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© 2010 South-Western, a part of Cengage Learning
All rights reserved.
PowerPoint Presentation by Charlie Cook
The University of West Alabama
Eighth Edition
Advertising Media:
Planning and Analysis
CHAPTER
11
1. Describe the major factors used in segmenting target
audiences for media planning purposes.
2. Explain the meaning of reach, frequency, gross rating
points, target rating points, effective reach, and other
media concepts.
3. Discuss the logic of the three-exposure hypothesis
and its role in media and vehicle selection.
4. Describe the use of the efficiency index procedure for
media selection.
Chapter Objectives
After reading this chapter you should be able to:
© 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–2
5. Distinguish the differences among three forms of
advertising allocation: continuous, pulsed, and flighted
schedules.
6. Explain the principle of recency and its implications
for allocating advertising expenditures over time.
7. Perform cost-per-thousand calculations.
8. Review actual media plans.
Chapter Objectives (cont’d)
After reading this chapter you should be able to:
© 2010 South-Western, a part of Cengage Learning. All rights reserved. 11–3


© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–4
Media versus Vehicles
Media versus Vehicles

Media
Media

General communication methods that carry
General communication methods that carry
advertising messages
advertising messages

Examples: television, newspapers, and Internet
Examples: television, newspapers, and Internet

Vehicles
Vehicles

The specific broadcast programs or print choices in
The specific broadcast programs or print choices in
which advertisements are placed
which advertisements are placed

Example: the American Idol program
Example: the American Idol program

Each medium and vehicle has a unique set of
Each medium and vehicle has a unique set of

characteristics and virtues
characteristics and virtues
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–5
Messages and Media:
Messages and Media:
A Hand-In-Glove Reaction
A Hand-In-Glove Reaction

Advertising message and media considerations
Advertising message and media considerations
are inextricably related
are inextricably related
—c
—c
reatives and media
reatives and media
specialists must team up to design ads
specialists must team up to design ads

Choice of media and vehicles requires a variety
Choice of media and vehicles requires a variety
of decisions
of decisions

General media categories
General media categories

Specific vehicles

Specific vehicles

Marcom budget allocations
Marcom budget allocations
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–6
Selecting and Buying Media and Vehicles
Selecting and Buying Media and Vehicles

Choices:
Choices:

Traditional full-service ad agencies separately
Traditional full-service ad agencies separately
providing creative, planning, and media buying
providing creative, planning, and media buying
services for a client’s individual brands
services for a client’s individual brands

Single media buyer and planner agency providing
Single media buyer and planner agency providing
centralized media planning and buying services for all
centralized media planning and buying services for all
of the client’s brands
of the client’s brands

Takeaway:
Takeaway:


Creating effective messages is critical but it is just as
Creating effective messages is critical but it is just as
essential that the messages are placed in the right
essential that the messages are placed in the right
media and vehicles.
media and vehicles.
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–7
The Media-Planning Process
The Media-Planning Process

Media Planning
Media Planning

Is the design of a strategy that will best allocate
Is the design of a strategy that will best allocate
investments in advertising time and space to
investments in advertising time and space to
achieve the firm’s marketing objectives
achieve the firm’s marketing objectives

Involves coordinating three levels of strategy:
Involves coordinating three levels of strategy:
marketing, advertising, and media strategy
marketing, advertising, and media strategy

Media Strategy Activities
Media Strategy Activities
1.

1.
Selecting the target audience
Selecting the target audience
2.
2.
Specifying media objectives
Specifying media objectives
3.
3.
Selecting media categories and vehicles
Selecting media categories and vehicles
4.
4.
Buying media
Buying media
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–8
Model of the Media-Planning Process
Figure 11.1
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–9
Selecting the Target Audience
Selecting the Target Audience
Buyographics
Geographic
Demographic
Lifestyle/
Psychographics

Segmentation
Factors
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–10
Specifying Media Objectives
Specifying Media Objectives
Issues in Setting
Media Objectives
Frequency
Reach
Weight
Cost
Recency
Continuity
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–11
Issues in Setting Media Objectives
Issues in Setting Media Objectives
Reach
Reach
What proportion of the population should be reached with
What proportion of the population should be reached with
advertising message during specified period?
advertising message during specified period?
Frequency
Frequency
How frequently should audience be exposed to message
How frequently should audience be exposed to message

during this period?
during this period?
Weight
Weight
How much total advertising is needed to accomplish reach
How much total advertising is needed to accomplish reach
and frequency objectives?
and frequency objectives?
Continuity
Continuity
How should the advertising budget be allocated over time?
How should the advertising budget be allocated over time?
Recency
Recency
How close to the time of purchase should the target
How close to the time of purchase should the target
audience be exposed to the advertising message?
audience be exposed to the advertising message?
Cost
Cost
What is the most economically justifiable way to accomplish
What is the most economically justifiable way to accomplish
objectives?
objectives?
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–12
Media Objective: Reach
Media Objective: Reach


Reach
Reach

Is the percentage of the target audience exposed, at
Is the percentage of the target audience exposed, at
least once, during a specified time frame to the
least once, during a specified time frame to the
vehicles in which the advertising message is inserted
vehicles in which the advertising message is inserted

Also known as 1+, Net coverage, unduplicated
Also known as 1+, Net coverage, unduplicated
audience, and cumulative audience (cume)
audience, and cumulative audience (cume)

OTS = opportunity to see
OTS = opportunity to see

Determinants of Reach
Determinants of Reach

Use of multiple media
Use of multiple media

Diversification of vehicles within each medium
Diversification of vehicles within each medium

