mkt 340 class6-media

8/9/2019 Mkt 340 Class6-Media

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Advertising Budgeting, Media,and Media Planning

Mkt 340

Prof. Bill White


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Setting the BudgetPercentage ofSales

Payout PlanCompetitive Budgeting

The Task or Objective Method Whats the objective?

What type and how much media needed? Can we afford it?

Arbitrary

Administering and Protecting the Budget

The Advertising Budget


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Media Defined

The vehicles that carry the ads to thetarget market.

Which is most important? Picking thecorrect media or having great creative?

What are the types of media?


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Examples of Nontraditional Media

ABC Inflight Airplanes

ActMedia Supermarkets

Aislevision Supermarkets

Aladdins Castle Malls

Beyond the Wall College posters

Channel One High schools

CineSpot Cinemas

CNN Airport Network Airports

Cover Concepts Book Covers High schools

Go Cards Health clubs, restaurants

Instant Coupon Machine Supermarkets

Military MediaBoards Military basesMiller Airship Blimps

ResortSports Network Resorts

Roadmark Fleet Advertising Trucks

Screenvision Cinemas

U College newspapers


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Sample of a Syndicated Media List

MAGAZINES RADIO NETWORK TV CABLE NETWORKS

Allure Adult Contemporary American GladiatorsArts & Entertainment

American Baby All News Americas Funniest..American Movie Classics

American Health All Sports Americas Most Black Entertainment TV

American Hunter AOR/Progressive Rock Baywatch The Box

American Legion Black Beverly Hills 90210 Bravo

* * * *

* * * *

Working Woman Religious/Gospel Washington Week TV Food Network

WWF Magazine Soft Contemporary Wild America USANetwork

Yachting Spanish Wings VH-1

Yankee Urban Contemporary WKRP in Cincinnati The Weather ChannelYM Variety The X-Files WGN-TV

Source: Mediamark Research, Inc., Spring 1995.


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Organization of the Media Function

Media planner

Media buyer

Media researcher


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Important Trends in Media

Convergence

Interactivity

Creativity

Optimization


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Key Media Terms

Media plan: document that establishes howmedia will be used to disseminate an advertisersmessage, including objectives and strategy.

Media objective: statement in media plan thatexplains the goals of the plan; usually states howmany of the target will be exposed to advertisingmessages in a given time period, and how often.

Media strategy: statement in media plan thatoutlines how objectives will be accomplished;shows where and when advertising messages willappear, and at what cost.


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Media Planning

Media Planning = Selection + SchedulingFactors Influencing Media Planning Decisions

Target Market ProfileLooking at Brand/Product DynamicsThe Creative ExecutionBudget Considerations and Media DealsThe Competitive Situation

Availability and Timing ConsiderationsCostEfficiency (CPM = Cost per thousand (CPM): cost

of reaching 1,000 members of target audience with mediavehicle(s) or plan.)


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CPM Formula and Example

CPM =Cost

AudienceX 1,000

A-- :30 TV Commercial in Friends

Which is more cost efficient on a CPM basis?

CPM =$250,000

20,000,000

X 1,000 = $12.50

B-- :30 TV Commercial in Monday Night Football

CPM =$300,000

30,000,000

X 1,000 = $10.00


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Media Selection

Media are evaluated based on selectivity.

There are two types of selectivity:

Class Selectivity is the ability of a medium to reachthe target market without waste.

Geographic Selectivity is the ability of a medium tocover a particular geographic area without spillover.

How would you rate the different major mediain terms of class and geographic selectivity?


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Media Scheduling

Reach(% of target audience with opportunity for exposure to

media vehicle(s) or media plan in a given time frame)

+

Frequency(average number of times target is likely to be exposed to

the ad in a given time frame)

100%


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The Difference between Reachand Frequency


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Media Scheduling (continued)

Reach

+

Frequency+

Continuity(how long the campaign runs

continuous vs. flighting vs. pulsation)

100%


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Reach, Frequency, and Continuity Relationships with a

Fixed Budget


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Media Scheduling (continued)

Reach+

Frequency

+Continuity

+

Dominance/Impact(the attention-getting ability of the media vehicle(s)

selected to run the ad)

100%


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Evaluating the Media: Key Terms

Rating point: the % of a given population group that uses aspecified media vehicle.

Share: Households/persons using television (HUT, PUT): %of homes or people watching TV at a given time.

Gross rating point (GRP): total number of ratings for differentmedia vehicles. Gross impression: translation of GRPs into people; number of

audience exposures x number of times they will see or hearvehicles.

Cost per rating point (CPP): cost of buying one rating point ina given media vehicle or type.

Audience: number or % of homes or persons using a mediavehicle.

Coverage: Same as reach the % of homes or personsreceiving broadcast signal within specified area, or receiving

specific magazine or newspaper.


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Evaluating the Media: Key Terms,Continued

Circulation: Total number of copies of a publication soldthrough various forms of distribution.

Readers per copy: average number of people who read

each issue of publication.


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Types of Media Plans

Geographic Local, spot, key market

Regional National International

Selective

Combination


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Sample Flowchart of a Media Plan


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Evaluating the Media Plan

Follow upgetting make-goods, tearsheets.Measuring the impact:

Test consumer awareness of campaign before,

during, and after. Sales data.

Compare actual reach/frequency figures toproposed estimates.

Syndicated Media Research Services Nielson, Arbitron, Simmons, Audit Bureau of

Circulation

mkt 340 class6-media

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