pdf handout version of Media Planning and Buying PowerPoint

1. Media Planning and Buying
M. Larry Litwin, APR, Fellow PRSA
[Portions from Advertising Principles & Practices by Wells]
11-1
Taken from…
11-2
Advertising Principles & Practices
• William Wells
• John Burnett
• Sandra Moriarty
11-3
1

2. Portions taken from…
11-4
You enter to learn
You leave to serve
11-5
11-6
2

3. PR Is...
• “This is who we are;
• What we think about ourselves;
• What we want to do; and
• Why we deserve your support.”
11-7
Five Major Media
• Print
• Broadcast
• Internet
• Face-to-Face
• Special Events
11-8
Defining Modern Advertising
• Paid persuasive
communication
• Uses
nonpersonal
mass media to
reach broad
audiences
• Connects an
identified
sponsor with a
target audience
11-9
3

4. Six Basic Components
1. Paid
2. Non-personal communication
3. Sponsor is identified
4. Using mass media
5. Tries to persuade or influence
6. Reaches large audience
11-10
Advertising Defined
Paid, non-personal
communication from an
identified sponsor, using mass
media to persuade or influence
an audience.
11-11
Public Relations 101
• Management and counseling function
• Enables organizations to build and
maintain relationships
• Through an understanding of audience
attitudes, opinions and values
• Planned, deliberate and two-way
• Conscience of organization
• Overseer of brand/reputation
• Relationship management
11-12
4

5. Advertising 101
• Paid
• Non-personal communication
• From identified sponsor
• Using mass media
• To persuade or influence
• Audience
(Paid – Controlled)
11-13
Marketing 101
Determine what people need (and
want) and give it to them.
11-14
Marketing
• The exchange of goods and
services from manufacturer to
consumer.
• Strategies that employ the
various elements of the
marketing mix to achieve
marketing objectives.
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5

6. Marketing Mix – IMC
• A plan that identifies the most
effective combination of
promotional activities (IMC).
• The goal is to achieve synergy.
11-16
Media Mix Selection
• Using a variety of
media to get your
message out to
customers
• Media selection is
based on message
needs
11-17
Synergy’s Parts
• Advertising • Product itself*
• (Sales) Promotion* • Packaging*
• Public Relations* • Policy*
• Direct Marketing • Politics*
• Cause Marketing • Mind Share
• Sponsorship (Partnering) (Brainstorming –
Marketing
Intellectual Property)
• Positioning (Place)*
• Brand Identity
• Personal Selling*
• Interactive
• Price*
* Litwin’s 9 P’s of Marketing
11-18
6

7. M A C T ria d
M
+P+T
A C
M = M e ss a g e A = A u d ie n c e C = C h a n n e l
P = P u rp o se T = T im in g
11-19
MAC Triad Plus cont.
• Informization
– Disseminating information (message) to
target audience through the proper
channel at the best possible time.
11-20
Advertising is Synergy
11-21
7

8. Execution
• Effective ads
adhere to the
highest production
values in the
industry
• Clients demand
the best
production the
budget allows
11-22
The Functions of
Marketing
• Builds awareness of products and
brands
• Creates a brand image
• Provides product and brand information
• Persuades people
• Provides incentives to take action
• Provides brand reminders
• Reinforces past purchases and brand
experiences
11-23
Full-Service Agency
Major Functions
• Account Management
• Creative Services
• Research
• Media Planning and Buying
11-24
8

9. Federal Trade
Commission
11-25
11 Types of Advertising
• Brand
• Retail or Local
• Directory
• Direct-Response
• Business-to-Business
• Corporate
• Institutional (Product)
• Recruitment
• Political
• Issue (Advocacy)
• Public Service
(Charity/Non-profit)
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26 Advertising Mechanisms
or Techniques
• Co-op
• Per Inquiry
• Tie-in
• Piggyback
• Competitor
• Product Placement
• Product Integration
• Silent Publicity
• Advertorial
• Infomercial
• Endorsement
• Testimonial
• Informational
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10. 26 Advertising Mechanisms
or Techniques (more)
• Partnering
• Cause-Related Marketing
• Co-authoring
• Co-branding
• Interactive
• Scent/Aroma Marketing
• Virtual
• Specialty
• Street Marketing
• Viral Marketing (Word of
Mouth)
• E-viral Marketing (Word of
Mouse)
• Promotainment
• House (Promo)
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What Makes an Ad Effective?
1. Gets your attention
2. Delivers the
message
3. Creates an
impression for a
product or brand
4. Influences people
to respond
5. Separates the
product or brand
from the
competition
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Key Players
• Advertiser
• Agency
• Media
• Supplier/Vendor
• Target Audiences
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11. Why Hire an Agency?
Hiring an agency can result in
several benefits:
• Offer objective advice
• Draw on the collective experience
and training of its staff
• Provide people and management
skills to accomplish advertising
objectives
• Provide supportive environment for
professional advice 11-31
The Aperture Concept
• The goal of the media planner is to
expose the target audience to the
message at the critical point when
the consumer is receptive to the
brand message.
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Aperture Concept in
Media Planning
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11

