UNT Media Class Media Planning March 27, 2008

1. Asher Media, Inc. The Difference is Strategic Vision UNT Media Class Media Planning March 27, 2008

2. Purpose ● How written media presentations are developed - Outline the structure of the traditional media plan - Propose questions to assist in brainstorming for the plan Asher Media, Inc.

3. Agenda • Purpose • Agenda • Background • Media planning overview • Anatomy of a Media Plan • Situational Analysis • Steps in Plan Development • Getting ready to develop a media plan • Media Objectives • Media Strategies/Rationale • Media Tactics • Summary • Appendix Asher Media, Inc.

4. Media Planning Overview • Media planning flows out of marketing and communication problems that require solutions • A good media person is first a good marketing person- with an expertise in media ACTION • Ask questions…lots of questions. • Who, Where, What, Why, When, How • Designed to make you knowledgeable about client’s products and problems. Asher Media, Inc.

5. Media Planning Overview • When all questions have been answered and decisions made, recommendations and rationale are organized into a written document, or a “media plan” • The plan becomes a blueprint for selection and execution • Plan also acts as a guide for the actual purchase of the media Asher Media, Inc.

6. Media Planning Overview • Media planning is more than finding answers to a list of questions about media • Media planning is a process or a series of decisions that provide the best possible answers to a set of problems • Media planning is an art; not a science Asher Media, Inc.

7. No One Right Media Plan • There is no one right media plan, it depends on - Company philosophy - Competition - Size of advertising budget - Relationship of advertising, sales promotion and personal selling effort - Marketing and communication tasks to be accomplished Asher Media, Inc.

8. Anatomy of Media Plan • Purpose • Agenda (Table of Contents) • Background/Situation Analysis • Recommendation • Objectives • Strategies • Tactics • Rationale • Flowchart • Budget Recap • Next Steps • Appendix Asher Media, Inc.

9. Media Plan Situation Analysis • History • Market trends • Marketing considerations • Target audience Media Strategies • Target audience • Timing and scheduling • Geography • Media mix • Reach and frequency • Sales promotion (if needed) • Budget breakdown Asher Media, Inc.

10. Situational Analysis • Marketing Facts • Competition • Creative/Brand history • Target audience • Geography • Timing and purchase cycle • Media mix – facts about target’s use of the media Asher Media, Inc.

11. Steps in Plan Development • Understand the Marketing Plan - Information provided by Account Service or Client - Defines the Marketing Goals • Develop Media Objectives - Based on input received in the Marketing Plan • Determine Media Strategies - Based upon Media Objectives • Determine Media Tactics - Based on strategy - Serve as a basis for implementation • Implementation - Based on Media Tactics • Stewardship - Post Buy analysis - Did the buy deliver as projected? - Did the plan achieve its objectives? Asher Media, Inc.

12. Getting Ready The Marketing Plan - Plans activities which will address one or more of the marketing opportunities “There is no such thing as a marketing problem, only an opportunity” * - Should include specific goals to serve as a basis for the Media Objective (s) ● Example: Increase share by 2% by converting users of Brand X - Also includes: ● Marketing Objectives ● Spending Strategy ● Distribution Strategy ● Which elements of the marketing mix are to be used ● Identification of the best marketing segments Asher Media, Inc. *Dr. Tom Ingram, University of Texas at Arlington

13. Getting Ready Interpreting the Marketing Plan - Recognize various Marketing information needs ● Market size and share of all major players ● Distribution practices ● Sales history, forecasts, costs, and profits ● Methods of selling ● Identification of specific prospect markets ● The product- brand character, purchase and usage habits Take the time and effort needed to think about how you are going to develop the plan before getting started. Asher Media, Inc.

14. Media Objectives - Translates the marketing plan into goals that media can accomplish • Should be one or 2 sentences - Should be specific ● Example: Delivery against the secondary target should be at least 80% of the delivery (%) of the primary target - Can include the following ● Target Audience ● Timing (seasonality) ● Creative Considerations ● Geography ● Communication Goals (Reach and Frequency) ● Budget • Example: Enjoy an evening out with friends Who? What? Where? When? How? How Many? Asher Media, Inc.

15. Target Audience analysis • Define the target audience by MRI, Simmons, Scarborough or Media Audit analysis • Demographics Age, Gender, Education, Income, etc. • Psychographics (Simmons or VALS) Attitudes, beliefs and opinions • Geographic (if necessary) • Product usage or usage levels Sales-oriented segmentation (i.e.) Airline target 25 trips per more Asher Media, Inc.

16. MRI Target Audience Asher Media, Inc.

17. Example Target Audience • Target customers who frequent bars/restaurant and/or play pool/billiards once a week • Demographics • Primarily Men (67%) • Age 21-39 • Secondary Age 21-49 • High School graduate plus (37%) • Primarily never been married (47%) • Employed (63%) with IEI $15,000+ Asher Media, Inc.

18. Psychographics • Psychological characteristic of consumers • Differentiate among prospects with the same demographic characteristics • Psychographic measures • MRI has Lifestyle research (VALS) • Values and Lifestyles Study • Simmons Asher Media, Inc.

