the months that we have little advertising, we have pushed a low to medium reach in the
in the months which include January-May, and September/October, but always
maintaining a medium to high frequency. Coca-Cola will be embarking on a profitable
and enlivening year. Below is a graphical representation of the budget allowances and
allocations.
Budget Recap Sheet
Budget $180 million
Time Period
Reach
1. Jan/Feb
Med (60)
Med (6)
720
.13
$23.4 M
2. Mar/Apr
Low (30)
Med (5)
300
.05
$9.0
4.5
3. May
Low (40)
Med (6)
240
.04
$7.2
7.2
4. June/July/Aug High (80)
High (9)
2160
.38
$68.4
2 2.8
5. Sept/Oct
Med (70)
Med (6)
840
.15
$27.0
13 .5
6. Nov/Dec
High (80)
High (9)
1440
.25
$45.0
22.5
5700
100
$180 M
63/63
Frequency
GRP# GRP% Per Period
7/7
4
Per Month
11.7
Media Mix and Strategy Tactics
Given the nature of diversity of Coca-Cola, we choose to utilize the concentrated mix
strategy. One major advantage of using this particular strategy, is the ability to establish
frequency and repetition. Considering Coca-Cola is a world recognized product,
establishing reach is of less significance. In order for Coca-Cola to maintain their
recognized image, it is imperative that we use Network TV, Syndicated TV, Cable TV,
and Spot TV. Given our budget of 180 million, we can afford to advertise our product on
television at any time during the day. In addition to television, we will use magazines
and outdoor billboard advertising as well. We believe our products message will be
effectively delivered to our audience, simply because of the abundant amounts of people
that watch television and read magazines. The following table represents the Allocation
Method in $:
$ Allocation Method ($180 Million)
Media Mix
Weights
Television (Network, Synd, Cable, Spot)
97%
$ Allocated
174,600,000 (98%)
Magazines
1.90%
3,420,000 (1.9%)
Outdoor
1.10%
1,980,000 (1.10%)
100%
180,000,000 (Budget)
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As you can see, Television is the dominating media mix, occupying 97% of our
advertising. The next table represents an allocation across periods by each medium (Mix and
Weights by Period). This is the Media Mix and Allocation Table:
Media
Television
II
III
IV
V
VI
3,200
1,570
280
5,500
1,640
450
174,600
%
%
%
%
%
100%
%
%
%
(72%)
%
%
Magazines
Outdoor
Period Total
Total Budget
(000)
I
%
%
800
530
90
1,000
700
300
3,420
(23%)
(15%)
(3%)
(29%)
(21%)
(9%)
100%
18%
23%
2%
14%
26%
33%
(19%)
500
240
30
700
360
150
1,980
(25%)
(12%)
(2%)
(35%)
(18%)
(8%)
100%
11%
5%
0.05%
10%
13%
16%
(9%)
4,500
2,340
400
7,200
2,700
900
180,000
25%
13%
0.04%
38%
15%
0.05%
100%
As you can see from the data above, period four is the advertised the heaviest,
followed by period one and two. 38% of the total advertising is done in period four due to
the summer months of June, July, and August. These are the peak months for sales of
Coca-Cola. 68.4 million dollars is spent during period four, which is an average of 22.8
million per month. January and February follows with 45 million dollars being spent
during period one, which is an average of 22.5 million per month. The lowest being
spent on advertising occurs during period 3 in the month of May. Only 7.2 million is
being spent.
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Tactics
Tactical decisions include the specificity of media classes, vehicles, and day part
choices. With regards to Coca-Cola, we need to focus on tactics for building frequency,
rather than reach, simply because Coca-Cola is at the maturity level and millions of
people around the globe are reasonably familiar with the product.
Tactics in broadcast media include, using the same day part and television channels.
For example, Coca-Cola advertisements should consistently be aired on network, cable,
syndicated, and spot channels during primetime. In addition, similar program and vehicle
types should also be utilized. For example, Coca-Cola needs to focus on airing its
advertisements during popular primetime television shows such as CSI, FEAR FACTOR,
JEOPARDY, and AMERICAN IDOL. This will help maximize the frequency levels
desired by Coca-Cola.
Tactics in print media include, especially in magazines, using the same type of
editorial class. For example, Coca-Cola advertisements should consistently be
documented in similar style magazines such as PEOPLE, US, TIME, LIFE, and
NEWSWEEK. In addition, repeatedly using the same vehicle will help assure optimum
levels of frequency. For example, Coca-Cola desires to advertise in 12 monthly issues of
the same magazine such as PEOPLE. By advertising in the same magazine every month,
the loyal readers of this magazine will continue to be exposed to Coca-Cola ads and will
most likely influence their decision to purchase a liter of Coca-Cola.
Tactics also involves the decisions to determine what options of ads to run. In CocaCola’s case, it is essential to determine the length of a commercial ad and the size and
color of an ad in a magazine. With regards to television, it isn’t always necessary to run a
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30 second ad, due to the existing high reach levels of reach. Coca-Cola needs to focus on
frequency, there running a several 15 second ads will help maximize frequency levels
among its viewers. With regards to magazines, a full color page ad is not necessary,
again, due to its world recognized product. However, a half page or quarter size page ad
in the same type of editorial classes will again help ensure high levels of frequency.
Conclusions
BJH&A is confident that with the above media plan and budget allocation
strategy, Coca-Cola will reach the set marketing objectives. Following a history of
successful advertising formulas, BJH&A will also set innovative and clever ads with a
blend of fresh ideas and brand traditional imagery. BJH&A has prepared this plan with
high consideration to efficiency and media appropriateness.
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