Media Planning and Buying




M. Larry Litwin, APR, Fellow PRSA
[Portions from Advertising Principles & Practices by Wells...
Advertising Principles & Practices

• William Wells
• John Burnett
• Sandra Moriarty




                                 ...
You enter to learn

You leave to serve



                     11-5




                     11-6




                    ...
PR Is...
•   “This is who we are;
•   What we think about ourselves;
•   What we want to do; and
•   Why we deserve your s...
Defining Modern Advertising
• Paid persuasive
  communication
• Uses
  nonpersonal
  mass media to
  reach broad
  audienc...
Advertising Defined


    Paid, non-personal
    communication from an
    identified sponsor, using mass
    media to per...
Advertising 101
•   Paid
•   Non-personal communication
•   From identified sponsor
•   Using mass media
•   To persuade o...
Marketing

• The exchange of goods and
  services from manufacturer to
  consumer.
• Strategies that employ the
  various ...
Media Mix Selection
• Using a variety of
  media to get your
  message out to
  customers
• Media selection is
  based on ...
M A C T ria d
                             M

                           +P+T
                   A                    C
  ...
Advertising is Synergy




                             11-21




      Execution
            • Effective ads
            ...
The Functions of
             Marketing
    • Builds awareness of products and
      brands
    • Creates a brand image
  ...
Federal Trade
               Commission




                              11-25




    11 Types of Advertising
•   Brand
...
26 Advertising Mechanisms
      or Techniques
•   Co-op
•   Per Inquiry
•   Tie-in
•   Piggyback
•   Competitor
•   Produc...
What Makes an Ad Effective?
1.   Gets your attention
2.   Delivers the
     message
3.   Creates an
     impression for a
...
Why Hire an Agency?
    Hiring an agency can result in
    several benefits:
•   Offer objective advice
•   Draw on the co...
Aperture Concept in
       Media Planning




                           11-33




The Media
  Plan
• A written
  document...
The Media Planning Process




                        11-35




     Creative Brief




                        11-36



...
The Central Role of
     Media Research




                          11-37




       Media Objectives
• Exposure
• Gross...
Media Strategies
 • Strategies are designed to deliver
   on the media objectives, to deliver
   the right level of exposu...
Changes In Consumer Media Use
         (2001-2003)




                             11-41




WF of R: Buying Space and Ti...
Consumer
Attitudes and
 Advertising
  Spending




                           Figure 11.5
                                ...
Scheduling Strategies
• Timing strategies
  – Duration: How long
  – Continuity: How often




     The Continuity Strateg...
Six Major Functions of a
     Media Buyer




                           11-47




Media Planning Changes and
        Chal...
How Media Planning Fits
 in the Advertising Process
• Media planners have two main roles:
   – Analyzing the market, and
 ...
Sources of Information in
       Media Planning




                                                   11-51




    Setti...
Finding Target Audiences and
      Sales Geography
    • Two major challenges face media
      planners searching for targ...
Developing Media Strategies
   Target Market Strategies: New
    Technology of Measurement
   Retail Scanners       • Cash...
Timing and Duration
                              Strategies
            Continuity
  $ Spent   Option




               ...
Audience Measures Used
          in Media Planning
                        Impressions
             Measure of the Size of...
Combining Reach and
     Frequency Goals
• Reach of an audience is not sufficient
  measure of an advertising’s schedule’s...
Media Buyers’ Special Skills
         • Negotiation: Art of • Maintaining Plan
           a Buyer               Performanc...
A Sample Media Plan for
         Pizza Hut




                                    11-65




   A Sample Media Plan for
  ...
A Sample Media Plan for
            Pizza Hut




       Pizza Hut Media Plan
                                            ...
A Sample Media Plan for
            Pizza Hut




       Pizza Hut Media-Planning Template




                           ...
Print Ad Layout

                        Arrangement of the Elements on the
Format                  Printed Page


       ...
Production Stages for TV Commercials



                               All work before actual
Preproduction
              ...
Production Tasks


                          Production




Location Versus       Night/weekend                           ...
Evaluation Guidelines for Creative Output

Consistent With Brand’s Marketing Objectives?

 Consistent With Brand’s Adverti...
Media Terminology
 Print       Publications such as newspapers,
 Media       magazines, direct mail, outdoor, etc.


