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MediaMedia
Back to the basicsBack to the basics
Introductory Terms
Like …
– Medium/Vehicle
– Universe
– Target Audience
– Rating
– Duplication
– CPRP
– GRP/TRP
– Reach
– Frequency
– Frequen...
What is a medium ?
• Media : Carriers and deliverers of advertisements.
• Medium : A broad general category of carriers
• ...
Target Audience
“The particular segment of the population that our
campaign is trying to reach”
Universe
“The number of individuals within a given target”
Example : Working women 25-40, MHI 10,000 +
Broadly three ways in which targeting can
be approached
Demographics
Psychographic
s
Mindset, Affinity group
What we will cover in the next few slides
• Plan Reach
• Average Frequency
• GRP’s
• Gross OTS
Lets see how these 3 concepts are related to
each other
Reach
Frequency GRPs
For instance, assuming we have a Target
Audience of 10 people...
– 1 in Programme A
– 1 in Programme B
– 1 in Programme C
… And our campaign is made of 3 spots
1 TV SPOT
TRP = 50
Reach = 50 %
Average Frequency
TRP/R = 50/50 = 1
Frequency Unique Reach
1 50 %
2 0 %
3 0 %
5 people wat...
Rating = 50%
Programme AProgramme A
We add Programme B
and 6 people watch this programme and our ad
Rating =6/10%=60%
Prog...
2 TV SPOTS
GRPs = 110
Prog B adds 60 TRPs but not 60%
reach as 30% is duplicated
Reach =50+30= 80 %
Average Frequency = 1....
3 TV SPOTS
Programme C adds 50 TRPs but only
10% reach as the other 40% is
duplicated with Programme A or/and B
GRPs = 160...
Plan Reach
“Percentage of our target universe that was exposed at least
once to an advertising schedule.”
Usually measured...
Reach Caveats
• As insertions are added to the media schedule, only the
audience not previously exposed to the message are...
Average Frequency
“The number of times, on average, the audience reached sees the
commercial during a given period. ”
Agai...
Gross Rating Points (GRP’s)
“The sum of all ratings achieved in a given period.”
• GRPs or TRPs are results of the reach and frequency goals we
set
• GRPs or TRPs are not goals by themselves
• GRPs or TR...
GRPs / TRPs , Reach & Frequency
Formulae
GRPsGRPs
FrequencyFrequency ReachReach
Frequency x Reach =Frequency x Reach = GRP...
Rules
• Never add GRPs/TRPs that belong to different target definitions (will have to use weighted
averages)
• Never add G...
Same GRP levels Reach Freq.
• Increasing day parts
• Buying same kind of programming, usually
• Increasing # TV channels/p...
Cost Per Rating Point (CPRP)
“Cost of reaching 1% of my target with a specific medium.”
Formula :
Medium or Vehichle Total...
Cost Per Thousand (CPT)
“The cost of reaching 1000 individuals within my target
with a given medium or specific vehicle”
F...
An Exercise
TG
No of times
commercial
seen
1st spot 2nd 3rd 4th 5th 6th 7th 8th
1 2  
2 6      
3 1 
4 4    
...
What is …
• Reach
• GRP’s
• Gross OTS
• Avg OTS
What we know
Universe : 15
Reach (seen atleast once): 13/15%
= 87%
Step 1- Reorganise data
Seen # people
0 2
1 4
2 1
3 1
4 2
5 2
6 2
7 1
Step 2
Seen
#
people
1 4 4
2 1 2
3 1 3
4 2 8
5 2 10
6 2 12
7 1 7
13 46
Universe =15
Reach = 13/15%
= 87%
Gross OTS = 46
Av...
QUIZ TIME!
Q 1
A = 100
B = 80
C = 90
D= 35
E=25
G = 10
F= 30
H = 30
Office
Office
JassiKasauti
Plan:
Kasauti 1 spot
Jassi 1 spot
Offi...
Seen # Audience
1 270 270
2 90 180
3 10 30
370 480
REACH 370/400%
92.5
AOTS 480/370
1.30
GRP's 92.5 X 1.3
120
Q 2
A = 100
B = 80
C = 90
D= 35
E=25
G = 10
F= 30
H = 30
Office
Office
JassiKasauti
Plan:
Kasauti 2 spot
Jassi 1 spot
Offi...
Seen # Audience
1 170 170
2 125 250
3 65 195
4 10 40
370 655
REACH 370/400%
92.5
AOTS 655/370
1.77
GRP's 92.5 X 1.77
163.75
Q 3
A = 100
B = 80
C = 90
D= 35
E=25
G = 10
F= 30
H = 30
Office
Office
JassiKasauti
Plan:
Kasauti 1spot
Jassi 2 spot
Offic...
