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Fit,

The creative plan Consistency, &


Coherence

 Customer insight Benefits? Features? Brandname? None?


 Selling premise (main idea)
 Product versus prospect centered
 Promises, Reason why, Unique selling proposition, Problem solution, Problem avoidance, Evidence, etc.
 Creative concept (theme)
--Instinctual selling proposition
 Emotional content versus cognitive content --Archetypal selling proposition
e.g., The Child, The Hero, The Great
 Explicit messages versus implicit messages Mother, The Wise old man, The Trickster or Fox,
 Appeal The Lion, etc.

(security, esteem, fear, sex, hunger, health, escape,
fitness, adventure, power, etc.) --Emotional selling proposition
--Rational selling proposition
 Tone (funny, serious, sad, fearful, joyful, natural, etc.)
 Concept ideas, word ideas, picture ideas (visuals), casting, etc.
 Etc.
 Execution details and message format
 Lectures/dramas/slice of life/straightforward facts/
 Use of spokespersons / celebrity endorsers / testimonials / special characters / reputable
institutions
 Use of demonstrations and comparisons (torture tests; scientific tests,etc).
 Choosing jingles, slogans, taglines, and key visuals.
Messages are customized
 Person
 Context
 Location
 Time
 Role
 Activity
Relationships Between Affect,
Cognition, and Consumer Response
 Affect and cognition are interdependent. The affective and cognitive
systems do involve different parts of the brain; however, these areas
are richly connected by neutral pathways.
 First phase affective response (Consept representation)
 Second phase affective response (Idea representation)
 Third phase affective response (Elaborative interpretation)

C
How does affect and cognition
interact?
 The Role of Affect:
 At What Stage? (Decoding? Encoding? Judging? Retrieval?)
 To What extent? (Representativeness, Relevance, and Processing
Resources)
 Cognitive capacity view
 Affect as information view
 Mood created in a store
 Positive affect acts as a direct heuristic, negative affect
activates elaboration.
 How do I feel about it?
 Motivational Influences (Hedonic Contingency
Account)
 Affect Confirmation Hypothesis
 1939–1950: "Twice as Much for a Nickel"
 1950–1957: "Any Weather is Pepsi Weather"
 1957–1958: "Say Pepsi, Please"
 1958–1960: "Be Sociable, Have a Pepsi"
 1961-1964: "Now It's Pepsi for Those Who Think Young"
 1964–1967: "Come Alive, You're in the Pepsi Generation”
 1969–1975: "You've Got a Lot to Live, and Pepsi's Got a Lot to Give"
 1975–1977: "Have a Pepsi Day"
 1977–1980: "Join the Pepsi People (Feeling Free)"
 1983: "It's cheaper than Coke!"
 1983–1984: "Pepsi Now! Take the Challenge!"
 1984–1991: "Pepsi. The Choice of a New Generation"
 1984-1988: "Diet Pepsi. The Choice of a New Generation"
 1989-1992: "Diet Pepsi. The Taste That Beats Diet Coke"
 1992–1993: "Be Young, Have Fun, Drink Pepsi"
 1997–1998: "Generation Next"
 1999–2000: "For Those Who Think Young"/"The Joy of Pepsi-Cola“
 2010–present: "Every Pepsi Refreshes The World"
 2011–present: "Change the game"
Promotions mix
 Which specific promotional methods are
to be used in the campaign and to what
extent.
SALES
PROMOTIONS

PERSONAL
SELLING

ADVERTISING & PR

Awareness Comprehension Acceptance Purchasing Repeat Purchase


The media plan
 Target audience(s)
 Which media alternatives are to be used.
 Reach and frequency of exposure
 Duration, timing, and continuity patterns
 Ratings and program selection
 Clutter and compatibility analyses
 Geographic allocation

pop

Games

WOM
MAIN ISSUES
. GRP (REACH % x FREQUENCY #)
. SHARE OF VOICE
. BUDGET AND COSTS (CPM, CPP)
. EFFECTIVENESS and MEDIA ADDED VALUES
Television
Light television viewers are a difficult demographic to reach, a serious concern given this group is characterized as being younger, more
active, and more affluent than the general population. Television’s combination of sight, sound, and motion make it a formidable
advertising medium.

