Mass-media in marketing communications: analysis, strategy and planning Objectives Mass Media Social Functions Evolution of Mass Media Strength and weaknesses of major mass-media in marketing communications. Russian media-market. Media researches: TV, radio, press. Communicative effectiveness of advertising and PR campaigns. Principles of media selection and mediaplanning. Mass Media Means of communication that are technologically capable of reaching most people and economically affordable to most MASS MEDIA SOCIAL FUNCTIONS Entertainment Transmit Values Service the Economic System Service the Political System Set the Agenda Inform and Interpret Surveillance Community Forum Define our Relationship with Nature A Space for Public Expression Evolution of Mass Media Media Fragmentation: 1940’s • • • • • Radio Newspaper Magazine Cinema Poster Media Fragmentation: 1950’s • • • • • • • Radio Newspaper Magazine Cinema Poster TV Long Play Media Fragmentation: 1960’s • • • • • • • • • Radio Newspaper Magazine Cinema Poster TV Long Play Tape Satellite Media Fragmentation: 1980’s • Radio, Newspaper, Magazine, Cinema, Poster, TV, Long Play, Tape, Satellite • CD, Walkman, Video Game, PC, Videocassette, Recorder, Mobile Phone, Laser Disc Media Fragmentation: 1990’s • Radio, Newspaper, Magazine, Cinema, Poster, TV, Long Play, Tape, Satellite, CD, Walkman, Video Game, PC, Videocassette, Recorder, Mobile Phone, Laser Disc • DVD, Internet, Email, Webcam, TiVo, Smartphone Media Fragmentation: 2000’s • Radio, Newspaper, Magazine, Cinema, Poster, TV, Long Play, Tape, Satellite, CD, Walkman, Video Game, PC, Videocassette, Recorder, Mobile Phone, Laser Disc, DVD, Internet, Email, Webcam, TiVo, Smartphone • Satellitte Radio, HDTV, Blue Ray, iTunes, Podcasting, Blog, RSS, Flickr, YouTube, Wikipedia, FaceBook….. develop digi media pic pic convergece MASS MEDIA & MARCOM PROGRAMES : PROS & CONS TV Television is a medium of entertainment which permits millions of people to listen to the same joke at the same time, and yet remain lonesome. T.S. Eliot TV: ADVANTAGES High reach High frequency potential Low cost per contact High intrusion value (motion, color, sound) Attain rapid awareness Quality creative opportunity Ability to integrate messages with other media TV: DISADVANTAGES High production costs Clutter Low recall Lack of selectivity Zapping & zipping Relatively downscale audience profile TV: MARCOM INSTRUMENT ADVERTISING PRPRODUCT PLACEMENT SPONSORSHIP CORPORATE IMAGE revo A Revolution 1950’s: Introduction Television ! revo A Revolution 2 • 6000 + international TV channels • Broadcasters, • public and commerical • Digital TV • Internet TV • Films, Soaps, Series .... • Satelite TV • Preview, Postview • DVD TV 2.0 You choose what you want to see, and when ! A shift from TV to My TV and We TV ! Development Digital TV 2.0 From TV 1.0 to TV 2.0: • viewers decide, what and when to watch • development digital technology • creating new platforms • preview/mainview/postview Development Digital TV 2.0 A new way of thinking: • Think: multi-platform • Think: crossmedia • Think: different viewing moments • Think: screens instead of carier • Think: media agnostic More viewtime, more platforms Viewtime TV channels TV TV repeats New digital TV channels Digital TV Video on demand Cable TV IP TV Internet Mobile TV New Media more ! Platfom Preview Viewer Postview Think: Screen ! rupert murdoch RADIO: ADVANTAGES Target audience selectivity High frequency Able to transfer sound from TV Portable, personal medium Ad music can match station’s format Flexibility Low production costs Short production time Creative opportunities with music and other sounds Ability to integrate messages with other media RADIO: DISADVANTAGES Clutter Relatively small audiences Listener may be otherwise occupied while listening Some station formats relatively uninvolving for listeners Low attention Target duplication with several stations use the same format Limited research data RADIO: MARCOM INSTRUMENT ADVERTISING PR PRODUCT PLACEMENT SPONSORSHIP CORPORATE IMAGE NEWSPAPERS: ADVANTAGES Rapid audience accumulation Short lead time to purchase space High credibility Geographic flexibility Can convey detailed copy Strong retail trade support Good for merchandising and promotion Low production costs Excellent local market penetration NEWSPAPERS: DISADVANTAGES Not intrusive Cluttered ad environment Reproduction quality limitations (color) Short life