Varying dayparts for radio and TV advertising
Varying dayparts for radio and TV advertising
© 2010 South-Western, a part of

Cengage Learning. All rights
reserved. 11–13
Media Objective: Frequency
Media Objective: Frequency

Frequency
Frequency

Is the average number of times during a media-
Is the average number of times during a media-
planning period that the target audience members are
planning period that the target audience members are
exposed to media vehicles carrying a brand’s
exposed to media vehicles carrying a brand’s
advertising message.
advertising message.
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–14
Hypothetical Frequency Distribution for the Fortwo
Advertised in Cosmopolitan Magazine
Table 11.1
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Cengage Learning. All rights
reserved. 11–15
Media Objective: Weight
Media Objective: Weight

Weight Defined
Weight Defined


The advertising volume required to accomplish
The advertising volume required to accomplish
advertising objectives
advertising objectives

Ratings
Ratings

The percentage of an audience that has an
The percentage of an audience that has an
opportunity to see an advertisement placed in a
opportunity to see an advertisement placed in a
particular vehicle
particular vehicle

Weight Metrics:
Weight Metrics:

Gross rating points (GRPs)
Gross rating points (GRPs)

Target ratings
Target ratings

Effective ratings
Effective ratings
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–16

Weight Metrics
Weight Metrics

Gross Rating Points (GRPs)
Gross Rating Points (GRPs)

Represent the gross weight that a particular
Represent the gross weight that a particular
advertising schedule is capable of delivering
advertising schedule is capable of delivering
—the
—the
sum of all vehicle ratings in a media schedule
sum of all vehicle ratings in a media schedule

GRPs = Reach (R)
GRPs = Reach (R)
×
×
Frequency (F)
Frequency (F)
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–17
Weight Metrics (cont’d)
Weight Metrics (cont’d)

Target Rating Points (TRPs)
Target Rating Points (TRPs)


Are adjusted vehicle’s ratings that reflect only those
Are adjusted vehicle’s ratings that reflect only those
individuals who match the advertiser’s target
individuals who match the advertiser’s target
audience
audience

Indicate a media schedule’s net (non-wasted) weight
Indicate a media schedule’s net (non-wasted) weight
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–18
Weight Metrics (cont’d)
Weight Metrics (cont’d)

The Concept of Effective Reach
The Concept of Effective Reach

Answers the question of how often does the target
Answers the question of how often does the target
audience have an opportunity to be exposed
audience have an opportunity to be exposed

Is that an advertising schedule is effective only if it
Is that an advertising schedule is effective only if it
does not reach members of target audience too few
does not reach members of target audience too few
or too many times
or too many times


Three-Exposure Hypothesis (Krugman)
Three-Exposure Hypothesis (Krugman)

A minimum of three exposures to
A minimum of three exposures to
an advertising
an advertising
message
message
needed for effective advertising
needed for effective advertising
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–19
Weight Metrics (cont’d)
Weight Metrics (cont’d)

Effective Reach Planning in Advertising Practice
Effective Reach Planning in Advertising Practice

No fewer than three and no more than ten exposures
No fewer than three and no more than ten exposures
during a four-week media planning period
during a four-week media planning period

Use of multiple media
Use of multiple media

Subjective factors must be considered
Subjective factors must be considered


Effective Rating Points (ERPs)
Effective Rating Points (ERPs)

ERPs = effective reach (or exposures) × frequency
ERPs = effective reach (or exposures) × frequency
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–20
Alternative Media Plans Based on a $25 Million
Annual Budget and Four-Week Media Analysis
Table 11.2
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Cengage Learning. All rights
reserved. 11–21
Weight Metrics (cont’d)
Weight Metrics (cont’d)

An Alternative Approach: Frequency Value
An Alternative Approach: Frequency Value
Planning
Planning

The objective is to select the media schedule that
The objective is to select the media schedule that
generates the most exposure value per GRP.
generates the most exposure value per GRP.

Step 1.
Step 1.

Estimate the exposure utilities for OTS that a
Estimate the exposure utilities for OTS that a
schedule produces.
schedule produces.

Step 2.
Step 2.
Estimate the frequency distribution of the various
Estimate the frequency distribution of the various
media schedules that are under consideration.
media schedules that are under consideration.

Step 3.
Step 3.
Estimate the OTS value at each OTS level.
Estimate the OTS value at each OTS level.

Step 4.
Step 4.
Determine the total value across all OTS levels.
Determine the total value across all OTS levels.

Step 5.
Step 5.
Develop an index of exposure efficiency.
Develop an index of exposure efficiency.
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved. 11–22
Exposure Utilities for Different OTS Levels

Table 11.3
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reserved. 11–23
Frequency Distributions and Valuations
of Two Media Schedules
Table 11.4
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Cengage Learning. All rights
reserved. 11–24
Media Objective: Continuity
Media Objective: Continuity

Continuity
Continuity

Involves how advertising is allocated during the
Involves how advertising is allocated during the
course of an advertising campaign.
course of an advertising campaign.

Addresses the fundamental issue of how the media
Addresses the fundamental issue of how the media
budget be distributed:
budget be distributed:

Uniformly throughout the period of the advertising campaign
Uniformly throughout the period of the advertising campaign

In a concentrated period to achieve maximum impact

In a concentrated period to achieve maximum impact

Some other schedule between these two choices
Some other schedule between these two choices
© 2010 South-Western, a part of
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reserved. 11–25
Allocating the Advertising Budget
Allocating the Advertising Budget
Continuous
Schedule
Pulsing
Schedule
Flighting
Schedule
Budgeting
Alternatives

×