Seen # Audience
1 190 190
2 110 220
3 60 180
4 10 40
370 630
REACH 370/400%
92.5
AOTS 630/370
1.70
GRP's 92.5 X 1.70
157.5
Q 4
A = 100
B = 80
C = 90
D= 35
E=25
G = 10
F= 30
H = 30
Office
Office
JassiKasauti
Plan:
Kasauti 1spot
Jassi 1 spot
Offic...
Seen # Audience
1 180 180
2 35 70
3 90 270
4 55 220
5 10 50
370 790
REACH 370/400%
92.5
AOTS 790/370
2.14
GRP's 92.5 X 2.1...
Other related concepts
Frequency Distribution
• Average Frequency represents the average number of times the target
was exposed to a commercial m...
Frequency % Reached
0 31.7
1 22.3
2 15.4
3 10.5
4 7.1
5 4.7
6 3.1
7 2.0
8 1.3
9 0.8
10+ 1.2
Thus,
32% were not exposed at ...
Frequency % Reached
Frequency Distribution
0 29.2
1 24.8
2 13.2
3 9.0
4 8.0
5 6.7
6 5.2
7 2.1
8 1.3
9 0.5
10 0.3
However t...
Effective Frequency
“The number of potential commercial exposures
necessary” to communicate the advertising message
effect...
“Percentage(%) of target universe reached by the
commercial the number of times set as Effective Frequency
or more”
Effect...
Frequency % Reached
0 31.7
1 22.3
2 15.4
3 10.5
4 7.1
5 4.7
6 3.1
7 2.0
8 1.3
9 0.8
10+ 1.2
Frequency % Reached
0 29.2
1 2...
Planning Principles
Forecast future trends
• Normally, we plan for the future using past data. Hence there
is a time lag of almost 2 months be...
Optimise cost per reach point
• Three planning variables (R, F and GRP) are
interdependent
– Hence, objective should be to...
Reflect buying realities
Must reflect TG viewership behavior
• Since we are operating in one TV HH scenario, data reflects
similar viewership patte...
Know your benchmarks
• It is good to know GRP and R/F benchmarks for your
TG/brand
• Also, know CPRP benchmarks for your T...
Thank You
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Media planning basics

Media planning in TV

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Media planning basics

  1. 1. MediaMedia Back to the basicsBack to the basics
  2. 2. Introductory Terms
  3. 3. Like … – Medium/Vehicle – Universe – Target Audience – Rating – Duplication – CPRP – GRP/TRP – Reach – Frequency – Frequency Distribution – Effective Reach & frequency
  4. 4. What is a medium ? • Media : Carriers and deliverers of advertisements. • Medium : A broad general category of carriers • Vehicle : A specific carrier within a medium Medium Vehicle Television Kkusum Newspaper Times of India Magazines India Today Radio Good Morning Mumbai Outdoor Patel Bridge Video Cassette of a movie Internet Indiatimes.com
  5. 5. Target Audience “The particular segment of the population that our campaign is trying to reach”
  6. 6. Universe “The number of individuals within a given target” Example : Working women 25-40, MHI 10,000 +
  7. 7. Broadly three ways in which targeting can be approached Demographics Psychographic s Mindset, Affinity group
  8. 8. What we will cover in the next few slides • Plan Reach • Average Frequency • GRP’s • Gross OTS
  9. 9. Lets see how these 3 concepts are related to each other Reach Frequency GRPs
  10. 10. For instance, assuming we have a Target Audience of 10 people...
  11. 11. – 1 in Programme A – 1 in Programme B – 1 in Programme C … And our campaign is made of 3 spots
  12. 12. 1 TV SPOT TRP = 50 Reach = 50 % Average Frequency TRP/R = 50/50 = 1 Frequency Unique Reach 1 50 % 2 0 % 3 0 % 5 people watched programme A and saw the commercial... Rating = 5/10%=50% Programme AProgramme A
  13. 13. Rating = 50% Programme AProgramme A We add Programme B and 6 people watch this programme and our ad Rating =6/10%=60% Programme BProgramme B Unique Audience (Building REACH) Duplicated audience (Building FREQUENCY)
  14. 14. 2 TV SPOTS GRPs = 110 Prog B adds 60 TRPs but not 60% reach as 30% is duplicated Reach =50+30= 80 % Average Frequency = 1.4 Spot Unique Reach Cum Reach 1 50 % 50% 2 30 % 80% Rating = 50% Programme AProgramme A Rating = 60% Programme BProgramme B
  15. 15. 3 TV SPOTS Programme C adds 50 TRPs but only 10% reach as the other 40% is duplicated with Programme A or/and B GRPs = 160 Reach = 80+10 = 90 % Average Frequency = 1.8 Frequency Unique Reach 1 40 % 2 30 % 3 20 % Programme CProgramme C Rating = 50% Rating = 50% Programme AProgramme A Programme BProgramme B Rating = 60% Did not watch
  16. 16. Plan Reach “Percentage of our target universe that was exposed at least once to an advertising schedule.” Usually measured over 1 or 4 week period Hence, in the previous example, Target Universe = 10 A campaign achieves 90% reach, which means that 90% of the target (i.e. 9 out of 10 TA) have seen the commercial at least once
  17. 17. Reach Caveats • As insertions are added to the media schedule, only the audience not previously exposed to the message are added to the reach total. • Thus, once a person is counted in the reach, that person is not counted again no matter how many times the person is exposed. • Reach can never be greater than 100%.