 Medi...
Developing the Media Plan
       Analyze the Market


    Establish Media Objectives


     Develop Media Strategy


    I...
Developing the Media Plan
    Situation                     Marketing                                        Creative
    ...
Brand and Category Analysis


    Category Development Index

        Percentage of total product
        category sales i...
Determining Relative Cost of Media-Broadcast




 Cost per rating point (CPRP)

           Cost of commercial time
CPRP = ...
Insertion Order #2




                     11-89




Insertion Order #3




                     11-90




              ...
Newspaper Pros and Cons
    Advantages                                                    Disadvantages
     High Coverage...
Newspaper Classifications
                                                                   Daily
 Publication
 Frequency...
Unique Newspaper Features
                        Mass audience

               Cross-section of population

             ...
Newspaper Characteristics
                                 Read by Almost All Consumers


  Wide                          ...
Coverage Map – Major Radio Station




                                                                  11-99




Circula...
A Newspaper Promotes Its Various Sections




                                                                  11-101
   ...
Popper/Dot Whack/Sticky Note




                                                             11-103
     © 2003 McGraw-Hi...
Popper/Dot Whack/Sticky Note




                          11-105




Popper/Dot Whack/Sticky Note




                   ...
Popper/Dot Whack/Sticky Note




                          11-107




Popper/Dot Whack/Sticky Note




                   ...
Inserts (FSIs) Help Marketers Reach Consumers




                                                                   11-10...
College Newspapers Are an
   Effective Way to Reach Students




                                                         ...
Radio Pros and Cons
     Advantages                                                  Disadvantages
     Local Coverage    ...
Direct Mail Pros and Cons
    Advantages                                                     Disadvantages
    High Select...
Magazine Pros and Cons
    Advantages                                                    Disadvantages
                   ...
Special Magazine Features

                        Bleed Pages


Island Halves                                            ...
The Future of Magazines
 Declining Ad Revenues


     Stronger Editorial Platforms


          Circulation Management


  ...
An Example of a Farm Publication




                                                                     11-123
         ...
Top-Selling Magazines: 2002




                                                                  11-125
          © 2003 ...
City Magazines Provide Geographic Targeting




                                                                    11-127...
Use of Various Media for Insight and Ideas




                                                                   11-129
 ...
Pop-Ups Grab Attention




                                                                   11-131
           © 2003 McG...
Media Research Guides Advertisers




                                      +




                                        ...
A New Breed of Business Publication




                                                                11-135
        © 2...
Questions ???
M. Larry Litwin, APR, Fellow PRSA
    larry@larrylitwin.com
    www.larrylitwin.com

                       ...
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Media Planning Buying Handout 2 Per Page Spring 2009

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Transcript of "Media Planning Buying Handout 2 Per Page Spring 2009"