Today, many viewers consume a limited amount of television while digital video recorders (DVRs) have shifted habits toward ad
avoidance. Light television viewers comprise 40 percent of the total television audience, spending less than 90 minutes per day watching
TV between the hours of 6:00 AM and midnight.

Big market stations remain critical to broadcast networks, despite an increasing reliance on digital and online content distribution. For
dozens of major independent station group owners, local television is their core business and revenue source. With broadcast networks
selling programs directly to cable and new digital media outlets, and as broadcast networks rely more on online sites, digital platforms
and devices to distribute programs, local stations have faced a dilution of the affiliate brand.

The high capital cost, declining revenues, and tighter margins have become increasingly apparent among television stations. Local TV
station owners are under pressure to modify high-cost legacy structures, leverage their unique local content and connections, and engage
in new digital enterprises to collectively offset traditional ad declines.
Television Benefits
Wide geographic coverage
Broad audience reach
Local alternatives
Only way to reach certain and critically important segments.
Higher production quality due to joint use of verbal and visiual elements (sight, sound, and motion).
Perceived accountability with well accepted audience measurement metrics
Relative ease of buying and post-buy maintenance
Proven success record for promoting mass consumer products
Television Disadvantages
Audience share is generally declining due to fragmented audiences
Increasing use of DVRs, DVD Players, etc. diminishes the impact of commercials (Placements?)
Many television shows skew older and lower income
Typically high CPM costs and rising production costs
Primetime is no longer the preeminent reach builder with a large part of the viewing population not
substantially reached by the primetime networks
Increasing ad clutter as commercial pods lengthen
Light TV viewers who are younger, mobile, and more affluent than heavy TV viewers.
Radio
Driven largely by the increase in the length of consumer commutes, the number of people listening to the radio has grown
over the last decade. With varied station formats, listeners have a wide choice of options to satisfy their particular
preferences. But, listener fragmentation requires advertisers to buy multiple stations and formats to accumulate a relatively
large audience reach, offsetting the cost-effectiveness of radio. The introduction of satellite radio and MP3 technology has
stolen audience share from radio stations.

While some technology has hindered the reach of radio listening, other technologies have enhanced radio’s appeal with
consumers. Over 4,500 radio stations stream content online through local websites, providing a one-on-one connection with
listeners.

Radio Benefits
Targeting capabilities
Inexpensive compared to other traditional broadcast media
Builds frequency quickly
Flexible production process
Branded promotions offer advertisers appealing community involvement opportunities
Increased attention and imaginary processing
Radio Disadvantages
No visual component
Advertisers must buy multiple stations and formats to accumulate audience reach
Peak listening is during morning and evening drive times with relatively low audiences during other
day parts
Newspaper
Newspapers play a functional role by providing news and information. However, for more than 20 years there has been a
consistent and steep decline in the number of individuals who regularly read a weekday or weekend newspaper. Many
consumers today use online sources to gather news and information rather than printed materials. Many homes have an
Internet connection, offering almost everything found in newspapers, including national and global news, classified ads,
opinions, entertainment, sports, comics and horoscopes. Many traditional newspaper advertising sectors, such as job ads
and real estate, have also moved online.

Advertisers in big cities have plenty of options to reach consumers, and newspapers are one of the most expensive.
Newspapers can charge as much as $25 for every 1,000 people who might see an ad covering a half page.

According to The Media Audit, those who spend more than an hour per day reading newspapers spend 3.7 hours per day
online. Internet newspaper reading represents almost 30 percent of time spent with newspapers.

A survey by the Pew Research Center asked readers if they would feel the loss of either print or online versions of their
local newspaper. Forty-two percent said they would not miss their city paper much, or at all. Twenty-six percent didn’t
think the loss would hurt civic life in their communities, and nearly 30 percent said there would be other ways to get news
if their local paper shut down.

