Coke Zero Media Plan - Amazon Web Services

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Coke Zero
January 2011-December 2011
Media Plan
ARIELLE FRY
JARAD KLOOCK
KYLIE ETHRIDGE
JB3013
Table of Contents
2
 Situational Analysis……………………………………………………Pg.3
 SWOT……………………………………………………………………….Pg.7
 Marketing Goals & Media Objectives.................................Pg.9
 Media Objectives………………………………………………………..Pg.10
 Media Strategies…………………………………………………………Pg.11
 Media Tactics……………………………………………………………..Pg.17
 Budget Pie Chart…………………………………………………………Pg.19
 Budget Worksheet……………………………………………………...Pg.20
 Flowchart…………………………………………………………………..Pg.21
 Plan Performance……………………………………………………….Pg.22
 Summary……………………………………………………………………Pg.23
 Appendix……………………………………….................................Pg.24
3

Situational
Analysis
Media Budget


Product Evaluation

Media Budget
•
$35 Million
$35 Million
Product Evaluation

Coke Zero is a popular alternative to its parent brand,
Coca-Cola. Coke Zero offers an alternate sugar-enhanced
taste with the benefit of zero calories, along with the classic
Coca-Cola taste to satisfy anyone. Coke Zero is referred to
as calorie-free rather than diet to escape the negative
connotation that diet is only for women or that diet drinks
taste bad. With its zero calories, classic Coca-Cola taste,
Coke Zero makes drinking low or no calorie soda attractive
to men.
Since Coke Zero’s launch, it has been one of the best
products in Coca-Cola history and has now been made
available in 100 countries. Coke Zero’s success can also
attributed to its parent brand, Coca Cola and its global
standing. Coca Cola, which has nearly 500 other brands
and has a global standing, is a well-known industry leader
when it comes to soft-drinks, fruit juices, sports drinks and
many others.
4
Situational
Analysis:
Primary
Target
Snapshot
Demographics
•
•
•
•
•
•
Age: Men 21-28; the
secondary market
would be men and
women 25-34
Sex: men and women;
predominately men
Income: $ 20,000 and
up
Race: White and Asian
Marital Status: Single
Education: Graduated
college plus more
education

Psychographics:

The consumers in this target market are middle to upper class, ranging
between single and married, and usually do not have any children. Most
live in metros and urban areas working as white collar workers, many as
professionals.

With the lack of children, most have a comfortable and flexible lifestyle,
with interest in various forms of entertainment, sports and shopping.
Also, many live in mid-sized homes, with hopes of becoming a
homeowner someday.

Geographic:

Penetrated Region: South

Region for opportunity: West and Midwest

Usage Habits:

20 percent of adults ages 34-44 drank Coke Zero in the last 6 months.

Consumer Profile:

John is 27 years old and currently works as a market analyst for a local
downtown firm. He graduated college several years ago with a degree
and later went on to grad school. Currently John is living in Dallas with
his wife, who is a nurse. The couple plans to stay in Dallas, which is
where they plan to have children and buy a home. In their free, time
John and his wife like to attend sporting events in their city, shop, eat
out at restaurants and seek various forms of entertainment.
5

Competitive Analysis
 The Coca Cola and Pepsi’s market share has most to do with
region. While the market share is nearly equal, it depends on
which country and area you are in. Both brands’ original sodas
have their diet counterparts, so therefore the target market for
them is nearly identical.
 However, Diet Coke has been a prominent force in the realm of
diet soda for the longest time. Pepsi and other competing
brands such as Pepsi Max, Pepsi One and Diet Dr. Pepper have
not been competing for as long as Coke. Therefore, since Coke
has had the niche of diet drinkers the longest, it is most likely
that Coke drinkers are more inclined to “trust” their company
to create a diet soda than any of Pepsi’s brands. This alone gives
Coca-Cola a huge advantage in the diet soda department.