  18. 18. Average Frequency “The number of times, on average, the audience reached sees the commercial during a given period. ” Again, in the previous example, Average Frequency of 1.8 means that, as an average, every person reached has seen the commercial 1.8 times. This is an average, which means that some people will have seen the commercial more times, and some less. The average gives us a general idea of the campaign frequency performance.
  19. 19. Gross Rating Points (GRP’s) “The sum of all ratings achieved in a given period.”
  20. 20. • GRPs or TRPs are results of the reach and frequency goals we set • GRPs or TRPs are not goals by themselves • GRPs or TRPs alone don’t tell us what we really achieve GRPs / TRPs
  21. 21. GRPs / TRPs , Reach & Frequency Formulae GRPsGRPs FrequencyFrequency ReachReach Frequency x Reach =Frequency x Reach = GRPsGRPs GRPGRP FrequencyFrequency == ReachReach GRPGRP ReachReach FrequencyFrequency ==
  22. 22. Rules • Never add GRPs/TRPs that belong to different target definitions (will have to use weighted averages) • Never add GRPs/TRPs that belong to different markets (will have to use weighted averages) • GRP’s can be added by brands, by durations and by weeks/months.(as long as TA and markets are identical) • GRPs /TRPs can be calculated adding the ratings of the advertising campaign spots • Reach and Average Frequency can only be calculated with computer software • Reach can never be higher than 100 GRPs / TRPs , Reach & Frequency
  23. 23. Same GRP levels Reach Freq. • Increasing day parts • Buying same kind of programming, usually • Increasing # TV channels/publication • Buying only 3 days of the week A general guideline on how to increase Reach or FrequencyA general guideline on how to increase Reach or Frequency GRPs / TRPs, Reach & Frequency
  24. 24. Cost Per Rating Point (CPRP) “Cost of reaching 1% of my target with a specific medium.” Formula : Medium or Vehichle Total Cost ÷ GRPs or Rating = CPRP In the previous example, assuming it costs Rs 3,00,000/ to buy those 3 spots (= 160 GRP’s) CPRP = 300000/160 = 1875.
  25. 25. Cost Per Thousand (CPT) “The cost of reaching 1000 individuals within my target with a given medium or specific vehicle” Formula : Medium or Vehicle Total Cost ÷ Target Audience (in 000’s) = CPT
  26. 26. An Exercise TG No of times commercial seen 1st spot 2nd 3rd 4th 5th 6th 7th 8th 1 2   2 6       3 1  4 4     5 5      6 1  7 - 8 - 9 4     10 3    11 1  12 5      13 6       14 7        15 1 
  27. 27. What is … • Reach • GRP’s • Gross OTS • Avg OTS
  28. 28. What we know Universe : 15 Reach (seen atleast once): 13/15% = 87%
  29. 29. Step 1- Reorganise data Seen # people 0 2 1 4 2 1 3 1 4 2 5 2 6 2 7 1
  30. 30. Step 2 Seen # people 1 4 4 2 1 2 3 1 3 4 2 8 5 2 10 6 2 12 7 1 7 13 46 Universe =15 Reach = 13/15% = 87% Gross OTS = 46 Avg OTS = 46/13 = 3.5 GRP’s = 87X3.5 =307
  31. 31. QUIZ TIME!
