AdvertisingandDirectMarketing

Topic8BMediaBuyingandPlanning
Marketersareseekingmeasurableresultsforeverymarketingcommunicationdollar
theyspend.Throughtheuseofmarketingresearchorganizations,marketershaveaccess
todetailedinformationonthemediahabitsandpurchasebehaviorsoftargetaudiences.
OrganizationssuchasMediaResearch(MRI)andSimmonsMarketResearchBureau
(SMRB)correlateproductusagedatawiththemediahabitsoftargetaudiences(i.e.,
indexesindicatingtheparticularsegmentsofapopulationthatareheavyusersofa
particularbrandexpressedasashareofvolume.)Sophisticateddataisavailablethrough
servicessuchasNielsensHomeScanandInformationResourcesBehaviorScan,offer
informationnotonlyondemographics,butonbrands,purchasesize,purchasefrequency,
pricespaidandmediaexposure.
Mediaplannersidentifymediathatcoverthesamegeographicareaastheadvertisers
distributionsystem.Geotargetingistheplacementofadsingeographicregionswhere
higherpurchasetendenciesforabrandareevident(thisreinforceshighvolumeusers).A
BrandDevelopmentIndex(BDI)isamethodofallocatingadvertisingbudgetstothose
geographicareasthathavethegreatestsalespotential.
Messageweightisthegrossnumberofadvertisingmessagesdeliveredbyavehicleina
schedule.Themeasurementincludesduplicationofexposure.Themessageweight
indicatesthesizeoftheadvertisingeffortbeingplacedagainstaspecificmarket.
Grossimpressionsrepresentthesumofexposurestoallmediaplacementinamediaplan.
Someareduplicated(thesamepersonhadseveralexposuresperhapsthroughdifferent
media)referredtoasbetweenvehicleduplicationaswellaswithinvehicleduplication
(exposedtosameadinsamemediumondifferentdays.)
Mediaobjectivesprovidethefoundationformediaselection.Thetruepowerofaplanis
withinthemediaselectionthedecisionsmadewithrespecttoamediavehiclesreach
andfrequency,thecontinuityofamediaplacement,audienceduplication,lengthandsize
ofadvertisements.Mediastrategydecisionshelpensurethatmessagesplacedinthe
chosenmediahaveasmuchimpactaspossible.
Reachreferstothenumberofpeopleinatargetaudiencethatwillbeexposedtoamedia
vehicleorscheduleatleastonetimeduringagivenperiodoftimeandisoftenexpressed
asapercentage.Mediavehicleswithbroadreachareidealforconsumerconvenience
goodsliketoothpastewithsimplefeaturesandthatarefrequentlypurchasedbyabroad
crosssectionofthemarket.
Effectivereachisthenumberorpercentageofconsumersinthetargetaudiencethatare
exposedtoanadaminimumnumberoftimes(theminimumnumberestimatefor

effectivereachisbasedonadeterminationofeffectivefrequency.Inotherwords,if
effectivereachissetfor4exposures,thenamediaschedulemustachievethis.
Frequencyistheaveragenumberoftimesanindividualwithinatargetaudienceis
exposedtoamediavehicleinagivenperiodoftime(typicallyaweekoramonth).
Effectivefrequencyisthenumberoftimesatargetaudienceneedstobeexposedtoa
messagebeforetheobjectivesoftheadvertisersaremet(eithercommunicationobjectives
orsalesimpact.)Newbrandsorbrandswithfeaturesthatdemandhighfrequencyfor
consumersawarenesswhereasasimplemessageforawellknownproductrequiresless
frequency.Theoldruleofthumbwas3exposureswasbest,butasfewas2orasmany
as9maybeneededtoachieveeffectivefrequency.
Continuityisthepatternofplacementofadsinamediaschedule.Threestrategic
schedulingalternativesarecontinuous,flightingandpulsing.
Continuousschedulingisapatternofplacingadsatasteadyrateoveraperiodoftime.
Flightingisachievedbyschedulingheavyadvertisingforaperiodoftime,usually2
weeks,andthenstoppingadvertisingaltogetherforaperiodtoreturnwithanotherheavy
schedule.
(Aflightisthelengthoftimeabroadcasterscampaignruns.)Thispatternsupports
specialseasonalmerchandisingeffortsornewproductintroductionsorasaresponseto
competitorsactivities.Theadvantageofthispatternisthatdiscountsmaybegainedby
concentratingmediabuysinlargeblocks.Thecommunicationeffectivenessisenhanced
becauseaheavyscheduleachievesrepeatexposuresthatarenecessarytoachieve
consumerawareness.
Pulsingcombinescontinuousandflightingpatterns.Advertisingisscheduled
continuouslyinmediaovertimeperiodsofheavierscheduling.Thispatternismost
appropriateforproductssoldregularlyallyearlongbuthave,likeclothing,certain
seasonalrequirements.
Mediaplannersalsomakedecisionsregardingthelengthorsizeofanad.Most
televisionadsare:30,thoughtheycanrangefrom:10to:60andoccasionally1:20.The
lengthdependsoncreativerequirements,mediabudgetsandthecompetitive
environment.Advertisingattemptingtodevelopanimagemayneedtobelongeror
larger.Asimplemessageannouncingasalecanbeshortorsmallbutmayneedheavy
repetition.
MediaChoices:Theadvertiserandtheagencydeterminewhichmediaclassis
appropriateforthecurrenteffortandconsider3issues:mediamix,mediaefficiencyand
competitivemediaactivity.