  1. 1. Media Planning and Buying M. Larry Litwin, APR, Fellow PRSA [Portions from Advertising Principles & Practices by Wells] 11-1 Taken from… 11-2 1
  2. 2. Advertising Principles & Practices • William Wells • John Burnett • Sandra Moriarty 11-3 Portions taken from… 11-4 2
  3. 3. You enter to learn You leave to serve 11-5 11-6 3
  4. 4. PR Is... • “This is who we are; • What we think about ourselves; • What we want to do; and • Why we deserve your support.” 11-7 Five Major Media • Print • Broadcast • Internet • Face-to-Face • Special Events 11-8 4
  5. 5. Defining Modern Advertising • Paid persuasive communication • Uses nonpersonal mass media to reach broad audiences • Connects an identified sponsor with a target audience 11-9 Six Basic Components 1. Paid 2. Non-personal communication 3. Sponsor is identified 4. Using mass media 5. Tries to persuade or influence 6. Reaches large audience 11-10 5
  6. 6. Advertising Defined Paid, non-personal communication from an identified sponsor, using mass media to persuade or influence an audience. 11-11 Public Relations 101 • Management and counseling function • Enables organizations to build and maintain relationships • Through an understanding of audience attitudes, opinions and values • Planned, deliberate and two-way • Conscience of organization • Overseer of brand/reputation • Relationship management 11-12 6
  7. 7. Advertising 101 • Paid • Non-personal communication • From identified sponsor • Using mass media • To persuade or influence • Audience (Paid – Controlled) 11-13 Marketing 101 Determine what people need (and want) and give it to them. 11-14 7
  8. 8. Marketing • The exchange of goods and services from manufacturer to consumer. • Strategies that employ the various elements of the marketing mix to achieve marketing objectives. 11-15 Marketing Mix – IMC • A plan that identifies the most effective combination of promotional activities (IMC). • The goal is to achieve synergy. 11-16 8
  9. 9. Media Mix Selection • Using a variety of media to get your message out to customers • Media selection is based on message needs 11-17 Synergy’s Parts • Advertising • Product itself* • (Sales) Promotion* • Packaging* • Public Relations* • Policy* • Direct Marketing • Politics* • Cause Marketing • Mind Share • Sponsorship (Brainstorming – (Partnering) Intellectual Marketing Property) • Positioning (Place)* • Brand Identity • Personal Selling* • Interactive • Price* * Litwin’s 9 Ps of Marketing 11-18 9
  10. 10. M A C T ria d M +P+T A C M = M e s s a g e A = A u d ie n ce C = C h a n n e l P = P u rp o se T = T im in g 11-19 MAC Triad Plus cont. • Informization – Disseminating information (message) to target audience through the proper channel at the best possible time. 11-20 10
  11. 11. Advertising is Synergy 11-21 Execution • Effective ads adhere to the highest production values in the industry • Clients demand the best production the budget allows 11-22 11
  12. 12. The Functions of Marketing • Builds awareness of products and brands • Creates a brand image • Provides product and brand information • Persuades people • Provides incentives to take action • Provides brand reminders • Reinforces past purchases and brand experiences 11-23 Full-Service Agency Major Functions • Account Management • Creative Services • Research • Media Planning and Buying 11-24 12
  13. 13. Federal Trade Commission 11-25 11 Types of Advertising • Brand • Retail or Local • Directory • Direct-Response • Business-to-Business • Corporate • Institutional (Product) • Recruitment • Political • Issue (Advocacy) • Public Service (Charity/Non-profit) 11-26 13
  14. 14. 26 Advertising Mechanisms or Techniques • Co-op • Per Inquiry • Tie-in • Piggyback • Competitor • Product Placement • Product Integration • Silent Publicity • Advertorial • Infomercial • Endorsement • Testimonial • Informational 11-27 26 Advertising Mechanisms or Techniques (more) • Partnering • Cause-Related Marketing • Co-authoring • Co-branding • Interactive • Scent/Aroma Marketing • Virtual • Specialty • Street Marketing • Viral Marketing (Word of Mouth) • E-viral Marketing (Word of Mouse) • Promotainment • House (Promo) 11-28 14
  15. 15. What Makes an Ad Effective? 1. Gets your attention 2. Delivers the message 3. Creates an impression for a product or brand 4. Influences people to respond 5. Separates the product or brand from the competition 11-29 Key Players • Advertiser • Agency • Media • Supplier/Vendor • Target Audiences 11-30 15
  16. 16. Why Hire an Agency? Hiring an agency can result in several benefits: • Offer objective advice • Draw on the collective experience and training of its staff • Provide people and management skills to accomplish advertising objectives • Provide supportive environment for professional advice 11-31 The Aperture Concept • The goal of the media planner is to expose the target audience to the message at the critical point when the consumer is receptive to the brand message. 11-32 16
  17. 17. Aperture Concept in Media Planning 11-33 The Media Plan • A written document that summarizes the objectives and strategies pertinent to the placement of a company’s advertising messages. 11-34 17
