Strategic Media Planning The Process

A Few Definitions

Reach
number of different prospects exposed to specific media vehicles or schedule at least once over a given period usually expressed as a percentage of the target audience universe

Frequency/OTS
average number of times a person reached by a media schedule is exposed to the campaign

A Few Definitions

Television Rating Point (TRP)

A rating point is the equivalent of an audience of 1% of the coverage base

Gross Rating Points (GRPs)

A measure of the gross weight delivered by a vehicle. Sum of ratings for different programs.GRPs are duplicated ratings Frequency = GRPs or Gross OTS Reach

Reach v/s Frequency

Frequency
New/complex message Increase usage awareness Maintenance Low involvement During seasons

Reach
Newsy message Increase Launch Promotions During seasons

However..

Frequency is an average, not an absolute number

Audience duplication implies exposure to the message at varying levels

A few high numbers may bring up the avg, while a few low ones may pull it down

The only way to guard against unbalanced frequency is to look at Effective Reach, Effective Frequency and Frequency Distribution

What is Effective Frequency/Reach?

Both a necessary part of the same concept
Effective Frequency is the amount of frequency necessary for ads to be effective in communicating expressed in terms of a minimum pre-determined level (3+,4+etc) Effective Reach is..

the percent of audience reached at each effective frequency increment

What is Frequency Distribution ?

An array of reach according to the level of frequency delivered to each group Frequency % reached at each level % reached at least once or more often

1
2 3 4 5 6

19
14 10 8 6 4 28

67
48 34 24 16 11

Media Planning : Art or Science

MYTH : Media Planning is a Science, it is all about numbers FACT : Media Planning is an Art, it is all about Strategy It consists of a series of decisions made to answer the question for advertisers : What is the best means of delivering advertisements to prospective purchasers of my brand or service?

Strategic Decisions need to be taken e.g.

Who should be our primary targets? Users/ Non users? Heavy, medium or light users? How many prospects do we need to reach and how many times ? What reaction should we take as a result of media used by competitors ?
Use same media mix as competitors ? Allocate same weight as competitors ? Ignore competitors ?

Strategic Decisions need to be taken e.g.

In which markets/regions should the ads appear? What pattern of geographic weighting should we use ?

Should we weight by GRPs or money ? Where? What pattern of scheduling ?

Continuity / flighting / pulsing ? When should we weight more heavily ? Does media have to support promotions ? How much of budget for promotional support ? What media mix ?

The Media Planning Process

Reviewing the media brief

Competitive analysis
Who are we talking to ? Prioritization of markets Media objectives
Effective reach and frequency

Media strategy
Choice of media Choice of vehicles Scheduling patterns

REVIEWING A CLIENT BRIEF

What should the brief contain ?

Category / brand history

Competitive universe, competitive activity, sales & share trends, , brand positioning Marketing objectives General - volume/ share /trial goals, changes vs last year Specific launches/relaunches, extensions, etc. Role of advertising
Awareness, image, learning, action or response

What should the brief contain ?

Source of business Current brand, competitive brand, alternative products

Target audience
Demographics, psychographics, consumption patterns, purchasers, influencers, etc

Creative strategies
Creative objectives, strategies, tone, execution

What should the brief contain ?

Purchase / Usage data

Awareness tracking Regional priorities Seasonal priorities

What should the brief contain ?

Other communication plans

Consumer promotions, direct mail, trade activity, cooperative activity, public relations

Distribution issues
Problem outlets/markets, influence of advertising pressure

Creative units available

For each media

Budgets

EVALUATING THE COMPETITION

Competitive Intelligence

Reported expenditures
Competitors spending patterns, scheduling strategies/
tactics, geographic skews, etc

Creative executions
Positioning, complexity of message, target audience,
communication objectives

Market intelligence
Likely happenings, degree of success of past competitive strategies, etc

ESTABLISHING OBJECTIVES

Why are Media Objectives so important?

Because they establish the criteria for evaluating the media plan

Proper Media Objectives...

are consistent with brands marketing objectives and strategies

relate directly to the established advertising role are expressed in actionable and measurable terms are written plainly and simply

Develop a Media Plan that.

Helps gain at least 5% share Delivers effective reach levels 20% higher than last year

Impacts the brands business

Reaches a substantial portion of the target audience

Sustains the business with a continuous presence

Provides consistent support round the year, except for 50% extra weight during launch

Media Objectives need to be established to answer ...