12. The Media
Plan
• A written
document that
summarizes the
objectives and
strategies
pertinent to the
placement of a
company’s
advertising
messages.
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The Media Planning Process
11-35
Creative Brief
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13. The Central Role of
Media Research
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Media Objectives
• Exposure
• Gross Ratings
Points
• Reach
• Frequency
– Average frequency
– Frequency
distribution
– Effective
frequency
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Media Strategies
• Strategies are designed to deliver
on the media objectives, to deliver
the right level of exposure in
terms of reach and frequency
[Superior tactics cannot overcome
a bad (business) strategy]
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14. Target Audience Strategies
• Media use
• Geography
• Consumption
patterns
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Changes In Consumer Media Use
(2001-2003)
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WF of R: Buying Space and Time
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15. Consumer
Attitudes and
Advertising
Spending
Figure 11.5
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Cost Efficiency
Cost per thousand (CPM)
Cost of message unit x 1,000
Gross Impressions
Cost per point (CPP)
Cost of message unit
Program or issue rating
11-44
Scheduling Strategies
• Timing strategies
– Duration: How long
– Continuity: How often
The Continuity Strategies of Pulsing and Flighting
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16. Media Buying
• Buying is a complicated process
• The American Association of
Advertising Agencies (AAAA) lists
no fewer than 21 elements in the
authorization for a media buy
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Six Major Functions of a
Media Buyer
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Media Planning Changes and
Challenges
• Unbundling media
buying and
planning
• Online media
buying
• New forms of
media research
needed
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17. How Media Planning Fits
in the Advertising Process
• Media planners have two main roles:
– Analyzing the market, and
– Evaluating media channel effectiveness.
• Media planning is the process of
determining how to use time and space to
achieve marketing objectives.
• One of these objectives is always to place
the advertising message before a target
audience using some type of media.
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The Media Planning Process
11-50
Sources of Information in
Media Planning
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17

