Media Planning and Buying

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Media Planning and Buying
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• Do you have control of your clients PR media
  budget?
• Are you able to buy media space for your clients?
• Are you aware of special features coming up
  relating to your clients product or service?
• Are you unsure of how media is planned and
  bought?
• Do you understand the terminology used in buying
  media?

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• This talk sets out to
• Explain the media planning process
• Outline the tools available to plan with
• Define key terms used in the bought media
  environment
• Open the floor for questions throughout the
  discussion
• The subject matter is very broad, and therefore
  the more interaction I get from your side, the
  more focussed on your needs this session will
  become

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Media planning defined

• Media planning can be defined as
• Finding ways of reaching the right number of
  appropriate people
• the right number of times
• at the best time and place
• with the right advertisement
• at minimum cost
• to achieve the brands/services objectives
• The role of media planning is crucial to the
  effective expenditure of approximately R6 billion
  in advertising annually

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TAKE SOME DEMOGRAPHICS, ANDSOME GUT FEELING,
SPRINKLE WITHJUDGEMENT AND STIR
Source Media Week January 1993
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Media Research

• AMPS
• (All Media and Products Survey) sample 24 812
  population
• 30 901 000
• TAMS
• (Television Audience Measurement Survey)
• RAMS
• (Radio Audience Measurement Survey)
• SABRE sample 2 000 business men women
• (South African Business Research Evaluation)
• TGI sample 15 000 in two waves of 7 500 each
• (Target Group Index)
• ROOTS
• urban retail and readership - local community
  papers sample 20 000

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Rate information

• Media Manager
• SARAD

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Competitive Spend Analysis

• Nielsen Adex

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The More Commonly Used Media Terms

• REACH
• The number of or percentage of individuals,
  households, etc., potentially exposed to a medium
  or schedule at least once

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The More Commonly Used Media Terms(cont.)

• AVERAGE FREQUENCY
• The AVERAGE OPPORTUNITIES to see, hear or read an
  ad amongst those reachedOR
• The number of times ON AVERAGE a person within
  the target market, who has been reached is
  exposed to the advertisers message

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The More Commonly Used Media Terms(cont.)

• GRPs (GROSS RATING POINTS)
• The summation of the exposure opportunities for
  all the elements in a media schedule
• The product of reach and frequency
• Used to express the tonnage of exposure
  generated by a campaign
• Universal measure (comparing apples with apples,
  but use with caution as media have different
  impact)

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The More Commonly Used Media Terms(cont.)

• ARS VERSUS GRPS
• Amps ratings are the number of viewers, averaged
  across a time period and percentaged on the total
  number of individuals in the relevant group
• In essence, ARs fulfil the same role as GRPs
• The number of spots during a burst is not
  important, because different TV and radio spots
  deliver different AR and GRP levels at varying
  costs
• The main difference between ARs and GRPs is that
  the AR is a time weighted average. It is the
  average of the length of time that each person
  watched TV over a specified time

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The More Commonly Used Media Terms(cont.)

• EFFICIENCY VERSUS EFFECTIVENESS
• WHAT IS COST EFFICIENCY ?
• Relates to efficiency of media delivery, and is
  usually expressed as CPP or CPMIt is a method of
  comparing the value of different media for a
  specific campaign on a MONETARY basis
• WHAT IS COST EFFECTIVENESS ?
• It is a method of comparing the value of
  different media for a specific campaign on
  anACHIEVEMENT OF OBJECTIVES BASIS

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The More Commonly Used Media Terms(cont.)

• CPP VS CPT
• CPP is the cost of achieving one rating point or
  1 reach in any given market. Extensively used
  in electronic media
• CPT refers to the advertising cost purchasing
  1000 units of audiencei
• We think of a rating as a percentage of the
  population, but ratings are time weighted
• You could turn ratings into thousands by ignoring
  the fact that there are bits of people and
  simply multiply the universe by the rating
• This forgets that some people saw all of the
  event and some only saw 50 of the event
• Further, the peoplemeter universe changes daily,
  unless we look only at gender, age and language,
  therefore the calculation of thousands will
  differ depending on the universe

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The More Commonly Used Media Terms(cont.)

