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Chapter 14: Media Planning and Buying

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1 Chapter 14: Media Planning and Buying
Part 4 Practice: Where are Media Headed? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

2 Questions to Explore What is a media plan and what is the role of media research in developing media plans? What are the four steps in media planning and why are they important? How do IMC and global marketing affect media plans? What are the responsibilities of media buyers? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

3 How are Media Plans Created?
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

4 How are media plans created?
Traditionally, advertising agencies have developed media plans. Lately, media buying companies have assumed planning roles. Some agencies have spun off media function as separate companies. Specialized “new media” agencies have emerged. Traditionally, advertising agencies have developed media plans. Lately, media buying companies have assumed planning roles. Some agencies have spun off media function as separate companies. Specialized “new media” agencies have emerged. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

5 How are media plans created?
(Figure 14.1 visual here) Media planners look for data from creative, marketing, and media sources. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

6 Media research: information services
Media research is central to media planning. Information sources include: Client information: about customers, past efforts, sales, budget. Market research: about markets and product categories. Competitive advertising: share of voice is a percentage of total advertising spending by one brand in a product category. Media research is central to media planning. Information sources include: Client information: about customers, past efforts, sales, budget. Market research: about markets and product categories. Competitive advertising: share of voice is a percentage of total advertising spending by one brand in a product category. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

7 Media research: information services
Media kits: the size and makeup of various media audiences. Supplied by companies Nielsen, Arbitron, ABC, Simmons. Media Coverage Area: designated marketing area (DMA) is used in TV media. Consumer Information: used to locate target audiences within media markets. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

8 The media plan The media plan is a written document summarizing the objectives and strategies pertinent for placing a company’s brand messages. The goal is to find the most efficient and effective ways to deliver messages to a targeted audience. The media plan is a written document summarizing the objectives and strategies pertinent for placing a company’s brand messages. The goal is to find the most efficient and effective ways to deliver messages to a targeted audience. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

9 What Are The Key Steps in Media Planning?
Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

10 Step 1: Target audience Identifying the target audience is a key decision. The idea is to select media vehicles that: are compatible with the creative executions whose audiences best match those of the brand’s target audience. Every media vehicle’s audience is different and therefore varies regarding what percent of its audience is in the brand’s target audience. Identifying the target audience is a key decision. The idea is to select media vehicles that are compatible with the creative executions, whose audiences best match those of the brand’s target audience. Every media vehicle’s audience is different and therefore varies regarding what percent of its audience is in the brand’s target audience. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

11 Step 2: Communication and media objectives
Media objectives describe what a company wants to accomplish regarding the delivery of its brand messages and their impact on the target audience. The reach objective Reach is the percent of different people exposed to the message. Targeted reach is the percentage of a vehicle’s audience that matches the brand’s target market. Wasted reach is the number of people in the vehicle’s audience who are neither customers nor prospects. Media objectives describe what a company wants to accomplish regarding the delivery of its brand messages and their impact on the target audience. Reach is the percent of different people exposed to the message. Targeted reach is the percentage of a vehicle’s audience that matches the brand’s target market. Wasted reach is the number of people in the vehicle’s audience who are neither customers nor prospects. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

12 Step 2: communication and media objectives
Writing media objectives Objectives must be measureable with time frames. You can seldom reach 100 percent of your target audience. At times, frequency is more important than reach. As a class: Review the examples of typical media objectives found in this chapter. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

13 Step 3: Media strategies
This involves decisions and tools that help identify the best way to deliver the brand message. Regardless of the budget, the goal is to reach the right people at the right time with the right message. Media strategy is the way media planners determine the most cost-effective way to reach the target audience and satisfy media objectives. This involves decisions and tools that help identify the best way to deliver the brand message. Regardless of the budget, the goal is to reach the right people at the right time with the right message. Media strategy is the way media planners determine the most cost-effective way to reach the target audience and satisfy media objectives. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

14 Step 3: Media strategies
Strategies that deliver reach and frequency If the objectives specify high reach, strategies would involve creating broad exposure across many media vehicles. If the objectives specify high frequency, strategies will focus on a more limited list of media vehicles. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

15 Step 3: Media strategies
Media mix selection Most brands use a variety of targeted media vehicles, called a media mix, to reach current and potential customers. Using a media mix distributes the message more widely; media have different audience profiles. Ask yourself: What media will deliver what effects? Can I reinforce and extend those effects with a mix of media? Most brands use a variety of targeted media vehicles, called a media mix, to reach current and potential customers. Using a media mix distributes the message more widely; media have different audience profiles. Ask yourself: “What media will deliver what effects? Can I reinforce and extend those effects with a mix of media?” Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

16 Step 3: Media strategies
This ad demonstrates the use of a creative print ad to drive traffic to a website. See the “Practical Tips” box in this chapter for more guidance on when to use various media. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