Who?
Target Audience

Where?
Geography

When?
Scheduling

How Often?
Communication Goals

WHO? THE TARGET AUDIENCE

Identifying The Target Audience

Demographic variables
Sex, income, age, SEC, occupation, marital status, etc Socio-psychographic variables

Lifestyles, attitudes, etc

Product usage variables Heavy/medium/light or non-users

What is our source of business?

Category/competitors, sole/primary/secondary/nonusers

Need to address multiple segments

End consumers, decision makers, influencers, buyers

What do we want the Target Prospect to do?

Try for the first time

Repurchase

Switch brands
Learn a new use

How would the Target be defined if we wanted to steal share from the Competitor?
Our Brand
% Pop. % Users Inde x

Competition
% Users Inde x

18-24

14

13

93

15

107

25-34
35-33 45-54 55-64 65+

23
19 13 13 18

24
21 14 13 15

104
111 108 100 83

27
21 12 12 13

117
111 92 92 72

Common Problem: Targeting Own User When Strategy Calls For Stealing Share From Competition

Our Brand
% Pop.
18-24 25-34 35-33 45-54 14 23 19 13

Competition
% Users
15 27 21 12

% Users
13 24 21 14

Index
93 104 111 108

Index
107 117 111 92

55-64
65+

13
18

13
15

100
83

12
13

92
72

WHERE? GEOGRAPHY

What Do We Need To Prioritise Markets?

Distribution Brand volumes Brand/category development Competitive advertising Past history of markets performance Sales force input Local market quirks Media cost National delivery in local markets

Market Prioritisation

The Techniques
Sales Analysis Target Audience Dispersion Market Opportunity Index (MOI)

Market Opportunity Index (MOI)

Brand Development Index (BDI) Ratio of brand consumption intensity to population intensity i.e . % local market brand sales % local market population

Category Development Index (CDI) Ratio of category consumption intensity to population intensity i.e. % local market category sales

% local market population

Market Opportunity Index (MOI) Ratio of CDI to BDI

Using BDI, CDI & MOI

Strategy
Key Priority Areas High BDI and high CDI High BDI and low CDI High Potential Areas
MOI > 1

Strong markets; invest in and build on them, minimising risk and maximising potential Maintain current ad spend levels and react in line with competition

Opportunity areas, where category is strong, but brand is weak. Invest after looking at distribution, growth, media strengths

BDIs And CDIs Are Often Used To Help Evaluate Market Potential
BDI
High
200

Maintenance Markets 150 (little growth)

Key Markets (protect from competitors)

150

CDI
Low

50

100
50

200

CDI
High

No Potential for Growth

Opportunity Markets (high growth potential)

BDI
Low

How Would You Classify Priority Markets For Different Marketing Objectives?
Marketing Objective Source Business From Heavy users Priority Markets

Competitive manufacturers brand

New users

How Would You Classify Priority Markets For Different Marketing Objectives?
Marketing Objective Source Business From Heavy users High BDI & High CDI Low BDI & High CDI Competitive manufacturers brand Priority Markets

New users

How Would You Classify Priority Markets For Different Marketing Objectives?
Marketing Objective Source Business From Heavy users High BDI & High CDI Low BDI & High CDI Low BDI & High CDI Competitive manufacturers brand Priority Markets

New users

How Would You Classify Priority Markets For Different Marketing Objectives?
Marketing Objective Source Business From Heavy users High BDI & High CDI Low BDI & High CDI Low BDI & High CDI Competitive manufacturers brand Priority Markets

New users

Low BDI & High CDI

HOW OFTEN? COMMUNICATION GOALS

Reach, Frequency, Geography And Continuity Are Interrelated

With a fixed budget , need to must decide which is most important...
Reach Frequency

Continuity Geography

Models For Setting Communication Goals

Effective frequency Model Erwin Ephrons Model

Every multinational agency has developed its own model

Effective Frequency Model

The concept

Likelihood of full communication (or response) increases as number of exposures increase Expressed as a minimum frequency level (e.g. 3+ or 4+ etc.) However all exposures have some value since different individuals will require different levels of frequency to understand the message

Effective Frequency Model

The foundations

No standard frequency level appropriate for all situations Little industry research that can be applied to specific situations Effective frequency requirements are determined by applying judgment and common sense in a disciplined manner using the following factors

Marketing Advertising Competitive

Factors In Establishing Effective Frequency Levels

Facto r Marketing
Life Stage Share Loyalty

Low
Established High High

Effective 1 2 3 4 Frequency

High
5 6
X X X

New Low Low

Advertising
Advertising goal Message communication Message distinctiveness Campaign style Awareness Simple Unique Continuing
X X X X