  18. 18. The Media Planning Process 11-35 Creative Brief 11-36 18
  19. 19. The Central Role of Media Research 11-37 Media Objectives • Exposure • Gross Ratings Points • Reach • Frequency – Average frequency – Frequency distribution – Effective frequency 11-38 19
  20. 20. Media Strategies • Strategies are designed to deliver on the media objectives, to deliver the right level of exposure in terms of reach and frequency [Superior tactics cannot overcome a bad (business) strategy] 11-39 Target Audience Strategies • Media use • Geography • Consumption patterns 11-40 20
  21. 21. Changes In Consumer Media Use (2001-2003) 11-41 WF of R: Buying Space and Time 11-42 21
  22. 22. Consumer Attitudes and Advertising Spending Figure 11.5 11-43 Cost Efficiency Cost per thousand (CPM) Cost of message unit x 1,000 Gross Impressions Cost per point (CPP) Cost of message unit Program or issue rating 11-44 22
  23. 23. Scheduling Strategies • Timing strategies – Duration: How long – Continuity: How often The Continuity Strategies of Pulsing and Flighting 11-45 Media Buying • Buying is a complicated process • The American Association of Advertising Agencies (AAAA) lists no fewer than 21 elements in the authorization for a media buy 11-46 23
  24. 24. Six Major Functions of a Media Buyer 11-47 Media Planning Changes and Challenges • Unbundling media buying and planning • Online media buying • New forms of media research needed 11-48 24
  25. 25. How Media Planning Fits in the Advertising Process • Media planners have two main roles: – Analyzing the market, and – Evaluating media channel effectiveness. • Media planning is the process of determining how to use time and space to achieve marketing objectives. • One of these objectives is always to place the advertising message before a target audience using some type of media. 11-49 The Media Planning Process 11-50 25
  26. 26. Sources of Information in Media Planning 11-51 Setting Media Objectives The Basic Goals That Direct Media Strategy Typically Focus on: Whom to Advertise To Which Geographic Areas to Cover When to Advertise What the Duration of the Campaign Should Be What the Size or Length of the Ad Should Be 11-52 26
  27. 27. Finding Target Audiences and Sales Geography • Two major challenges face media planners searching for target audiences: – Discrepancies between the language of internal strategic research, and – Lack of reliable audience research for new media for advertising and sales promotion. • Sales geography is an important part of many advertising plans: – Sales are rarely consistent across geographic boundaries. – Affects which markets to advertise in and how much money to allocate to each geographic region. 11-53 Timing and Duration • Media planners might have to juggle a number of variables to make correct timing decisions: – How often is product bought? – Whether it is used more in some months than in others? – Timing decisions relate to factors such as seasonality, holidays, days of the week, and time of day. • Duration (how long to advertise) depends on: – Schedule and advertising budget, – Consumer use cycle, and – Competitive strategies. 11-54 27
  28. 28. Developing Media Strategies Target Market Strategies: New Technology of Measurement Retail Scanners • Cash register scanners • List of customers and their Database Developments various characteristics, stored electronically. • Determining the precise impact Marketing Mix Modeling of the media plan on product sales. Internet Audience • Who’s online and which sites they are visiting may be Measurement Problems determined by number of hits, unique visitors, visitors, or page impressions. 11-55 Geographic Strategies: Allocating Media Weight • Try to balance sales with advertising investment market by market. • Can help local business fight the power of national corporations by saturating community with advertising from local companies. • Planner’s ideal advertising allocation provides enough budget to meet each area’s sales objectives. 11-56 28
  29. 29. Timing and Duration Strategies Continuity $ Spent Option Campaign Time 11-57 Media Selection Procedures Reach Number of Different People Exposed to the Message Frequency Factors to Consider Degree of Exposure When Selecting Repetition Advertising Media Cost Per Thousand Efficiency of Selected Vehicles 11-58 29
  30. 30. Audience Measures Used in Media Planning Impressions Measure of the Size of the Audience Gross Impressions Gross Values Audiences of All Media Number of People Viewing Vehicles Used in a Time Spot Rating Percentage of Exposure Gross Rating Point Divide the Total Number of Impressions by Size of Target Population and Multiply by 100. 11-59 Reach, Frequency and Media Planning Reach Frequency % of the Target Number of Times the Population Exposed Target Population At Least Once to Is Exposed to the the Advertising Advertising Message During a Message During a Specific Time Specific Time Frame. Frame. Methods Include: Average Frequency Frequency Distribution 11-60 30