17 Step 3: Media strategies
Geographical strategies A heavy up schedule is advised in DMAs where the product is available or projected sales are higher. A category development index (CDI) determines rates of consumption for a product category. Brand development index (BDI) determines the strength of the brand in geographical areas. The CDI tells you where the category is strong and weak, and the BDI tells you where your brand is strong and weak. A heavy up schedule is advised in DMAs where the product is available or projected sales are higher. A category development index (CDI) determines rates of consumption for a product category. Brand development index (BDI) determines the strength of the brand in geographical areas. The CDI tells you where the category is strong and weak, and the BDI tells you where your brand is strong and weak. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

18 Step 3: Media strategies
Scheduling strategies Aperture refers to when consumers are most receptive to a brand message. The goal is to reach the right people at the right time with the right message. This billboard illustrates a message delivered at the right time and the right place. Aperture refers to when consumers are most receptive to a brand message. The goal is to reach the right people at the right time with the right message. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

19 Step 3: Media strategies
Timing strategies: When to advertise? Seasonality, holidays, days of the week, time of day. Lead time: time between thinking about purchase and purchasing. Duration: How long? If the period is too short, the message may not have sufficient impact. If the period is too long, the ads may suffer from wearout. Continuity: How often? Refers to how advertising is spread out over the campaign. A continuous strategy spreads ads evenly over a campaign period. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

20 Step 3: Media strategies
Pulsing strategy Advertising is intensified (peaks) before an aperture and reduced to lower levels (valleys) until the aperture reopens; bursts of activity. Flighting strategy Alternating periods of intense advertising activity (bursts) and no advertising (hiatus). Using a pulsing strategy, advertising is intensified (peaks) before an aperture and reduced to lower levels (valleys) until the aperture reopens; bursts of activity. With a flighting strategy, alternating periods of intense advertising activity (bursts) and no advertising (hiatus). Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

21 Step 3: Media strategies
Size and position strategies Based on advertising objectives. Correct message size and length must be determined for each medium. Media weighting How much to budget in each DMA or region and for each target group. Used with seasonality, geography, audience segments, or level of brand development by DMA Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

22 Step 4: Media metrics and analysis
Media plans are driven by accountability. “Media departments are no place for guessing. With millions – even tens of millions – of dollars at stake, clients want hard data showing what their budgets are being well spent.” -- A MediaBank executive As a class: Analyze this quote. How does it impact the media planner’s responsibilities? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

23 Step 4: Media metrics and analysis
GRPs (gross rating points) are found by multiplying each media vehicle’s rating by the number of insertions, then adding up the total of all vehicles. TRPs (targeted rating points) adjusts the GRP calculation so it more accurately reflects the percentage of the target audience watching the program, thus reducing waste coverage. GRPs (gross rating points) are found by multiplying each media vehicle’s rating by the number of insertions, then adding up the total of all vehicles. TRPs (targeted rating points) adjusts the GRP calculation so it more accurately reflects the percentage of the target audience watching the program, thus reducing waste coverage. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

24 Cost efficiency Advertising decisions often come down to cold, hard cash. Planners use CPM, TCPM, and CPP to measure a target audience’s size against the cost of reaching that audience. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

25 Cost efficiency CPM: Cost per thousand
An estimate of the cost to expose 1,000 audience members. CPM = cost of ad x 1,000/readership. TCPM: Targeted cost per thousand An estimate of the cost to expose 1,000 target audience members TCPM = cost of ad x 1,000/readers in target audience CPP: Cost per point Comparing media vehicles by relating the cost of the message to the audience rating. CPP = cost of ad/program or issue rating Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

26 Cost efficiency Media Optimization A computer technique that enables marketers to determine the relative impact of a media mix on product sales, and to optimize efficiency. Media planners must be careful not to overload and irritate consumers. As a class: Review: “A Matter of Principle: When is Too Many Too Much?” Discuss: What is the consumer “tipping point”? Why is this a potential problem? Media Optimization is a computer technique that enables marketers to determine the relative impact of a media mix on product sales, and to optimize efficiency. Media planners must be careful not to overload and irritate consumers. As a class: Let’s review: “A Matter of Principle: When is Too Many Too Much?” What is the consumer “tipping point”? Why is this a potential problem? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

27 A sample media plan Media plans do not have a universal form.
However, there is a common an logical pattern to the decision stages. To see how a real-world media plan is written, see Figure 14.6 in this chapter: “Women’s Health Services Media Plan” Which key Chapter 14 concepts do you see repeated throughout this plan? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

28 A sample media plan “Women’s Health Services Media Plan”
Major sections: Objectives Strategic plan development Key media strategies As a class: Identify each of these sections in the plan and give specific examples of each one. As a class: Let’s identify each of these sections in the plan and give specific examples of each one. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

29 What is the Big Picture of Media Planning?
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30 IMC and contact point planning
IMC planners consider message delivery systems, including all media used in various types of marketing communication. IMC media plans also focus on key contact points. This includes: A variety of experiential media Conventional media IMC planners consider message delivery systems, including all media used in various types of marketing communication. IMC media plans also focus on key contact points. This includes a variety of experiential media and conventional media. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

