GUIDED NOTES 3.08 - PE - Manage media planning and placement to enhance return on marketing investment
· PI - Determine advertising reach of sport/event media
· PI – Calculate media costs
I. Advertising Reach and Frequency
a. Reach and frequency are both ______ measures of advertising – often used to determine costs of media
i. ______ is the # of times you wish to expose a targeted audience to your advertisements
ii. ______ is the # of people in a targeted audience exposed to an ad or campaign at least one time during a designated time period
iii. ______ is found by dividing the target audience exposed to the ad by the total target audience
iv. Reach % = TA ÷ TTA
1. Example: The total target audience for the Carolina Tar Heels Football team is 1,500,000 and those exposed during an ad campaign is 375,000
2. ______÷ ______= 25%
3. So ______of the total target audience saw the ad at least one time
v. ______, subscriptions or ______are best used to determine & calculate reach data
vi. ______– is effective for consumer convenience goods like toothpaste (simple features)
vii. ______- # or % of consumers in a targeted audience exposed to an ad a specific minimum # of times (more appropriate for targeted SEM consumers) WHY?
II. Media Costs – How to determine?
a. ______ (size of the audience)
i. Is the most significant factor affecting media costs
ii. In most cases, the ______ the media vehicle’s audience, the ______ the cost of advertising space or time will be.
b. ______: Price lists showing rates for space or time
c. Production costs vary a lot across different ______
i. High-quality ______and ______ ads cost a great deal to produce
ii. While ______and ______ ads are relatively inexpensive to produce
d. ______of ad
i. ______, (day, night, drive time)
ii. ______ of ads in print and broadcast media – what shows
e. Available discounts
i. ______– frequency of purchase - ______
f. ______
i. narrowly defined audiences demand higher rates
g. ______
i. credibility & prestige may influence consumers reaction to an ad
h. ______
i. high quality = higher costs
III. Media costs types – Absolute and Relative
a. ______
i. What is the total expenditure for an ad
1. ______
2. Cost for ______and ______ purchased
- Check rate cards found in Standard Rate & Data Service (SRDS) directories for time & space costs
b. ______
i. To determine if one media type is more efficient or cost effective over another
ii. Use ______- based on cost per thousand
1. Often used in ______and internet
iii. Use ______ - based on cost per rating point
1. Often used in ______ media and outdoor
iv. Use ______ – based on gross rating points across a media platform
IV. Media costs – How to calculate?
a. Cost per thousand (CPM)
i. Multiply cost of the ad by ______ then divide by the number of people receiving the ______ (reach)
ii. CPM = ______
b. Example:
i. Cost of ad is $50,000
ii. Total audience is 2,000,000
1. (______x ______) = $50,000,000
2. (______÷ ______) = $25.00
c. Cost per rating point ______
i. Calculated to determine 1% of audience
d. ______(GRP)
i. (GRP) = (Reach (x) frequency) - to determine GRP and 240 GRP’s used as a standard of measurement
ii. The cost per GRP is determined by ______ the total advertising expense by the ______ of gross rating points
iii. (GRP) cost = (Expenses ÷ GRP)
e. Example:
i. Total advertising expense is $20,000
ii. The gross rating points for the show is 210
1. $20,000 ÷ 210 = $95.24
V. Media costs for different mediums
a. ______
i. Rates – how determined
1. ______and______ are primary factors – great for locals
2. less for local ads vs. national advertisers
3. information given through use of ______
ii. Types of rates
1. ______– wherever newspaper places the ad
2. ______– used for one time placement
3. Sliding scale rates – more ads will cost less per ad
4. ______– ads and (FSI) will lower rate
5. Volume and consistency rates/discounts
iii. Costs
1. Tend to be ______ than other print media
2. Position preferences
- Example: SEM advertiser wants ad placement in sports section instead of food or employment opportunity section
3. ______ requirements or including (FSI) free standing inserts
4. ______- 2 different ads produced at same time
b. ______
i. Rates – how determined
1. Circulation and target market are ______ factors for rates that reach specific readers for advertisers
ii. Types of rates
1. ______rates
2. Volume and consistency rates/discounts
3. ______
iii. Costs
1. Tend to be ______ than other print media
2. ______– front and back cover, inside front
3. ______
4. Full bleed pages
5. ______
6. Spreads
c. ______
i. Most effective way to promote a ______to the public
ii. ______production lead time
iii. Rates – how determined
1. ______audience rating & time are the major factors, (Nielsen ratings) are GRP for television – advertisers will ask for this data
2. ______ (cost-per-point) x Nielsen ratings determine TV ad costs
3. ______and ______ change based on local factors
iv. Types of rates
1. ______– prime time vs. other
2. National network, ______ or local network
v. Costs
1. Are ______ than any medium
2. ______- morning, afternoon, prime time, late night
3. ______– peak winter season
4. ______ of ad impact ad & production costs
d. ______
i. Effective for local & regional markets – ______
ii. Relatively short production lead time – ______
iii. Very good to hit your demographic target market
iv. Rates, how determined
1. ______& ______ are the major factors
2. Less than ______but can still be expensive
v. Type of rates
1. Offer the ______of any medium
2. Run of schedule – (all ______ types lower costs)
3. ______ (TAPs) total audience plans
4. ______and ______ rates/discounts
vi. Costs
1. Are ______ than TV media
2. ______– morning/evening drive
3. Production costs & ad
4. http://www.bestradiocommercials.com/?gclid=CN64k8z73bICFQsFnQodMH8AtA
e. ______
i. Very popular 3rd to television and newspaper
ii. Rates – how determined
1. ______popularity - browser
iii. Types of rates
1. ______ – cost per 1000 impressions
2. ______ – cost per click
iv. Cost
1. ______ads may be very cost effective
2. ______– text, image, multimedia
3. ______ – banner, pop-up etc.