  31. 31. Combining Reach and Frequency Goals • Reach of an audience is not sufficient measure of an advertising’s schedule’s strength. • For anyone to be considered part of the reached audience, he or she must have been exposed more than once. • This theory combines reach and frequency elements into one factor known as effective frequency. 11-61 How to Calculate CPMs • Magazines. An issue of You magazine has 10,460,000 readers who could be considered a target audience. The advertising unit is a four-color page and its rate is $42,000. The CPM is: CPM = Cost of page or fractional page unit x 1,000 Target audience readers = $42,000 x 1,000 = $4.02 10,460,000 Media planners try to select the media that will expose the largest target audience for the lowest possible cost. 11-62 31
  32. 32. Media Buyers’ Special Skills • Negotiation: Art of • Maintaining Plan a Buyer Performance – Vehicle – Monitoring Performance Audience Research – Unit Costs – Scheduling and – Preferred Positions Technical – Extra Support Problems • Program Offers Preemptions • Missed Closings • Technical problems 11-63 Staging a Media Plan A Media Plan is a Written Document that Summarizes the Recommended Objectives, Strategies, and Tactics Pertinent to the Placement of a Company’s Advertising Messages. Background and Discusses Media Options, Opportunities Situation Analysis and Target Audience. Media Objectives & Goal or Task that Media Can Accomplish Aperture Opportunities Based on Aperture Opportunities. Strategy: Explains Why a Single Medium or Set of Selection of Media Media is Appropriate. Media Buyers Convert Objectives and Flow Chart Scheduling Select, Negotiate, & Contract for Media & Budgeting Space. 11-64 32
  33. 33. A Sample Media Plan for Pizza Hut 11-65 A Sample Media Plan for Pizza Hut • Situation and Consumer Analysis • Media Objectives and Aperture Strategies • The Media Mix • The Flowchart: Scheduling and Budgeting Allocation 11-66 33
  34. 34. A Sample Media Plan for Pizza Hut Pizza Hut Media Plan 11-67 A Sample Media Plan for Pizza Hut Pizza Hut TV and Internet 11-68 Media Strategies 34
  35. 35. A Sample Media Plan for Pizza Hut Pizza Hut Media-Planning Template 11-69 Print Ad Components Headline: Words in the Leading Position of the Ad Subheads: Smaller Than the Headline, Larger Than the Copy Body Copy: The Main Text Portion of a Print Ad Visual Elements: Illustrations Such As Drawings or Photos Layout: How Elements Are Blended Into a Finished Ad 11-70 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 35
  36. 36. Print Ad Layout Arrangement of the Elements on the Format Printed Page Expressed in Columns, Column Inches Size or Portions of a Page Black & White or Two-, Three-, or Four- Color color Printing White Marginal and Intermediate Space That Space Remains Unprinted 11-71 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Top 10 Jingles of the Century Company Jingle 1. McDonald’s You deserve a break today 2. U.S. Army Be all that you can be 3. Pepsi Cola Pepsi Cola Hits the Spot 4. Campbell’s Soup M’m, Good M’m Good 5. Chevrolet See the USA in your Chevrolet 6. Oscar Mayer I wish I was an Oscar Mayer Wiener 7. Wrigley’s gum Double your pleasure, double your fun 8. Winston Winston tastes good like a cigarette should 9. Coca-Cola It’s the real thing 10. Brylcreem Brylcreem—A little dab’ll do ya 11-72 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 36
  37. 37. Production Stages for TV Commercials All work before actual Preproduction shooting, recording Period of filming, taping, or Production recording Work after spot is filmed or Postproduction recorded 11-73 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Pre-production Tasks Select a Director Choose Preproduction Production Meeting Company Preproduction Production Bidding Timetable Cost Estimation and Timing 11-74 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 37
  38. 38. Production Tasks Production Location Versus Night/weekend Talent Set Shoots Shoots Arrangements 11-75 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Post-production Tasks Editing Processing Release/ Sound Effects Shipping Postproduction Audio/Video Duplicating Mixing Client/agency Opticals Approval 11-76 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 38
  39. 39. Evaluation Guidelines for Creative Output Consistent With Brand’s Marketing Objectives? Consistent With Brand’s Advertising Objectives? Consistent With Creative Strategy, Objectives? Does It Communicate What It’s Suppose to? Approach Appropriate to Target Audience? Communicate Clear, Convincing Message? Does Execution Overwhelm the Message? Appropriate to the Media Environment? Is the Advertisement Truthful and Tasteful? 11-77 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Media Terminology Media A series of decisions involving the delivery Planning of messages to audiences Media Goals to be attained by the media strategy Objectives and program Media Decisions on how the media objectives can Strategy be attained The various categories of delivery systems, Media including broadcast and print media Broadcast Either radio or television network or local Media station broadcasts 11-78 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 39