• PSCCM
• Per single column centimeter
• Newspaper pages are divided into columns for
  advertising
• These do not correlate to columns for editorial,
  which vary depending on layout and editorial
  policy
• Generally broadsheets are 54cm high by 10 columns
  wide
• Generally tabloids are either 39cm high by 7 or 8
  columns wide, depending on the publication group
• Sunday Times recently introduced modular
  advertising, where height needs to be a variable
  of 5cm
• Rates are worked out by multiplying rate by
  height, by column
• Rates for full colour, black white, 1 spot, 2
  spot. Generally what you see is what you are
  charged for, but should be confirmed with the
  publication in question

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The More Commonly Used Media Terms(cont.)

• SPONSORSHIPS
• A sponsorship is the full or partial financing by
  the advertiser of a programme / feature or event,
  in exchange for brand / corporate awareness /
  association with / within that programme or
  event
• Generally sponsorships have the following
  elements
• Opening Billboard an introduction to a TV /
  radio programme, which usually includes a mention
  of the sponsors and normally 10 or 15 in length
• Closing Billboard an closing of a TV / radio
  programme, which usually includes a mention of
  the sponsors and normally 10 or 15 in length
• Stings often attached to station promotion of the
  programme, 5 or 10 in duration (tagged)
• Commercial flighting during the programme
  sometimes stings during the programme

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The Development of the Media Strategy

• The media Strategy Contains five basic elements
• Target Audience WHO
• Geographic Spending WHERE
• Scheduling WHEN
• Creative Considerations WHAT
• Media Weight / Delivery HOW MUCH

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The Development of the Media Strategy (cont.)

• Always involves a series of trade-offs
• The decision made for each element has a price
  tag
• Trade-offs or compromises will be necessary
• The skill of media planning is to achieve the
  best balance of these dimensions relative to the
  campaign objectives

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The Development of the Media Strategy (cont.)
CONTINUITY/TIME (Longer campaigns, more
bursts) COVER / REACH FREQUENCY (More
publications, (More
repetition, another medium) higher
number of insertion) DOMINANCE / IMPACT (Longer
commercials, bigger spaces, colour, special
positions)
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The Development of the Media Strategy (cont.)

• Every Media Strategy document must include the
  following
• Marketing Environment
• Target Market
• Budget
• Regionality
• Timing / Seasonality
• Objectives including exposure objectives
• Strategy
• Conclusion

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Marketing Environment

• KEY ISSUES
• Market share and size
• Pricing vs. competitors
• Competitive activity
• Clutter in the category?
• High/low interest
• Image/Commodity
• Brand Loyalty

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Constructing the Target

• The target market definition should be a brief,
  clear and workable statement of the group of
  people to whom the advertising is aimed
• The closer the match, the less money wasted on
  those not needed and the more efficient the
  campaign
• Who are we talking to?
• Use all available research sources
• (Psychographic, demographic, LSMS, Lifestyle,
  Product Usage, Geodemographic, Media usage)
• Regional skews
• Purchaser vs. user same or different people
• Quantify the target universe

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LSMS

• Social changes and the breakdown of community
  barriers resulted in crossover consumption of
  media
• LSMs came about to remove racial references from
  media planning unless they are relevant to the
  media plan
• There are 29 variables and positive and negative
  scores are allocated for each in order to measure
  your LSM level

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LSMS
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Budget

• How much money is available?
• Does budget include / exclude VAT / Production /
  Promotions
• Cash flow timing
• Track real vs. inflated increase / decrease

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Timing / Seasonality

• When is the product purchased ?
• How often ?
• Promotional timing
• (Do we need promotional advertising support pre
  / post / during promotional periods?)
• Will advertising have a greater effect at certain
  times of the year?