Advertising History
 Coke Zero’s past advertising has been primarily directed at
males with dark backgrounds, simple layouts, and sexual
undertones. In the past, Coke Zero has used internet, TV, and
magazines as a medium for their advertisements. They have
also used mobile marketing and out-of-home such as product
displays in stores.
Situational
Analysis
Competitive Analysis
•
•
•
Pepsi
Dr.Pepper
Other diet sodas
Advertising History
•
Primarily directed
toward males
6

Situational
Analysis
Sales History
•
Sales jumped 35%, but
pulled mainly from
Coke Classic drinkers
Product Distribution
•
Market share has to do
with region
Sales History
 Since Coke Zero’s introduction in 2006, the sales of sugar free
Pepsi products including Pepsi Max and Diet Pepsi have
dropped from 138 million liters to 129 million liters within a
year. With Coke Zero being the biggest launch since Diet Coke
22 years ago, the Coca-Cola Company gained revenue of over
24 million dollars within the first 16 weeks of its introduction.
 In 2008, Coke Zero’s sales had jumped 36% from the 600
million cases sold globally. Figures show that throughout Coke
Zero’s sales so far, most of the sales have pulled from Coke
Classic drinkers rather than Diet Coke drinkers.

Product Distribution



The Coca Cola and Pepsi market share has most to do with
region. While the market share is nearly equal, it depends on
which country and area you are in. Both brands’ original sodas
have their diet counterparts, so therefore the target market for
them is nearly identical, but slightly different in ways
mentioned above.
However, Diet Coke has been a prominent force in the realm of
diet soda for the longest time. Pepsi has not been competing in
that manner for nearly as long as Coke.
Since Coke has had the niche of diet drinkers the longest, it is
most likely that Coke drinkers are more inclined to “trust” their
company to create a diet soda than any of Pepsi’s brands. This
alone gives Coca-Cola a huge advantage in the diet soda
department.
7

SWOT
Strengths
Weaknesses

Strengths
 When you drink Coke, you’re using a brand that has stood the
test of time, and to most consumers appears to be the brand
that has the most classic appeal.
 It also has less aspartame than Diet Coke; therefore, it is a big
change from the other diet soft drinks that are available.
 Due to the lack of aspartame, Coke Zero claims to have less of
an aftertaste, which is always desirable for a soft drink
consumer.
 It is sweeter than Diet Coke, but contains less sugar and more
of a Coca Cola classic taste than it’s diet counterpart.
Weaknesses
 While Coke Zero’s image is far from unacceptable, and its
appeal is wide amongst men, it bottlenecks itself from being
marketable to the other half of the population, women. It
might be wise in the future begin to slowly meld the media
plan into marketing this product to women as well as men.
 Another disadvantage is that Coke Zero is also relatively new
in the market, so the awareness of its availability is there, but
necessarily everyone knows of its benefits and actual taste.
8

SWOT
Threats
Opportunities

Threats
 The threats to Coke Zero include every diet product out there.
This includes Diet Pepsi, Pepsi Max, Pepsi One, Diet Dr.
Pepper or any diet soda.
 Many people may try to balance their diets in certain ways
unrelated to drinking diet sodas. Many people are dedicated
Coke drinkers already. So, it may be that people will eat
healthier or eat more low calorie foods, but not supplement
their diets with diet products such as Coke Zero.
 Coke Zero’s biggest and most dangerous competitor would
easily have to be Pepsi. Pepsi’s low calorie and low sugar soda,
Pepsi One, is most desirable for Pepsi drinkers who have the
same outlook on health. While Coke is slightly more popular
than Pepsi, Pepsi still has its groups of loyal brand consumers.
Opportunities
 Coke Zero has an opportunity to expand its market by creating
advertisements that are not so obviously male-oriented. The
past advertising is directed at males so by creating another set
of ads that do not turn off their primary male audience, but
are more attractive to the female market, they stand to raise
their profits. The main tool they could use in order to achieve
this is the zero calories quality of the product. Much of the
older audience is concerned with maintaining their figure as
they age and by playing on this, Coke Zero can loop this
segment into their market as well.
9
Marketing
Goals
and
Media
Objectives
Marketing Goals
Increase sales among men
21-28 by 5%
•
Increase product
awareness by 15%
Geography
•
National
Reach and Frequency
•
•
•
Reach: 60%
Frequency: 5
 Marketing Goals:
Increase Sales among men 21-28 years old by 5%
within 12 months
 Increase product awareness to target audience by
15%
 Geography
 Advertising will achieve geographic coverage by
having a national campaign. We will also maintain
national coverage throughout our promotion as
well.
 Reach and Frequency Goals
 Advertising should focus on frequency rather than
reach because of the type of product Coke Zero is.
Since soft drinks are products that are purchased
daily, consumers need to be frequently reminded of
Coke Zero so that they choose this product over
their usual choice. With our campaign, we would
like to obtain a reach of 60% and a frequency of 5.