  40. 40. Media Terminology Print Publications such as newspapers, Media magazines, direct mail, outdoor, etc. Media The specific carrier within a medium Vehicle category Number of different audience members Reach exposed at least once in a given time period The potential audience that might receive Coverage the message through the vehicle The number of times the receiver is exposed Frequency to the media vehicle in a specific time period 11-79 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin The Media Plan • A written document that summarizes the objectives and strategies pertinent to the placement of a company’s advertising messages. 11-80 40
  41. 41. Developing the Media Plan Analyze the Market Establish Media Objectives Develop Media Strategy Implement Media Strategy Evaluate Performance 11-81 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Creative Brief 11-82 41
  42. 42. Developing the Media Plan Situation Marketing Creative Analysis Strategy Plan Strategy Plan Setting Media Objectives Determining Media Strategy Selecting Broad Media Classes Selecting Media Within Class Media Use Decision Media Use Decision Media Use Decision — Broadcast — Print — Other Media 11-83 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Brand and Category Analysis Brand Development Index Percentage of brand to total U.S. sales in market BDI = X 100 Percentage of total U.S. population in market 11-84 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 42
  43. 43. Brand and Category Analysis Category Development Index Percentage of total product category sales in market CDI = X 100 Percentage of total U.S. population in market 11-85 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Determining Relative Cost of Media-Print Cost per thousand (CPM) Cost of ad space CPM = (absolute cost) X 1,000 Circulation 11-86 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 43
  44. 44. Determining Relative Cost of Media-Broadcast Cost per rating point (CPRP) Cost of commercial time CPRP = Program rating 11-87 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Insertion Order #1 11-88 44
  45. 45. Insertion Order #2 11-89 Insertion Order #3 11-90 45
  46. 46. Newspaper Pros and Cons Advantages Disadvantages High Coverage Short Life Low Cost Clutter Short Lead Time for Low Attention Getting Placing Ads Ads Can Be Placed in Poor Reproduction Quality Interest Sections Timely (Current Ads) Selective Reader Exposure Reader Controls Exposure Can Be Used for Coupons 11-91 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Newspaper Advantages and Drawbacks Advantages Disadvantages Production Quality Extensive Penetration May Be Low They Have a Flexibility Short Life Span Not Demographically Geographic Selectivity Selective Not Psychographically Involvement, Acceptance Selective There's Heavy Ad Services Offered Competition Potentially Poor Placement May Be Overlapping Circulation 11-92 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 46
  47. 47. Newspaper Classifications Daily Publication Frequency Weekly National Type Special-Audience Supplements Standard Size Tabloid Ethnic, Religious, Etc. Audience Type Business, Financial, Etc. 11-93 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Characteristics of Newspapers The Dominant Advertising Vehicle Account for 22% of Ad Dollars Over 1,500 Daily Papers in Print Dailies Read by About 60% of adults Main Community Medium Local Ads Provide Most of Revenue 11-94 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 47
  48. 48. Unique Newspaper Features Mass audience Cross-section of population Local geographic coverage Wide range of content, subjects Selective readership by area Timely coverage, daily issues Readership concentrated in time Permanent, durable record 11-95 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Newspaper Advertising Local (Mostly Retail) Display Ads General (Often National) Paid Reading Notices (Editorial Look) Small Items Arranged by Topic Classified Ads Rates Based on Size, Duration Classified Display - Combination Legal Notices - Public Reports Public Notices Notices by People, Organizations Financial Reports Printed Prepared Separately by Advertisers Inserts 11-96 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 48
  49. 49. Newspaper Characteristics Read by Almost All Consumers Wide Read Daily in an Ordered Way Audience Readers Look at Over 3/4 of All Pages Few Limitations on Ad Size Spot and Full Color Available Offer Flexibility Many Shapes, Sizes, Paper, & Printing 11-97 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Rate Terminology Split Runs Split Run Rates Preferred Position Differential Rates Color Rates Insertion Rates Combination Rates Run-of-Paper [ROP] Open Rates Short Rates Flat Rates Earned Rates National Rates Local Rates Terms of the Trade 11-98 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 49
  50. 50. Coverage Map – Major Radio Station 11-99 Circulation Zones for a Major Newspaper 11-100 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 50
  51. 51. A Newspaper Promotes Its Various Sections 11-101 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Island Ads Break Through Clutter 11-102 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 51