18. Setting Media Objectives
The Basic Goals That Direct Media Strategy Typically
Focus on:
Whom to Advertise To
Which Geographic Areas to Cover
When to Advertise
What the Duration of the Campaign Should Be
What the Size or Length of the Ad Should Be
11-52
Finding Target Audiences and
Sales Geography
• Two major challenges face media
planners searching for target audiences:
– Discrepancies between the language of
internal strategic research, and
– Lack of reliable audience research for new
media for advertising and sales promotion.
• Sales geography is an important part of
many advertising plans:
– Sales are rarely consistent across
geographic boundaries.
– Affects which markets to advertise in and
how much money to allocate to each
geographic region.
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Timing and Duration
• Media planners might have to juggle a number
of variables to make correct timing decisions:
– How often is product bought?
– Whether it is used more in some months than in
others?
– Timing decisions relate to factors such as
seasonality, holidays, days of the week, and time of
day.
• Duration (how long to advertise) depends on:
– Schedule and advertising budget,
– Consumer use cycle, and
– Competitive strategies.
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19. Developing Media Strategies
Target Market Strategies: New
Technology of Measurement
Retail Scanners • Cash register scanners
• List of customers and their
Database Developments various characteristics, stored
electronically.
• Determining the precise impact
Marketing Mix Modeling of the media plan on product
sales.
Internet Audience • Who’s online and which sites
they are visiting may be
Measurement Problems determined by number of hits,
unique visitors, visitors, or page
impressions.
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Geographic Strategies:
Allocating Media Weight
• Try to balance sales with advertising
investment market by market.
• Can help local business fight the power
of national corporations by saturating
community with advertising from local
companies.
• Planner’s ideal advertising allocation
provides enough budget to meet each
area’s sales objectives.
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Timing and Duration
Strategies
Continuity
Option
$ Spent
Campaign Time
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20. Media Selection Procedures
Reach
Number of Different
People Exposed to the
Message
Frequency Factors to Consider
Degree of Exposure
When Selecting
Repetition
Advertising Media
Cost Per Thousand
Efficiency of Selected
Vehicles
11-58
Audience Measures Used
in Media Planning
Impressions
Measure of the Size of the Audience
Gross Impressions
Gross Values
Audiences of All Media
Number of People Viewing
Vehicles Used in a Time Spot
Rating
Percentage of Exposure
Gross Rating Point
Divide the Total Number of Impressions by Size
of Target Population and Multiply by 100.
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Reach, Frequency and
Media Planning
Reach Frequency
% of the Target Number of Times the
Population Exposed Target Population
At Least Once to Is Exposed to the
the Advertising Advertising
Message During a Message During a
Specific Time Specific Time
Frame. Frame.
Methods Include:
Average Frequency
Frequency Distribution
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21. Combining Reach and
Frequency Goals
• Reach of an audience is not sufficient
measure of an advertising’s schedule’s
strength.
• For anyone to be considered part of the
reached audience, he or she must have
been exposed more than once.
• This theory combines reach and
frequency elements into one factor
known as effective frequency.
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How to Calculate CPMs
• Magazines. An issue of You magazine
has 10,460,000 readers who could be
considered a target audience. The
advertising unit is a four-color page and
its rate is $42,000. The CPM is:
CPM = Cost of page or fractional page unit x 1,000
Target audience readers
= $42,000 x 1,000 = $4.02
10,460,000
Media planners try to select the media
that will expose the largest target
audience for the lowest possible cost.
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Media Buyers’ Special Skills
• Negotiation: Art of • Maintaining Plan
a Buyer Performance
– Vehicle – Monitoring
Performance Audience Research
– Unit Costs – Scheduling and
– Preferred Positions Technical
– Extra Support Problems
• Program
Offers
Preemptions
• Missed Closings
• Technical problems
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22. Staging a Media Plan
A Media Plan is a Written Document that
Summarizes the Recommended Objectives,
Strategies, and Tactics Pertinent to the Placement of
a Company’s Advertising Messages.
Background and Discusses Media Options, Opportunities
Situation Analysis and Target Audience.
Media Objectives & Goal or Task that Media Can Accomplish
Aperture Opportunities Based on Aperture Opportunities.
Strategy: Explains Why a Single Medium or Set of
Selection of Media Media is Appropriate.
Media Buyers Convert Objectives and
Flow Chart Scheduling
Select, Negotiate, & Contract for Media
& Budgeting Space.
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A Sample Media Plan for
Pizza Hut
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A Sample Media Plan for
Pizza Hut
• Situation and Consumer Analysis
• Media Objectives and Aperture
Strategies
• The Media Mix
• The Flowchart: Scheduling and
Budgeting Allocation
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23. A Sample Media Plan for
Pizza Hut