19. VALS – Values & Lifestyle Study Asher Media, Inc.

20. Media Plan Development-Who • Who we are trying to reach - Customer profile ● Sex ● Age ● Income ● Family Size ● Occupation ● Education ● Marital Status - Influenced by ● Product User ● Actual Purchaser ● Frequency of Purchase ● Amount of Purchase Asher Media, Inc.

21. Media Plan Development-Where ● Where we want to advertise - Nationally - Regionally - Metro/Urban-Suburban - County Size ● Influenced by - Market Volume - Share of Market - Distribution - Business Development - Competitive Activity - Need for Timing of Advertising - Creative Support Asher Media, Inc.

22. Media Plan Development-What ● What we want to advertise - Product/Brand - Price Points - Promotion ● Sweepstakes ● Premium Items ● Influenced by - Product volume - Competitive pressure - Sales pressure - Pre-determined factor from marketing objectives Asher Media, Inc.

23. Media Plan Development-Why ● Why we want to advertise - Increase sales - New product introduction - Account support - Promotion tie-in Partnership - Awareness ● Influenced by - Inventory - New account demands - New product introduction - Sluggish sales Asher Media, Inc.

24. Media Plan Development-When ● When we want to advertise - Weekly/Monthly/Annually - Weekends/Weekdays - Holidays - Mornings/Midday/Evening ● Influenced by - Seasonality - Promotional windows - Product consumption - Holiday push - Length of offers Asher Media, Inc.

25. Media Plan Development-How ● How we want to advertise - Media Choices (see appendix for media strengths/weakness) ● Television ● Radio ● Newspaper ● Outdoor ● Magazine ● Programming ● Editorial Environment - Influenced by ● Creative ● Marketing ● Timing ● Product (visual) ● Budget Asher Media, Inc.

26. Media Plan Development • Strategy: Ways to achieve the objective(s) - Media strategies develop out of the objectives and are a series of actions selected from several possible alternatives to best achieve the media objectives ● Cover such decisions as which kinds of media should be used ● Whether national or local advertising should be used ● How many ads should be scheduled • 1-2 sentence overviews of each media type Example: Invite friends to meet at Chili’s Friday night Asher Media, Inc.

27. Quintile Analysis • Cluster of population into groups of fifths • Population is ranked from high to low on particular characteristics • Tile groups analyzed based on media usage Asher Media, Inc.

28. Example – M21-39; Bar/Restaurant or Play Pool Television viewing quintiles % adults Total adults % M21-39 Bar Goers Index 20 % Q1 35 % 20 % Q2 25 % 20 % Q3 18 % 20 % Q4 12 % 20 % Q5 10 % 100 % 100 % Asher Media, Inc.

29. Interpretation of Quintile • 35% of bar consumers in the heaviest group (Index: [35/20] x 100 = 175) • Indicates TV is good to reach bar/restaurant goers • Quintile 1 is always the heaviest usage group • Quintile 2 is next heaviest • Quintile 5 is the lightest usage group • Look for high index numbers in the first two quintiles Asher Media, Inc.

30. VALS plus Media Quintile Asher Media, Inc.

31. Rationale • What kinds of vehicles Match this target? Why? • Justify with Index numbers, Percentages from MRI and/or Simmons • Magazines- which titles? • Radio-which formats • TV- which programs types; which specific programs • Cable- which specific channels • Newspapers – National- which ones? Local- Why? • Internet, OOH, Direct Mail – get secondary sources Asher Media, Inc.

32. Media Research rationale Source: MRI, Doublebase, 2006 Asher Media, Inc.

33. Media Plan Development • Tactics: Fine-tuning actions to be taken - After strategy is determined, the implementation of the media plan begins ● These subsequent decisions are referred to as tactics - Selection of vehicles in which to place ads - The number of ads to be placed in each vehicle - The size of each ad - Specific positioning Example: Make reservation; Meet at 8:30 at Chili’s; Check for specials Asher Media, Inc.

34. Media Plan Development • Objective • M21-39 • Market (s) • June Launch • Reach 50% 5+times • Budget Who, Where, When, How Much Strategy Television, Radio, Internet, Out-of-Home What Tactics/Rationale Relevant programming, Prime, Sports Adj., Cable TV, All Day radios, Banners, email blasts, non traditional OOH How Negotiate & Implement Asher Media, Inc.

35. Media Plan Development • Make specific media recommendations - The specific plan should show ● Media to be used ● Length/Size of commercial units ● Amount of each medium ● Costs ● Specific scheduling of the media (flowchart) ● Budget recap ● Next steps Asher Media, Inc.

36. Appendix

37. Advantages ● National coverage (Regions Available) ● Visual-Audio demonstration ● In-Program positions ● More efficient than spot TV (more impressions per advertising dollar), depending on geographic comparisons/objectives ● High attention levels ● Easily implemented ● Both selective and mass markets may be reached - Sports: primarily male - Saturday mornings: children - Special event, comedies, etc: many age groups - Day: woman Disadvantages ● High total cost ● Short life messages ● Early commitments required ● Clutter ● Not flexible Advantages/Disadvantages-Network Television Asher Media, Inc.

