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MCS 3620 (29)
Bharat Sud (21)
Chapter 5

Chapter 5 Marketing Communications

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Marketing and Consumer Studies
MCS 3620
Bharat Sud

Chapter 5 Marketing Communications Advertising Planning: Traditional Media Media Planning Media Planning: Developing a plan of action for communicating messages to the right people (the target market) at the right time and w/ the right frequency  Both the client & the agency play role in media planning  Client role is mainly to provide background info and evaluate the recommendations that the agency makes  Agency assesses the info provided by the client & prepares a strategic plan that meets client objectives  Client will then scrutinize the media plan b/c they are spending big money Media Brief: A document that contains essential info for developing a media plan & is used to stimulate discussion between the client & agency Market Profile  Any relevant info about the current state of affairs in the market is useful to media planners  Includes historical sales data for leading brands, market trends & rates of growth  Is market growing, flat or declining? Competitor Media Strategy  What the competitors are doing has some influence on strategic decision that will be recommended  What media do major competitors use and how much money do they invest in media ads?  If 1 competitor dominates a certain media… might want to use a different media source Target Market Profile  Probably the most important part of a media plan  Target must be clearly defined and key variables expanded upon  In terms of behaviour, knowledge of how the target interacts w/ the media is important as it helps the planner to allocate funds across the recommended media  TV is still a relevant media advertising outlet but internet is rising and magazines/newspapers declining Media Objectives  The client usually identifies key objectives  Objectives tend to focus on target market priorities by identifying primary & secondary targets  Also the nature of the message and its influence on media selection, best time to advertise, & the geographic market priorities Media Budget  The funds available for media advertising come from the marketing plan budget  Most times the client has already identified the amount allocated to media advertising  Will be important for strategic thinking  Is there enough for TV ads? Will this strictly be print?  Once the media plan has been presented to client & approved, the agency media buyers negotiate w/ the media to buy the time & space  Media buyer’s task is to deliver the maximum impact on a target audience at minimum cost (client budget Post-buy Analysis: An evaluation of actual audience deliveries calculated after a specific spot or schedule of advertising has run  How an agency evaluates the plan  Actual audience may be different from expended audience identified in plan The Media Plan Media Plan: A document outlining the relevant details about how a client’s budget will be spent. It involves decisions about what media to use & how much money to invest in the media chosen to reach the audience efficiently & effectively  Costs are put under the microscope and are precisely documented  Usually goes under many revisions Media Objectives Media Objectives: Clear statement that outlines what a media plan is to accomplish (who what when where how)  Provide guidance/direction for developing media strategies  May state priorities (Customer priorities, regional market priorities etc.) Typically deal with: Who: Who is the target market?  Media planners use this profile to match the target w/ a compatible media profile  Eg. Magazines know their readership profile, radio stations know who their listeners are etc. What: What is the nature of the message to be communication? Media planners must be informed about the message strategy  Will be mostly visual or informational? What is the budget?  Clients should provide guidance in this area Where: Where are the market priorities geographically?  Budget plays key role here  Sometimes regions are chosen over others and sometimes they are treated equally w/ media funds  # of markets that must be reached and the level of intensity (media investment) are factors largely based on budget When: When is the best time to reach the target market?  Is the product a seasonal one?  Knowledge of the target’s daily schedule is important too (school during day, watch tv at night etc.) How: How many people to reach, how often to reach them, what length of time?  These decisions made by media planners @ ad agency  Basic guidance from client Media Strategy Media Strategy: A plan for achieving the media objectives stated in the media plan. Typically justifies the use of certain media.  Clients want to see a reasonable ROI  Media strategy says how often to advertise, how long to advertise, where to advertise, what media to use etc  Rationalizes why only certain media are chosen and others rejected Factors that influence media strategy Target Market Profile  The target description may be broad or narrow in scope depending on the company and its offerings  Task of media planner is to match the profile of the target market as closely as possible w/ the profile of the medium (e.g readership of magazine etc.)  