MEDIA GUIDELINES 14 March, 2016 1 Executive summary • Preferred media (in rank order) – Magazines • • • • • Targeted Efficient (CPM) Premium Sensory environment (e.g. food) Full message can be read – Outdoor (portrait format) • • • • Bus shelters Street signage Airport signage Train stations To support print – Outdoor (landscape format) • 24 sheet posters • Non preferred media – Transit (formats, environment) – 48 sheet billboards (branding) – Digital (once website upgraded) 2 Should we use media? • In any market, the decision about whether to use media is tied to Wyndham Estate’s stage of development • In the broadest terms, there are 2 stages… Stage 1 Stage 2 Immature brand On premise only or patchy distribution Limited product range USA UK Nordics Asia No funds for media Focus on gatekeeper PR Secure endorsement from influencers (e.g. wine writers, wine educators, trade, opinion leading consumers, etc.) Mature brand Widespread distribution Wide range of SKUs on shelf New Zealand Ireland Canada Australia Larger A&P budget Media as part of the marketing mix With threshold weights To establish the positioning In an emotive manner And convey our point of difference So competitor users switch to our brand 3 How much should you invest? • For markets that use media, the challenge is to allocate sufficient funds to cut through the clutter • Ask you agency about the minimum weight of activity needed to effect the target market and/or achieve your objectives • Usually, bursts should be at least 75% of your key competitor’s weight across your advertising period • Otherwise, your reach and frequency may not be sufficient to move consumer funnel measures and you will not be able to measure the impact of your investment 4 What if you don’t have enough? • If your media fund is not sufficient to run 2 or 3 bursts per year (i.e. its below threshold requirements), consider the following options – Invest at a higher level by cutting back on other activities (e.g. aim for a minimum of 50% of your consumer A&P funds to be invested behind media) – Focus the budget regionally or on a more tightly defined definition of the target market 5 Who to communicate with • There are 2 target markets – The target consumer is male aged 30+, self actualising and seeking intense immersive experiences – They are medium to high involvement wine consumers – They belong to the middle to higher socio-economic groups – They are generally well educated – These consumers are driving the global sensory mega-trend – The target shopper is female aged 30+ – Note: males and older consumers tend to favour traditional looking packs such as that for BIN range, older consumers tend to react most positively to sensory messages 6 When should we communicate? • The moments to communicate with our target market are – When consumers are relaxing with a glass of wine – When shoppers are about to buy wine (e.g. weeknights, weekends) 7 Media recommendation #1 • Consumer magazines – Upscale food magazines • Experiential, sensorial • A good environment for wine – Wine magazines – Lifestyle magazines • Position our ad in the food section to amplify ‘intense sensation’ – Entertaining magazines • To associate our brand with dinner parties and add prestige to our message – In-flight magazines, business magazines and travel magazines • If there is a food and wine section, position our ad alongside related editorial 8 Media recommendation #2 • Weekend supplements inserted into national newspaper (also known as magazines inserted into newspapers) – – – – High circulation High readership by men High socio economic reader Position our ad in the food and wine section – Associates our brand with relaxing and ‘the good life’ – Credible environment – Short lead times 9 Media recommendation #3 • Out of home – Outdoor signs positioned outside liquor stores or in restaurant strips – Transport corridors for consumers that belong to higher socio economic classifications including • Airports • Subway / tube / train stations • Key arterial road junctions – Benefits • Builds frequency quickly • High impact • Flexible geographically (so you can focus on key cities with high potential for profit growth) • Reaches males (whereas most magazine titles target females) • Ticks the ‘mass media’ box when media budget is not sufficient to 10 run television Media recommendation #4 • If budget permits, combine print media with outdoor media for the following reasons – Print is great because it is targeted and provides a good environment for our message – It also allows consumers the opportunity to read our brand story via the label copy – But magazines alone lack coverage and will build our funnel scores very slowly – Adding outdoor will build reach and frequency more effectively (especially among men) – As outdoor can only convey a short message (i.e. no time to read minor copy), magazines complement outdoor perfectly 11 A word on television • In the short term, we do not generally recommend television • The rationale is that we do not have the scale of spend in most markets to justify television • Once the brand’s volume and A&P scale is greater, we will add TV back into the media mix 12 A word on television • One exception: markets like New Zealand where television is considered cost efficient thanks to a low cost per thousand • In New Zealand, the cost per thousand (CPT) to reach grocery buyers with television is 1/3 of the CPT in Australia • Where the CPT is affordable, television offers high coverage + quick frequency build = dramatic impact on our consumer funnel and image metrics • Which is why TV is still used to build strong wine brands – Wolf Blass in Australia / NZ – Casillero del Diablo in Europe – Wyndham Estate in Ireland 13 What should we avoid? • Please avoid the following – Newsprint options – because of poor colour reproduction – Mono print – where “intensity” cannot be delivered – Publications with high juvenile audience – Magazines with content that is unrelated to food and wine (e.g. sports, motor, golf, etc.) – Radio – which lacks the visual (brand recognition) effect – Cinema – which tends to attract a younger audience – Internet advertising – which is still considered high cost relative to magazines and other media (once we have upgraded our website, we can consider internet ads) 14 What should we avoid? • Selecting media that is already heavily used by our competitors, especially if they out-spend us 15 The process • Develop a media brief by following these steps – – – – – – – Review competitor activity Review brand awareness / image Set marketing objectives Set communication goals Set media budget Define target audience Define seasonality (sales x month) or geographic factors (distribution x region, sales x region, index v market x region) – Prepare media brief (download template from “the brand builder”) – Give media agency the media brief, these media guidelines, the brand platform presentation and the advertising creative 16 The process • Ask the media agency to review competitors’ media activity – Expenditure – Timing (e.g. sales of red wine tend to peak in winter) – Media mix – Formats – Weight – Timing – Regionality – Flighting v continuous – Learnings (e.g. changes in awareness and brand image) • Ask the media agency to advise what level of spend would be required to achieve the awareness objectives that have been set for Wyndham Estate 17 The process • Ask the media agency to be innovative, disruptive and imaginative – so there is a media idea to cut through the clutter • For example, add an activation device to your press ad (e.g. a special offer such as “Ring 1800 SHIRAZ for your free 50 page brochure) • Ask you agency for ideas to integrate your creative message throughout the marketing mix • Brief your sales team to book trade promotions to coincide with media bursts – ensuring visibility at the point of purchase 18 After the campaign… • Ask the media agency for a post buy report – Reach and frequency performance versus objectives – Competitor media activity – Share of voice – Share sales data and awareness tracking measures so you and the agency can assess campaign impact 19