4. Placement in browsers
5. ______
f. ______(outdoor and transit)
i. Rates – how determined
1. ______ based on ad’s visibility, its location and population in area
ii. Types of rates
1. http://clearchanneloutdoor.com/rates/
iii. Costs
1. ______
2. ______
3. Illumination/movement/3D
iv. Production costs - ______
v. Types of out-of-home
1. ______– Spectaculars (as seen here) - Transit advertisements like subway, cabs, hot air balloons or busses
2. ______– very good at promoting an event throughout a metropolitan area – draws a lot of attention and is seen by a lot of consumers
g. ______
i. Rates – how determined
1. Vary based on what you ______
ii. Types of rates
1. Allows advertisers to target a ______with the most cost effective manner but preparation time is ______ than radio and newspaper ads
iii. Costs
1. ______rates
2. Production costs
3. ______
4. ______
5. Total costs can vary and at time be very expensive
VI. Selecting advertising media – Why
a. Selection of media is ______because it is the ______ expenditure of an ad budget
b. Choosing the most ______is essential to provide the most effective ad campaign
c. Must select the ______ (s) that reaches the target market
VII. Factors impacting your media selection
a. ______
i. Your overall goal of advertising
b. ______
i. Identify their media-usage habits
ii. You ______ waste circulation
c. ______
i. Most will use the same media so look for alternatives
d. ______
i. Most companies will have constraints that impact your selection- you can’t do everything you want
e. ______
i. Nature of product
1. ______or ______ may need demonstrating resulting in media selection – TV or magazines
2. Other products need different ______
3. Provide examples for each media type
f. ______
i. Location, place or ______
ii. Coverage should be same as product availability
g. ______
i. Television and magazines require the ______
ii. Daily newspapers and radio require the ______
h. ______media factors
i. Measured ______
1. Different ______ and types and believed the most important factor
ii. Measure ______
1. Total cost (varies by medium)
2. ______ (reaching potential prospects)
3. Advertisers use CPM, CPRP and GRP
i. ______media factors
i. Not as easy to measure as ______
ii. ______
1. Medium’s believability to consumers – take seriously
iii. ______ environment
1. Each type appeals to a ______ group of consumers
2. The ______or ______ of the media vehicle should compliment product
3. ______ of clutter can impact your ad – less is more
4. ______– impression an ad will make on the target market consumer
j. ______
k. ______
i. Reaching a ______ audience and exposing them at least ______ to your advertisement (reach)
1. Example: Advertising during The Super Bowl
l. ______
i. Reaching a ______ audience more often to drive home the message (frequency)
1. Example: Multiple Renaissance Festival advertisements in newspaper, radio and TV in the Charlotte market
VIII. Buy advertising space/time
a. ______
i. Choose a ______/______ type to reach your goals
ii. Contact advertising manager
b. ______
i. Rate cards
ii. ______ and/or rating numbers
c. ______
i. Determine all costs for your ______ strategy
ii. Make sure you can ______ your target market
d. ______
i. ______message
ii. Pre-production process
e. ______
i. Go for the numbers (CPM)
ii. Adequate reach & ______
iii. ______ services
iv. Negotiate the best price
f. ______
i. ______ - placement
ii. ______
iii. Reach & frequency
g. ______
h. Confirmation of ad run
i. ______
j. ______
i. Review for ______
ii. Propose additional strategies
IX. Choose appropriate media vehicles for sports/events
a. ______
i. Advertising goals
ii. ______ target audience
iii. Competition
b. ______media options & total costs
i. List all ______and ______ effectiveness and costs
c. Select the ______and ______
i. Review quantitative and qualitative factors
ii. Select one that has ______, place & ______
d. Determine the ______and ______strategies
i. Select degree of continuity desired
ii. Should be chosen based on ______needs and type of product
iii. ______– ads on a regular basis
1. Good for everyday products like groceries
iv. ______– intermittent scheduling
1. Great for ______ promotions like events
2. Great for introducing new products or events
v. ______– combination, low then high
1. Good for ______ consumers about your product
2. Coca Cola uses this strategy