The more compatible the match the more effective the strategy will be 3 Basic Target Market Matching Strategies: 1. Shotgun Strategy: A tactic involving the use of mass media to reach a loosely defined target audience  TV is an expensive media but reaches broad range of people For advertisers in tighter budget, newspaper or out-of-home ads are a good option (e.g bus shelter, billboard etc.) 2. Profile-Matching Strategy: A media tactic involving matching the demographic profile of a products target market w/ a specific medium that has similar target profile  This is most common for matching target to magazine readership but can be used for TV as well  Specialty TV offered tailored to specific demographic 3. Rifle Strategy: A strategy that involves using specific medium that effectively reaches a target market defined by a common characteristic  Such as an activity or interest that binds the target market together  Ideally suited for organizations that practice database marketing and CRM Nature of Message  Creative strategy & media strategy should be developed simultaneously to generate a synergistic effect in marketplace  The various media types are good for different kinds of messages  If a rational appeal is used w/ factual info = print media  If emotion appeal and action/adventure focused = tv media  If engagement w/ audience is concern = Internet  Sales promotions = Combo of media types Geographic Market Priorities  Strategic decisions must be made where to advertise based on how to divide the budget among the areas  A company/brand rarely advertises nationally on continuous basis  Brand might choose to advertise in key urban areas *The top 5 Canadian urban markets reach 40% of the population Market coverage options include: 1.National Coverage: This strategy assumes widespread availability of the product, with all geographic areas figuring equitably in the success of the product  Funds can be allocated among media that reach national market  National Magazines (E.g Mcleans) or during national prime time TV shows (E.g Amazing Race Survivor etc.)  Costs are high 2. Regional Coverage: Involves the evaluation of each region’s contribution to a brand’s success  Funds allocated so that no particular region has an advantage/disadvantage (in theory) An organization can assess value of region by 2 different indexes 1. A Market Development Index/Category Development Index(CDI): The % of category sales in an area in relation to the population of that area compared to the sales throughout entire country in relation to total population 2. A Brand Development Index (BDI): The% of a brand’s sales in an area in relation to the population in that area. It determines if the brand is over or under developed 3.Key Market Coverage: Can give priority to those members of the target market residing in key urban markets  Usually there are predetermined criteria to establish what markets will receive media support  If population is the criteria, a planner will consider other strategic factors first & then go down the market list until the media budget is exhausted  Canada’s top 6 cities (Toronto, Montreal, Vancouver, Ottawa-Hill, Calgary & Edmonton) account for 43.9% of the population while the top 10 cities account for 53% Timing of Advertising  Info about the target markets cyclical patterns in sales influence decisions about when to schedule ads  Could be time of day, week, year Flights: A period of time in which advertising is scheduled  Advertising is rarely scheduled continuously Types of schedules  Skip Schedule: Skip advertising every other month  Pulse Schedule: Heavy advertising in the first 2 months, skip 2 months, weak advertising for 2 months, skip 2 months, Medium amount of advertising for 2 months than skip 2 more months  Blitz Schedule: Best suited for new products that want to hit the market w/ a band  Lots of money spent in very short period  Build up: Media ad is scheduled at low levels initially & gradually builds as time passes  Hollywood movie releases use this frequently  Seasonal: Most of the advertising is prior to the beginning of the seasonal purchase cycle  Even/Continuous  Best for large advertisers that need to sustain a certain level of advertising spending due to competitive pressures  Not very common Reach/Frequency/Continuity Priorities of these 3 are based on the situation & budget Reach: The total unduplicated audience exposed 1 or more times to an advertisers schedule of messages during a specific period (usually a week)  Expressed as % of population in a geographically defined area Frequency: The avg. # of times a target audience has been exposed to an advertising message over a period of time (usually a week)  Calculated by dividing the total possible audience by the audience that has been exposed at least once to the message  May also refer to how many times a publication is issues or commercial is aired  Media planner must decide the combo of reach & frequency appropriate for achieving ad objectives  Media planners use Gross Rating Points (GRP) as method of designing a media schedule  An expression of the weight of advertising in a market  Calculated = reach x frequency Continuity: The length of time required to ensure impact has been made on a target market through a particular medium  Consistent theme is communicated  Continuity decisions deal w/ how long a flight will be (4 weeks, 6 weeks etc.) Engagement Engagement: The degree of involvement a person has w/ the medium when using it  A resp
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