cycle (24 hours for daily newspapers) Limited target selectivity NEWSPAPERS : MARCOM INSTRUMENT ADVERTISING PR SALES PROMOTION SPONSORSHIP CORPORATE IMAGE MAGAZINES: ADVANTAGES Efficient reach of selected audience Timeliness Ability to match advertising with compatible editorial content High quality graphics and images Prestige Rich light TV viewers Excellent for complex copy Direct response techniques and special features Multiple readers MAGAZINES: DISADVANTAGES High costs Not intrusive: reader controls ad expose Significant slippage from reader audience to ad-exposure audience Long lead times to purchase magazine space Long production time Limited geographic options MAGAZINES: MARCOM INSTRUMENT ADVERTISING PR SALES PROMOTION SPONSORSHIP CORPORATE IMAGE DIRECT MAIL: ADVANTAGES High selectivity High information content Opportunities for repeat exposure DIRECT MAIL: DISADVANTAGES Reader controls exposure High cost per contact Junk mail Clutter DIRECT MAIL: MARCOM INSTRUMENT ADVERTISING PR SALES PROMOTION PRESS INFORM AGENCIES : ADVANTAGES High speed of news distribution Multi channels of info distribution High credibility PRESS INFORM AGENCIES : DISADVANTAGES Specialized agencies News formats PRESS INFORM AGENCIES: MARCOM INSTRUMENT PR SPONSORSHIP CORPORATE IMAGE INTERNET: ADVANTAGES Company’s own web-site – full control on the content Creative possibilities Flexibility Interactivity (feedback opportunities) User selects product information Direct selling potential INTERNET: DISADVANTAGES Low intrusion value Only for PC owners Short life span Websnarl (crowded access) Surfing Clutter Spam problems © problems Technology limitations Few valid measurement techniques INTERNET: MARCOM INSTRUMENT ADVERTISING PR SALES PROMOTION DIRECT MARKETING SPONSORSHIP CORPORATE IMAGE OUTDOOR (OOH): ADVANTAGES Geographic flexibility Broad reach 24-hour exposure Localized message capabilities Ability to create awareness Production capabilities OUTDOOR (OOH): DISADVANTAGES Short expose time Brief message Hard to make copy changes Little segmentation possibilities Waste coverage Cluttered travel routes Weather and vandalism issues Measurement problems Local restrictions OUTDOOR (OOH): MARCOM INSTRUMENT ADVERTISING SALES PROMOTION SPONSORSHIP CORPORATE IMAGE OGILVY (GB) ONE WORLD WIDE CANCER RESEARCH "I SHOULDN'T BE HERE-BENCH" PUBLICIS FRANKFURT RENAULT MODUS "TREE" LOWE DUBAI AXE DEODORANT "SPY HOLE" ADVANCE (DK) LEGO "CONSTRUCTION SITE" SAATCHI & SAATCHI (PL) HEAD & SHOULDERS SHAMPOO "IT CAN'T FALL HERE" TBWA\PARIS AMNESTY INTERNATIONAL "BARS" CAMPAIGN TBWA\PARIS AMNESTY INTERNATIONAL "BARS" CAMPAIGN ARAG Insurance Billboard Campaign BUTTER (Düsseldorf) Household Insured? Liability Insured? Legal Aid Insured? user generated media slides STRUCTURE OF THE RUSSIAN MEDIA MARKET I LEVEL Mass media owned by the State or controlled by politicized private capital Inform & TV Radio Press Press agencies ИТАР-ТАСС ОРТ РИА«Новости» РТР РБК НТВ Культура Радио России «Российская Радио «Маяк» газета» «Парламент ская газета» II LEVEL Commercial press, TV & radio companies of national (federal) cover Inform & Press agencies Интерфакс Прайм-ТАСС TV СТС ТНТ REN-TV ТВ-3 Radio Press «Маяк-24» «Русское радио» «Эхо Москвы» Сетевые Радиостанции FM диапазона Коммерсантъ Эксперт Комсомольская правда АиФ Советский спорт III LEVEL Regional mass media Inform & TV Press agencies RosBalt Channel 100 IMA -Press Regional TV Radio Sputnik Hermitage Baltica Press Delovoy Peterburg Na nevskom Sobaka St.Petes Times IV LEVEL Global communication environment Internet Out of system mass media Radio «Liberty» «Voice of America» BBC Russian service Press Foreign publishing corporations «Cosmopolitan» «ELLE» «Moscow Times» «St.Petersburg Times» MEDIA RESEARCH & MEASUREMENTS Advertiser buys not time in TV or Radio air not pages in Press Media but audience of Mass Media TV Media Research TV Audience Research Gallup TV INDEX • Panel research • Electronic method (Peoplemeters) • Respondents’ age: 4+ • 53 Russian cities (100+) • Data provided for Russia, European part and 25 cities • Monitoring data Data Collection: TV watching registration Sample Size Population Data Base Air Monitoring Clients Future of Electronic Media Measurements PPM People meters Surveys Press Media Research What do we have and what do we measure? CIRCULATION AUDIENCE What do we measure? Definite Issue of Edition? Average Issue of Edition? ? NO! YES! National Readership