  52. 52. Popper/Dot Whack/Sticky Note 11-103 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Popper/Dot Whack/Sticky Note 11-104 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 52
  53. 53. Popper/Dot Whack/Sticky Note 11-105 Popper/Dot Whack/Sticky Note 11-106 53
  54. 54. Popper/Dot Whack/Sticky Note 11-107 Popper/Dot Whack/Sticky Note 11-108 54
  55. 55. Inserts (FSIs) Help Marketers Reach Consumers 11-109 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Some Newspapers Offer Combination Rates 11-110 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 55
  56. 56. College Newspapers Are an Effective Way to Reach Students 11-111 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Television Pros and Cons Advantages Disadvantages Mass Coverage Low Selectivity High Reach Short Message Life Impact of Sight, Sound High Absolute Cost and Motion High Prestige High Production Cost Low Cost Per Exposure Clutter Attention Getting Favorable Image 11-112 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 56
  57. 57. Radio Pros and Cons Advantages Disadvantages Local Coverage Audio Only Low Cost Clutter High Frequency Low Attention Getting Flexible Fleeting Message Low Production Cost Well-segmented Audience 11-113 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Internet Pros and Cons Advantages Disadvantages User Selects Product Limited Creative Information Capabilities User Attention and Web snarl (Crowded Involvement Access) Interactive Relationship Technology Limitations Few Valid Measurement Direct Selling Potential Techniques Flexible Message Platform Limited Reach 11-114 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 57
  58. 58. Direct Mail Pros and Cons Advantages Disadvantages High Selectivity High Cost Per Contact Reader Controls Exposure Poor Image (Junk Mail) High Information Content Clutter Repeat Exposure Opportunities 11-115 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Outdoor Pros and Cons Advantages Disadvantages Location Specific Sort Exposure Time High Repetition Short Ads Easily Noticed Poor Image Local Restrictions 11-116 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 58
  59. 59. Magazine Pros and Cons Advantages Disadvantages Long Lead Time for Segmentation Potential Ad Placement Quality Reproduction Visual Only High Information Content Lack of Flexibility Longevity Multiple Readers 11-117 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Magazine Pros and Cons Advantages Disadvantages Selectivity Costs Reproduction Quality Limited Reach Creative Flexibility Limited Frequency Permanence Long Lead Time Prestige Clutter Receptivity, Involvement Services 11-118 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 59
  60. 60. Special Magazine Features Bleed Pages Island Halves Inserts Gate Folds Pop-Ups Cover Positions 11-119 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Magazine Circulation Concepts Primary Circulation Total Guaranteed Audience Circulation Controlled Circulation Circulation Verification Pass-Along Readership 11-120 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 60
  61. 61. The Future of Magazines Declining Ad Revenues Stronger Editorial Platforms Circulation Management Cross-Magazine and Media Deals Trends, Trends, Database Marketing Trends… Advances in Technology Electronic Delivery Methods 11-121 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Consumer Magazines Target Specific Interests 11-122 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 61
  62. 62. An Example of a Farm Publication 11-123 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Magazines Target Professions or Industries 11-124 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 62
  63. 63. Top-Selling Magazines: 2002 11-125 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Media Kits Provide Information on Readers 11-126 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 63
  64. 64. City Magazines Provide Geographic Targeting 11-127 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Newsweek Offers Various Geographic Editions 11-128 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 64
  65. 65. Use of Various Media for Insight and Ideas 11-129 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Consumers Rely on Magazines for Information 11-130 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 65
  66. 66. Pop-Ups Grab Attention 11-131 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Quarter Page Ads Can Extend a Media Budget 11-132 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 66
  67. 67. Media Research Guides Advertisers + 11-133 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Media Kits Provide Advertisers With Information 11-134 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 67
  68. 68. A New Breed of Business Publication 11-135 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Magazines Go Online 11-136 © 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin 68
  69. 69. Questions ??? M. Larry Litwin, APR, Fellow PRSA larry@larrylitwin.com www.larrylitwin.com © 2009 11-137 69

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