38. Advantages ● Visual-Audio demonstration ● High Reach/Impact ● Efficient (but not as efficient as network TV) ● Easily implemented locally ● Heavy-up availability ● Spending can be related to sales potential ● Flexible in terms of varying weight levels - Timing/Programming ● Scheduling/Program alternatives - End of week (heavier shopping day) Disadvantages ● High total cost ● Short life messages ● Commercial placement adjacent to programs Advantages/Disadvantages-Spot Television Asher Media, Inc.

39. Advantages ● Visual-audio demonstration ● Efficient (Network Cable) ● Lower out-of-pocket cost ● Greater demographic selectivity ● Geographic flexibility (spot cable) ● High frequency Disadvantages ● Local cable is not measured - High cost per prospect ● Low reach (65% penetration) Advantages/Disadvantages-Cable Television Asher Media, Inc.

40. Advantages ● Daytime TV - Efficient delivery of women - Coverage of the full-time, large family household - Frequency of message weight - Relatively high concentration of female viewers, indicating interest in programming specifically for women ● Fringe TV - Provides coverage of working women - Delivers the prime prospect when she is paying greater attention (particularly late fringe) - Frequency of message weight ● Primetime TV - Provides broad awareness/reach quickly - Provides an attentive audience - Coverage of working women - Provides desirable program environment - All-family audiences Disadvantages ● Daytime TV - Relatively low potential reach when used alone ● Fringe TV - Expensive ● Primetime TV - Expensive - High Clutter Advantages/Disadvantages-Television Dayparts Asher Media, Inc.

41. Advantages ● High frequency ● Efficient ● Demographic selectivity ● Local personalities for commercials/implied endorsements ● Good support medium ● Excellent for mobile populations due to car radios ● Low out-of-pocket cost ● Good for price offers ● Immediate availability ● Promotional Disadvantages ● Not visible ● Limited reach potential/many stations in market ● Fleeting messages ● Cluttered medium ● Background medium Advantages/Disadvantages-Radio Asher Media, Inc.

42. Advantages ● National coverage ● Demographic selectivity - Diversity of editorial formats ● Geographical flexibility available ● Visual presentation ● Superior reproduction (4-color) ● Prestigious/Authoritativeness ● Longer life ● Higher readership/Issue (pass-along audience) ● Coupon vehicle (pop-ups/on page) ● Can offer compatible editorial environment ● Merchandisable ● Controlled circulation may pinpoint a Audience - Profession/Occupation Disadvantage ● Longer lead time (generally 1-3 months) ● Lack of immediacy ● Slow build of audience ● Regional positions (usually back of book) Advantages/Disadvantages-Consumer Magazines Asher Media, Inc.

43. Advantages ● Broad reach/impact ● Visual presentation of product to consumer ● Good support/reminder medium ● Localized advertising through the use of snipes ● High frequency ● Geographic flexibility ● High summertime visibility ● Around the clock exposure (lighted panels on main thoroughfares) ● Good for simple copy/product identification ● Point of retail medium ● Immediate ● Strategic board locations - Ethnic coverage - College students ● Merchandising services ● Often longer exposure than contract period Disadvantages ● Limited to simple message ● Recall questionable ● A relatively high cost medium ● Production costs are high ● Competes for attention with other things such as traffic, scenery, etc… ● Zoning restrictions ● No target ability Advantages/Disadvantages-Outdoor Asher Media, Inc.

44. Advantages ● Immediate/Timely ● Coupon vehicle ● Visual presentation of product ● Local impact ● Environment (Travel section) ● Longer copy platform ● Opportunity for retail tie-ins ● Color availability ● Easily implemented locally ● Merchandisable ● Offers scheduling alternative - Best Food Day ● Short lead time ● Price/message medium ● Reach Disadvantages ● Reproduction limitations, particularly color ● Short life ● Cost of buying national coverage is high ● Small pass-along ● National rates are higher than retail rates ● Standardization of newspaper formats ● Limited target ability ● Difficulty in controlling position Advantages/Disadvantages-Newspaper Asher Media, Inc.

45. Advantages ● Local market impact with a magazine format ● High readership ● Visual presentation of product ● Coupon vehicle ● Environment ● Color availability ● Longer copy platform ● Reach Disadvantages ● Longer lead time (generally 6 weeks) ● Difficult/Expensive to implement locally ● Higher CPM ● Small pass-along Advantages/Disadvantages-Sunday Supplement Asher Media, Inc.

46. Advantages ● Mass coverage of large metropolitan areas ● High frequency medium ● Relatively efficient ● Point of purchase medium ● Strong ethnic and income segmentation ● Merchandising support Disadvantages ● Message space is limited ● Competes for attention with other things such as traffic, scenery, etc… ● Recall questionable Advantages/Disadvantages-Transit Asher Media, Inc.

47. Advantages ● A very select medium ● Response to advertising is easy to check ● A personal medium ● Geographic and production flexibility ● Savings possible when direct mail is inserted with bills (retail) Disadvantages ● Can be very expensive ● Accuracy and completeness of mailing list ● Delivery date may vary from person to person Advantages/Disadvantages-Direct Mail Asher Media, Inc.