Manage media planning and placement to enhance return on marketing investment 3.08.

Slides:



Advertisements
Similar presentations
Traditional Media Channels
Advertisements

Media Strategy & Planning Chapters 14 & 15 with Duane Weaver.
Media Planning and Strategy © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin.
Media Planning and Strategy 10 McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.
Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. 13 Media Planning Key Points: How do you explain the basic concepts used in comparing.
Copyright © 2012 Pearson Canada Inc. Chapter 8 Print Media: Newspapers and Magazines 8-1.
Media Planning Establishing frequency goals for an advertising campaign is a mix of art and science but with a definite bias toward art. –Joseph Ostrow.
Chapter 14 Media Planning, Objectives, and Strategy for Advertising and Promoting the Brand.
Advertising Media Selection Chapter – 8 (Eight) Lecturer – Md Shahedur Rahman.
Copyright © 2012 Pearson Canada Inc. Chapter 9 Broadcast Media: Television and Radio 9-1.
SEM A - Promotion PE - Manage media planning and placement to enhance return on marketing investment PI - Determine advertising reach of sport/event.
Is any paid form of non-personal promotion of ideas, goods, and services by an identified sponsor. Its purpose is to present a message that encourages.
Marketing Essentials n Chapter 19 Advertising Section 19.2 Media Rates.
Chapter 19 Advertising1 UNIT 6.2 Media Rates Marketing Essentials Advertising.
Unit 6 - Promotion.  There are many forms of advertising to fit all kinds of budgets.  A large company such as Procter & Gamble typically spends 25.
Advertising.
Lesson 6.2 The Promotional Mix─Advertising
Media Plan SBM 338 Lanny Wilke.
10 Media Strategy, Tactics, and Budget Decisions.
Media Planning and Strategy
Media Planning. Media planning is the process of determining how to use time and space to achieve marketing objectives.
1 Chapter 5 Advertising: Media Planning. 2 Media Planning “A plan of action to communicate a message to a target market a the right time, and right frequency.”
Media Strategy, Tactics, and Budget Decisions. Media Terminology Publications such as newspapers, magazines, direct mail, outdoor, etc. The specific carrier.
3.08 Media Planning and Placement. Terms Reach: number of people exposed at least once to an advertisement Reach: number of people exposed at least once.
Media Rates and Measurements
D. Marketing a Small Business Identify promotional media activities used by small businesses Identify the function of promotion in small business.
Marketing a Small Business Promotional Media Used by Small Businesses.
Media strategy and planning. Forces impacting on the media planning process demand for greater media accountability growing popularity of digital and.
Click here to advance to the next slide.. Chapter 14 Advertising Section 14.2 Media Measurement and Rates.
Media Planning and Strategy. Satellite radio stations 2 Satellite radio stations 2 The Traditional U.S. Media Landscape Broadcast networks (TV and cable)
CLASSES OF MEDIA. classes of media Traditional media Non-traditional media Specialized media.
Print Advertising Chapter 11 McGraw-Hill/Irwin Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved.
Ch. 10 Media Planning and Strategy
Chapter 10 Media Planning and Strategy. McGraw-Hill/Irwin 10-2 Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. Media Terminology.
Copyright © 2012 McGraw-Hill Companies, Inc., All right reversed McGraw-Hill/Irwin 10 Media Planning and Strategy.
MRK317 Integrated Marketing Communications Chapter 8 Media Decisions.
Manage media planning and placement to enhance return on marketing investment 3.08.
1 Chapter 5 Advertising: Media Planning. 2 Media Planning “A plan of action to communicate a message to a target market a the right time, and right frequency.”
3.08 Media Planning and Placement. Terms Reach: number of people exposed at least once to an advertisement Reach: number of people exposed at least once.
Ch. 10 Media Planning and Strategy Basic Terms and Concepts Media Planning: the series of decisions involved in delivering the message to the target audience.
SEM A - Promotion PE - Manage media planning and placement to enhance return on marketing investment PI - Determine advertising reach of sport/event.
Copyright © 2012 McGraw-Hill Companies, Inc., All right reversed McGraw-Hill/Irwin 10 Media Planning and Strategy.
Chapter 5 Advertising Planning: Traditional Media
Today I am Identifying media measurement techniques Learning promotional budgeting methods So I can Make correct media buying decisions I will know I’m.
19_2 Media Measurement and Rates. Media Measurements & Rates Businesses need to reach as many targeted customers as possible. It is important to calculate.
MEDIA COSTS. Newspaper Rates Classified Ads –Grouped into categories –Paid by word or line Display Ads –More creative –Generally larger –Paid by “column.
Think and Answer Now If you were to introduce a new product for your company, which form of advertising would you choose? Explain why. Read main idea on.
Media Planning and Strategy. Satellite radio stations 2 Satellite radio stations 2 The Traditional Media Landscape Broadcast networks (TV and cable) 100.
10 Media Strategy, Tactics, and Budget Decisions.
Media Planning and Strategy © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin.
Objectives: Identify media measurement techniques Explain techniques used to evaluate media Summarize how media costs are determined Explain promotional.
Manage media planning and placement to enhance return on marketing investment 3.08.
January 6, Media planners must consider the correct medium to use for advertising, the cost, and how to measure overall effectiveness. It is important.
3.08 Advertising Cost. Advertising: Reach & Frequency Reach is the number of different people who are exposed an advertising message at least once. Frequency.
Sports and Entertainment Marketing 1
Media Planning and Strategy
14.2 Media Measurement and Rates
Chapter 5 Advertising: Media Planning
Review Promotion Vocabulary 2.
SEM A - Promotion PE - Manage media planning and placement to enhance return on marketing investment PI - Determine advertising reach of sport/event.
3.08 Manage media planning and placement to enhance return on marketing investment.
Chapter 11 Using Magazines Magazine Pros Reach narrowly targeted audiences Provide strong visuals Offer some form of regional and/or demographic.
SEM A - Promotion PE - Manage media planning and placement to enhance return on marketing investment PI - Determine advertising reach of sport/event.
3.08 Manage media planning and placement to enhance return on marketing investment.
Media Strategy & Planning
Media Rates After finishing this section you will know:
Media Measurement and Rates #2
Media Planning and Placement
D. Marketing a Small Business
Presentation transcript:

Manage media planning and placement to enhance return on marketing investment 3.08

Determine ADVERTISING REACH and MEDIA COSTS

ADVERTISING REACH WHAT: Number of PEOPLE THAT ARE EXPOSED to your message: – CALCULATION (%):Divide the target audience exposed to an ad by the total target audience There are 1,500,000 fans of Tar Heel Football. A recent advertisement was viewed by 375,000 of them. (375,000/1,500,000 = 25% ADVERTISING REACH) WHY: Determines if ad targeted the right audience effectively. HOW: RESOURCES – Circulation numbers (newspaper) – Subscriptions (Magazines/ ) – Rating points (Radio/TV)

FREQUENCY and REACH FREQUENCY :Number of times you expose each person to your message Reach WITHOUT Frequency = Wasted Money

Factors that Influence Advertising Costs Circulation Size – Larger audience = more $$$ Production Costs - $$ varies per media Preferred Space Positions – Higher visibility = $$$ Available Discounts – Advertisers have sales too! Demographics – Targeting costs more Editorial Climate – More credibility? – New York Times vs National Inquirer Reproduction Quality – Higher quality = more $$

NEWSPAPER MEDIA COSTS – Factors affecting COSTS (Lower than most media): Lower production costs Position and color of ad Split-runs (print different ads for the same product) National ads cost more than local – Types of RATES: PREFERRED POSITION: ads placed in location with best exposure for their target market (Ex: Sports ad in the Sports section instead of Garden section) Flat: one time only Sliding scale/ VOLUME DISCOUNTS: more published = cost less per ad Combination: ads and inserts Rate Cards – provide price lists showing rates for time and space

MAGAZINE MEDIA COSTS – Factors affecting COSTS (Higher than Newspaper): CIRCULATION: Number of people reached Preferred Position (How much for a cover ad??) Spreads – Two full pages Split-runs – Different ads in different editions Gatefolds – Fold out from magazine covers Bleed Pages – Ad runs all the way to the edge of a page with no margin – Types of RATES: Size Frequency Combination

TELEVISION MEDIA COSTS – Factors affecting COST: RATINGS FOR CERTAIN SHOWS – Determines which shows attract a high volume of viewers Time availability – High demand for time during peak seasons Length of commercials – More time = more money and more production costs – Types of RATES: Set according to “GROSS RATING POINTS” (GRPs) – GRPS = REACH X FREQUENCY RUN OF SCHEDULE (ROS) – Ad is run at the station’s convenience for lower cost

RADIO MEDIA COSTS – Factors affecting COST: “DAYPART” – Morning drive time, Evening drive time, Daytime, Nighttime Length NUMBER OF LISTENERS – Types of RATES: Typically offer the most discounts RUN-OF-SCHEDULE (ROS) TOTAL AUDIENCE PLANS (TAPs) – PACKAGED PLANS offer reduced rates when purchase a series of commercials instead of just one

INTERNET MEDIA COSTS – Factors affecting COST: Creative type (Text, image, sound, multi-media) Size (banner, floating, pop-up) Placement – Types of RATES: COST-PER-THOUSAND (aka) COST-PER-MILE (CPM) – Cost per every 1,000 people that view the ad COST-PER-CLICK (CPC) – Yes, for each click!