Attitude shift Complex Common New

Competitive

Uncluttered Complementary 1 2

X X

Heavy clutter Neutral

Media noise level Editorial environment Total is 35, divided Total

4 10 12

by 9, equals 3.9 Therefore, the effective frequency is 4

Some Other Agencies Frequency Model

Based on international experience Ready reckoner developed to take into account brand/advtg history, outlook of the target audience, competitive activity, support in other media, impact of advtg

Advertising activity stage- major/minor innovation, maintenance

Major Innovation New brand High investment Large profit potential New product form Minor Innovation Established brand Low investment Limited profit potential Traditional product form

New real benefit

No new benefit

Effective Frequency Estimator

Advertising level : Major Innovation
Factor Etablished proposition Established commercial Simple message High impact advertising Reinforcing habits/attitudes Competitive activity : Lo Recent support : Hi Support in other media : Hi 1 2 3 Factor 1 New proposition 1 New Commercial Complex message Average impact advertising 1 Changing habits/attitudes Competitive activity : Hi 1 Recent support : Lo Support in other media : Lo Wt 2 2 3 5 3 2 4 2 Sc 6 6 6 10 9 4 12 4 57

1 1 1 1

Setting Frequency TargetsFrequency Estimator

Tot Wtd Score
23-28 29-40 41-51 52-63 64-69

Strike rate
Low Low /med Med Med/High High

Maintenance Minor Innovation Major Innovation

Strike Rate Low Med High 1+ 2+ 4+ 2+ 4+ 6+ 4+ 6+ 8+

Effective Frequency Estimator

Advertising level : Major Innovation
Factor Etablished proposition Established commercial Simple message High impact advertising Reinforcing habits/attitudes Competitive activity : Lo Recent support : Hi Support in other media : Hi 1 2 3 Factor 1 New proposition 1 New Commercial Complex message Average impact advertising 1 Changing habits/attitudes Competitive activity : Hi 1 Recent support : Lo Support in other media : Lo Wt 2 2 3 5 3 2 4 2 Sc 6 6 6 10 9 4 12 4 57

1 1 1 1

Strike rate for the campaign for week 1 - 4 is .............................. 8

How Much Effective Reach?

As with frequency, effective reach goals are also determined by applying judgment and common sense in a disciplined manner

They are established by assessing either

Effective reach affordable within budget Levels needed to achieve marketing goals

This can be estimated either on

An absolute basis Versus competition Versus last year

Relationship of Reach & Frequency

Reach and Frequency occur at the same time, but at different rates and in an inverse relationship As number of insertions/spots rises, reach also rises, but at a decreasing rate Beyond a point, reach starts to plateau As reach rises quickly, frequency tends to be low and vice versa

EF : Problems

Reckoner generalised across all categories

A lot of subjectivity involved in arriving at the number

Pins frequency and trades on reach

No link to any output of effectiveness, e.g. ad recall, brand awareness, etc

Erwin Ephrons Shelf Space Model

The concept

Disputes relevance of effective frequency today

Brand selection influenced by advtg-hence reach consumers when they are ready to buy

As purchases occur throughout the year,advertise

continuously : rent-the-shelf, so brand message will be waiting
THEREFORE, PLAN FOR WEEKLY REACH

Erwin Ephrons Model

An advertising exposure is most effective close to the purchase - consumers are in a receptive frame of mind with an ability to act immediately Therefore. Close to the purchase, one exposure is most effective Improve the cost effectiveness of advertising by shifting weight to weeks i.e use the frequency money to buy more weeks of advtg and reach more prospects ready to buy in those weeks

Erwin Ephrons Model

The guidelines

Run 60-85 TRPs/week Achieve weekly reach of 35-40%

Achieve monthly reach of 65-70%

Achieve quarterly reach of 80-85%

An ideal media plan runs for 52 weeks at max imum affordable reach levels
The GRP and reach figures differ across markets

Erwin Ephrons Model

Problems

Model operates in marketing vacuum No consideration given to market share, distribution, or marketing objectives and strategies Maintaining awareness is not primary communication goal of most advertising campaigns Therefore frequency does play an important role in advertising efforts Frequency is important for creating long-term benefits of brand equity

What role does competition play ?