Pizza Hut Media Plan
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A Sample
Media Plan
for Pizza Hut
Pizza Hut TV and Internet
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Media Strategies
A Sample Media Plan for
Pizza Hut
Pizza Hut Media-Planning Template
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24. Print Ad Components
Headline:
Words in the Leading Position of the Ad
Subheads:
Smaller Than the Headline, Larger Than the Copy
Body Copy:
The Main Text Portion of a Print Ad
Visual Elements:
Illustrations Such As Drawings or Photos
Layout:
How Elements Are Blended Into a Finished Ad
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Print Ad Layout
Arrangement of the Elements on the
Format Printed Page
Expressed in Columns, Column Inches
Size or Portions of a Page
Black & White or Two-, Three-, or Four-
Color color Printing
White Marginal and Intermediate Space That
Space Remains Unprinted
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© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Top 10 Jingles of the Century
Company Jingle
1. McDonald’s You deserve a break today
2. U.S. Army Be all that you can be
3. Pepsi Cola Pepsi Cola Hits the Spot
4. Campbell’s Soup M’m, Good M’m Good
5. Chevrolet See the USA in your Chevrolet
6. Oscar Mayer I wish I was an Oscar Mayer Wiener
7. Wrigley’s gum Double your pleasure, double your fun
8. Winston Winston tastes good like a cigarette should
9. Coca-Cola It’s the real thing
10. Brylcreem Brylcreem—A little dab’ll do ya
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25. Production Stages for TV Commercials
All work before actual
Preproduction
shooting, recording
Period of filming, taping, or
Production
recording
Work after spot is filmed or
Postproduction
recorded
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Pre-production Tasks
Select a Director
Choose
Preproduction
Production
Meeting
Company
Preproduction
Production
Bidding
Timetable
Cost Estimation
and Timing
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Production Tasks
Production
Location Versus Night/weekend Talent
Set Shoots Shoots Arrangements
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26. Post-production Tasks
Editing Processing
Release/
Sound Effects
Shipping
Postproduction
Audio/Video
Duplicating
Mixing
Client/agency
Opticals
Approval
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Evaluation Guidelines for Creative Output
Consistent With Brand’s Marketing Objectives?
Consistent With Brand’s Advertising Objectives?
Consistent With Creative Strategy, Objectives?
Does It Communicate What It’s Suppose to?
Approach Appropriate to Target Audience?
Communicate Clear, Convincing Message?
Does Execution Overwhelm the Message?
Appropriate to the Media Environment?
Is the Advertisement Truthful and Tasteful?
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© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Media Terminology
Media A series of decisions involving the delivery
Planning of messages to audiences
Media Goals to be attained by the media strategy
Objectives and program
Media Decisions on how the media objectives can
Strategy be attained
The various categories of delivery systems,
Media
including broadcast and print media
Broadcast Either radio or television network or local
Media station broadcasts
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27. Media Terminology
Print Publications such as newspapers,
Media magazines, direct mail, outdoor, etc.
Media The specific carrier within a medium
Vehicle category
Number of different audience members
Reach
exposed at least once in a given time period
The potential audience that might receive
Coverage
the message through the vehicle
The number of times the receiver is exposed
Frequency
to the media vehicle in a specific time period
11-79
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
The Media
Plan
• A written
document that
summarizes the
objectives and
strategies
pertinent to the
placement of a
company’s
advertising
messages.
11-80
Developing the Media Plan
Analyze the Market
Establish Media Objectives
Develop Media Strategy
Implement Media Strategy
Evaluate Performance
11-81
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28. Creative Brief
11-82
Developing the Media Plan
Situation Marketing Creative
Analysis Strategy Plan Strategy Plan
Setting Media Objectives
Determining Media Strategy
Selecting Broad Media Classes
Selecting Media Within Class
Media Use Decision Media Use Decision Media Use Decision
— Broadcast — Print — Other Media
11-83
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Brand and Category Analysis
Brand Development Index
Percentage of brand to
total U.S. sales in market
BDI = X 100
Percentage of total U.S.
population in market
11-84
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29. Brand and Category Analysis
Category Development Index
Percentage of total product
category sales in market
CDI = X 100
Percentage of total U.S.
population in market
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Determining Relative Cost of Media-Print
Cost per thousand (CPM)
Cost of ad space
CPM = (absolute cost) X 1,000
Circulation
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Determining Relative Cost of Media-Broadcast
Cost per rating point (CPRP)
Cost of commercial time
CPRP = Program rating
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30. Insertion Order #1
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Insertion Order #2
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Insertion Order #3
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30