OTHER MEDIA COSTS OUT OF HOME – Factors affecting COST: Size of the space Length of time Production costs Sign Illumination – Types of RATES: Determined by: – Visibility – Location – Population DIRECT MAIL – Factors affecting COST: Production costs Mailing list costs Labor costs – Types of RATES: Postage Shipping CAN TARGET A SPECIFIC MARKET

ABSOLUTES vs. RELATIVE MEDIA COSTS ABSOLUTE COSTS TOTAL COST to run an ad = Cost of production + Cost for time/space purchased RELATIVE COSTS Determines which one media is most cost effective COST PER THOUSAND (CPM) Cost per GROSS RATING POINT (GRP)

“You Do”- FOLDABLES: How are Media Costs Determined? Circulation (size of the audience) – Circulation is the most significant factor affecting media costs. – In most cases, the larger the media vehicle’s audience, the higher the cost of advertising space or time will be. RATE CARDS: Price lists showing rates for space or time Production costs – High-quality television and magazine advertisements can cost a great deal to produce. – On the other hand, local radio and newspaper advertisements are relatively inexpensive to produce. Preferred space positions – Airing an advertisement at a specific time or running it on a particular page generally costs more. Available discounts – Discounts are often offered on the basis of size, frequency, or dollar volume. Demographic makeup of the medium’s targeted audience – You can typically expect to pay higher advertising rates in media vehicles that have narrowly defined audiences than in ones that are targeted at general audiences. Reproduction quality – Magazines with excellent reproduction quality, such as The New Yorker, can command higher rates than publications with lower-quality reproduction. Gross Rate Point (GRP) = Reach x Frequency Cost Per Thousand (CPM) =(Cost of the ad × 1,000) ÷ Target audience

SELECT ADVERTISING MEDIA

IMPORTANCE OF SELECTING ADVERTISING MEDIA Media cost is the largest cost of advertising Complex selection process Must select the most effective media to reach target market

SITUATIONAL FACTORS to CONSIDER OBJECTIVES (Goals) of the advertisement TARGET MARKET – Identify what media the target market uses to most Limit WASTE CIRCULATION (Number of people exposed to an advertising message who are not target market) COMPETITION – Use the same advertising media to reach same target market BUDGET – How much money can you spend? PRODUCT DISTRIBUTION

MEDIA FACTORS to CONSIDER Cost Media Coverage – EXTENSIVE COVERAGE: reaching a large audience (REACH) – INTENSIVE COVERAGE: reaching a smaller audience more often (FREQUENCY) Geographic Coverage Lead Time – Amount of time required to place an ad by the media Radio has shortest TV and Magazines have longest

QUANTITATIVE & QUALITATIVE FACTORS QuantitativeQualitative Reach Frequency Cost-per-thousand (CPM) IMPACT Impression an ad will make Credibility EDITORIAL ENVIRONMENT Management and talents of staff

STEPS TO SELECTING ADVERTISING MEDIA 1.Identify SITUATIONAL FACTORS 2.Identify MEDIA FACTORS 3.SELECT the MEDIA OUTLET 4. Determine the TIMING STRATEGY – CONTINUOUS (Steady, regular pattern) Frequently used/purchased products – FLIGHTING (During peak sales periods ONLY) – PULSING (Bursts of advertising)

“You Do”: PROJECT 1.Each group will be assigned one of the following: Radio, Direct Marketing, Outdoor, Newspaper or Magazine Advertising. 2.You will need to research and identify the following information: – Pros of using your media for advertising – Cons of using your media for advertising – Types of Costs using your media advertising 3.Organize information above in a POWERPOINT Presentation to be presented to the class. 4.CREATE an advertisement for your media – Radio- Needs to be a SCRIPT read to the class Identify which station it will be on and what time of day it will be played. WHY? (Hint- needs to reach your target audience) – Magazine- Needs to be a full-page ad. Identify which magazine it will be in and what day/month subscription. WHY? (Hint- needs to reach your target audience) – Direct Marketing- Who is on your mailing list and when will you be mailing it out? (Define the target market) (Hint- needs to reach your target audience) – Outdoor- Which road/physical location will it be located and for how long and what time of year? (Hint- needs to reach your target audience) – Newspaper- Needs to be a full-page ad. (You chose if it is color or not) Which newspaper will it be in and on what day? (Hint- needs to reach your target audience)