Newspaper Benefits
Broad reach within a defined (conceptual, professional, or local) market area
Newspaper offers targeting capability with regional delivery and special advertising sections
Geographic selectivity is available in small towns
Marketplace for competitive price shopping (Inserts)
Established distribution outlet for coupons and similar promotions
Newspaper Disadvantages
Decreasing market penetration and readership with many newspapers reaching less than 50 percent
penetration
Low younger audience (18-24) readership
Costly frequency medium
Some ad recall studies show less than 50 percent of newspaper readers recall noting ads
Ad clutter
Short shelf life
Magazines
One of the core benefits magazine publishers can offer advertisers is the opportunity to use high production quality to
influence core demographic audiences. But as more consumers are obtaining information from digital media platforms, more
titles fold, circulation drops, and newsstand and subscription prices rise, the opportunities for advertisers to reach consumers
through magazines are shrinking. According to the Publishers Information Bureau, the number of advertising pages in top
magazines has dropped 42 percent since 2000.

Magazine Benefits
High degree of selective targeting based on demographics, product affinity, or lifestyle
High production quality
Focused editorial environment
Regional editions offer localized targeting capabilities
Repetition
Magazine Disadvantages
Specific issue audience data is not typically available
Magazines produce minimal short term (daily/weekly) reach
Broad market reach is difficult to achieve because of niche readership behavior
Internet
Internet advertising began in the mid-nineties and since then has been the fastest growing media segment. According to
Magna Insights, nearly 100 million US households have Internet access today and over 90 percent of those households use
broadband. The average user spends over 25 hours online per week. As a result, the Internet represents one-third of daily
media use, according to The Media Audit. While new Internet ad options continue to evolve, the value of traditional banner
ads is debatable as click through rates stay low.

Individuals are using social networking platforms where users generally hold negative views of advertising and consider ads a
distraction. It is difficult to quantify the value of Internet advertising based on traditional media measures, and viable
integration of advertising within social networking enterprises has proven tough to achieve.

Internet Benefits
Younger, educated, affluent, and mobile audience.
Direct response and transactional opportunity are available to consumers in real-time
One-to-one marketing any time and any place
Long-term reduction of transactional business costs
Internet Disadvantages
Limited frequency across millions of websites with users able to access only a fraction of sites available
Privacy and security concerns
The Internet & the Mobile Media
(DIGITAL)
www.socialbakers.com
 Electronic Revolution:
 Personalization
 Localization
 Source informality (social networks)
 Voluntary exposure & Interactivity
 Effects on Marketing Practices :
 Segmentation and targeting
 Customer relationships
 Pricing
 Product
 Promotions
 Place (distribution) and reseller relationships
 Etc.
 Effective messages on the internet:
 Minimalism
 Appeal
 Distinctiveness
Comparing the internet with
other communication channels
 Costs
 Stimulus variety
 Clutter
 Usage experience
 Processing quality
 Credibility
 Intrusiveness
 Selective targeting
 Personalization & Localization
 Flexibility
 Interactivity
 Regulation
 Performance metrics and monitoring processes
 Cost-per-click (CPC)
 Cost-per-thousand impressions(CPM)
 Click-through-rate
 Ad Ranks
 Conversion Rates (purchase, sign up, page views, sales leads, etc.)
 Cross-channel conversion tracking
Outdoor Media Formats
Reach, frequency, supplementary and complementary effects, creative
practices.

 Billboards
 Standardized large format advertising displays intended for viewing from extended distances, generally more than 50 feet.
 Bulletins
 Digital Billboards
 Junior Posters
 Posters
 Spectaculars
 Wall Murals
 Wrapped Posters
 Wrapped Square Posters

 Street Furniture
 Advertising displays, many that provide a public amenity, positioned in close proximity to pedestrians and shoppers for eye-
level viewing, or at curbside to influence vehicular traffic.
 Bicycles and Bicycle Racks
 Bus Benches
 Bus Shelters
 Convenience Store Advertising
 In-Store Advertising
 Kiosks: Information
 Kiosks: Telephone
 Newsstands and Newsracks
 Pedestrian Panels
 Shopping Malls
Outdoor Media Formats
 Transit
 Advertising displays affixed to moving vehicles or positioned in the common areas of transit stations, terminals and
airports.
 Airports
 Buses – Exterior
 Buses – Interior
 In-Flight Advertising
 Mobile Billboards
 Rail Systems and Subways
 Taxicabs
 Truckside Fleet Displays