  32. 32. Q 1 A = 100 B = 80 C = 90 D= 35 E=25 G = 10 F= 30 H = 30 Office Office JassiKasauti Plan: Kasauti 1 spot Jassi 1 spot Office…1 spot Find Reach & AOTS Plan Reach = 370/400% =92.5 Plan A OTS = 1.30
  33. 33. Seen # Audience 1 270 270 2 90 180 3 10 30 370 480 REACH 370/400% 92.5 AOTS 480/370 1.30 GRP's 92.5 X 1.3 120
  34. 34. Q 2 A = 100 B = 80 C = 90 D= 35 E=25 G = 10 F= 30 H = 30 Office Office JassiKasauti Plan: Kasauti 2 spot Jassi 1 spot Office…1 spot Find Reach & AOTS Plan Reach = 92.5 Plan A OTS = 1.77
  35. 35. Seen # Audience 1 170 170 2 125 250 3 65 195 4 10 40 370 655 REACH 370/400% 92.5 AOTS 655/370 1.77 GRP's 92.5 X 1.77 163.75
  36. 36. Q 3 A = 100 B = 80 C = 90 D= 35 E=25 G = 10 F= 30 H = 30 Office Office JassiKasauti Plan: Kasauti 1spot Jassi 2 spot Office…1 spot Find Reach & AOTS Plan Reach = 92.5 Plan A OTS = 1.70
  37. 37. Seen # Audience 1 190 190 2 110 220 3 60 180 4 10 40 370 630 REACH 370/400% 92.5 AOTS 630/370 1.70 GRP's 92.5 X 1.70 157.5
  38. 38. Q 4 A = 100 B = 80 C = 90 D= 35 E=25 G = 10 F= 30 H = 30 Office Office JassiKasauti Plan: Kasauti 1spot Jassi 1 spot Office…3 spot Find Reach & AOTS Plan Reach = 92.5 Plan A OTS = 2.14
  39. 39. Seen # Audience 1 180 180 2 35 70 3 90 270 4 55 220 5 10 50 370 790 REACH 370/400% 92.5 AOTS 790/370 2.14 GRP's 92.5 X 2.14 197.5
  40. 40. Other related concepts
  41. 41. Frequency Distribution • Average Frequency represents the average number of times the target was exposed to a commercial message • But, we know that people are exposed at different rates. Some will see 1 message, some 2 messages, some 4, and some may even see all of them Frequency Distribution describes the number or percent of population exposed at each frequency level
  42. 42. Frequency % Reached 0 31.7 1 22.3 2 15.4 3 10.5 4 7.1 5 4.7 6 3.1 7 2.0 8 1.3 9 0.8 10+ 1.2 Thus, 32% were not exposed at all 68% saw at least one message 22.3% saw one and only one message 15.4% saw two and only two & so on 1.2% saw 10 or more messages Frequency Distribution SCHEDULE A GRPs - 200 Reach - 68% Avg OTS - 2.9
  43. 43. Frequency % Reached Frequency Distribution 0 29.2 1 24.8 2 13.2 3 9.0 4 8.0 5 6.7 6 5.2 7 2.1 8 1.3 9 0.5 10 0.3 However the same 200 GRPs in another schedule yield very different results ! GRPs - 200 Reach - 71% Avg OTS - 2.8 SCHEDULE B
  44. 44. Effective Frequency “The number of potential commercial exposures necessary” to communicate the advertising message effectively Generally expressed in terms of 2+, 3+, 4+, etc.
  45. 45. “Percentage(%) of target universe reached by the commercial the number of times set as Effective Frequency or more” Effective Reach
  46. 46. Frequency % Reached 0 31.7 1 22.3 2 15.4 3 10.5 4 7.1 5 4.7 6 3.1 7 2.0 8 1.3 9 0.8 10+ 1.2 Frequency % Reached 0 29.2 1 24.8 2 13.2 3 9.0 4 8.0 5 6.7 6 5.2 7 2.1 8 1.3 9 0.5 10 0.3 Effective Reach & Frequency If we set 4 as Effective Frequency What is the Effective Reach in Schedule A and B ? Effective Reach @ 4+ Schedule A = 20% Schedule B = 24.2% A B
  47. 47. Planning Principles
  48. 48. Forecast future trends • Normally, we plan for the future using past data. Hence there is a time lag of almost 2 months between planning and implementation • Idea is to simulate the future TV viewing behavior using old data. • One of the most important function of a planner is to predict – – Trends in channels/programs deliveries – Trends in daypart performance Always apply 4/6 week averages for planning. Apply 8-12 wks averages, in case of aberration
  49. 49. Optimise cost per reach point • Three planning variables (R, F and GRP) are interdependent – Hence, objective should be to MINIMISE GRP’s(and thus cost) for given Reach/Frequency – OR, MAXIMISE REACH for given GRP (cost) • Objective must be to minimize Cost per reach point and not minimizing CPRP
  50. 50. Reflect buying realities
  51. 51. Must reflect TG viewership behavior • Since we are operating in one TV HH scenario, data reflects similar viewership pattern across different TG’s. • There is a need to identify particular characteristics of target group and their involvement levels.
  52. 52. Know your benchmarks • It is good to know GRP and R/F benchmarks for your TG/brand • Also, know CPRP benchmarks for your TG/brand..
  53. 53. Thank You

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