Local and regional television is excellent for local and regional companies. National brands can advertise on these stations through purchasing spot TV space. About 75% of national time slots are sold during sweeps week. By selecting local channels to supplement the national time, companies can generate higher GRPs at a lower cost. Effective television advertising requires matching the product target audience with a shows viewing audience. Television can reach larger audiences at a lower cost per contact. Cable channels provide opportunities to segment audiences based on interests.
Developing logical combinations of media takes planning. It starts by deciding the scale of the media market – local, regional, national, or global. Next comes an understanding of the market characteristics – demographics, geographic location, psychographic profile, and media habits. From this information decisions can be made about which media is the best – TV, radio, outdoor, newspaper, magazines, direct mail. Last, comes the content.
This graph provides an illustration of the multiple media used by Coca-Cola. Television accounts for 63.4% of their media buys, the vast majority. But, Coca-Cola also spends on radio, outdoor, the Internet, magazines, and newspapers.
TraditionalMedia Channels 8-1
Media StrategyThe process of analyzing andchoosing media for an advertisingand promotional campaign tomaximise the “reach” and “impact”among the TG. 8-2
People Involved in Media SelectionMedia Buyer Media Planner AccountCreative Executive Client 8-3
People Involved in Media Selection Media Planner • Formulates media program • Conducts research on audience characteristics • Matches media with target market characteristics 8-4
People Involved in Media Selection Media Buyer • Works closely with media planner • Purchases media time and space Agency size not related to media price, quality Culture and experience important 8-5
Traditional Media Selection • Broadcast media Television Radio • Outdoor • Print media Magazines Newspapers 8-6
Television Advantages Disadvantages• High reach • Clutter• High frequency • Channel surfing potential during• Low cost per contact commercials• Creative • Short amount of opportunities copy• High intrusion value • High cost per ad• Segmentation • Low recall due to possibilities clutter 8-7
Nielsen Ratings• Measure TV audience• Determines ad rates• Nielsen rating – number of households tuned into a program• Share – number of households with TV on watching a particular program. 8-8
TelevisionadsLocal/Regional TV• Excellent for local and regional companies• National brands – spot TV ads• Can generate higher GRPs at lower costs 8-9
Radio Advantages Disadvantages• Low cost per spot • Short exposure• Low production cost time• Use of music • Low attention• High segmentation • Poor national potential audience capability• Flexibility in making • Target duplication new ads in many areas• Ability to modify ads quickly and locally• DJ intimacy• Mobility 8-10
Outdoor Advantages Disadvantages• Large ads • Legal limitations• Select geographic • Short-exposure areas time• Accessible for • Brief message local ads • Limited• Low cost per segmentation impression • Cluttered travel• Broad reach routes• High frequency 8-11
Magazines Advantages Disadvantages• High segmentation • Long lead time• High color quality • Little flexibility• Long life • High cost• Direct response • Clutter techniques • Declining• Read during readership leisure• Longer attention to ads 8-12
Newspapers Advantages Disadvantages• Priority to local ads • Clutter• Coupons and • Short time span special response • Poor quality ads reproduction• High credibility • Limited audience• Strong audience • Poor national interest buying• Longer copy procedures• High flexibility• Cumulative volume discounts 8-13
U.S. Advertising Expenditures by Media for Coca-Cola
B-to-B Advertising• Shift in media buys Approximately half of all b-to-b ad spends are in non-business environments• Reasons for shift Business decision makers are consumers. Business decision makers are difficult to reach at work. Clutter among business outlets. 8-16
B-to-B Advertising• Television – 25.4%• Radio – 6.7%• Outdoor – 3.0%• Magazines Business publications – 26.0% Consumer magazines – 11.5%• Newspapers – 18%• Internet – 9.6% 8-17