 Alternative
 Alternative is just about anything you could imagine. New products are constantly being developed. Here is just a
sample of what's available:
Gas Station Advertising
 Airborne General Place-Based Advertising
 Arena & Stadium Advertising Golf Course Advertising
 Beach Advertising Marine Vessels
 Blimps & Custom Inflatables Parking Garage Advertising
Place Based Digital Networks
 Cartons & Cups
Projection
 Cinema Ski Area Advertising
 Dry Cleaning Bags Trash Receptacles
Turnstile Advertising
DOES THE MEDIA ALTERNATIVE ……. BENEFIT
Deliver a lower cost per thousand and a lower cost per rating point More exposure for the ad dollars being invested
compared to other local media

Localize messages to geographic or demographic targets Saves money by minimizing the wasted exposures that reach non-prospects

Deliver messages in an uncluttered environment with attention catching Messages will be seen by consumers so brands will stand out from competitors
representations

Offer advertisers a variety of different media products, schedule durations A customized media plan that fits budget objectives, seeing results quicker
and weights fitting in almost any ad budget

Deliver repeated exposures of your message to today's highly mobile Ad dollars have more impact because consumers will retain a brand name and
consumer message over the competition

Supplement and/or complement the strategic objectives of alternative With outdoor in an advertising mix, marketing and media objectives will be
media achieved more effectively and efficiently

Deliver messages constantly - 7/24 Between other media inserts, the advertiser won’t miss any opportunities to sell to
prospects or for those prospects to buy

Deliver messages in a noise-free environment Maximum processing of messages

Deliver messages to today's highly mobile consumers who are driving An outdoor selling message in a media mix will improve a campaign’s ability to
more miles and spending more time in their cars than ever before reach all prospects effectively

Deliver exposure opportunities of messages to a high percentage of your Ad dollars create more opportunities for more prospects to buy products or services
target audience

Deliver a timely message, convenient to the point of sale, which is Messages will increase consumer traffic and facilitate impulse-buying of featured
targeted to active consumers who are prepared to buy products or service

Create consumer awareness of a brand quickly Achieve more immediate returns on advertising and inventory investments

Deliver to a mass audience, while also reaching all ethnic, income and Opportunities to sell products or services to all prospects is not limited as it is with
demographic groups within the coverage area of a particular market other media

Create consumer interaction and personalized communication Much stronger effectiveness


Media Planning (Process)

 GRP = Reach (%) * Frequency (#).


 TRP: Effective Reach (%) * Frequency (#).
 Effective TRP: Effective reach of the target audience at the effective frequency.
Ratings of the Three Time Slots
Media planners can process this data to compute the frequency
distribution by tallying the total percentage of
households that saw the ad 0, 1, 2, etc. times.

Viewers of the Ad's Time Slot Data


Segment National National Prime Time Frequency % of
Game Game Blitz (Next Households
Frequency Distribution of the Plan
First Half Second Half Day)
1 0 30 Frequency Reach
2 X 1 3 0 30
3 X 1 2 1 19
4 X 1 14 2 28
5 X X (1+1) 5 3 23
6 X X (1+1) 11
7 X X (1+1) 12 GRP = 144; Reach = 70.
Effective Reach (at least 2 exposures) = 51.
8 X X X (1+1+1) 23
Rating 42 42 60 144
Media Planning (Process)
-Reach
 High reach is desirable
particularly when:
 Something new is
associated with the
message
 Advertising informing
sales promotion
activities
 Reminder advertising
 Brand faces severe
competition
 Etc.
Media Planning (Process)
-Frequency
 Optimal number of frequency of exposure in a
purchasing cycle.
 3 ?

 5 ?

 7 ?

 When is more important than how many?

 Aperture & recency planning.