Brands compete for purchases, not teaching messages The learning theory emphasises repetition, advocates flighting to enhance short term learning ie brand awareness However out of sight, out of mind

Therefore, competitive brands advertising continuously will eat into share of brands using flighting

Recency vs Eff Frequency

Recency

Effective Frequency

Large and familiar brands

Categories with low purchase cycles impulse led categories

When the consumer is being taught Highly competitive market situations

Need to drive a marketing objective/ consumer promotion

Cannot be generalised across brands, markets or creatives

Too many variables

Separate research needed for

print and TV advertising high and low involvement products new and familiar brands different levels of freq and exposure repetition, and for different creatives different effectiveness parameters

Establishing Communication Goals

Separate for every individual task e.g.

introductory versus sustaining periods

heavy-up activity in local markets vs. national activity

promotional vs. non-promotional periods separate target audiences

WHEN? TIMING

Timing Objectives

Determine best times to advertise Weeks of year Days of week Times of day

Establish a scheduling pattern that

Achieves communication goals Minimizes non-advertising periods Recognizes competitive activity

Scheduling Patterns
Continuity Media weight scheduled for many weeks throughout year

Flighting

Intermittent, with gaps in advertising

Pulsing

Continuous advtg with heavier weight in some months - flighting and continuity combined

Scheduling Patterns
Pattern
Continuity

Pros
Covers entire purchase cycle Constant reminder Improves media discounts

Cons
Affordability

Pulsing

Similar to above Allows for timing deviations

Affordability

Flighting

Consumers are Used due to budget limitations always buying Sharp seasonal fluctuations the product Competitive advantage Consumers forget during non-advtg periods

MEDIA STRATEGIES

Media Strategies

Evolve from media objectives and describe how they will be accomplished
Reflect specific course of action to be taken

A matter of evaluating different media types and mixes to determine best way to achieve objectives within given budget

Which Media Do We Use, Why Or Why Not ?

Television
Pros

Cons

Sight, sound, motion Immediate, intrusive, impactful Broad reach\high frequency Cost efficiency Ambience and mood

High total cost Limited target audience selectivity Long lead time Short lived messages

Which Media Do We Use, Why Or Why Not ?

Magazines
Pros

Cons

Target selectivity Good colour reproduction Pass along readers Long shelf life Broad coverage Detailed copy/depth of copy Skewed toward educated, upscale targets

Limited impact Lacks immediacy Long lead time No warmth of human voice

Which Media Do We Use, Why Or Why Not ?

Newspapers
Pros

Cons

Immediate high reach National/local flexibility Short lead time Ethnic appeal Timely/newsworthy environment Shopping/retail environment Facility of second reading Detailing of message

High cost of national coverage Short issue life Non targeted readership Inferior reproduction quality No warmth of human voice

Specific Use Of Each Medium Including Rationale, e.g.

Television
Daytime

High composition of women with children Most efficient daypart Extends plan continuity

Prime

High coverage Showcase environment

Specific Use Of Each Medium Including Rationale e.g.

Magazines

Broad reach titles Supplement and extend TV reach Efficient Womens service titles Targets heavy users Provides frequency of exposure Food editorial provides synergistic environment

Media Vehicle Selection : Criteria

Quantitative factors
Target audience size Cost efficiency of delivered targets Based on cost per thousand readers\viewers or cost per rating point Circulation trends However, the cost efficiency criterion is most relevant for mass products; for high unit cost\specialised products, with narrow audiences, cost efficiency is more difficult to achieve

The most appropriate vehicle for the message is not necessarily the most cost efficient

Media Vehicle Selection : Criteria

Qualitative factors

Compatibility of environment with the message Graphic/layout/production standards Advertising/edit ratio Extent of involvement levels

Operational considerations

Media/environmental constraints e.g. acceptability of ad Media opportunities e.g. packages, spl demographic editions

Other factors

Dealers opinions/stipulations on specific vehicles

Scheduling Strategy
Example

Print and television scheduled to run simultaneously to leverage coverage and frequency of both media Run only during heavy use seasons Run a minimum of 80 TRPs/week. This allows us to achieve effective reach of 40 at the 3+ level

Media Strategies Should Include Four Elements

Element One
Element Two and

Broad selection of media to be used and rationale for their choice

Specific use of media to be used (e.g. TV dayparts, magazine categories) selection rationale

Element Three Rationale for each vehicles use including quantitative and qualitative analysis Element Four Description of scheduling including when, where and at what levels

Monitoring & Feedback

Evaluation of a Media Plan

At the time of development During the campaign ( for course correction, if necessary) Post campaign

To Sum Up.

A Media Plan must evolve from and be fully integrated with Marketing, Advertising and Creative objectives