31 IMC and contact point planning
Dentsu’s ContactPoint Management This Tokyo-based agency focuses on two strategies critical to effective integrated communication: Identify the emotion-driving points where consumers come in contact with a brand. Move away from the traditional B2C model towards a B2C2C model. Here, a business talks to consumers, who talk to other consumers. For an example of how Dentsu manages brand contact points for an automotive campaign, see Chapter 14. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

32 IMC and contact point planning
Cross –media integration Here, various media work together to create coherent brand communication; synergy between different media messages. In traditional media, this is referred to as image transfer — how radio reinforces TV messages. Go to to see an example of cross-media integration. With cross –media integration, various media work together to create coherent brand communication; synergy between different media messages. In traditional media, this is referred to as image transfer — how radio reinforces TV messages. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

33 IMC and contact point planning
The Atlantic Monthly magazine used a multiplatform campaign that integrated messages from neon signs to create an event that was filmed for videos that were seen on a website. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

34 Global media planning There is no truly global medium.
Global media plans must draw upon a variety of media tools go gain worldwide coverage. An advertiser seeking global exposure must deal with different networks and different vehicles in different countries. There is no truly global medium. Global media plans must draw upon a variety of media tools go gain worldwide coverage. An advertiser seeking global exposure must deal with different networks and different vehicles in different countries. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

35 How Does Media Buying Work?
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36 Media buying complexities
Media buying is a complicated process. The American Association of Advertising Agencies lists 21 elements of a media buy. The most important one is matching the media vehicle to the strategic needs of the message and the brand. Let’s examine some of these key buyer activities… Media buying is a complicated process. The American Association of Advertising Agencies lists 21 elements of a media buy. The most important one is matching the media vehicle to the strategic needs of the message and the brand. Let’s examine some of these key buyer activities…… Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

37 Media buying complexities
Key media buyer activities: Provide inside information to media planners Select media vehicles Negotiate and contract for time and space Bargain for preferred positions Demand extra support/value-added media services Monitor media performance during, after campaign Post-campaign evaluation Monitor billing and payment Ensure “make goods” Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

38 Media buying complexities
Multichannel buying (and selling) A range of services can be used to ease the task of multichannel media buying. Newspaper buying is simplified through companies that place advertising in papers nationwide. In the digital world, DoubleClick’s DART for Advertisers (DART) service helps manage display. A cross-media buy can be simplified by media companies that manage multiple vehicles. Here, a range of services can be used to ease the task of multichannel media buying. Newspaper buying is simplified through companies that place advertising in papers nationwide. In the digital world, DoubleClick’s DART for Advertisers (DART) service helps manage display. A cross-media buy can be simplified by media companies that manage multiple vehicles. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

39 Media buying complexities
Global media buying Few marketers are doing it. Europe features buying “centrals;” media organizations that buy across several European nations. Media buyers must always consider the cultural implications in media use. Some media buying companies are adept at working with specific cultures. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

40 Media planning and buying trends
The media landscape is dynamic and changing fast. It is hard to keep track of how the media business is practiced. Unbundling Media Planning and Buying Agencies’ media departments have become separate, independent profit centers and can work for the agencies’ competition, and compete with agencies for planning. Some media companies offer consolidated services, bringing some of the planning and buying functions back together. The media landscape is dynamic and changing fast. It is hard to keep track of how the media business is practiced. With unbundling, agencies’ media departments have become separate, independent profit centers and can work for the agencies’ competition, and compete with agencies for planning. Some media companies offer consolidated services, bringing some of the planning and buying functions back together. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

41 Media planning and buying trends
Online Media Buying Google and Yahoo! Are making inroads into media buying and selling. Agencies are trying to figure out whether they are friends or enemies. New Forms of Media Research Online media research (hits and clicks) don’t measure impact. Traditional media monitoring systems don’t address the new ways media is used and systems like TiVo and interactive TV. Viral media is equally difficult to measure. Most media research measures independent media, not the effectiveness of combined media. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

42 Where We’re Headed Next
In Part 5, we will: Review specific areas of marketing communication including public relations, direct response, sales promotion and sponsorships. Apply these to specific situations including retail, B2B, nonprofit, and international marketing. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

43 It’s a Wrap “Beauty of a Campaign”
Dove’s “Campaign for Real Beauty” challenges the audience to reconsider how they define beauty, and to love their bodies. The campaign radically changed the Dove brand image with a culturally relevant message. The campaign resulted in a 24% sales increase during the advertising period. Dove’s “Campaign for Real Beauty” challenges the audience to reconsider how they define beauty, and to love their bodies. The campaign radically changed the Dove brand image with a culturally relevant message. The campaign resulted in a 24% sales increase during the advertising period. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall

44 It’s a Wrap “Beauty of a Campaign” Key lessons:
Effective advertising means being sensitive to consumers; understanding how they think, act, feel. It also means knowing where consumers will be able to connect with a brand message. As a class: What others can you think of? Key lessons: Effective advertising means being sensitive to consumers; understanding how they think, act, feel. It also means knowing where consumers will be able to connect with a brand message. As a class: what others can you think of? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall


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