This document outlines a $300,000 advertising budget to promote a new coffee product in Baltimore County, Maryland as a test market. It allocates the budget across 39 zip codes based on each area's buying power index score, with percentages ranging from 0.10% to 7.07%. The budget is then divided among four media - TV (33%), radio (26%), print (33%), and interactive (8%). Each zip code is assigned a dollar amount for each medium based on its portion of the total budget. The goal is to target advertising effectively based on population and income in different parts of Baltimore County for the eight week test period.

1. Advertising Based on BPI
$300,000.00 Advertising Budget
Media Allocation1
Township Zip Code BUYING Media Cost6 TV Radio Print Interactive
INDEX 33% 26% 33% 8%
Baldwin 21013 1.45% 4,338.65 1,431.75 1,128.05 1,431.75 347.09
Butler 21023 0.87% 2,610.30 861.40 678.68 861.40 208.82
Catonsville 21228 5.30% 15,914.78 5,251.88 4,137.84 5,251.88 1,273.18
Cockeysville 21030 3.03% 9,098.98 3,002.66 2,365.73 3,002.66 727.92
Dundalk 21222 5.65% 16,958.84 5,596.42 4,409.30 5,596.42 1,356.71
Essex 21221 4.48% 13,425.87 4,430.54 3,490.73 4,430.54 1,074.07
Fork 21051 0.99% 2,957.09 975.84 768.84 975.84 236.57
Fort Howard 21052 0.73% 2,197.30 725.11 571.30 725.11 175.78
Freeland 21053 1.01% 3,035.01 1,001.55 789.10 1,001.55 242.80
Glen Arm 21057 1.40% 4,186.05 1,381.40 1,088.37 1,381.40 334.88
Glyndon 21071 0.81% 2,440.48 805.36 634.52 805.36 195.24
Gwynn Oak 21207 5.01% 15,031.14 4,960.27 3,908.10 4,960.27 1,202.49
Halethorpe 21227 3.72% 11,155.74 3,681.39 2,900.49 3,681.39 892.46
Hunt Valley 21031 0.10% 298.13 98.38 77.51 98.38 23.85
Hydes 21082 0.84% 2,525.88 833.54 656.73 833.54 202.07
Kingsville 21087 1.42% 4,258.28 1,405.23 1,107.15 1,405.23 340.66
Lutherville/Timonium 21093 4.15% 12,444.35 4,106.64 3,235.53 4,106.64 995.55
Lutherville/Timonium 21094 3.50% 10,490.33 3,461.81 2,727.49 3,461.81 839.23
MD Line 21105 0.59% 1,755.66 579.37 456.47 579.37 140.45
Middle River 21220 3.95% 11,844.56 3,908.71 3,079.59 3,908.71 947.57
Monkton 21111 1.52% 4,552.31 1,502.26 1,183.60 1,502.26 364.18
Nottingham 21236 4.24% 12,710.44 4,194.44 3,304.71 4,194.44 1,016.83

2. Owings Mills 21117 4.67% 14,017.17 4,625.66 3,644.46 4,625.66 1,121.37
Parkton 21120 1.57% 4,695.55 1,549.53 1,220.84 1,549.53 375.64
Parkville 21234 7.07% 21,200.16 6,996.05 5,512.04 6,996.05 1,696.01
Perry Hall 21128 1.43% 4,292.03 1,416.37 1,115.93 1,416.37 343.36
Phoenix 21131 1.93% 5,800.31 1,914.10 1,508.08 1,914.10 464.02
Pikesville 21208 3.77% 11,301.93 3,729.64 2,938.50 3,729.64 904.15
Randlestown 21133 3.39% 10,181.87 3,360.02 2,647.29 3,360.02 814.55
Reisterstown 21136 3.56% 10,694.59 3,529.22 2,780.59 3,529.22 855.57
Rosedale 21237 3.01% 9,033.00 2,980.89 2,348.58 2,980.89 722.64
Sparks 21152 1.40% 4,213.31 1,390.39 1,095.46 1,390.39 337.06
Sparrows Point 21219 1.51% 4,519.00 1,491.27 1,174.94 1,491.27 361.52
Towson 21204 2.87% 8,603.39 2,839.12 2,236.88 2,839.12 688.27
Towson 21286 2.60% 7,794.23 2,572.09 2,026.50 2,572.09 623.54
Upper Falls 21156 0.96% 2,891.70 954.26 751.84 954.26 231.34
Upperco 21155 1.03% 3,084.79 1,017.98 802.05 1,017.98 246.78
White Marsh 21162 0.96% 2,872.68 947.98 746.90 947.98 229.81
Windsor Mill 21244 3.52% 10,560.00 3,484.80 2,745.60 3,484.80 844.80
Totals 39 100.00% $299,985.86 $98,995.34 $77,996.32 $98,995.34 $23,998.87 $299,985.86
Notes:
Since this will be a test market for the new product (coffee), we chose Baltimore County Maryland
We first took the Buying power index from workbook BPI sheet in this file
The BPI was based on population and median income by zipcode and then weighted to achieve BPI
We then Created a media allocation based on total dollar amount and weighted that between the four medias (TV, Radio, Print, and Interactive)
Obviously the TV and Radio are a little irreleveant as their reach includes all zipcodes but using the BPI and weighting the print and interactive will be very usefu
All Advertising is based on an Eight Week Flight Schedul, please see Advertising Schedule worksheet for specifics