31. Newspaper Pros and Cons
Advantages Disadvantages
High Coverage Short Life
Low Cost Clutter
Short Lead Time for Low Attention Getting
Placing Ads
Ads Can Be Placed in Poor Reproduction Quality
Interest Sections
Timely (Current Ads) Selective Reader Exposure
Reader Controls Exposure
Can Be Used for Coupons
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© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Newspaper Advantages and Drawbacks
Advantages Disadvantages
Production Quality
Extensive Penetration
May Be Low
They Have a
Flexibility
Short Life Span
Not Demographically
Geographic Selectivity
Selective
Not Psychographically
Involvement, Acceptance Selective
There's Heavy Ad
Services Offered Competition
Potentially Poor Placement
May Be Overlapping
Circulation
11-92
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Newspaper Classifications
Daily
Publication
Frequency
Weekly
National
Type Special-Audience
Supplements
Standard
Size
Tabloid
Ethnic, Religious, Etc.
Audience Type
Business, Financial, Etc.
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32. Characteristics of Newspapers
The Dominant Advertising Vehicle
Account for 22% of Ad Dollars
Over 1,500 Daily Papers in Print
Dailies Read by About 60% of adults
Main Community Medium
Local Ads Provide Most of Revenue
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Unique Newspaper Features
Mass audience
Cross-section of population
Local geographic coverage
Wide range of content, subjects
Selective readership by area
Timely coverage, daily issues
Readership concentrated in time
Permanent, durable record
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© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Newspaper Advertising
Local (Mostly Retail)
Display Ads General (Often National)
Paid Reading Notices (Editorial Look)
Small Items Arranged by Topic
Classified Ads Rates Based on Size, Duration
Classified Display - Combination
Legal Notices - Public Reports
Public Notices Notices by People, Organizations
Financial Reports
Printed
Prepared Separately by Advertisers
Inserts
11-96
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33. Newspaper Characteristics
Read by Almost All Consumers
Wide Read Daily in an Ordered Way
Audience
Readers Look at Over 3/4
of All Pages
Few Limitations on Ad Size
Spot and Full Color Available
Offer
Flexibility
Many Shapes, Sizes,
Paper, & Printing
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Rate Terminology
Split Runs Split Run Rates
Preferred Position Differential Rates
Color Rates Insertion Rates
Combination Rates Run-of-Paper [ROP]
Open Rates Short Rates
Flat Rates Earned Rates
National Rates Local Rates
Terms of the Trade
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Coverage Map – Major Radio Station
11-99
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34. Circulation Zones for a Major Newspaper
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A Newspaper Promotes Its Various Sections
11-101
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Island Ads Break Through Clutter
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35. Popper/Dot Whack/Sticky Note
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Popper/Dot Whack/Sticky Note
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Popper/Dot Whack/Sticky Note
11-105
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36. Popper/Dot Whack/Sticky Note
11-106
Popper/Dot Whack/Sticky Note
11-107
Popper/Dot Whack/Sticky Note
11-108
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37. Inserts (FSIs) Help Marketers Reach Consumers
11-109
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Some Newspapers Offer Combination Rates
11-110
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College Newspapers Are an
Effective Way to Reach Students
11-111
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38. Television Pros and Cons
Advantages Disadvantages
Mass Coverage Low Selectivity
High Reach Short Message Life
Impact of Sight, Sound High Absolute Cost
and Motion
High Prestige High Production Cost
Low Cost Per Exposure Clutter
Attention Getting
Favorable Image
11-112
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Radio Pros and Cons
Advantages Disadvantages
Local Coverage Audio Only
Low Cost Clutter
High Frequency Low Attention Getting
Flexible Fleeting Message
Low Production Cost
Well-segmented Audience
11-113
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Internet Pros and Cons
Advantages Disadvantages
User Selects Product Limited Creative
Information Capabilities
User Attention and Web snarl (Crowded
Involvement Access)
Interactive Relationship Technology Limitations
Few Valid Measurement
Direct Selling Potential Techniques
Flexible Message Platform Limited Reach
11-114
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39. Direct Mail Pros and Cons
Advantages Disadvantages
High Selectivity High Cost Per Contact
Reader Controls Exposure Poor Image (Junk Mail)
High Information Content Clutter
Repeat Exposure
Opportunities
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Outdoor Pros and Cons
Advantages Disadvantages
Location Specific Sort Exposure Time
High Repetition Short Ads
Easily Noticed Poor Image
Local Restrictions
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Magazine Pros and Cons
Advantages Disadvantages
Long Lead Time for
Segmentation Potential
Ad Placement
Quality Reproduction Visual Only
High Information Content Lack of Flexibility
Longevity
Multiple Readers
11-117
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40. Magazine Pros and Cons
Advantages Disadvantages
Selectivity Costs
Reproduction Quality Limited Reach
Creative Flexibility Limited Frequency
Permanence Long Lead Time
Prestige Clutter
Receptivity, Involvement
Services
11-118
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Special Magazine Features
Bleed Pages
Island Halves Inserts
Gate Folds Pop-Ups
Cover
Positions
11-119
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Magazine Circulation Concepts
Primary
Circulation
Total Guaranteed
Audience Circulation
Controlled Circulation
Circulation Verification
Pass-Along
Readership
11-120
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41. The Future of Magazines
Declining Ad Revenues
Stronger Editorial Platforms
Circulation Management
Cross-Magazine and Media Deals
Trends,
Trends, Database Marketing
Trends…
Advances in Technology
Electronic Delivery Methods
11-121
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Consumer Magazines Target Specific Interests
11-122
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An Example of a Farm Publication
11-123
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42. Magazines Target Professions or Industries
11-124
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Top-Selling Magazines: 2002
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Media Kits Provide Information on Readers
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43. City Magazines Provide Geographic Targeting
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Newsweek Offers Various Geographic Editions
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Use of Various Media for Insight and Ideas
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44. Consumers Rely on Magazines for Information
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Pop-Ups Grab Attention
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Quarter Page Ads Can Extend a Media Budget
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45. Media Research Guides Advertisers
+
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Media Kits Provide Advertisers With Information
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A New Breed of Business Publication
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46. Magazines Go Online
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© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Questions ???
M. Larry Litwin, APR, Fellow PRSA
larry@larrylitwin.com
www.larrylitwin.com
© 2009
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