Mp Week 3

Media, Advertising and
Consumers
LECTURE 4 - Media Planning

Sunday, 27 December 2009

How Audiences Choose Media


Audience Reactions to Media
( )


Audience pays attention only to their interested
information at the medium.
Sometimes they may waste time in some less interested
content for some purposes ( ). For example, they
may watch less interested TV program while waiting for
their favorite ones to come, or they leaf through a
magazine while waiting for someone at a hair salon.
The degree of attention to an advertisement is worth
studying.


Strong Feelings ( )

the media images such as authoritative ( ) and
provocative ( ), as found in a central government
radio channel, or warm/cold, as created by various
programs in a TV channel.
Other media images include strong/weak ( ),
confusing ( ) and negative ( ), etc.


TVB
Promotion TVC


Loyalty ( )

habit developed because of interest in particular media,
e.g. some prefer reading newspaper than internet
news.


Usage Behavior ( )

some audience use media immediately, other use them
during free time or even do not use them when free
media approaches, e.g. free subscription copy of
magazine.


Varied Relationships
( )

casual relationship if the content is uninterested, e.g. a
sport team always loses games, or intense ( )
relationship if the content is attractive, e.g. the winning
sport team or a popular artiste ( ) is featured.


Varied Relationships
intense relationship if the content is attractive


( )

It should be noted that mass media ( ) may not
create closer relationship than specialized media (
), e.g. teenagers seem uninterested in reading
newspaper.
In fact, small market segments, to which specialized
media target, can account for large proportion of sales.


small market segments
specialized media target


How Audiences Process
Information in Media



Even an audience interested in the content of a media,
it does not mean they are interested in the
advertisement being carried. They may pay less
attention to advertisements because:


...
.....................................................................



they do not want the product or brand (
)


they do not want the product or brand
( )



they have great deal of the brand or product
knowledge ( )


How Audiences Process Information in Media
( )



low quality, creativity or memorability of the ad
message. (
)


low quality, creativity or memorability of the ad message.
(
)


they are overloaded with information ( )



Despite the above reasons, buying behavior of the
audience may be inﬂuenced when changes have been
made to the content or advertising message, e.g. a
new editorial column or new creative advertisement is
launched.


new creative advertisement is launched


People have short-term memory on the information
from media; no matter it is the content or
advertisement. The traditional way of extending the
memory period is buying media vehicles repeatedly, i.e.
increase the advertising frequency.

(Cultivation Effect -
)


Some media planners believe this is the ONLY way that
the memory and hence the ad effectiveness be
extended by buying the ad in the right time, in the right
amount and to the right markets.


strategic media planning ( )



careful media selection and timing (
)



)

creative message and media (
)



)

)

ad placement in markets where sales opportunities are
best. ( )



)

)

ad placement in markets where sales opportunities are
best. ( )

repeated advertising. ( )


Media Planning and Marketing Mix


Media play a signiﬁcant role in the selling process when
advertising is required, i.e. when the Promotion element of
the marketing mix is concerned.



Media do not work alone because they are part of a team
of selling variables, and their role is to control the efﬁcient
delivery of advertisement, i.e. targeting the right prospects
( ).



Media do not work alone because they are part of a team
of selling variables, and their role is to control the efﬁcient
delivery of advertisement, i.e. targeting the right prospects
( ).

On the other hand, some quality for a particular medium
can help target the right segments, e.g. a home-living
magazine can help a furniture advertisement ﬁnd the right
targets.


furniture advertisement
IKEA


Exposure: A Basic Advertising
Measure ( )


Deﬁnition

Exposure ( ) means “open eyes (or
listening ears) facing the medium.” It measures
how many people look into or read a vehicle.


Some Highlights
It may differ for each medium.
For example,
exposure is counted if one says he/she read the
publication,
but it is counted only if one receives a people meter
and presses the correct TV channel button during the
survey period.
For internet, it is counted when an ad banner, pop-up
ad or page of content from a website is served.