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Objectives

• If you dont know where you are going, and why,
  any road will take you there and you wont know
  when you have arrived!
• Tasks have to be set out in clear, unambiguous
  terms, with a broad outline of the ways in which
  they are to be carried out
• WHAT IS A MEDIA OBJECTIVE?
• Objectives should be clear with regard to time
  and effect
• Media objectives should be specific to media

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What Are Our Media Objectives

• REACH SPECIFIC
• DURATION MEASURABLE
• IMPACT ACHIEVABLE
• FREQUENCY REALISTIC
• TIME PERIOD

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Strategy(How to achieve our objectives)

• Is a classical above the-line media route the
  answer or a combination of ATL media and BTL /
  promotional exposure?
• Inherent strengths/weaknesses of different
  approaches media types
• What tactical opportunities are available?
• Is budget sufficient for the recommended route?
• Does client have preconceived ideas about media
  usage?
• Arrive at recommended plan of action
• Include broad media selection

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Plan the Detail

• The specifics of each medium recommended in the
  media strategy is planned
• Implementation may take the form of conventional
  advertising or the negotiation of promotional /
  sponsorship concept
• The plan details
• Selection of media vehicles
• Selection of timing and phasing elements
• Selection of number of insertions-relates to GRPs
• Selection of programmes (TV/Radio)
• Allocation of budget

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Media Buying

• Traditionally the media department is divided
  into two clear functions, namely
• Media planning
• Media buying
• Over the past 5 decades media buying has
  consisted mainly of a largely admin orientated
  function of scheduling, booking and
  administration of the media plan
• However, with recent developments including the
  advent of the media independent, media planners
  are often looked upon as custodian of the media
  strategy, formulators of the media objectives,
  while media buyers are the custodians of the
  actual campaign delivery

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Media Buying (cont.)

• There are a number of ways the media buyer can
  make a direct impact on the content of the actual
  media plan
• Rate negotiation
• Budget and Rate monitoring
• Campaign monitoring
• Scheduling
• The above factors have given rise to a new term
  implementation planning

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Television A Working Timeframe

• Airtime is always subject to availability
• Rate cards are received approximately 2 months
  prior
• On SABC to qualify for early booking discount the
  schedule has to be booked 5 weeks before a
  particular month
• Bookings should be made as early as possible due
  to limited availability
• Material deadline is 5 to 10 days prior
• For sponsorships, material is required earlier
  for approval
• Cancellation deadline is 15 - 28 working days or
  100 penalty

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Radio A Working Timeframe

• Airtime is always subject to availability
• Booking deadlines vary from are 3 to 5 working
  days prior flighting
• Material deadlines vary from 2 to 5 working days
  prior to flighting
• For sponsorships or created features, the
  deadline is 2 weeks and for a competition 1 month
  
• The cancellation deadline is 10 to 28 days or a
  100 penalty will apply
• Rate increases are generally advised 3 weeks to a
  month prior to implementation and different
  station groups increase rates at varied times of
  the year
• There are often more than one rate increase per
  annum with radio

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Cinema A Working Timeframe

• Cinema must be booked 3 to 5 weeks before first
  screening date on for 35mm and 10 days for
  digital
• A cinema week starts on a Friday
• 35mm final material must be delivered 3 weeks
  prior to first screening date in order for bulk
  prints to be produced
• Digital material must be delivered 2 weeks before
  first screening date to accommodate transfer and
  checking
• The cancellation period is 28 days to 6 weeks

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Magazines A Working Timeframe

• Booking as well as cancellation deadline is
  generally 6 weeks prior to scheduled month
• Material delivery deadlines are generally four
  weeks
• In the case of the weekly financial magazines,
  booking deadline is two weeks prior to issue date
  with material deadline ten days to one week prior
  to issue date
• 50 to 100 cancellation if after the booking
  deadline

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Newspapers A Working Timeframe

• Daily newspapers require 2 to 3 days for booking
  as well as cancellation
• Material delivery is 1 or 2 days before issue
  date
• Weekly newspapers should preferably be booked 7
  working days before issue date
• Material delivery 3 days before issue date
• Cancellation deadline is the same as booking
  deadline

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Outdoor A Working Timeframe

• An outdoor contract must be signed at least 21
  working days before application date
• Booking deadline is maximum 3 months prior or
  based on availability
• Contract renewal is at least 3 months prior to
  expiry
• Final material must be delivered 10 working days
  before application date in order to produce face
• Cancellation of a contract is not accepted with
  some media owners, while others require as much
  as 4 months
• Failure to advise non-renewal incurs 100 penalty

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Monitoring The Plan

• Once the plan has been booked, it requires
  constant monitoring of all aspects of the media
  plan
• The following four aspects need constant scrutiny
• Budget
• Performance
• Environment
• The Brand
• Media planning is an ongoing process, that means
  constantly challenging the status quo and looking
  for new solutions