Media Planning

and Strategy
• Why is media planning difficult?

• Why is media planning important?

The Media Plan Must Accomplish Three Things

It must find a combination of media that:

Communicates the message in the most

effective manner,

To the largest number of potential

customers,

At the lowest cost.

 Media Terminology
The process of
of determining media objectives and
Media
Media AThe
A
process
series
series of
of
determining
decisions
decisions
mediathe
involving
involving
objectives
the
and
delivery
delivery
strategies
strategies that show
thattoshow how
how advertising
advertising time
time and
and
Planning
Planning of
of messages
spacemessages to audiences
audiences
space can
can best
best deliver
deliver the
the advertising
advertising message
message

Media
Media The
Goals
specific
Goals
The to
to be
be attained
specific goals
goals an
attainedanby
advertiser
by the
the media
advertiser has
media strategy
has for
for the
strategy
the
Objectives
Objectives and
media
and program
media portion
portion of
program of the
the advertising
advertising program
program

Media
Media Plans
Decisions
of
of action
Decisions
Plans on
on how
action for
howforthe
achieving
the media
media objectives
achieving stated
stated media
objectives can
media
can
Strategy
Strategy be
objectives
be attained
objectives
attained

The
The general category
category of
general categories ofofmedia
media that
that are
are
The
The various
various categories of delivery
delivery systems,
systems,
Media
Media Class
Class available
available for
for communicating
communicating with
with aa target
target
including
including broadcast
broadcast and
and print
print media
media
audience
audience
The
The specific
specific program,
program, station,
station, publication
publication or
or
Media
Media promotional
promotional piece
piece used
used to
to carry
carry an
an
Vehicle
Vehicle advertising
advertising message.
message.
 The Media Plan

• The media plan is a document that

outlines media objectives and media
strategies.
• It includes:
– Media Objectives
– Media Mix Recommendations
– Media Vehicle Recommendations
– Scheduling Pattern
– Budget Breakdown
 Media Planning Decisions

• To whom do we advertise?
• Where do we advertise?
• When do we advertise?
• In which media should we advertise?
To Whom Do We Advertise? (Target Audience)

• The media planner must match the target market of the

advertised product with users of specific media.

• Use syndicated data to identify the best media to use

• Examples – Simmons Market Research Bureau and
Mediamark Research Inc. (provides data on audience size
and composition for various magazines, newspapers,
cable and network TV shows, and internet sites)

• Examine rate cards and media kit information

• Examine editorial content of media alternatives

 Where Do We Advertise? (Geographic Area)

• The planner must identify each geographic market

to be advertised in and allocate a sum of dollars to
each.
• What variables should be considered?
• Brand Development Index
• Category Development Index
• BDI and CDI measure the sales strength of a
particular brand (or product category) within a
specific market relative to its sales strength in the
U.S. as a whole.
Brand Analysis

Brand Development Index

% of a brand’s U.S. sales

coming from a market area
BDI = X 100
% of U.S. population
coming from a market area
 Category Analysis

Category Development Index

% of a product category’s U.S.

sales coming from a market area
CDI = X 100
% of U.S. population
coming from a market area
 Brand and Category Analysis
High BDI Low BDI

The
The market
market usually
usually The
The product
product category
category
High CDI

represents
represents good
good sales
sales shows
shows high
high potential
potential but
but
potential
potential for
for both
both the
the the
the brand
brand isn’t
isn’t doing
doing well;
well;
product
product and
and the
the brand.
brand. the
the reason
reason should
should bebe
determined.
determined.

The
The category
category isn’t
isn’t selling
selling Both
Both the
the product
product category
category
Low CDI

well
well but
but the
the brand
brand is;
is; and
and the
the brand
brand areare doing
doing
may
may bebe aa good
good market
market in in poorly;
poorly; not
not likely
likely to
to be
be aa
which
which toto advertise
advertise but
but good
good place
place to
to advertise.
advertise.
should
should bebe monitored
monitored forfor
sales
sales decline.
decline.
 When Do We Advertise? (Scheduling)

• Seasonal timing
• Holiday timing
• Days-of-the-week timing
• Hours-of-the-day timing
• Other factors – frequency objectives,
budget, publication frequency
Three Scheduling Methods

Continuity

Flighting

Pulsing

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
 WhenMedia
In Which Do We Advertise?
Classes (Scheduling)
Should We Advertise?

• Target audience media usage habits

• Selectivity – must consider geographic and class
selectivity
• Lead Time – the amount of time a medium
requires before the advertisement will be run
• Creative Aspects – how well the medium
supports the message appeal and style
• Longevity – how long the ad message will last
• Cost – must consider absolute and relative costs
Determining Relative Cost of Media-Print

Cost per thousand (CPM)

Cost of ad space
CPM = (absolute cost) X 1,000
Circulation
 Calculating CPM Based on the Target Audience

Time Newsweek

Per page cost $234,000 $210,000

Circulation 4.0 million 3.1 million

Calculation of CPM 234,000 x 1,000 210,000 x 1000

4,000,000 3,100,000

CPM $58.5 $67.74

Determining Relative Cost of Media-Broadcast

Cost per rating point (CPRP)

Cost of commercial time

CPRP = Program rating
 Audience Measures Used in Media Planning

• Reach – the percentage of different homes or people

exposed to a media vehicle or vehicles at least once
during a specified period of time.
• Average Frequency – the average number of times the
reached audience is exposed to the media vehicle during
a specified period of time.
• Gross Rating Points – a summary measure that
combines the program rating and the average number of
times the home or person is reached during a specified
period of time.
• Reach x Average Frequency = Gross Rating Points
 Setting Reach and Frequency Objectives

• Recognize a trade off between reach and

frequency given a limited budget
• How much reach? Depends on PLC
stage, competition, promotions
considered, budget. Conventional wisdom
says between 50 and 100 percent.
• How much frequency? Conventional
wisdom says between 3 and 10 exposures
during a brand purchase cycle.