Some Highlights

Exposure does not reveal how many people have
actually read the advertisement. It underestimates (
) the true audience size.
However, it is most readily ( ) available data that
can measure the advertising extent ( ) because it is
necessary to be exposed to a vehicle before anyone
can see an advertisement


Other Advertising Measures


Vehicle Exposure
( )

Exposure to TV or Print Media (Not ads) (
)


Vehicle Exposure
( )

Exposure to TV or Print Media (Not ads) (
)

Open eyes facing a vehicle (or opportunities to see ads)
( )


Circulation (Print Media)
( )

No. of Copies Distributed ( )

People or families receiving newspaper vehicles (no
exposure counted) ( / )


Circulation (Print Media)
( )

No. of Copies Distributed ( )

People or families receiving newspaper vehicles (no
exposure counted) ( / )

/


Advertising Exposure
( )

No. of Ads exposed per issue or per TV program
( )


( )

( )

A gross (or crude) counting of total no. of ads exposed
in a vehicle ( )

...


( )

( )

A gross (or crude) counting of total no. of ads exposed
in a vehicle ( )
...
( )


(1)

(2)

(3)


Supplementary Information


Advertising Perception
( )

No. of ads that consumers remember having seen in a
vehicle ( )

The smallest amount of communication remembered of
ads in a vehicle (
)

~


( )

Game (Work Hard, Play Hard)


( )


( )

9


( )

HP

衞

APPLE INC. iMac

OLAY

NIKE


Advertising Communication
( )

The total amount of recalled material from ads in a
vehicle ( )


( )

The total amount of recalled material from ads in a
vehicle ( )

Feedback from ad messages in vehicles (
)
Feedback
~


SMS Feedback


Response Function (Media Effectiveness)

No. of responses to speciﬁc advertising in a vehicle
(
)



No. of responses to speciﬁc advertising in a vehicle
(
)

The effects of advertising on consumers (responses
such as (1) sales, (2) brand awareness, (3) attitude
change, and (4) recall of messages)

( ...)
(1) (2)
(3) (4)


CPM (Cost Efﬁciency)

Cost to reach 1,000 audience


CPM (Cost Efﬁciency)

Cost to reach 1,000 audience
Budget required to targets to the potential customers.
( 1000 )

CPM


Response Function


Deﬁnition

Response function shows what percent of the people
who are exposed to an ad varying numbers of times
are expected to respond to that ad.
( )

Response Function


Deﬁnition

Response function shows what percent of the people
who are exposed to an ad varying numbers of times
are expected to respond to that ad.

Response Function


Response function


Exposure Responding

Response function


Response function seems to be a more meaningful ( )
and accurate ( ) measure, but deciding what percent of
those people will respond is a subtle ( ) judgment that
depends on:


depends on:

the product being sold ( )


depends on:


the ad’s creative quality ( )


depends on:



the medium in which the ad appears
( )


depends on:



the medium in which the ad appears
( )

a variety of other factors ( )


Measuring Advertising
Cost-Efﬁciency


Measuring Advertising
Cost-Efficiency
The cost-efficiency of an advertisement is usually expressed in
Cost Per Millie (=thousand), or CPM. It is the cost to deliver to
1,000 people or homes, i.e. dividing cost by the audience
delivery and multiplying by the quotient of 1,000.
( CPM
CPM=$37; CPM=$34 ->
)
The audience base can be circulation, homes reached,
readers, or number of audience members of any kind of
demographic or product usage classification.


True Data...
Circulation


CPM of Apple Daily (FP4C) =
180,000 / 298,777 x 1,000=
$1,659.87


True Data ...


Coverage True Data
( No. of Audience)
~


CPM

Cost of 30-second commercial: $1,100

No. of households delivered at 2:00pm: 77,000

$1,100 x 1,000/77,000 = $14.29


...


CPRP (Cost per rating point)

Cost of 30-second commercial: $1,100

Rating at 2:00pm : 8

$1,100 /8= $137.50


Since each medium is measured differently, CPM is
most typically applied to vehicles within a single
medium. If difference is sought between use of CPM
and CPRP for TV/radio,

CPM is used to compare the efﬁciency of individual
vehicles (CPM ), while

CPRP is to calculate the cost of an entire TV/radio
broadcast plan (CPRP
).


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