Media Strategy Lecture

Media Strategy Professor Close & Professor Dudo, The University of Texas at Austin

CASE: HEALTHY DOG GOURMET

Guidance:

• Please create a media schedule and CPM analysis prior to making your decision • I will provide these and go over them • Don’t be constrained by the client’s media plan (i.e., your client is not always right- why are they hiring you?) • Keep the client budget in mind- do not go over this or recommend them to increase the budget • A 10% contingency is appreciated

IBP PROCESS

Situation Analysis

Measurable Objectives

Budget

Creative Strategy

Media Strategy

TAKE HOME MESSAGE

Even the best messages will be useless if they don’t reach the target audience

SET A MEDIA OBJECTIVE

“To reach 60% of males aged 25-35 that are cycling enthusiasts 3 or more times each month during the first 6 months of the introduction of a new product.” Address the psychographic and demographic target market and find the media that matches the market best given your budget

MEDIA PLANNING Media Plan

Specifies media in which advertising message will be placed to reach desired audience(s).

Media Class

A single form of communication (TV, radio).

Media Vehicle

Specific option within a class (Nat Geo mag).

Media Mix

Blend of different media to reach target audience.

MEDIA PLANNING Many choices to allocate among: TV Magazine

Radio Newspaper Outdoor Etc.

MEDIA PLANNING Above-the-line: Traditional measured media (TV, radio, NPs, etc.) Below-the-line:

Unmeasured media/IBP tools (more efficient)

CHANGES IN MEDIA PLANNING More media: Traditional media lines are blurred

Firms push “news” stories into media Movies/videos can be promotional vehicles Social media offer new (cheap) opportunities

CHANGES IN MEDIA PLANNING Globalization: Media now exists in transnational space

Search engines don’t care about geography Free content: Consumers now used to free content Nontraditional media are attracting more $

CHANGES IN MEDIA PLANNING Consumer in charge: Marketers no solely in charge of brand; consumers have more power

Clutter & ad avoidance: Consumers choosing no-ad channels (e.g., radio) and have new tools (e.g., DVR) People will to pay to avoid ads

THE OVERALL MEDIA PLAN

SETTING MEDIA OBJECTIVES ID target audience Geographic Mkt Timing & Continuity Media fit Size & length

MEDIA SELECTION PROCEDURES Reach

Frequency GRP, CPM…

SETTING MEDIA OBJECTIVES

1. Identify target audience:

Must find similarities between the target market and media audience Not easy! … apples & oranges problem “Oops!” potential

SETTING MEDIA OBJECTIVES

Kids love me!

SETTING MEDIA OBJECTIVES

2. Select geographic market:

Demand varies; sales are seldom consistent everywhere Means that ADV must vary according to geographic locations Geo-targeting

SETTING MEDIA OBJECTIVES TIMING & CONTINUITY STRATEGIES Continuous

Spread ADV continuously and evenly over the length of the campaign

Pulsing

Intensify ADV before an open aperture then reduce ADV until the next open aperture

Flighting

Alternating periods of intense ADV and periods of no ADV

SETTING MEDIA OBJECTIVES

Campaign time Anthony Dudo ©

Flighting

$ Spent

$ Spent

Pulsing

Campaign time

SETTING MEDIA OBJECTIVES

Chosen media must be compatible with the advertising strategy

4. Media fit:

Chose media must reflect positively on the brand – the tone must be appropriate The source itself can have an effect

SETTING MEDIA OBJECTIVES

SETTING MEDIA OBJECTIVES Must determine the appropriate size (static) or length (broadcast) of the ad

5. Size & length:

Research is inconclusive Choose size & length based on objectives Ex) awareness = short spot knowledge = long spot

MEDIA SELECTION STRATEGIES

When selecting the specific ADV media:

Reach – the # of different people exposed to the message Frequency – the degree of exposure repetition

Must determine the efficiency of different media vehicles

MEDIA SELECTION STRATEGIES SOME STANDARD MEASURES FOR SELECTING MEDIA Impression – one person’s opportunity to be exposed to an ad

Gross Impressions:

Impressions are a measure of the size of the audience for one media or a combo of media vehicles

Gross impressions are the sum of the audiences of all media vehicles during a certain span of time

MEDIA SELECTION STRATEGIES SOME STANDARD MEASURES OF EFFICIENCY Media Vehicle

Target Impressions

Number of Ads

Total Target Impressions

David Letterman Show

500,000

4

2,000,000

The Colbert Report

1,000,000

3

3,000,000

Gross 5 Million Impressions =

MEDIA SELECTION STRATEGIES SOME STANDARD MEASURES FOR SELECTING MEDIA

AKA – cost per thousand (CPM)

Efficiency:

Unlike impressions, CPM is focused on cost

Given cost constraints, media is selected that will expose the largest target audience for the lowest price

MEDIA SELECTION STRATEGIES SOME STANDARD MEASURES FOR SELECTING MEDIA

AKA – cost per thousand (CPM)

Efficiency:

Unlike impressions, CPM is focused on cost

Given cost constraints, media is selected that will expose the largest target audience for the lowest price

MEDIA SELECTION STRATEGIES SOME STANDARD MEASURES FOR SELECTING MEDIA

Cost of media buy

CPM =

X 1000 Total target audience

MEDIA SELECTION STRATEGIES SOME STANDARD MEASURES FOR SELECTING MEDIA Magazine example: An issue of Real Simple has 2M readers who could be considered a target audience. The advertising unit is a four-color page with a rate of 15K.

$15,000

CPM =

X 1000

2,000,000 $7.50

THE LAY OF THE LAND

THE LAY OF THE LAND

MEDIA PLANNING: SOCIAL MEDIA Social Networking: New paradigm in media planning

Marketer (brand) to consumer, then consumer to consumer Marketers can use social media at a fraction of the cost of traditional media Social media used to create “buzz” or “viral” effect

IN DEFENSE OF TRADITIONAL ADVERTISING There are some things you just can’t accomplish without traditional mass media advertising The Super Bowl and Olympics deliver a truly MASS audience

Brand building still needs traditional ads … for now

MAIN PURPOSE OF THE MEDIA PLAN

To deliver the right message to the appropriate target audience as many times as necessary to achieve the goals of the advertising campaign