10
Creative Implications
 There are no creative implications.
 Promotional Support
 Advertising will focus on the Stanley Cup for the
promotional event in the months of late March
through June.
 Because Stanley Cup’s primary audience matches
Coke Zero’s target audience, advertising will be heavy
up before and during the time that the Stanley Cup is
going on.
 Prior to this, national advertising will promote Coke
Zero’s sponsoring of the Stanley Cup.
 Pattern of Scheduling
 Advertising should be scheduled in a pulsing pattern,
where advertising is scheduled continuously
throughout the year to continue to gain awareness for
the product and to serve as a reminder for consumers.
 Advertising should also be scheduled with a heavy
emphasis during the months of March though June to
raise promotional awareness of the 2010 Stanley Cup.

Media
Objectives
Creative Implications
•
No creative
implications
Promotional Support
•
Stanley Cup
Pattern of Scheduling
•
Pulsing
Media Strategies
11

Target Audience
 Coke Zero’s target audience, an
audience of primarily younger males
and a secondary audience of
females, can be reached through
media such as TV, magazine and
internet.
 The best vehicles to target this
audience would be TV stations such
as ESPN, ABC, Spike and TBS;
consumer magazines such as EPSN,
Entertainment Weekly, and GQ; and
internet Web sites such as
foxsports.com, cbs.com, and
espn.com.

Target Audience cont.
 Also, to assist the media and
vehicles we plan use; we could use
radio and internet as an option to
increase frequency and for our
promotion.
 Rationale: The vehicles for media
listed are just a few that appeal to
one or both portions of the target
audience and can result in a high
reach.
 If possible or needed, radio
and internet would be used to
increase frequency especially
during the time of the
promotion.
Media Strategies cont.
12

Geographic Coverage
 For Coke Zero, we want to gain national
coverage through television stations such
as ESPN, ESPN 2, Spike, ABC, FOX, TBS,
CNBC, CBS, CBS College Sports Network,
and Comedy Central.
 Rationale: These television stations
tend have a higher viewing among the
Coke Zero primary audience which
would be beneficial to maintaining
and gaining product awareness.
 The television stations, ABC, CBS,
FOX and TBS are able to reach and
appeal to both the primary and
secondary audiences as well.
 Also, to achieve maximum
exposure of our ads, we will want
to advertise to the primary target
audience during primetime, the
hours of 11:30pm-1am (such as
Adult Swim), bowl games and
football-college weekend.

Geographic Coverage cont.
 Along with the national television
coverage, we will use magazines in
addition to television. Male driven
magazines such as ESPN, GQ,
Esquire, Maxim will be used.
 Rationale: By using these
magazines in addition to the use
of television, we are able secure a
better reach of our primary target
audience and gain awareness.
Media Strategies cont.
13
 Pattern of Scheduling


We will maintain a pulsing pattern
of advertising throughout the year
to gain awareness and to increase
sales with an emphasis on the NHL
Stanley Cup.
We will achieve the yearlong
continuity of the campaign through
mostly television and magazines.

During the fourth quarter, we will
not advertise television due to the
excessive clutter during the holidays
and because of budget constraints.

Pattern of Scheduling cont.
 During time of the Stanley Cup, late
March-July, we will want to heavy
up by increasing internet in respect
to our promotion. We also want to
heavy up by using television related
to promotion as support.
 Rationale: Because the Stanley
Cup is spread out through about
3-4 months, we will need to
increase and maintain frequency
through popular sports Web sites
such as espn.com (especially the
NHL Page), CBSsportline.com,
foxsports.com, NHL.com, as well
as on the sports and NHL pages
of websites.
Media Strategies cont.
14

Reach/ Frequency

We will want to use television and magazines
to build reach and awareness of Coke Zero.
 In addition to building reach, we will also
want to build frequency. We will do this
mostly during the time of our promotion
with the use of internet and radio.
 Rationale: Television is the best
medium to use because it has a high
reach factor and our
primary target
audience and portions of our
secondary audience are more likely to
tune into television programs such as
sports, news, primetime and late night
television programs, which appeal to
them.
• We want to build frequency by
using the internet as a medium
during the time of the NHL Stanley
Cup.