Themediamixistheblendofdifferentmediausedtoreachthetargetaudience.There
aretwooptions:a.concentratedmixandb.assortedmix.
Aconcentratedmixfocusesallmediaplacementdollarsinonemedium.Therationale
hereisthatthisapproachallowsanadvertisertohaveagreatimpactonaspecific
audiencesegmentandgivesthebrandanauraormassacceptanceespeciallywithinan
audiencewithrestrictedmediaexposure.Beingdominantinonemediumheightens
brandfamiliarityparticularlyinahighvisibilitymediumliketelevision.Thisalsocreates
enthusiasmandloyaltyinthetradechannelandthusmayimpacttreatmentininventory
orshelfdisplays.Also,concentratingmediadollarsinonemediummayresultinvolume
discountsfrommediaorganizations.
Anassortedmixemploysmediaalternativesandcanbeadvantageousbecauseit
facilitatescommunicationwithmultiplemarketsegmentsandanadvertisercanplace
differentmessagesfordifferenttargetaudiencesindifferentmedia.Inthiswaythe
messagecanbetailoredtothetargetsuniqueinterests.Moreoverdifferentmessages
mayenhancethelearningeffectaswellasincreasingthereach.
Mediaefficiencyincorporatestheuseofvariousmathematicalformulassuchascostper
thousand(CPM)andcostperratingpoint(CPRM).
TheCPMisthedollarcostcalculatedforreaching1,000membersoftheaudienceusing
aparticularmedium.CPMsarethestandardmeasureofmediaefficiency.CPM
calculationscanbeusedtocomparetheefficiencyoftwomediachoiceswithinamedia
classorbetweenmediaclasses.(CPM=costofmediabuyasanumeratoroverthetotal
audiencex1,000asthedenominator).
CostperratingpointisthecalculationusedfortelevisionwherethecostofaspotonTV
isdividedbytheprogramsrating(aratingpointisequivalentto1percentofthe
televisionhouseholdsinthedesignatedratingareatunedtoaspecificprogram.The
CPRMgivesadollarfigure:CPRM=dollarcostofadplacementwithaparticular
program/schedule.
Theseefficiencyassessmentsarebasedoncostandcoverageanddonotconsiderthe
qualityoftheadvertisingandthereforecannotbeconsideredasindicatorsofadvertising
effectiveness.
Competitivemediaactivityorassessmentprovidesaperspectiveforthebrand.Thisis
importantforproductcategoriesinwhichthecompetitorsarefocusedonanarrowly
definedtargetaudience(snackfoods,softdrinks,beer,chewinggum).Whenthetarget
audienceisnarrowandattractstheattentionofseveralcompetitors,anadvertisermust
assessthecompetitorsspendingandtheirshareofthevoice.Theshareofthevoiceis
acalculationofanyoneadvertisersbrandexpendituresrelativetotheoverallspending
inacategory:shareofvoice=onebrandsadvertisingexpendituresinamediumasa
numeratoroverthetotalproductcategoryadvertisingexpendituresinamediumasthe
denominator.

Researchprovidesanassessmentoftheshareofthevoicesothatadvertiserscanknow
whattheircompetitorsarespending.