Transcript Media Selection in Advertising

Media Selection in Advertising
CHAPTER 8
What kinds of ads get your attention? Are they found in
“traditional” media like television or unusual places?
Where is the most unique or “oddest” place that you
have seen an ad?
Attention getting
ad? Why or why
not?
This ad was above a urinal.
Media Planning
 Focus on consumer behaviour
 Create plans that reflect the purchase process
(Chapter 3)
 Influence consumer in the marketplace
 Study media choices
 Listening and viewing habits
Media Planning
8-5
An advertisement by
New Balance placed in
Runner’s World
magazine by the media
planner.
Components of a Media Plan
 Marketing analysis
 Advertising analysis
 Media strategy
 Media schedule
 Justification and summary

See course website for a document containing more
detail
Factors that have changed the role of Media
 IMC – more than just mass advertising now
 Cost factors
 Technology
 Globalization
 Complexity of the media function
 Profitability
Media Selection Factors
Reasons as to why certain media are selected:
 Organizational Objectives
 Target market(s)
 Costs
 Message Theme
 Constraints
 Product/Service considerations
Developing
F I G U R ELogical
8 . 5 Combinations of
Media - Table 8.9
Advertising Terminology
 Reach
 Number in target audience exposed
 Typically 4-week period
 Frequency
 Average number of exposures
 Opportunities to see (OTS)
 Cumulative exposures
 Placements x frequency
 Gross rating points (GRPs)
 Measures impact of intensity of media plan
 Vehicle rating x OTS (number of insertions)
Advertising Terminology
Costs
Cost per thousand (CPM)
CPM allows for cost comparisons
Ratings and Cost per Rating Point (CPRP)
Ratings measure percent of target market exposed by medium
CPRP allows for comparison across media
Cost of media buy / vehicle’s rating
Weighted CPM
Impressions
Gross impressions – total audience exposed to ad
Continuity
Continuous campaign
Pulsating campaign
Flighting (or discontinuous) campaign
Table 8.1
Cost for 4color full
page ad
Total
readership
(000's)
CPM
Total
National Geographic
$346,080
21,051
Newsweek
$780,180
People
Magazine
Target Market (20M)
Rating
(Reach)
Cost per Rating
Point (CPRP)
$16.44
16.1
$21,496
15,594
$50.03
12.2
$63,949
$605,880
21,824
$27.76
9.4
$64,455
Southern Living
$11,370
5,733
$1.98
2.4
$4,738
Sports Illustrated
$965,940
13,583
$71.11
10.5
$91,994
$1,324,282
21,468
$61.69
15.9
$83,288
Travel & Leisure
$183,216
2,205
$83.09
2.3
$79,659
U.S. News
$100,740
8,929
$11.28
8.3
$12,137
Time
Ad Campaign Continuity
Continuous campaign
Advantages:
 Serves as a constant reminder to the customer
 Covers the entire buying cycle
Disadvantages:
 Higher costs
 Potential for overexposure
Flighting Campaign
Advantages:
 Cost efficiency of advertising, only used during
purchase cycles
 Allows for more than one medium or vehicle on
limited budgets
Disadvantages:
 Lack of awareness, interest, retention or
promotional message during non-scheduled times
– could lead to decay
Pulsating Campaign
Advantages:
 Same as the two previous methods
Disadvantage:
 Not required for seasonal products, or other cyclical
products, therefore adding to organization’s
expenses
Selecting Media
o Television
o Radio
o Transit
o Billboard
o Outdoor
o Internet
o Magazines
o Newspapers
o Direct Mail
o Alternate media
How Important Is Advertising to
Magazines?
The chart below shows the top five magazines and the
percentage of their revenues generated by advertising,
subscriptions and newsstand sales
TV Guide
People
Time
Sports Illustrated
Better Homes & Garden
Total Revenue Advertising Subscribers Newstand
$1,172,127,000
41.9%
43.2%
14.9%
$1,155,395,000
61.8%
18.9%
19.3%
$962,651,000
68.4%
27.2%
4.4%
$905,313,000
67.8%
28.6%
3.6%
$595,667,000
74.6%
23.0%
2.4%
Achieving Advertising Objectives
1. Three-exposure hypothesis
Intrusion value
 Takes a minimum of three exposures for an ad to be
effective
 Effective frequency – number of times that one must be
exposed to message to achieve its objective
 Effective reach - % of target market that must be exposed
to ad to achieve its objective
 Size, placement, length of ad are factors to consider
 Number of media used is important (variability)

Achieving Advertising Objectives
2. Recency theory
 One exposure may be enough
 Effective the closer to a purchase
 States that consumers use selective retention when they
consider ads.
 Advertising is a waste of money when intended market is not
reached
Achieving Advertising Objectives
o Media Multiplier Effect
o The combined impact of using two or more media is stronger
than using either medium alone
o Often the reason for using several different media
o This ensures a broader effective reach
FIGURE
8.8
U.S. Advertising Expenditures by Media for Coca-Cola
Outdoor, 6.9%
Internet, 1.8%
Magazine, 17.7%
Radio, 7.2%
Newspaper, 3.1%
Television, 63.4%
Advertising Expenditures by Category
Category
Total
Magazines
Newspapers
Outdoor
Television
Radio
Internet
Automotive
$19.799
11.0%
25.4%
1.7%
50.4%
7.8%
3.7%
Retail
$19.114
11.0%
35.4%
2.0%
33.8%
11.2%
6.6%
Telecommunications
$10.950
8.2%
19.8%
2.5%
48.7%
7.1%
13.6%
Financial services
$8.689
13.7%
21.8%
2.8%
36.3%
8.3%
17.0%
Food, beverages,
candy
$7.225
27.6%
0.7%
1.1%
64.2%
4.5%
1.8%
Restaurants
$5.291
2.5%
3.5%
4.5%
78.4%
10.1%
0.9%
Apparel
$2.911
75.1%
2.0%
1.0%
19.8%
0.7%
1.3%
Source: Based on “100 Leading National Advertisers,” Advertising Age, (June 25, 2007), p. 9.