The use of mobile
 Quality of exposure. technology.
 Audience turnover.
Media Planning (Process)
OSTROW DECISION FRAMEWORK FOR OPTIMAL FREQUENCY
BASE EFFFECTIVE FREQUENCY = 3
Market Factors
Established brand -.2 -.1 +.1 +.2 New brand
High brand share -.2 -.1 +.1 +.2 Low brand share
High brand loyalty -.2 -.1 +.1 +.2 Low brand loyalty
Long purchase cycle -.2 -.1 +.1 +.2 Short purchase cycle
Less frequent usage -.2 -.1 +.1 +.2 Frequency usage
Low share of voice -.2 -.1 +.1 +.2 High share of voice
Target other group -.2 -.1 +.1 +.2 Target old people or children

Message Factors
Low message complexity -.2 -.1 +.1 +.2 High message complexity

High message uniqueness -.2 -.1 +.1 +.2 Low message uniqueness

Continuing campaign -.2 -.1 +.1 +.2 New campaign


Product-focused message -.2 -.1 +.1 +.2 Image-focused message

Low message variety -.2 -.1 +.1 +.2 High message variety
High wearout -.2 -.1 +.1 +.2 Low wearout
Large advertising units -.2 -.1 +.1 +.2 Small advertising units
Media Factors
Low clutter -.2 -.1 +.1 +.2 High clutter
Favorable editorial setting -.2 -.1 +.1 +.2 Neutral editorial setting

High audience attentiveness -.2 -.1 +.1 +.2 Low audience attentiveness

+ +
Continuous scheduling -.2 -.1 +.1 +.2 Pulse or flight scheduling

Few media vehicles -.2 -.1 +.1 +.2 More media vehicles
High repeat exposure media -.2 -.1 +.1 +.2 Low repeat exposure media
Media Planning (Process)
Hypothetical Media Mix and Share of Voice

Competing Television Magazine Direct Mail Internet Total


Brands Spend by
Brand
BRAND A $400,000 $250,000 $200,000 $300,000 $1,150,000 Media Dispersion
BRAND B $600,000 $250,000 $0 $0 $850,000
Media Concentration
BRAND C $0 $0 $0 $600,000 $600,000
(Roadblocking)
Total Spend $750,000 $500,000 $200,000 $900,000 $2,600,000
by Category
Brands' Voice in Each Category
BRAND A 40% 50% 100% 33% 44%
BRAND B 60% 50% 0% 0% 33%
BRAND C 0% 0% 0% 67% 23%
Total % 100% 100% 100% 100% 100%

Share Of Voice: % spending by one brand in a given media relative to the total
spending by all brands.
Media Planning (Process)
 Geographic Allocation
 Brand Development Index
Market X's Share of Total Brand Sales

BDI = ----------------------------------------------- X 100

Market X's Share of U.S. Population

 Category Development Index


Market X's Share of Total Category Sales

CDI = ---------------------------------------------------- X 100

Market X's Share of U.S. Population

CDI
High Low
High CDI Low CDI
High
BDI High BDI High BDI
High CDI Low CDI
Low
Low BDI Low BDI
Media Planning (Process)
Hypothetical Spending Allocation in Markets with 75% BDI and 25% CDI

Geographic BDI CDI 75% 25% Weighted Spending


Market Weighted Weighted Sum Percentage
BDI CDI
North 74 89 56 22 78 16%
East 111 99 83 25 108 22%
Central 93 129 69 32 102 20%
South 139 109 104 27 131 26%
West 83 74 63 19 81 16%

Growth Potential Index

Market X's CDI


A GPI of 150 indicates 50 % growth potential for
GPI = ---------------------- X 100 the brand in that market.
Market X's BDI
Media Planning (Process)

 Selection of specific media vehicles


Selection of Media Vehicle Based on Quantitative and
Qualitative Characteristics
TRP CPM Reputation Content fit Editorial Past Index
Environment Experiences
V1 3 2 1 3 1 1 1.8
V2 1 2 2 2 2 3 2.0
V3 1 3 3 1 1 3 2.0
V4 1 1 2 1 2 1 1.3

Cost Per Rating Point = Cost of the Ad / Rating of the Vehicle

Gross Impressions = Audience size * Rating / 100

CPM = Cost / Gross Impressions * 1000


Advertising Timing Patterns
Level Rising FallingAlternating
Concen- (1) (2) (3) (4)
trated

(5) (6) (7) (8)


Continuous

(9)
Inter- (9)
(10) (11) (12) Number of
messages
mittent per month

1. Budget
2. Seasonality Months
3. Purchasing cycle
4. Interval between decision making, purchase, and consumption
5. For durables, also frequency of product use
6. Product (category) familiarity
7. Competitor’s actions
8. Message complexity
9. Message originality
10. Audience characteristics
11. Etc.

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