Reach/Frequency cont.
 Rationale: During our year-long
advertising campaign, we want to
not only want to on focus reach but
also frequency. We will achieve
this through internet Web sites
such as, espn.com, msnbc.com,
foxsports.com and cbs.com.
• Specifically during our NHL
Stanley Cup promotion, we will
use the same Web sites to build
frequency and perhaps for
extra support, radio would be
used.
 Rationale: Radio is a high frequency
medium that could be beneficial to our
NHL Stanley Cup promotion. We
could achieve this through radio
stations focusing on genres such as,
sports talk, some news talk, classical
rock, alternative rock.
Media Strategies cont.
15

Creative Implications
 There are no creative implications
for Coke Zero.

Promotional Support
 We will want to support and
maintain our promotion of the NHL
Stanley cup through television,
internet, and radio to. During the
duration of campaign, late March
through June, we will want focus
our televisions and internet spots on
the promotion. We will also heavy
up by including some radio to add
support to the media already in use
and to continue to gain frequency.

Promotional Support cont.
 Rationale: For television, we will
be running advertisements in
addition to those already running
promoting Coke Zero’s
sponsoring of the Stanley Cup.
These advertisements will run on
stations such as ESPN, CNN,
MSNBC, and Fox News to reach
our target audience. We will also
run advertisements on stations
such as MTV, VH1, and Comdey
Central to reach our primary
audience, as well as our
secondary audience.
Media Strategies cont.
16

Promotional Support cont.
 Rationale: For internet, we will
focus mainly on sports and news
Web sites, such as espn.com,
nhl.com, cnn.com, and cbs.com
in order to effectively reach our
target audience.
 In addition to the
advertisements already on
these sites, we will place
advertisements specifically
promoting the Stanley Cup.
 We also want to make sure we
advertise on specific pages,
such as the hockey/NHL
section on any of the sports
sites and pages.

Promotional Support cont.
 Rationale: Radio spots will run
on national radio stations such as
sports radio, talk radio, classic
rock stations, alternative rock,
and top 40 stations during the
morning or afternoon drive times
in order to reach our primary
target audience on their way to or
from work.
 Radio advertisements will
focus on promoting Coke
Zero’s sponsoring of the
Stanley Cup and to gain
frequency for the promotion
and campaign.
Media Tactics
17

Television:
 Cable Television:
 :30 second spots
 Primetime
 Channels: ESPN, Spike
 Affordable GRP: 1200

National Television
 30 second spots
 Late fringe
 Channels: ABC
 Affordable GRP: 400

Magazine:
 Full Page Ads:
 4-color full page with bleed
 Magazines: ESPN
 No cover
 Special Issues: Jan. 11 BCS
Preview; April 5 NHL Playoffs;
May 3 NBA Playoffs preview,
NFL draft preview, June 14 MLB
Coverage; June 28 NBA and NHL
Draft Preview; Dec. 27 BCS
Championship bowls preview
 ½ Page Ads:
 4-color ½ page with bleed
 No cover
 Magazines: Maxim and GQ
Media Tactics cont.
18
 Internet:

Banner ad
 Positioned at the top of the
page
 Websites: www.NHL.com

Run of site
 Websites: www.ESPN.com
 National Radio:

: 30 second radio spot
 Afternoon Drive time
 National Radio Station:
 American Top 40
 Affordable GRP: 1200
Coke Zero Media Budget
19
Total Media Budget
5%
7%
Television
21%
Magazine
Radio
Internet
67%
Budget Worksheet
20
Budget Worksheet: Coke Zero
Media Planners: Arielle Frye, Jarad Kloock. Kylie Ethridge
Market (DMA): National
First Qtr
Cable TV:
Primetime
ESPN
Cable TV:
Primetime
Spike
ESPN
Maxim
GQ
Full page
1/2 page
1/2 page
www.NHL.com
www.ESPN.com
TOTAL
$0
Third Qtr
Fourth Qtr
TOTAL
0
10239
400
10239
400
10239
0
10239
800
10239
Cost
GRP
CPP
$0
400
10239
$4,095,600
0
10239
$4,095,600
0
10239
$0
0
10239
$8,191,200
400
10239
$4,095,600
0
27775
$0
0
1410
$0
162
6
$183,872
$1,103,232
126
3
$134,030
$402,090
63
3
$80,181
$240,543
0
0
$0
$0
0
0
$0
$0
751
13141
$5,841,465
$0
400
27775
$11,110,000
1200
1410
$1,692,000
162
6
$183,872
$1,103,232
126
3
$134,030
$402,090
126
6
$80,181
$481,086
300
5
$100
$1,801,500
$0
0
27775
$0
0
1410
$0
162
6
$183,872
$1,103,232
126
3
$134,030
$402,090
84
4
$80,181
$320,724
0
0
$0
$0
100
2
$50
$750,750
872
16084
$6,672,396
$0
0
27775
$0
0
1410
$0
162
6
$183,872
$1,103,232
126
3
$134,030
$402,090
63
3
$80,181
$240,543
0
0
$0
$0
0
0
$0
$0
351
13141
$1,745,865
$4,095,600
400
27775
$11,110,000
1200
1410
$1,692,000
648
6
$183,872
$4,412,928
504
3
Cost
GRP
CPP
Cost
GRP
CPP
Cost
GRP
Frequency
Rate
Cost
GRP
Frequency
Rate
Cost
GRP
Frequency
Rate
Cost
GRP
Frequency
CPM
Cost
GRP
Frequency
CPM
Cost
GRP
Average CPP
Network TV:
late fringe
ABC
Network Radio:
Afternoon Drive
American Top 40
Second Qtr
GRP
CPP
$0
2714
16084
$20,685,508
$1,608,360
336
4
$80,181
$1,282,896
300
1
$1,801,500
100
1
$750,750
4288
16084
$34,945,234
Media Scheduling
21
2010 Media Flowchart
January
MEDIA
February
March
1 8 15 22 29 5 13 19 26
April
5 12 19 26
2
May
9 16 23 30
June
7 14 21 28
July
4 11 18 25
2
August
September
October
November
December Cost
9 16 23 30 6 13 20 27 3 10 17 24 1 8 15 22 29 5 12 19 26 4 11 18 25
Television
Primetime - Espn
100 100 100 100
Primetime - Spike
100 100 100 100
$8,191,200
100 100 100 100
Late Fringe - ABC
$4,095,600
100 100 100 100
$11,110,000
$23,396,800
Magazine
ESPN
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
GQ
X
X
X
XX
XX
XX
XX
X
X
X
X
MAXIM
X
X
X
X
X
X
X
X
X
X
X
X
X
X
$4,412,928
$1,282,896
X
1,608,360
7,304,184
Radio
Afternoon Drive
100 100 100 100 100 100 100 100
100 100 100 100
1,692,000
$1,692,000
Internet
www.NHL.com
www.espn.com
60 60 60 60 60 60 60 60
$1,801,500
50 50 50 50
$750,750
$2,552,250
$34,945,234
Plan Performance
22
Summary
23
Our campaign is bound to increase sales, awareness, and enthusiasm for Coke
Zero by the way we have effectively used our budget of $35 million to meet our goals
of increasing the sales among men 21-28 years old by 5% within 12 months and
also increasing product awareness to the target audience by 15%. Every decision
and strategy we’ve chosen, from the position of radio and T.V. spots, to the people
we’ve chosen to market to, was thought out and based off of tangible concepts and
thorough research. We’ve efficiently segmented the population to mainly market to
the target audience of young, professional men with an active lifestyle that will be
most likely to purchase Coke Zero. The positioning and timing of our spots meet the
target where they are in their daily lives. The most notable advantage we have is how
we segmented the population to find our ideal audience, which will produce the largest
profit for Coke Zero.
Appendix
24
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