Survey • • • • • • 104 400 interviews per year Non stop interview flow during the year Face-to-Face interview in the household Respondents age: 16+ 62 Russian cities (100+) Quarterly reports What is Measured? • • • • • Average Issue Readership (AIR) Half a Year Audience Audience Socio-Demographic Structure Publications’ Cross Audience Subscription\Purchase World Readership Surveys • 2001: 60 National Readership Surveys – 48-Face-to-face – 12-Telephone interviews • The biggest sample size: India 235 000 interviews per year • The smallest sample size: Peru 2 000 interviews per year • The largest number of measured editions: Russia and China: 450+ World Readership Surveys • • • • • UK (NRS): 37 000 France (EPSOS): 21 400 Germany (MA): 23 976 USA (NCS): 28 000 Russia (NRS): 50 000 (30 000 Moscow, 6 000 St.Petersburg) Readership Interview Duration • • • • Maximum: 65 min: Germany Average:15-20 min Minimum: 7 min: Canada Russia: 25 min (Moscow & St.Petersburg12-15 min) Radio Media Research RADIO • • • • • • • Radio Index GallupMedia (TNS) Face-to-face interview 104 400 interview per year Age: 16+ 27 cities (100+) 18 national & 127 local radio stations Quarterly reports What is Measured? • Weekly radio stations audience (Weekly Reach) • Average daily radio stations audience (Daily Reach) • Audience of time breaks (15 min) • Frequency of listening • Place of listening • Audience Socio-demographic Structure KEY MEDIA TERMS & MEASUREMENNTS STATISTICS for TV • Reach: The percent of the target audience that will see or hear an ad at least one time. • Frequency: The number of times the average target audience member that was reached sees or hears an ad. • Rating Point: represent the percent of the total available target audience impressions that are delivered by a media vehicle. – GRP stands for Gross Rating Points, the sum of all the rating points for a specific time period. – TRP stands for Target Rating Points, the rating points delivered to a particular target audience for a specific time period. STATISTICS • Audience: The number of homes or people exposed to an advertising vehicle. • CPM (Cost per Thousand): Used as a comparison tool to determine the efficiency of different media vehicles. Cost of a media vehicle divided by the targeted impressions expressed in thousands. – For example: a media vehicle that costs $10,000 and has an audience of 500,000 Women 18-34 has a CPM of $20. • CPP (Cost per Point): represent how much it would cost to deliver one target rating point, or 1% of target audience. Primarily used in television and radio buying as a comparison and planning tool to determine how much media can be afforded at a given budget level. – For example, a unit that costs $1,000 and delivers a 10 Women 25-34 rating has a CPP of $100. • Impression: A single potential exposure of a message to a member of your target audience. The number of pairs of eyes or ears that will be exposed to a media vehicle. • Share: The percentage of households or target audience members using television or radio that are tuned to a particular program. NEWSPAPER AND MAGAZINE TERMINOLOGY • Circulation: The number of copies sold or distributed. • Insertion: A single ad. • Broadsheet: Term used to describe a full or standard size newspaper such as the New York Times. Typically, a broadsheet newspaper is 6 columns wide by 20-22 inches high. NEWSPAPER AND MAGAZINE TERMINOLOGY • Tabloid: Term used to describe a smaller than standard size newspaper such as the Sun Times. – Typically, a tabloid newspaper that is 5 columns wide by 14 inches high (approximately half the size of a broadsheet newspaper). • Closing Date: The final date to commit to the purchase of advertising space. • Materials Closing: The final date by which a publication must receive the advertising materials to be printed. RADIO TERMINOLOGY • Dayparts: How the day is broken down for buying purposes. • • • • • MORNING DRIVE DAY AFTERNOON DRIVE EVENING OVERNIGHT 5am – 10am 10am – 3pm 3pm – 7pm 7pm – 12pm 12pm - 5am OUTDOOR TERMINOLOGY • Out-of-Home (OOH): Any form of visual communication outside a consumer’s place of residence • Showing: The basic unit of measurement in purchasing OOH. A showing is the total number of GRPs delivered in a market on a daily basis. • Daily Effective Circulation (DEC): The gross number of exposure opportunities, per unit, per day against a given target audience. Provides basis of all outdoor measurement. TELEVISION TERMINOLOGY • Dayparts: How the day is broken down for buying purposes. • EARLY MORNING (EM) • DAY • EARLY FRINGE (EF) EARLY NEWS (EN) • PRIME ACCESS (PA) • PRIME • LATE NEWS (LN) • LATE FRINGE (LF) • OVERNIGHT 5am – 9am 9am – 4pm 4pm – 6pm 6pm – 7pm 7pm – 10pm 10pm – 10:35pm 10:35pm – 1am 1am-5am GENERAL TERMINOLOGY • Flighting: The scheduling pattern of an advertising schedule. • Gross Cost: The total cost of a media vehicle or media schedule which includes the “discount” typically offered by a media supplier. • Net Cost: The cost of a media vehicle after all discounts are deducted. GENERAL TERMINOLOGY • Makegood: In broadcast, a commercial offered in lieu of an announcement which was (or will be) missed due to either station error, preemption by another advertiser, or movement of the program purchased from one time slot to another. In print, the free repeat of an ad to compensate for the publication’s error in the original insertion. MEDIA PLANNING PROCESS MISSION: • To create innovative and cost-effective plans designed to fulfill media objectives through the development of strategies and tactics. – a multi-step process – begins with the marketing objective (what is the client company trying to accomplish in terms of sales, brand image and market share) – Media advertising is typically only one part of a company's marketing mix MEDIA OBJECTIVES • an extension of the marketing objective. • If media and advertising are a part of the marketing strategy, what does the media plan need to accomplish to fulfill its role? • Answers could include share-of-mind measurements, sales goals or brand recognition measures. MEDIA STRATEGY • explains the "how" of a media campaign. • The questions answered at this stage will help media planners devise a strategy: – Who is the target audience? – Where is the target audience (global, U.S. market, etc.)? – When should the marketing message air (timing, seasonality, etc.)? – How many times should the message air? – How will we communicate the message (creative)? – How much does the marketer have to spend? MEDIA STRATEGY • forms the base of a detailed discussion of specific tactics. • at this stage that a media plan is developed • answers form the media plan • and the next step • is to execute the plan by airing commercials and advertisements. DETERMINING THE MEDIA MIX • • • • • • MEDIA MIX is the proportion of television, radio, print and other forms of advertising used in a particular campaign. The "best" mix a combination of • the product or service, • the marketing objectives, • target audience • and budget Advertising Campaign Media Research Step 1 Competitors Advertising Analysis • • • • • Tasks: Seasonality Optimal ad campaign intensity Advertising spending analysis Competitors advertising tactics analysis Step 1 Competitors Advertising Analysis • Additional data for competitors analysis: • Ad message format (ad duration, copy layouts) • Target audience • What do they advertise? (models, images etc) Step 2 Media planning • • • • Tasks: Media Choice Rational Budget distribution Efficiency maximization Step 3 Post Campaign Analysis • • • • • Tasks: Efficiency Estimation Output Control Breakdowns monitoring Media plan & fact comparison Basic Media Planning Indexes TV • Rating: Target Audience exposed\Total TV Audience • Audience: share of TA (‘000) • Reach:% of the audience at which the ad message is aimed to see the ad at least once • Frequency: the average number of times TA are exposed to ad message • Share: TV Channel Audience\Total TV Audience TV • Affinity: TA Rating\ Total Audience Rating • CPP: cost per point • CPT: cost per thousand • Cost Radio • • • • Daily Reach (Cover,%) Daily Reach (Cover, ‘000) Weekly Reach Affinity: Target Audience Cover\ Total Audience Cover • % of Audience: share of TA in Total Audience • CPT • Cost Press • • • • AIR Half a Year Audience Affinity: TA\Total Audience % of Audience • CPT • Cost Basic Media Indexes TV Radio Press Rating Daily Reach (Cover, %) AIR Audience Reach Frequency Share Affinity Daily Reach (Cover, 000) Weekly Reach Half a year audience Affinity % of Audience Affinity % of Audience CPP CPT Cost CPT Cost CPT Cost Basic Rules for Media Planning Indexes Analysis 1. Analysis and media planning are valid only for Target Audience 2. Qualitative & Quantitative Indexes are analyzed simultaneously 3. Analysis is valid only inside media segments 4. Period Standardization for research and Target Audience